Inventory counting and stock accuracy play a decisive role in competitiveness in the retail sector. RFID (Radio Frequency Identification) technology makes it possible to track not only which store or shelf a product is located on, but also its movements within the store. Data such as which fitting room a product enters and how long it remains there can also be monitored through the system. Thanks to special tags attached to products, many processes, from stock management to the analysis of in-store customer behaviour, can therefore be managed through a single system.
Having integrated end-to-end RFID technology across all its processes, from stores to logistics operations, the brand can now complete the inventory count of a store containing approximately 3,500 products in only 25 minutes. The company states that, thanks to the high level of inventory accuracy achieved, it is able to make even a single product available for online sale if it is in stock.
Jimmy Key Deputy General Manager Erhan Çiçek said that product visibility lies at the heart of success in retail: “It is no longer enough to know whether a product is on the shelf. Retailers need to manage, in real time, where that product is located within the store, whether it has entered a fitting room, whether it has converted into a sale, and the accuracy of stock data. This is exactly what we have achieved with our RFID investment.”
The transformation from barcode to RFID
Stating that the main starting point of the RFID transformation was the need for visibility, Erhan Çiçek said that the most important goal in retail is to convert stock into sales as quickly as possible.
During Jimmy Key’s transformation process, stores, warehouses, logistics operations and points of sale were restructured simultaneously. RFID tags were integrated into the inner labels of products, while stores were equipped in a short period of time with RFID checkout systems, security infrastructure, handheld terminals and smart fitting rooms.
As a result of this transformation, the journey of each product from supplier to customer can now be tracked through unique EPC codes.
Every movement of a product can be monitored
With RFID technology, Jimmy Key stores have gained new capabilities not only in stock tracking, but also in analysing customer behaviour.
Smart fitting rooms make it possible to measure which products are tried on, which items are taken into the fitting room together to create outfits, how long they remain there, and whether try-ons convert into sales.
For example, it can be analysed which trousers, jackets or accessories are tried on together with a shirt. In this way, the brand can determine not only why a product does not sell, but also which products customers prefer together and which outfit combinations attract greater interest, all based on data.
These insights contribute to more accurate decision-making in many areas, from product placement and collection planning to the in-store experience and sales strategies.
Erhan Çiçek commented: “For years in retail, the first reflex when a product did not sell was to apply a discount. Now, however, we can see whether the product was never tried on, or whether it was tried on but not purchased. This data enables more accurate decisions in many areas, from product development to store operations.”