Daily Newsletter

28 September 2023

Daily Newsletter

28 September 2023

Amazon uses RFID to make in-store clothes shopping checkout-free

E-commerce giant Amazon adds radio-frequency identification (RFID) technology tags to its in-store clothing offering to create a seamless checkout-free shopping experience.

Isatou Ndure September 27 2023

Amazon has adapted the use of its Just Walk Out in-store technology to include RFID, which is widely used for inventory tracking in retail, to create checkout-free shopping for its clothing customers.

Amazon explains soft goods, such as clothing posed a unique challenge for its Just Walk Out technology that was already in operation as unlike other products, customers want to see clothing on hangers, feel the fabric, try them on, and make selections accordingly.

In response to this, Amazon has introduced a solution that combines Just Walk Out technology with RFID technology.

Amazon worked with RFID sensor and digital identification solutions company Avery Dennison to implement this technology. Avery Dennison's vice president of global RFID and digital market development, Bill Toney suggests RFID technology is disrupting traditional retail models and enhancing the customer shopping experience.

Amazon introduced its original Just Walk Out technology in 2018. It uses a combination of cameras, shelf sensors, sensor fusion, and artificial intelligence (AI), including computer vision and generative AI, to allow retailers to purchase a range of products without the need for a traditional checkout.

Amazon explains the integration of RFID technology into its Just Walk Out computer vision-based system enables retailers to provide a broader range of clothing and softlines merchandise. Plus, Amazon highlights the RFID-enabled stores are cost-effective and straightforward to implement.

The initial pilot of RFID-enabled Just Walk Out technology took place at Climate Pledge Arena in Seattle, Washington in a store filled with sports fan merchandise. Amazon says the response from fans and arena officials was positive, prompting the company to expand the technology to Lumen Field, the home of the NFL’s Seattle Seahawks. 

Just Walk Out technology is available in over 70 Amazon-owned stores and more than 85 third-party retailers across the US, the UK and Australia. The third-party stores encompass various settings, including travel retailers at US airports, sports stadiums, entertainment venues, conference centres, theme parks, convenience stores, and college campuses.

Amazon says its Just Walk Out technology is all about delivering convenience to shoppers, and helping store owners and retail operators increase revenue with cost-optimised technology, adding: "We look forward to rolling out both RFID and computer vision-based Just Walk Out technology to more locations, and delivering the future of convenience."

Last week, (19 September) Amazon offered an end-to-end solution to cover the entire supply chain, spanning online and physical sales channels, to reduce the operational complexities faced by independent sellers.

Traditional AI is here to stay in the retail and apparel space

Initially, retailers used AI for basic tasks, including inventory management and demand forecasting. However, its usage has now become more prevalent in other aspects such as personalized marketing, customer service, pricing optimization, and supply chain management. With the rise of ecommerce and the increasing importance of data-driven decision-making, AI adoption in retail and apparel has accelerated. The industry now relies on AI to enhance the shopping experience, optimize business operations, and gain an overall competitive edge.

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