Renner Reduces 87% of stockouts with RFID Technology from Sensormatic Solutions
More than 500 million products sold by the retailer have radio frequency identification (RFID)Summary
Industry: Retail, Fashion
Solution: RFID (Radio Frequency Identification)
Benefits:
- Inventory accuracy
- Increased sales on digital platforms
- Speed and ease of inventory
- Self-checkout is more efficient
About Renner
Renner is the largest fashion retailer in Brazil in terms of revenue. The company is connected with its customers through digital channels and more than 400 physical stores in Brazil (with a presence in all of the country’s five regions), Argentina and Uruguay.
The Project
Sensormatic Solutions’ Inventory Intelligence portfolio of technology began rolling out at Renner in 2019. By the end of 2021, RFID labels and tags were on all items in the retailer's stores. Today, more than 500 million products sold by Renner utilize radio frequency identification technology, with more than 4 million readings performed daily.
Currently, Renner has been expanding the number of self-checkout terminals with RFID technology. In 2022, the number of stores with self-checkout jumped from 13 to 133, reaching a total of 437 self-service points. For this year, the forecast is for another 90 new terminals.
The Challenge
Increase data quality, reduce out-of-stocks, and improve inventory visibility to help drive online sales.
"With this implementation, Renner in alliance with Sensormatic, became a pioneer in the development and implementation of RFID technology innovation, managing to incorporate different functionalities in a single tag, bringing various benefits to the company, our customers and suppliers."
— Risk director of Renner, Alexandre Ribeiro
The Solution
Sensormatic Solutions TrueVUE inventory management solution using RFID allows retailers to quickly and accurately take inventory with a high level of accuracy; increasing top line revenue/sales, improving inventory turns, and providing a single view of all available stock inventory, down to the last unit for the digital store.
Through electronic tags, accessible by electromagnetic signal, each item can be uniquely identified at the SKU level, providing real-time insights on product inventory allowing for more effective and efficient management of stock.
With solutions deployed in 80+ countries and in 185,000+ stores Sensormatic Solutions is a pioneer in the implementation of RFID solutions for retail.
The Results
- Out-of-stock rate was reduced by 87%.
- Inventory accuracy increased by 64%.
- Improved data precision made it possible to know in detail the movement of items within the store, providing information such as which items were taken to the fitting room and which were not chosen by the customers.
- Enhanced inventory visibility with the integration between physical and online channels, strengthening Renner's omnichannel strategy.
- Today Renner has the ability to take inventory on a monthly basis - previously it was only possible once a year – now the process take just few hours.
- More efficient checkout process, simultaneous reading of all purchase items allowed for quicker product scanning, payment, deactivation of alarm tags and receipt delivery.
Recognition
Renner's project to implement Sensormatic Solutions' inventory intelligence solution won the 2023 RFID Journal Awards, “Best Retail RFID Implementation”. Previously, the partnership had already won the ABRAPPE 2022 award in the Magazine/Fashion and Super Prêmio categories, which elects the best case of the year.
About Johnson Controls
At Johnson Controls (NYSE:JCI), we transform the environments where people live, work, learn and play. As the global leader in smart, healthy and sustainable buildings, our mission is to reimagine the performance of buildings to serve people, places and the planet.
Building on a proud history of nearly 140 years of innovation, we deliver the blueprint of the future for industries such as healthcare, schools, data centers, airports, stadiums, manufacturing and beyond through OpenBlue, our comprehensive digital offering.
Today, with a global team of 100,000 experts in more than 150 countries, Johnson Controls offers the world`s largest portfolio of building technology and software as well as service solutions from some of the most trusted names in the industry.
Visit www.johnsoncontrols.com for more information and follow @johnsoncontrols on social platforms.
About Sensormatic Solutions
Sensormatic Solutions is the leading global retail solutions portfolio of Johnson Controls powering operational excellence at scale and enabling smart and connected shopper engagement. Our intelligent digital operating platform – Sensormatic IQ – combines the full Sensormatic Solutions portfolio, including third-party data to deliver unmatched insights into shopper experience, inventory intelligence, loss prevention and operational effectiveness with advanced technologies, like AI and Machine Learning. This enables retailers to act on prescriptive and predictive data-driven outcomes to confidently move into the future. Please visit Sensormatic Solutions or follow us on LinkedIn, Twitter, and our YouTube channel.
