Reacting to a request from a retail customer, Dutch footwear manufacturer Wolky will begin applying RFID tags to all of the shoes it produces starting this year. The company will replace the Wolky bar code label on each box of shoes with a barcode label with integrated RFID from Nedap.
Wolky plans to apply RFID tags to its entire inventory starting with the 2014 Wolky winter collection. At that point, any of the 2,000 retail outlets worldwide selling the Wolky product line will be able to utilize RFID if they are equipped to do so.
Last summer shoe retailer De Wolky Shop rolled out the Store !D RFID solution from Nedap Retail to all of its stores in the Netherlands and Germany after a successful two store trial increased inventory accuracy from 84 percent to 98 percent over a period of 12 weeks. The retailer exclusively sells Wolky products, but is not owned by the brand.
De Wolky Shop attached RFID tags at the store. However, in order to increase efficiency, the Wolky brand received a request from the retailer to tag items during the manufacturing process.
Wolky made the decision to tag its entire inventory to accommodate other retailers who may wish to benefit from RFID, such as increased inventory accuracy, loss prevention and the ability to offer omni-channel retailing strategies.
In addition, Wolky anticipates achieving efficiency benefits within its logistics supply chain by tagging its product line during the manufacturing process.
“We are continually on the lookout for new opportunities to increase supply reliability and to enable our resellers to be in a position to provide an improved service to their customers,” says Anthony Diks, CEO of Wolky BV International.
“For this reason and following a request from one of our biggest customers to apply RFID labels during production, we have agreed to the phased application of RFID labels in order to set new standards in the footwear industry.”
By applying RFID labels to each shoe box, any deviations between the items sent and the items received, as well as any differences between actual stock levels and the administrative stock levels, will be determined immediately and corrected. This will lead to fewer out-of-stocks, lower inventory costs and reduced losses, in addition to increased revenues and improved margins.