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Avery Dennison expects accelerated RFID adoption by retailers

Avery Dennison expects to see an accelerated ramp-up of item level apparel tagging at the retail level now that Round Rock Research has confirmed that Avery’s strict end-to-end tracking of its RFID products will alleviate licensing audit requirements.

Avery, which has produced more than four billion RFID tags, announced new details about its ability to meet the requirements of the Round Rock licensing agreement on Tuesday for its RFID tags, labels and readers.

item level retail apparel RFID

Retailers, including Marks & Spencer and Macy's, are consuming billions of RFID tags from Avery Dennison.

In short, the licensing agreement, which includes a simplified auditing process, will reduce the time, energy and risk for U.S.-based apparel retailers and brands that rely on Avery Dennison RFID inlays.

“Our ultimate goal is to raise the adoption of RFID industry wide,” says Francisco Melo, vice president of Global RFID at Avery Dennison RBIS. “Taking away what arguably could be seen as the last hurdle or barrier will be a factor in helping to accelerate adoption.”

The licensing model signed between Avery Dennison and Round Rock in December still required specific auditing metrics and required retailers to perform a number of tasks in order to comply, which resulted in additional labor and costs. “This announcement takes that away,” says Melo.

“We have reviewed Avery Dennison’s ability to track RFID tags and labels and consider the end to end visibility provided through their service bureaus and other customer based solutions sufficient to allow end users to meet audit and certification requirements necessary under Round Rock’s licensing program to confirm that RFID tags are licensed,” says Jim Burris, vice president of licensing, Round Rock Research, LLC.

Earlier this month Avery Dennison announced a newly expanded RFID portfolio designed to bring drastically improved inventory accuracy and visibility to retail categories, including  jewelry, cosmetics, healthcare, housewares and footwear. The company also announced new inlays for apparel.

Avery has shipped more than 400 million RFID inlays to Marks & Spencer, which is rapidly deploying item level RFID and is on its way to becoming the first retailer in the world to tag 100 percent of its general merchandise items. Avery inlays are also being used in major deployments by Macy’s,  Lord &Taylor, Gerry Weber and C&A.

Avery plans to release news about a new major deployment in the next several weeks.

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