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Decathlon Sees Sales Rise and Shrinkage Drop, Aided by RFID
The French sporting goods retailer is using RFID technology at all of its stores and warehouses.
Dec 07, 2015—
French sporting goods retailer Decathlon says its sales increased by 11 percent last year, and attributes part of that growth to an ambitious radio frequency identification deployment at all of its 951 stores worldwide, as well as at approximately 43 warehouses (logistics centers). During the same time period (2014), the company experienced a 9 percent reduction in shrinkage, says Jean-Marc Lieby, Decathlon's RFID project leader. Most of the stores are now using RFID technology for inventory checks at the point of sale and at security gates. The company's stores in India and Brazil, however, are using RFID only for tracking inventory. As the firm opens new stores around the world, those sites will also become RFID-enabled.
The retailer credits about 2.5 percent of the sales increase to improved stock availability due to the RFID-based inventory-tracking system. However, the company adds, the launching of new stores and decreases in the prices of some of its merchandise also played a role.
The stores themselves vary in size and in the merchandise they carry. They typically measure 1,000 to 12,000 square meters (10,800 to 129,000 square feet) in size and offer an average of 35,000 different items for sale, covering 65 different sports.
After researching various RFID companies and the solutions they offered, Decathlon launched its own RFID firm in 2010. That company, known as Embisphere, designs, manufactures and deploys both RFID software and hardware, not only for Decathlon but for other retail customers as well.
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