Gedenim uses RFID membership system to improve customer loyalty

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Gedenim, a French jeans retail store, now uses an RFID membership card system to attract young shoppers, thereby boosting sales and increasing member loyalty. This GSPOT membership system is provided by Airtag, a French contactless solution provider, and is now used in 10 Gedenim stores. Gedenim has 15 stores in Paris, and the remaining 5 stores will adopt the system in the next 12 months.

The membership card of the GSPOT system is embedded with a passive 13.56 MHz RFID chip, which complies with ISO 15693 and 14443B standards. Special purchase stores using this system are equipped with interactive RFID kiosks to provide cardholders with personalized promotional information; at the same time, RFID readers are also installed at the checkout counters to facilitate quick checkout and disseminate announcement information.

RFID kiosk

Airtag has developed a complete set of solutions for Gedenim, according to Airtag’s CEO Jérémie Leroyer, including contactless platforms, middleware, readers, kiosks and membership cards. Airtag’s middleware integrates data obtained by GSPOT equipment with cash register software and company information systems.

Leroyer said Gedenim has been looking for a system solution to attract young customers. “They need a membership system for their target customers (15-25 years old). We recommend that they install an interactive sales system based on smart card technology.” This system allows cashiers to determine the identity of customers by using membership cards , To provide more personalized services, such as providing targeted announcements or promotional information based on customer consumption history.

In September 2006, Airtag and Gedenim began a three-month system test. During the test, Leroyer stated that the two companies learned how to connect information systems to the cash register infrastructure.

After the test was successful, Gedenim began to install Airtag RFID readers on cash registers in 10 stores. Airtag middleware manages the data communication between all tags and readers.

When the membership card is 10 cm away from the kiosk, the RFID reader integrated in the kiosk reads the ID number of the membership card, and connects the number with customer information through an Ethernet connection. The kiosk screen can play videos, pictures and personalized text messages.

This system is compatible with Near Field Communication (NFC) mobile handsets. Leroyer said that French mobile operators will release NFC phones in early 2008; at that time, customers will be able to replace membership cards with their phones.

Currently, Leroyer claims that customers have received good feedback on the system. “We already have a very important membership base,” he said. Leroyer did not disclose how many card customers it has. Gedenim is satisfied with the results, he added, but it is a bit too early to measure return on investment.

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