Avery Dennison helps Levi’s 3000 stores worldwide popularize RFID applications

Levi Strauss
Strauss invented the first jeans as their overalls in the late 19th century for cowboys, prospectors and farmers in San Francisco. Since then, solid and durable overalls made of denim have become popular all over the world. Today, Levi’s has once again led the way in the application of RFID technology. With the joint efforts of Avery Dennison and its partners, Levi’s plans to have UHF RFID tags in its 3000 stores around the world by 2021. Store inventory management. Customer pain points. Store inventory is difficult to match customer needs. Taking Levi’s jeans products as an example, a large number of single product models are arranged and combined with different cuts, colors, washes, lengths and sizes. Usually, there are about 120 kinds of women’s jeans, and there are more than 80 kinds of men’s jeans. In the traditional way, the efficiency and accuracy of inventory counting have reached a bottleneck. This leads to some common problems on the store side: customers often cannot find the ideal style in the current store, or the store’s replenishment mechanism is not triggered in time after the product is out of stock. RFID decoding retail industry bottleneck achieves more than 98% inventory accuracy rate in 20 minutes. Levi’s has been exploring the use of RFID technology to meet a series of challenges faced by stores since 2016. After sufficient testing and evaluation, Levi’s began its plan to promote the use of RFID in its global stores in 2018. At present, all Levi’s US stores have applied RFID, with a total of 50 million single products. The promotion and popularization of European stores is also underway at full speed, and then, the implementation project of Asian stores will also be launched. Levi’s plans to extend RFID technology to more than 3,000 stores in its three largest markets in the world-North America, Europe and Asia by the end of 2021. More than 50 million Levi’s items have been affixed with RFID tags Avery Dennison as Levi’s
The RFID project provides all pre-encoded tags, starting from the production end, giving each item a unique digital identity. Through RFID technology, the inventory count time of the entire store is shortened to less than 20 minutes, so that the store can complete a complete inventory count twice a day, and the average inventory accuracy rate exceeds 98%. RFID tags shorten the inventory count to 20 minutes. RFID can help achieve sales growth twice a day. Through RFID technology, Levi’s can better sell its favorite products to its customers, thereby achieving sales. Stefan, Vice President of Global Commercial Real Estate and Partner Retail, Levi’s
Mr. Otte said in a recent interview: “Nearly 100% inventory accuracy has helped tap new sales potential. For stores that have already applied RFID, the average sales growth has reached 5%. More importantly, the implementation of RFID It can integrate more functions such as omni-channel shopping and self-service terminals.” If a product is indeed not sold in this store or is out of stock, the clerk can recommend similar styles to customers through the tablet, or transfer the goods to other stores for direct delivery To the current store or even the customer’s home. The interaction with customers can be completed through a tablet computer. There will be no future in the retail industry without RFID. Mr. Otte said: “RFID technology is becoming a standard. In the trade of goods, customers and products should be the focus. The implementation of RFID technology has promoted this. One goal is achieved. Employees will become digital shopping experts and better recommend products that they may not have the opportunity to personally touch. The retail industry without RFID will have no future.”1