RespectRFID Retailer FAQ
Costs
Cost to attach a tag in the store
Attach tag with package sense loops: 20 seconds of a $12/hour employee = 7 cents.
Attach tag simple or dummy tag: 10 seconds = approx 4 cents
Can we lower cost by using some dummy tags?
Yes, can lower cost by use of dummy RespectRFID tags by 30% to
60%. Since thieves will not be able to detect which tags are dummies, all tags
items will have equal antitheft protection. Of course items with dummy tags
will not participate in the continuous inventory monitoring.
Can it significantly reduce staff costs?
The Cyber Clerk service is a
RespectRFID future option which, while significantly decreasing number of clerks
on the floor will significantly increase customer satisfaction. Customers would
access virtual clerks who are experts on the merchandise or clerks who are
fluent in the customer’s language. The cyber clerk would be anywhere in the
world while conversing with the customer. The Cyber Clerk’s computer display
would show where in the store the customer was, where the merchandise was at
that instant, and a complete description of the merchandise – including sales &
return history, package text and graphics, user’s manual (typically inside of
the package) and information from web sites.
Why do location-aware RFID tags currently cost $40?
Current location-ware RFID tags take approximately 30,000
times as much power consumption, so require significant batteries. Those tags
also need significant area to dissipate that the higher power consumed.
Can I lease this system and get a tax break?
You should consider leasing the entire RespectRFID system.
Leasing would allow expensing RespectRFID as a service. This would be somewhat
similar to using a security service.
Standards
Can any RFID standard be used for retail?
There are over 100 RFID standards in use around the world.
There are several conflicting standards in different parts of the world for
retail. However, it is technically impossible for any of these standards
achieve even a portion of the benefits of RespectRFID. The current standards
have too short of reading range, are easily foiled, and are unable to provide
continuous inventory awareness. Also, there is no RFID international standard for retail.
Use in foreign countries
RespectRFID uses the only frequency which can be legally used
without license in virtually all countries around the world. This Industrial
Scientific and Medical frequency band (ISM) was established decades ago for
microwave ovens. Some wireless phones and WiFi now also use the ISM band.
Other RFID frequencies
Privacy
Does RespectRFID respect the customer’s
privacy?
Tag will be on the packaging, not the product (although this
reduces its benefits if item has to be returned, as the packaging will often
have been thrown away). There would be no RFID record of who had purchased an
item. All data is kept on database outside of the tag (in store)
Killable tags – a Utah law as of 3/04
RespectRFID tags can be designed to be killed immediately
after sale. A killed tag would never again respond. Being able to kill an RFID
tag appears to satisfy virtually all privacy concerns.
Barcodes, and EAS
Will barcodes continue to be used?
We anticipate that RespectRFID will be used in conjunction with barcodes, for 10 to 20 years.
Will RespectRFID provide better theft protection than EAS
Electronic Article Surveilance tags only deter the amateur
shoplifter. Employees and customers have become accustomed during the past
decades to the 90+% false alarm rate due to clerks failing to disable the EAS
tags. However, items protected by RespectRFID tags will be virtually impossible
to steal: by shoplifters, employees, and boosters. Also, since no clerk action
is needed to disable the RespectRFID tags and there will be no audible alarm,
the false alarms will be a thing of the past.
Theft
Why are you so confident that it can stop virtually all theft, shoplifting,
and boosting?
Other
Is there any way to prevent false alarms?
We do not anticipate any silent false alarms with RespectRFID
and it will not have any audible alarm. For normal purchases and for self
checkout no human action is required, as the RespectRFIDs do not have to be
disabled as EAS and other RFIDS do.
Why are metal and liquids not a problem as they are with other RFID?
A Respect tag adjusts its transmission capability when near
metal, liquids
Will the system be reliable?
System will be designed to keep on working despite failing
computers, cameras, readers, cash registers, and communications. It will be as
fault tolerant as a Boeing jet (the designer’s previous employer) or the
telephone system. Costs will be minimized by using products developed for web
serving and WiFi communications.
Which products should be tagged?
Should initially tag “high shrinkage” merchandise:
concealable, removable, available, valuable, enjoyable, or disposable.
Long-term support
RespectRFID is expected to be owned by a large company with
extensive experience with support internationally
How does the RespectRFID system integrate with my existing software?
Smart agent software will virtually eliminate changes needed
to a store’s legacy computer system.
What is the cost of re-training
It does not appear that clerks will need to be trained to use
RespectRFID – no clerk action is required.
What does the store have to buy for this system?
We anticipate that the RespectRFID provider will have a lease options.
Will this result in excessive data transfer between stores?
Your IT department does not have to worry about being able to
transfer large amounts of data to and from each store as with other RFID
systems. RespectRFID keeps the detail information local and summarizes
information for other locations as well as allows distributed database queries.
What benefits would RespectRFID add to pallet-level RFID ?
Continuous inventory of items in warehouse as well as store
Locate items in warehouse – if have sensor array
Theft protection
When should I try RFID
Probably wait until there are considerably fewer standards –
123 RFID standards as of 2002, with no international standard for retail RFID,
not even an agreed upon frequency
Wait until mandated (Wal Mart, DoD, Drugs, etc.) or until ROI
says go
Consider having a leased system – tax advantages, changing
technology
What benefits do I miss out on if I do not have Respect cameras?
Battery life
1 year for retail, must larger battery ( weigh 1 gram) for
library operation (20 year)
Why is a $1 tag possible? Tags for other location systems cost $40 and up.
Does this design assume any break-thru technologies
No break-thrus needed for this design.
In 5 years we anticipate plastic electronics to further reduce the cost of the
tag
Can the battery be recharged?
No – throw away the tag when the battery is used up
What if my stores do not have aisles?