More than retail security • 29.10.2018

RFID tags with features for the cashierless store

Customers can unlock products on their own thanks to smart tags

China and the U.S. already feature cashierless stores but things are coming along in Europe, too. Several startup companies want to eliminate long checkout lines and advertise better retail security tags. We took a closer look at these "smart" security solutions.

Startups like rapitag and MishiPay want to revolutionize the retail shopping experience from the ground up. Thanks to smart tags, they not only aim to eliminate cash registers as we know them but also plan to enhance retail security. All companies pursue a similar strategy and focus on smartphones and stable internet connections.

unlocking product with smartphone
Attention spider: the Saturn Smartpay application by rapitag
Source: Saturn

Unlock and pay via app

Cashierless checkouts are not a new concept. Both Amazon and Alibaba already feature stores without cashiers. One problem here is dealing with the complexity of setting up an IT infrastructure and the drawback of only being able to pay with your smartphone. The products of the startup companies offer an intermediate step. They have taken the old retail security tag technology to task and revolutionized it. Thanks to the new hard tags, items can now be unlocked with a mobile app right at the shelf and taken home. This eases the workload for cashiers. In the best case scenario, employees can then use the freed-up time to provide in-store customer service for example.

Customer can check the inventory

Taking inventory is one of the more cumbersome tasks for retailers. They typically have to designate employees or hire external service providers to perform inventory counts. Automated inventory management via RFID chip is a popular method.

What’s more, the new companies have a secret advantage courtesy of RFID technology. The apps of the respective retailers allow customers to scan an item and check whether it is available in a different color or size. Customers can also use the app and have the item directly delivered to their home if the product is not available in store. To take advantage of the new tag features, retailers must operate an online store. Otherwise, it is not possible to implement this business concept.

Hands holding Smartphone and product
Unlocking via QR code and barcode: the MishiPay application at Saturn Express
Source: Saturn

Connecting offline and online

App users can use different payment methods like PayPal or ApplePay. So far, this was only an option in e-commerce, while offline retail had to take a back seat. Thanks to this connection, data can now be collected in the same way it is collected in online retail. This enables retailers to send targeted advertising and coupons even while the customer is still inside the store. If a customer scans the same item three times but chooses not to buy it, he or she can be swayed to complete the purchase with the right coupon before he/she leaves the store.

MediaMarktSaturn Retail Group has first-mover advantage in Germany

The consumer electronics retailer has jumped on the cashierless store bandwagon and has launched two pilot projects. The retailer has snatched up MishiPay and rapitag and made them a part of its in-house accelerator program. Saturn uses this program to support selected startups in new technology development. In collaboration with MishiPay, a pop-up store was opened in May in the Austrian state of Tyrol. By scanning the barcode, customers were able to buy products and subsequently deactivate the RFID chip. Once the anti-theft protection was deactivated, customers could then take their purchases and leave the store without the need to pay at a checkout. According to Saturn, the project was a big success. The security device primarily makes sense for less expensive products that are not sold in larger quantities.

Together with rapitag, Saturn has been testing "Saturn Smartpay" in Ingolstadt since September. Unlike in the case of MishiPay, a Bluetooth connection with a label called "Spider" is created in this scenario. It is designed to ensure that a packet cannot be opened. Once customers have paid via PayPal or credit card, the spider wrap opens as if by magic. The spider can then be reused again. The system is said to have paid off by protecting more expensive items.

Beratung Mitarbeiter und Kundin im Saturn-Store
Source: Saturn

Not brand-new – but more secure

These methods are designed to ensure the highest level of retail security since merchandise can only be opened by using an app. Every tag opening is stored in the system. This means retailers can identify who removed a tag, in addition to the time and place. This should make inventory discrepancies a thing of the past. The rapitag solution sends a unique identifier code to the security tag via Bluetooth after payment. The idea is to prevent manipulation of the payment process and thwart the product from being unlocked.

Improving the shopping experience

Companies like rapitag and MishiPay prove that Europe can keep up with the competition when it comes to cashierless payments. Most notably, the fashion industry and the consumer electronics retail sector can benefit from this facet. We will see more and more companies in the future emphasizing cashierless checkout systems to make the shopping experience better for their customers.

Author: Maxim Abramov, iXtenso - Magazine for Retailers

related articles:

popular articles:

Thumbnail-Photo: Improving performance with video training
19.06.2019   #personnel management #video

Improving performance with video training

Video tutorials for inventory management or customer service excellence

Smart Retail Solutions (SRS) has announced their ProfitTrax Platform is now including Best Practice Video Training in its Advanced Analytics Suite. Their team has successfully implemented the update because they believe the key to profit improvement ...

Thumbnail-Photo: Why digital signage pays off big!
03.06.2019   #digital signage #customer relationship management

Why digital signage pays off big!

The right content can increase sales and customer loyalty

The strategic use of digital signage can unquestionably lead to increased sales, a boosted impact of the sales floor, a new shopping experience, and a stronger brand image. However, emphasis is too often placed merely on technical innovations that ...

Thumbnail-Photo: Retailers growing produce in automated farms...
10.06.2019   #food technology #food retail

Retailers growing produce in automated farms

A plug-and-play method to grow clean, healthy food

GP Solutions, a developer of modular, automated micro-farms, announced it is developing systems for major retailers.Throughout the world, companies are embracing the concept of growing clean food onsite in easy-to-operate, automated growing pods. ...

Thumbnail-Photo: U.S. merchants lack critical tools to fuel global expansion...
10.07.2019   #online trading #e-commerce

U.S. merchants lack critical tools to fuel global expansion

Top challenges: payment localization, compliance, and cybersecurity

Rapyd, a FinTech-as-a-Service provider, today announced the results of its inaugural ‘2019 State of Cross-Border eCommerce: U.S. Merchant Outlook’, which found that most U.S. business units (91 percent) prioritize cross-border sales as a ...

Thumbnail-Photo: 5 tips for retailers to protect their online customers...
12.07.2019   #security management #sales promotion

5 tips for retailers to protect their online customers

Amazon Prime Days inspire cybercriminals to shop for victims

Amazon Prime Days is a summer rerun of Black Friday, Cyber Monday, and Christmas shopping – significant price reductions together with a concurrent increase of threat actor activity in the deep and dark web. Looking back, the December 2018 ...

Thumbnail-Photo: 45th anniversary of the barcode in retail
01.07.2019   #barcode scanner #qr code

45th anniversary of the barcode in retail

GS1 US celebrates the barcode’s relevance as the backbone of commerce

GS1 US®, the information standards organization best known as the administrator of UPC barcodes, this week celebrates 45 years since the debut and first scan of the iconic barcode. On June 26, 1974, a pack of Wrigley's chewing gum carrying a ...

Thumbnail-Photo: Tackling organized retail crime with video analytics...
26.06.2019   #video surveillance #digital video surveillance

Tackling organized retail crime with video analytics

Inpixon joins forces with National Anti-Organized Retail Crime Association

Inpixon, an indoor positioning and data analytics company, announced it is collaborating with the National Anti-Organized Retail Crime Association (NAORCA Worldwide) to combat retail crime by providing a free 90-day trial offer for IPA Video™ ...

Thumbnail-Photo: Frictionless checkout across all channels to build loyalty...
04.07.2019   #mobile payment #customer satisfaction

Frictionless checkout across all channels to build loyalty

H&M and Klarna elevate the shopping experience for US consumers

H&M and Klarna announced that they have expanded their current partnership agreement to also include the US market, in the development of an unrivalled payments and shopping experience across touchpoints. Together, H&M and Klarna are aiming ...

Thumbnail-Photo: Internal communication via app at Modehaus Ramelow...
03.06.2019   #personnel management #app

Internal communication via app at Modehaus Ramelow

Mobile chat works as a bulletin board

What's new at Modehaus Ramelow? The fashion retailer’s employees can check PIA - and share information to their heart’s content. PIA is an app for "private information exchange".More and more internal communication ...

Thumbnail-Photo: Denmarks largest garden center chain is chasing a green profile...
26.06.2019   #sustainability #electronic shelf labels (ESL)

Denmark's largest garden center chain is chasing a green profile

Electronic shelf labels for paper reduction

Plantorama introduces electronic shelf labels in all stores, which significantly reduces the chain's paper consumption. The project will strengthen the chain's green profile and will have a positive influence on the customer experience and ...

Supplier

Delfi Technologies GmbH
Delfi Technologies GmbH
Landgraben 75
24232 Schönkirchen
LANCOM Systems GmbH
LANCOM Systems GmbH
Adenauerstraße 20 / B2
52146 Würselen
APG Cash Drawer
APG Cash Drawer
4 The Drove
BN9 0LA Newhaven
ROQQIO Commerce Solutions GmbH
ROQQIO Commerce Solutions GmbH
Harburger Schloßstraße 28
21079 Hamburg