Macy's to Fast Track RFID Technology

CINCINNATI-Macy's, Inc. will accelerate its adoption of radio frequency identification technology in its Macy's and Bloomingdale's stores in an effort to more precisely manage item-level merchandise

inventories, the company said.

By the third quarter of 2012, the company said it expects to begin using RFID in all stores nationwide to count size-intensive "replenishment goods" - those items regularly stocked and automatically

resupplied as they are sold to customers. This represents about 30 percent of the company's sales. Categories included in the initial launch are men's furnishings, intimate apparel, men's slacks, denim and women's shoes. Macy's and Bloomingdale's private brands are included in the initiative.

Use of RFID to precisely track replenishment goods on-hand by size, color and style is expected to be completed by fall of 2013 in all stores.

"To Macy's and Bloomingdale's, RFID is a tool to better serve customers and drive sales by ensuring we have the right product in the right place at the right time for our in-store and omnichannel shoppers," said Tom Cole, chief administrative officer of Macy's, Inc. "RFID will allow us to more frequently count item-level inventory with precision so our inventory is readily accessible to our customers. This is technology that has proven effective in our testing, and we believe now is the right time to roll out RFID aggressively."

Macy's said its merchandise vendors are a "significant partner" in the adoption of RFID. "Our vendors are joining with us to adopt this technology, knowing the more precise inventory counts through RFID will reduce stock-outs and drive incremental sales opportunities," Cole said. "This is one of those genuine win-win-win situations in which customers, vendors and our company all benefit."

HFN Staff | News & Commentary

HFN provides detailed information on the key home classifications: Housewares, Tabletop, Floor Covering & Rugs, Furniture, Home Textiles, Lighting, Home Decor, Mattresses & Bedding, Gifts, Major Appliances and Consumer Electronics as well as Business, Finance and Retail.


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