Consumers Welcome RFID Benefits
NRF/Capgemini Study Finds Education and Choice are Keys to Deployment.
21 June 2004
Washington, DC, June 21, 2004 – Retail customers appear open to the use of Radio Frequency Identification (RFID) as long as they are aware of it, according to a study reissued today before an RFID Workshop hosted by the Federal Trade Commission (FTC). Conducted for the National Retail Federation by Capgemini, RFID and Consumers: Understanding Their Mindset takes an in-depth look at consumers’ attitudes concerning the development and implementation of RFID.
According to the study, consumer awareness of RFID is low at this time, with 77 percent saying they are not familiar with the technology. Among those who have heard of it, their perceptions are mixed, with most viewing RFID favorably (42%) or having no opinion (31%).
“The study clearly speaks to the need for consumer education,” said Brad Callahan, Vice President and Leader of Capgemini’s North American Consumer Products, Retail and Distribution practice. “To fully realize the benefits and potential of RFID, companies must gain the trust of the consumer before RFID tags appear in their shopping carts.”
RFID technology provides a variety of possible benefits to consumers. The potential benefits that were most important to those surveyed include: Faster recovery of stolen items (71%), consumer savings stemming from reduced operating costs (66%), improved security of prescription drugs (65%), faster/more reliable product recalls (62%) and improved food safety/quality (62%).
“RFID is a valuable technology that will provide unparalleled benefits for retailers and consumers,” said NRF Chief Information Officer David Hogan. “As RFID technology continues to develop, it will be implemented in a way that will not jeopardize the trust retailers share with their customers. When retailers are finally ready to rollout RFID at the item level, their customers will be in the driver’s seat.”
Capgemini, one of the world’s foremost providers of Consulting, Technology and Outsourcing services, has a unique way of working with its clients, which it calls the Collaborative Business Experience. Through commitment to mutual success and the achievement of tangible value, the company helps businesses implement growth strategies, leverage technology, and thrive through the power of collaboration. Capgemini employs approximately 55,000 people worldwide and reported 2003 global revenues of 5.7 billion euros. More information about individual service lines, offices and research is available at www.capgemini.com
The National Retail Federation is the world’s largest retail trade association, with membership that comprises all retail formats and channels of distribution including department, specialty, discount, catalog, Internet and independent stores as well as the industry’s key trading partners of retail goods and services. NRF represents an industry with more than 1.4 million U.S. retail establishments, more than 23 million employees - about one in five American workers - and 2003 sales of $3.8 trillion. As the industry umbrella group, NRF also represents more than 100 state, national and international retail associations. www.nrf.com.
