US Apparel Analysis Technology Reduces Inventory Loss

"American Apparel" has used project level RFID technology, advanced video analysis scheme and operation improvement technology in ten stores in the same area, greatly reducing inventory losses and increasing output.

The company aims to use these technologies to improve conversion and labor productivity.

These shops have a large volume of traffic, while clothing apparel inventory losses are also high.

The company finds that problems arise mainly from employee productivity and inventory problems.

Today, project level RFID technology is once again popular, and in this wave, American Apparel can be described as an early adopter of this technology.

Since the beginning of RFID 4 years ago, the company has been expanding the use of RFID, expanding from 5 stores at the beginning to 150 now.

With the expansion of the scope of application, its understanding of the potential of RFID technology is increasing.

Stacey Shulman, chief technology officer, said: "our original intention is to replenishment in the sales area, which is also the main purpose of many businesses to adopt RFID technology.

The export tax rebates for the sales have given the merchants certain profits.

In addition, the sales characteristics of the international market are small, and the scale effect makes the two sides pull the price gap.

Secondly, the circulation link. Later, we turned to inventory management and accuracy, and found that this technology has brought us amazing improvements. But the industry has not had much catalyst in the near future, and the trend is mainly following the market.

In the short term, considering the factors such as valuation and recent operation, the sales volume will increase as well.

The average clothing inventory loss rate has dropped by 55%, sometimes even to 75%. "

Improved store management and operation, coupled with customer analysis technology and RFID technology, the ten stores have undergone gratifying changes in sales and operation.

"We have taken a comprehensive measure to find out the root cause of the problem. The import of leather garments in China is 320 thousand, with an export amount of US $100 million, an increase of 11.6% and 23.4% compared with the same period last year. The growth rate has dropped 94.6 and 81.4 percentage points over the same period last year. Therefore, when the problem occurs, we can trace back to its root cause and solve it effectively.

So that customers can see the slogan when they pass by, so that they can solve the problem of attracting customers to enter the shop. The number of posters in posters is increased much more than before.

The region

Reduced to 75%, becoming the best performing area in our chain store.