RFID technology, which stands for Radio Frequency Identification, has seen an increased adoption in those markets, with retail leading the way. RFID uses radio waves to wirelessly identify objects by accurate reading of multiple tags simultaneously, eliminating the need for line-of-sight scanning, contrary to the barcode or QR code technology.
Two RFID technologies are used for different objectives based on the operating frequency.
RAIN RFID technology operates in Ultra High Frequency (UHF) at 860-960 MHz and allows for longer read ranges using printers or readers. RAIN RFID technology excels in supply chain management due to its long-read range using UHF frequencies. This enables accurate stock tracking, agile supply chain operations, and error prevention through automation. The market figures confirm that:
- RAIN RFID experienced 32% annual growth from 2022 to 2023, with a total of 44.7 billion tags shipped in 2023.
- More RAIN RFID references can be found on the RAIN Alliance website: www.rainrfid.org
However, dedicated readers limit RAIN RFID use in direct customer interactions.
NFC technology, operating in the High Frequency (HF) range at 13.56 MHz, leverages the ubiquity of smartphones for a shorter but highly accessible read range. This makes it ideal for B2C applications and allows for a shorter reading range, typically just a few centimeters, with high accessibility through smartphones. This makes it ideal for customer (or patient)-centric services, maintaining a direct dialogue between customers and brands, or patients to for their remote therapies.
RAIN RFID-based labels register B2B product interactions. NFC-based labels register customer engagement with products. However, there is no correlation between RAIN and NFC-registered product interactions, resulting in a gap between product traceability and product customer engagement. This is where the holistic product view breaks. As the date and place of product purchase are not associated with NFC “taps,” the brands cannot easily identify in their supply chain the specific product that sparked the customer’s interest.