Just walk out: Streamlining autonomous checkout for retail with RFID (BIZ226)

Amazon's Just Walkout System and Streamlining Autonomous Checkout with RFID

Value Drivers of Just Walkout

  1. Revenue Generation:

    • Increase store throughput and get more people into the store
    • Increase basket size through efficient shopping and checkout
  2. Expanded Hours of Operation:

    • Operate stores in partially or fully unattended mode with fewer attendees
  3. Enhanced Shopper Experience:

    • Provide a differentiated, frictionless checkout experience
  4. Reduced Theft and Loss:

    • Leverage technology to monitor transactions and minimize shrinkage
  5. Improved Labor Efficiency:

    • Run stores with fewer people, allowing associates to focus on customer service
    • Enable faster inventory stock-taking with RFID

Just Walkout Technology

  1. Computer Vision-Based Approach:

    • Entry and exit gates with authentication mechanisms
    • Ceiling-mounted custom cameras and edge computing
    • Tracking algorithms and sensor fusion for product detection
  2. RFID-Based Approach:

    • All technology installed at the exit gates
    • Leveraging RFID tags and antennas for efficient product detection
    • Applying machine learning algorithms to RFID signal processing

Challenges in Apparel Retail

  1. Long Lines and Checkout Abandonment:

    • 73% of consumers find long checkout lines frustrating, and 75% have left a line in the past 12 months
  2. Staffing Challenges:

    • Difficulty in maintaining adequate staffing, especially during peak periods
    • Increasing labor costs
  3. Inventory Visibility and Accuracy:

    • Manual inventory counting is only 95% efficient
    • Time-consuming cycle counts

RFID Technology Overview

  1. Radio Frequency Spectrum and Applications:

    • RFID typically operates in the 400 MHz to 2.4 GHz range
    • Passive and active RFID tags, with 900 MHz tags widely adopted in retail
  2. RFID Tag Features:

    • Coil-based design with bidirectional communication
    • Range of a few inches to 100 feet

RFID-Based Just Walkout Solution

  1. First-Generation RFID Checkout:

    • All technology installed at the exit gates
    • Multiple antennas to ensure reliable tag reading
  2. Second-Generation RFID Lanes:

    • Improved mobility and flexibility
    • Seamless integration with payment systems and loyalty programs
    • Accurate inventory counting and loss prevention

Key Benefits of RFID-Based Just Walkout

  1. Increased Store Throughput:

    • 2-3 times faster checkout, around 15 seconds on average
  2. Expanded Hours of Operation:

    • Ability to run stores with fewer associates, even in unattended mode
  3. Enhanced Shopper Experience:

    • Eliminated checkout lines, improved visibility, and seamless integration
  4. Reduced Shrinkage:

    • Accurate inventory tracking and loss prevention
  5. Improved Labor Efficiency:

    • 40-60% reduction in labor to operate a store
    • 96% reduction in labor for cycle counting

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