Enabling Retail Innovation with Global Standards

Dick NgIndustry Engagement ManagerGS1 Hong Kong

© GS1 2015

Ready for the Consumers in Future?

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Source: b-Conversational.com

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Global Standard, Local Services

GS1 Hong Kong

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GS1 Standards Overview

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MASTER DATA Global Data Synchronisation Network TRANSACTIONAL DATA eCom Event Data EPC Information Services (GDSN) (EDI) (EPCIS)

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Vision of GS1 Hong KongSmarter Business, Better Life

B2CIoTB2B

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Efficiency Visibility Trust Quality

Financial Benefits

Customer Services

Brand Loyalty

MarketOutreach

Marketing

Widely-adopted B2B platform via EDI messaging for global trading

Standard based supply chain information sharing & traceability platform

Cost effective B2B2C tool for digital marketing with 2.6M product records stored

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Solid Omni-Channel StrategyStandards Make it Possible

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Single Channel

In Store

Omni-Channel

Providing a seamless consumer experience across physical and digital channelsIn Store

Multi-Channel

By Proxy On-Line

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Four Key Omni-Channel Enablers

Web-ready Products

High quality and trusted information and images about the products and

services they sell.

Customer Big Data Analytics

Unique product code (GTIN) attributed customer information is collected,

stored and utilized to anticipate needs based on past behaviors

Inventory VisibilityAccuracy, location and inventory

management by utilization of EPC-enabled RFID to create precision in

the inventory accuracy.

Fulfillment StrategyProvide the customer with the products they desire via a consistent shopping, purchasing and fulfillment experience

Source: Are You Ready? How to Create an Always-On, Always-Open Shopping Experience, Capgemini Consulting and GS1 US

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Web Ready Product and Big Data Analytics

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Search Engines

eCommerce sites

Big Data Analytics using barcode number as the key

More Searchable ProductEmbedding GTIN in the web schema

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Omni-Channel to fulfill Consumer Demands

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Consumer Big Data analytics

Inventory Accuracy by RFID or barcode

Web Ready ProductsAccurate and efficient display of products on-line

E-Tailers

Consumers

eCommerce Platforms

Fulfillment Executions and traceability

Search Engines

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Smart Retail

Omni-channel challenges

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• Need to fulfill from anywhere and within short time • Low inventory accuracy & no visibility to inventory levels across

channels• Multiple customer touch points making it difficult to track customer

behaviors in association with products

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Smart Retail: Product Visibility

Sales Floor

RegisterReaderWindow

HandheldReader

Fitting Room

Sales FloorPortal

Front DoorPortal

SALE SALE

SALE

SALE

Receiving:Immediately Locate & Restock Fast-Moving Items

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Sales Floor:Cycle Count & Replenish Stock 2x/day

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Checkout:Automatically verify sales & trigger reorders

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Readers

Backroom POS:

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RFID Samples

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Display of different garment RFID tags with EPC seal logo printed

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RFID enables accurate inventory level

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Mobile RFID Scanning Device

Further reporting

Retail Store Scanning Warehouse Scanning

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Smart Apparel (Smart Shelf O2O inventory visibility) Cycle Count

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Backroom & sales floor inventory stock take

Inventory visibility for O2O1. RFID scanner to scan items in the backroom & sales floor2. Update inventory captured for different stores 3. Update store inventory record for stores with items reserved for O2O fulfillment Stores Style no / GTIN Color Size In story inventory QTY QTY reserved for

online shopTotal

Wan chai

48916682345678 Pink S 58 6 64

48916689845678 Pink M 30 0 3

48916689845677 Pink L 23 2 25

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BenefitsThe use of EPC/RFID at Item-Level is the key enabler for boosting Inventory Accuracy from 63% to 98+ %

Once installed, a retailer can benefit from a lot more …

Process Logistics Store Time Saving

Goods In & Out Quantity Check x x up to 100%Applying EAS hard-tag (absence of…) x x 100 %Picking control x up to 100%Stock Take, Cycle Count x x 80-95%In-store Replenishment x 50%Cutting out-of-stocks (OOS) x x 50%Product Location x x 20%Check-Out process x 60%

Source : University of Arkansas - An Empirical Study of Potential Uses of RFID in the Apparel Retail Supply Chain

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Smart Apparel – RFID Capturing Consumer Behaviors for AnalyticsSmart Fashion Store

WindbreakerColor : orangeSize: M QTY : 1

Lady JeanColor : BlueSize: 26 QTY : 1

SkirtColor : PinkSize: M QTY : 1

BlouseColor : WhiteSize: M QTY : 1

When all tagged items are hanged on the hanger or placed on the shelf, display product information Product info Product info Product info

When the item is taken out / sold, the system detected and trigger a flashing alert to inform sales person to refill

© GS1 2015

Smart Apparel – RFID Capturing Consumer Behaviors for Analytics

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Consumer take clothes from the RFID senor hanger for trial while reader automatically sense the taken away items and send to the dashboard

RFID smart shelf hanger (with RFID

sensor)

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What’s more ?Enabling Consumer Journey & Analytics

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While it also facilitates in-store customer behavior & actions information capture

RFID device read & display product & cross selling information

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Enable Consumer Big Data Analytics by RFID

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Big Data Making Big Business

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Challenges

• Tedious and time consuming jewelry stock taking routine distracts sales staffs from performing sale duties and providing customer service

• Difficult to track substantial products flow in the sales floor

• Difficult to capture data on customers’ preference and shopping behavior during the sales process.

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The Solution: RFID Tray

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Collect information of

EPC/RFID tagged items

Display product information

Capture customer information

Capture data : items displayed, customer behavior, occasions, demographics etc

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RFID Tagging on the jewelry items

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Jewels with RFID tag

Smart Tray (Reader)

Item 2Grade: xxxSize: xxxWeight: xxxPrice: $$$$$More…

Item 5Grade: xxxSize: xxxWeight: xxxPrice: $$$No. of views: xxMore…

Gender Occasions

Suggested items:Salesperson displays the jewels on Smart Tray to retrieve the product data, and enter the consumer data for analytics. Alter will be trigged if the tagged item leave the tray for certain period of time

F/M Birthday Anniversary

etc

Alert

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Salesman screen

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Executive Dashboard

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Jewels with RFID tag

Consumer Analytics

No. of views Sales of the month

Popular items:

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Dashboards on screen

Reports to show different analytics report with advice

Sales person performance

Occasions

Birthday

Wedding

Anniversary

Celebrations3

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Benefits• Reducing stock taking time &

longer business hours

• Support new product development & better business decisions by understanding the customers

• Enhancing corporate image as a forerunner and industry leader in innovative technology

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Assuring Genuine Pearl with anUnique Identifier

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Can you tell which one is Genuine A Grade South Sea Pearl ?

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A BIn terms of : luster / color / size / shape / spot

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World’s first EPC enabled RFID embedded pearl nucleus supported by EPCIS infrastructure

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What• Unique ID• Size • Type • etc

When• Planted• Harvested• Certified • Auctioned • Produced • Sold • etc Where

• Cultivated • Auctioned • Certification agent• Retail • etc

Why• Encoding • Plantation • Harvest• Certification • Production • Retail • Etc

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Transforming the Pearl Value Chain

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GS1 Hong Kong

18-12-2014

17-04-2015

10-07-2015

ezTRACK Interface

Retailers / resellers validate the authenticity of the pearl necklace with RFID reader & show unique ID / EPC

Scan to capture the nurturing pearls to keep track of the progress (pedigree) & show in ezTRACK ON SCREEN(from commissioning to plantation, harvesting …. Retail)

Creating Brand Loyalty by Origin to Consumer Hands

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GS1 Hong Kong

Certificate no.

Certificate

Pearl Reader

PID: Size:Weight:Manufactured date:Grade:Manufacturer:Origin:Certificate no:

GS1-1234567

AAA Grade Pearl

12.50x12.51mm4.5gsm

23-11-2014

GS1 Hong KongAustralia

7554332

One Natural South Sea Pearl

MENUSTOP

Mobile InterfaceCustomer scan the QR code on the necklace to retrieve product info & certificate (detail to be validate by David)

Creating Brand Loyalty by Origin to Consumer Hands

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Fukui to advise data fields and

presentation

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Creating Brand Loyalty by Bringing Origin to Consumer Hands

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Creating Brand Loyalty by Origin to Consumer Hands

Pearl nucleus factory

Pearl farm

Pearl dealers

Certification agent

Jewelry store Consumer

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Benefits

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Provide provenance of each pearl

Treat & sell each pearl as a unique entity

Raise confidence level with trusted information

Protect customers from buying counterfeited pearl

© GS1 Hong Kong 2015

For more information, contact:Dick Ng, Industry Engagement ManagerGS1 Hong Kong<dickng@gs1hk.org>

Please visit www.GS1hk.org