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How RFID Electronic Tags Manage Cosmetics Inventory

How RFID Electronic Tags Manage Cosmetics Inventory

July 6,2022

In the past ten years, my country's e-commerce has developed rapidly, and the cosmetics industry has achieved explosive growth, breaking the traditional sales barriers and realizing simultaneous online and offline sales of cosmetics.
Many beauty products are liquid, or use metal materials for packaging decoration, which will cause difficulties in reading UHF RFID tags, and it is necessary to control the position of each RFID electronic tag. RFID electronic tags are different from QR codes. UHF RFID tags do not need to be scanned one-to-one, and tens of thousands of items in a beauty store can be "read" all.


RFID Inventory Management Cosmetics Inventory Management Problem Analysis

1. There are many types of cosmetics, and the records of batch numbers, dates, specifications, etc. of the goods are easily confused.

2. The degree of informatization is lagging behind. Most small and medium-sized cosmetics production enterprises are still in the artificial stage of warehouse management, which is inefficient and prone to errors.

3. It is difficult to control inventory. Cosmetics are affected by factors such as seasons, publicity, trends, brands, etc., and lagging inventory information is often more likely to make enterprises more affected by the above factors.

4. Due to the lack of management knowledge of managers, the traditional warehouse management method that relies on manual records cannot be adapted.

In addition, beauty retailers typically maintain high inventories, but a large number of slow-moving items are returned to brands. RFID can improve the accuracy and visibility of inventory management and improve the efficiency of the beauty supply chain. In addition, there is a large number of counterfeit products and a gray market in the beauty market. RFID tags can mark products at the source of supply, protect the brand, avoid product flow to unauthorized sales channels and provide anti-counterfeiting certification of individual products.

1 Effective anti-counterfeiting traceability
There are many types of beauty products, diverse consumer groups and a wide range of sales areas. Therefore, when facing end consumers, anti-counterfeiting measures that are not easy to imitate but are easier to identify are required. This can not only effectively curb the production and sale of counterfeit goods, but also help consumers to simplify Intuitively distinguish authenticity.


2 Reduce the phenomenon of cross-selling
Each product is given a unique RFID tag, which is equivalent to attaching a unique "ID card" to each product, which can easily know the flow of goods.

3 The adoption of RFID technology improves the inventory accuracy of the individual commodity level, reduces property losses, and ensures the interaction between brands and consumers. RFID efficiently and accurately manages complex stock keeping units and color sorting, minimizing losses. RFID electronic tags provide excellent readability for small size, liquid products or metal packaging. RFID electronic tags tested in practical applications can increase inventory accuracy from 30-70% to 99.8%. Achieve inventory accuracy and transparency to help improve sales performance in omnichannel retail.

4 The beauty industry needs to use RFID technology to achieve inventory accuracy. Due to the characteristics of the beauty industry, including a wide range of product categories and refined color classification, an open shopping environment is generally used. Physical stores are interconnected with e-commerce platforms, so inventory management will be very important. Generally, ultra-high frequency RFID electronic tags are attached to the large packaging boxes of the whole box, which can realize the accurate management of products in and out of the warehouse, easily face various product inventory problems in the warehouse, and greatly improve the efficiency of management.

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