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Untuckit is Tapping RFID to Realize Perfectly Optimized Inventory

If only the digitally fit will survive retail’s metamorphosis, Untuckit appears poised for a long life.

The brand built on making men’s shirts that are just short enough to look good untucked, is using RFID technology in its products to curate its merchandise mix, which in turn, should boost sales.

Untuckit has partnered with SATO Global Solutions, a leader in auto-ID solutions, on a pilot that will incorporate RFID chips into men’s shirts and use the data gleaned to determine the optimal merchandising mix.

The brand is piloting the technology at its recently opened store on New York’s Fifth Avenue, where the micro RFID tags are placed on a set of “try-on” shirts that will collect real-time data on merchandise movement between the store floor and the fitting room and back. That data, plus data from RetailNext’s overhead traffic counters and insight from point of sale, is helping sales managers identify which exact sizes and styles are being tried on and bought.

That means store associates know which shirts are bestsellers and can assure they’re adequately stocked, plus it gives them insight into which shirts have low demand and could stand to see their inventory volumes reduced—which could ultimately reduce inventory costs and improve sales on more popular items.

“Having visibility into shopper behavior is just one way we create a better experience in our physical stores. It allows us to meet expectations and retain customer loyalty,” said Chris Riccobono, Untuckit founder and executive chairman. “Moving from e-tail to multi-channel has its challenges, but we’ve found that our online experience helps us apply digital strategies to our physical stores and reimagine retail in a way that other traditional retailers are not yet even considering.”

[Read more about Untuckit: Next Step for Sourcing? Go Where No Supply Chain Has Gone Before]

It’s having insight into things like how shoppers are moving around the store, when they’re interacting with store associates (and how often), and how that impacts the shoppers’ behavior, that’s helping Untuckit bridge the gap that has consistently made online shopping more convenient to shoppers than buying at brick-and-mortar locations. It’s the kind of thing that will likely set the brands that will survive apart from those that won’t.

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“We have the ability to ‘upgrade’ the physical store in a way that captures the same kind of data we get during online interactions,” said Keith Sherry, COO of SATO Global Solutions. “Retailers looking to compete in brick-and-mortar have more tools than ever to understand shopper behavior. The key is then applying these insights to align the customer experience with expectations across all channels.”