Dive Brief:
- JD Sports is using a real-time inventory visibility solution for its omnichannel retail operations, helping it achieve 98% on-shelf availability and 20% faster replenishment, according to a Nov. 4 press release.
- The retailer piloted Zebra’s mobile computers with radio-frequency identification technology across five stores to help read tags faster and at greater range, per the release.
- Per the release, the first store went live in 76 days with a then rollout of about 26 additional stores per week. The rollout reached 414 locations across the UK and Ireland in about three months.
Dive Insight:
JD Sport’s is one of many retailers leveraging technology to rethink its inventory approach. The sportswear retailer, which sells brands including Nike, Adidas and New Balance, operates 5,000 stores across 46 countries. As the retailer continued to scale its network, inventory visibility in its stores was challenging.
In order for the retailer to offer one-hour click-and-collect or 30-minute delivery, the stock count needs to be accurate, per the press release.
“An associate simply clips the RFID sled onto the mobile computer they already use for daily tasks and walks the floor and stockroom, sweeping rails and shelves as the reader logs every tagged item in range and builds a live count on screen. In some cases, a whole store can be covered in a single pass,” per the release.
JD Sport’s associates can now move over 95% of inventory from the storeroom to the shop floor, per the release, which means it takes them less time to count stock. The new inventory process can be ran twice a week or daily, which allows shelves and inventory management systems to be in sync.
“The same visibility is also helping JD Sports proactively tackle loss, as teams can identify and investigate issues much sooner. They can see where loss is happening rather than waiting for a 90- or 180-day audit,” according to the release.
JD Sports worked with Zebra partner and technology solutions company Renovotec to lead the device deployment. The retailer also partnered with Zebra-registered software vendor Checkpoint Systems to help give a single view of inventory data, per the release.
Other companies such as Walmart and Kroger are also leveraging RFID technology to improve their inventory management. Walmart aims to reduce food waste and ensure product freshness, while Kroger wants to improve on-shelf availability and boost sales.
