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RFID in fashion: Why customer experience begins with employee effectiveness and engagement

Retail technology transforms the customer shopping experience, blurring the lines between the digital and physical worlds.

As retail customers are becoming better informed and have increased their expectations of service levels and on-demand shopping, brands must differentiate themselves to drive consumer loyalty. That means creating experiences that go above and beyond what is expected in customer service and ease of shopping. That initially starts with implementing Radio Frequency Identification (RFID) technology.

With the customer experience at the forefront of most retailers’ minds, many have adopted specific strategic practices to better support their customers’ overall retail experience. Since introducing RFID into the retail industry, the visible benefits have been apparent as the technology has been leveraged to more consistently delivering improved omnichannel and in-store experiences for customers.

Employee experience and engagement spurs growth

The employment of a structured corporate culture plays an integral role in assuring that employees feel the company’s values mirror their individual ones, thus increasing authenticity and overall employee effectiveness. Positive employee experiences are how companies create, develop, and nurture n employee-centric culture. In a competitive job market, employees search for the workplace culture and the employee experience that individually suits them.  The positive engagement of employees directly translates to high levels of customer satisfaction as employees interact with customers in a positive manner while serving as ambassadors of the company brand.  Simply put, engaged employees drive higher levels of customer service which leads to increased sales.

Companies with a motivated, engaged workforce report experiencing a 19.2% percent growth in operating income annually. Mentoring, implementing comprehensive training programs, and investing in developing employees’ expertise and skills can be attributed to spurring substantial company growth. This has been well documented, showing that companies who directly invest in employee development see a higher income per employee of 218%.

The customer experience and employee effectiveness connection

Customer experience is a direct result of employee effectiveness. Research shows that companies with highly engaged employees outperform their competitors by 147%. In addition to this, research shows that companies that excel at customer experience have 1.5 times more engaged employees than those with a record of poor customer experience. The positive correlational study between customer experience and employee effectiveness is irrefutable. The customer experience can be viewed as the new marketing battlefront. From the relevant statistics linking employee effectiveness with customer experience, almost 90% percent of companies compete primarily on a customer experience basis.

The substantial influence of RFID

RFID has the ability to substantially influence the efficiency and effectiveness of each stage of the supply chain, production, and manufacturing processes. One of the most impactful operational advantages of RFID implementation is that it reduces the time employees spend taking inventory and managing stock, while ultimately increasing inventory accuracy by up to 99%. The labor effort and employee focus can then shift from inventory-related operational tasks to driving improved customer service levels that increase sales and create lasting customer connections.

Modern customers demand frictionless experiences online and in-store. Both a lack of stock and poor inventory management can be pivotal challenges, which can have a serious negative impact on customers’ overall experiences and the likelihood of making repeat purchases. The use of item-level RFID technology can remove this challenge and create a smooth transition through the supply chain, dramatically increasing customer satisfaction and experience. The deployment of RFID technology in fashion based on the flow of stock, finished goods, stock level, and time-efficiency improves outcomes of operational effectiveness.  This directly impacts employee productivity and enhances customer experience, which lowers costs and increases sales for fashion retailers.

To find out more on how RFID solutions can enhance employee operations and deliver excellent customer experiences, contact