DUESSELDORF, Germany and ATLANTA — METRO Group has installed a self-checkout from NCR Corporation (NYSE: NCR) that reads radio frequency identification (RFID) tags, as well as bar codes, in the newly opened METRO Group RFID Innovation Center.
The NCR FastLane installed at the Innovation Center is the world's first self-checkout solution with an integrated RFID reader. In its current implementation, the hybrid self-checkout deactivates the merchandise security function of the RFID tag during the scanning process, thus enabling the customer to exit the store without triggering a security alarm.
"Working with the METRO Group RFID Innovation Center gives NCR a unique opportunity to test innovative technologies before actual deployment," said Chris Herwig, NCR's director of retail technology. "We look forward to extending the RFID-related functionality of the hybrid self-checkout in a future phase, reading product information associated with the electronic product code, or EPC, in the tags."
The NCR FastLane installed at the Innovation Center incorporates an RFID read/write device manufactured by FEIG ELECTRONIC GmbH. The system supports standards established by EPCglobal, an industry association guiding worldwide adoption and standardization of EPC technology in an ethical and responsible way.
METRO Group has targeted November 2004 for the introduction of RFID into the logistics operations of Metro Cash & Carry, Real and Kaufhof stores, and plans to be the world's first retail chain to implement RFID across the entire logistics chain. An objective of the Innovation Center is to give METRO Group and its partners an opportunity to test the technology and be prepared for the November rollout.
"The deployment of RFID technology will make retail processes much more efficient at all merchandise flow points up to the front-end checkout zone," said Dr. Gerd Wolfram, executive project manager of the METRO Group Future Store Initiative. "In the RFID Innovation Center, the METRO Group is also testing new ways to read RFID labels at the checkout. This will help retailers improve significantly their material flow and product selection. We are also working on effective ways to meet consumer needs for optimal data privacy."
With NCR FastLane, retailers can offer shoppers the option to scan, bag and pay for their own purchases. More than 50 retailers in 10 countries across Europe, North America and Asia have installed NCR self-checkout. Metro Group will be introducing NCR FastLane to supplement conventional checkout lanes in 50 of its Real and Extra stores in Germany by early 2005.
