Driving Real-Time Inventory Visibility With Item-Level RFID

While tracking inventory in real-time through item-level might have been a nice to have for retailers in the past, as more brands recognize the ROI delivered by this capability – not just within the supply chain but across all retail touchpoints – it has become increasingly integral to a successful retail operation. And those missing out risk falling behind their competitors. 

Gone are the days when traditional techniques such as barcode scanning and manual inventory counts were considered enough. It is clear that, to make decisions confidently, retailers cannot rely on manual processes which are unable to deliver complete inventory visibility in real-time. At the same time, with consumer expectations for seamless omnichannel shopping experiences at an all-time high, retailers need a smarter, faster way to track inventory in real-time.

Inventory accuracy and real-time visibility can significantly impact business efficiency and profitability. According to Deloitte’s 2025 U.S. Retail Industry Outlook, retail executives are turning to automation and real-time inventory visibility. In 2025, retail leaders are looking to invest in advanced tracking systems to monitor shipments and inventory throughout channels.

The cost of reduced inventory visibility  

The cost of reduced inventory visibility extends far beyond misplaced stock—it can directly impact revenue, customer satisfaction, and operational efficiency. The lack of accurate inventory visibility in real-time can lead to inefficient inventory management, resulting in stockouts and overstocking. Stockouts lead to frustrated customers leaving stores empty-handed, while overstocking turns warehouses into expensive storage units for products collecting dust. The message is clear when it comes to inventory: if retailers can’t see it, they can’t sell it. 

Inaccurate inventory data can also lead to planning difficulties and operational inefficiencies. With poor inventory visibility, staff may have to spend more time locating products instead of focusing on customer service, which not only increases labor costs but also impacts the customer shopping experience.

Similarly, poor inventory visibility also disrupts omnichannel fulfillment, leading to delays in online orders and click-and-collect services. Meanwhile, retail shrinkage and theft remain difficult to identify without precise stock tracking, further eroding profitability. Ultimately, when retailers cannot see what’s on their shelves (or what should be there), they’re essentially flying blind. Retailers must deploy item-level RFID (Radio Frequency Identification) technology throughout their retail ecosystem – from supply chain to physical stores. 

Item-level RFID and its benefits

Unlike traditional barcode systems that require line-of-sight scanning, RFID uses radio waves to automatically capture item data without manual scanning. Each product is tagged with a unique RFID chip, which can be read instantly, even if it’s inside a box or behind a shelf.

Item-level RFID allows retailers to track each product in real-time, providing accurate data, unmatched speed, and efficiency. As a result, retailers can understand exactly what’s in stock and where to find it—eliminating costly errors and improving overall efficiency. Replacing time-consuming manual inventory counts, item-level RFID facilitates automated processes. The Android Bluebird RFID Scanner App, in conjunction with Teamwork Commerce, streamlines the stock count process by updating inventory records in real-time. This provides businesses with up-to-date stock information for informed decision-making and ensures efficient inventory management. This allows staff to focus on what really matters—customers. 

However, RFID’s benefits go far beyond inventory counts and stocked shelves. The technology can serve as a powerful tool for brands to minimize shrinkage and theft. By deterring fraud and improving real-time tracking, item-level RFID can significantly reduce losses and help retailers improve profitability. As per Deloitte’s 2025 U.S. Retail Industry Outlook, three-quarters of responding retail executives say they’re increasing investments in retail theft prevention. As retail leaders turn to theft prevention technologies, item-level RFID should be considered as one of the key parts of the technology stack.

At the same time, retailers can leverage real-time tracking capabilities of item-level RFID to streamline order fulfillment across all shopping platforms, creating consistency. This can help shoppers better understand whether the item they are seeking is available in stock and even track their order to know when it’s available for collection. According to Deloitte, 68% of shoppers are increasingly likely to purchase products on social media. By ensuring accurate and consistent inventory updates across all shopping channels, retailers can create seamless and high-quality shopping experiences, significantly boosting customer satisfaction. 

With fewer lost sales, lower labor costs, improved customer satisfaction, and a seamless supply chain, item-level RFID technology delivers significant return on investment (ROI).

What Lies Ahead?

The future is likely to see the increased adoption of advanced RFID technology. There is significant focus being placed on deploying RFID technology across all parts of retail organisations to transform in-store experience, inventory management, stock control, personalization and more.

Retailers have already started to use the technology to tailor customer interactions. Real-time insights facilitated by item-level RFID can help retailers track customer preferences and shopping patterns, personalizing future discounts, messaging, and interactions. What’s more, smart dressing rooms are now being equipped with RFID tags on clothing items that can sync with interactive mirrors, showing style suggestions, size availability, and complementary accessories. This creates top-tier shopping experiences for customers that can result in improved consumer loyalty. 

Similarly, RFID-powered self-checkout kiosks enable customers to instantly checkout within seconds by automatically scanning items. Teamwork Commerce’s RFID-Powered Self-Checkout technology allows users to instantly scan items with RFID tags, utilize loyalty apps, apply coupons, and explore new payment methods. This enhances efficiency and convenience for both employees and customers, streamlining the shopping experience.

Final Verdict

To thrive in the market, RFID implementation has now become a must-have rather than nice to have. Retailers who leverage item-level RFID technology in tandem with wider retail solutions can meet evolving consumer needs while ensuring continued business growth. 

Looking to understand how your business can use the power of item-level RFID? Get in touch!