digital barcode in the omni-channel world
TRANSCRIPT
© GS1 Hong Kong 2015
Digital Barcode in the Omni-channel Worl
19 Nov 2015
© GS1 Hong Kong 2015
Ecommerce is changing the world
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© GS1 Hong Kong 2015
How GS1 helps
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Grow the Business
Reduce Costs
Leverage Consumer Insights
Manage Risk
Better Search Results
Improved Product Information
Optimised Consumer Fulfilment
Smarter Analytics
Safer Products, Fewer Counterfeits
GS1 standards make it easy for people to discover and purchase products wherever they are so that you can…
© GS1 Hong Kong 2015
Top e-retailers adopt GS1 Standards
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As we continue to create a seamless shopping experience across online, mobile and stores, we rely on accurate and consistent product information. The GS1 GTIN Validation Guide is an important tool for improving the quality of product data and the relevance of online and mobile search results. —Walmart Global eCommerce
The GTIN Validation Guide will help eBay find and resolve incorrect, duplicate and conflicting product information, improving visibility for merchant offers and enhancing the consumer search experience. — eBay
GS1 standards have been very valuable in our efforts to improve the online shopping experience by harmonising product data and eliminating inaccuracies. —Google
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Amazon
eBay
Apple Sites
Walmart
Target
Best Buy
Sears
Etsy
The Home Depot
Macy's
Online Audience(in millions)
Source: comScore, Inc., March 2014
Amazon, eBay, Walmart, Apple iTunes and Google require or endorse GS1 identification for e‐commerce.
GTIN ‐ The unique product identifier – Connecting the
on‐line and off‐line
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How GS1 helps in eCommerce
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Enhanced Web Product Presence
Consumer Big Data
Anti‐Counterfeit
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How GS1 helps in eCommerce
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Enhanced Web Product Presence
Consumer Big Data
Anti‐Counterfeit
© GS1 Hong Kong 2015
Search Today
• Good online product information experiences are critical: 80% of all in-store purchases are influenced by digital1.
• Computers are “dumb” at reading online. They are unable to see meaning in product information on web pages as humans can.
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Search engine have challenges
1 PwC. “Understanding How US Online Shoppers are Reshaping the Retail Experience” 2012
© GS1 Hong Kong 2015
GTIN+: A Search Engine readable description of web productsWith unique identification and structured content
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Swiffer
Structured data used in a variety of new ways
MSDS Sheets
Ingredients
Product Image
Videos
Where to Buy
GS1 standard web product schema
© GS1 Hong Kong 2015
eCommerce Member Jumpstart
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GS1 HK Member
GS1 HK Barcode Plus – Trusted source of product information repository
eCom sites
Search engine easily readable
GTIN web‐code generator
7,000 members4 million GTIN records
© GS1 Hong Kong 2015
How GS1 helps in eCommerce
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Enhanced Web Product Presence
Consumer Big Data
Anti‐Counterfeit
© GS1 Hong Kong 2015
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Global Retailers / Brands are adopting RFID/EPC
The use of EPC/RFID at Item-Level is the key enabler for boosting Inventory Accuracy from 63% to 98+ %Once installed, a retailer can benefit from a lot more …
Process Logistics Store Time Saving
Goods In & Out Quantity Check x x up to
100%
Applying EAS hard-tag (absence of…) x x 100 %
Picking control x up to 100%
Stock Take, Cycle Count x x 80-95%
In-store Replenishment x 50%
Cutting out-of-stocks (OOS) x x 50%
Product Location x x 20%
Check-Out process x 60%
Source : University of Arkansas - An Empirical Study of Potential Uses of RFID in the Apparel Retail Supply Chain
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What people are saying
Implementing EPC‐enabled RFID technology has been one of the most significant technological steps Macy’s has taken toward improving our supply chain performance, and ultimately our customer service, in the last 20 years.
It is one of the keys to our omni‐channel success, and because we’ve already seen solid results, we plan to expand its use, as our business growth and
consumer loyalty depend on it.”
‐ Peter Longo, President of Logistics & Operations, Macy
“In retail, RFID is seeing rapid growth for apparel tagging ‐ that application alone demands 3 billion
RFID labels in 2014. More that 25 billion RFID tags will be used on retail apparel and shoes in 2020”
‐ IDTechEx
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Converting RFID Big Data to Analytics
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In the year 2011 there were 12
million RFID tags sold worldwide. That
number is projected to be 209 billion by
2021.
Source: Big Data: Interesting Facts and Figures, Chassis Plans
Executives think that retail
big data insights are most beneficial for:
•merchandising (53%) •marketing (48%)•store operations (42%), •e‐commerce (42%), •supply chain (27%), •finance (23%), •loss prevention (21%).
Source: 1010data Retail Study: Executives Discuss the Impact and Further Potential of Big Data in the Retail Industry
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A Local Case
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Big Data Making Big Business
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RFID Enables Consumer Behaviors Analytics
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Jewels items with RFID tag
RFID installed Smart Tray (reader)
Original Challenges• Tedious and time consuming stock taking routine distracts•sales staff•Substantial products are in transit•Frequently, difficult to track • difficult to capture data on customers’ preference and shopping behavior during the sales process.
Benefits•Reducing stock taking time by 50%• Improving sales conversion rates• Enhancing corporate image as a forerunner and industry leader innovative technology• Segment analysis• Consumer selection patterns• Cross sell opportunities
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How GS1 Helps in eCommerce
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Enhanced Web Product Presence
Consumer Big Data
Anti‐Counterfeit
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E-Commerce Growth followed by Counterfeiters
• E-commerce growth is unfortunately not just an opportunity for the good guys. Counterfeiters are also taking the full advantage of the online ecosystem to enlarge their business. The International Chamber of Commerce (ICC) estimates that
counterfeiting accounts for an estimated $600 billion a year and expects the value of counterfeit goods globally to exceed USD 1.7 trillion by
2015, that’s over 2 % of the world’s total current economic output (1)
One out of FOUR Facebook advertisements for cut-price luxury goods such as Louis Vuitton handbags and Ray-Ban Aviator sunglasses links to websites selling counterfeit items, according to findings by two independent cybersecurity researchers (2)
45% of Chinese e-shoppers say they fear products will be exchanged with fakes during delivery, according to a study by Boston Consulting Group (3)
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Source: (1) International Chamber of Commerce(2) Bloomberg News (3) “Selling to China’s E‐Shoppers”, The Boston Consulting Group
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Value +, Dual Factor Anti-Counterfeiting
Trusted Mobile App Serialized QR Code label
Visibility Cloud (what, where, when, why)
Overseas warehouse Transportation HK warehouse StoreFactory Consumer
scratch and reveal labels
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What Extra Information Can Consumer Obtain Before Purchase?
Before purchase Extended product information to promote brand & product key features Product selling status and selling
region
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Simply Anti-counterfeiting?It is more than that…
After Purchase
Using “Consumer Connect” mobile app to scan the QR code or type in the verification code (a secure random code) at BarcodePlus.com.hk
An unique verification number
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Exchanged with Fakes During Delivery
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45% of Chinese eshoppers say they fear
products will be exchanged with fakes during delivery,
according to a study by Boston Consulting Group
“Selling to China’s E‐Shoppers”, The Boston Consulting Group
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Actual Payment After Validation upon Delivery
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Payment options
Authenticate upon delivery
Payment
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Digital Authentic Barcode
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GS1 HK
Validates the registered company’s authenticity (why we need to say this?)
GS1HK issue encrypted barcode digital printing file. The authentic brand
owner prints the packaging
Hidden digital pattern in the barcode ONLY can be authenticated by the GS1HK trusted mobileapp, without affecting normal retail POS checkout
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Genuine, Counterfeit?
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One code…Infinite possibilities
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