Third-Party Study Compares Checkpoint Systems Electronic Article Surveillance Labels With Others
May 28 2013 - 7:02AM
Business Wire
Checkpoint Systems (NYSE: CKP), a leading global supplier of
shrink management, merchandise visibility and apparel labeling
solutions for the retail industry, announced the results of a
third-party study conducted by TUV Rheinland, a global provider of
product testing and certification. The study found that Checkpoint
genuine electronic article surveillance (EAS) labels perform much
better than other tested labels in all key areas. The study
evaluated EAS labels from multiple manufacturers, measuring and
comparing labels’ application, detection, deactivation and
reactivation.
According to the Centre for Retail Research, global shrink
increased 6.6 percent to more than $119 billion in the last Global
Retail Theft Barometer, a figure that represents 1.45 percent of
global retail sales. For the past 20 years, EAS systems and labels
have been the most common method to protect store merchandise
against shoplifting. During the past 10 years, there has been a
proliferation of manufacturers offering presumably low-cost options
without clear guidelines between cost and performance.
The study titled “Performance Testing of Labels” helps retailers
weigh the benefits and costs of specific solutions. It looked at
four distinct areas of performance and provided objective data
revealing specific advantages between labels from different
manufacturers.
Areas of Evaluation
Automatic Application of Live Anti-theft Labels
TUV Rheinland found that Checkpoint EAS labels remain live more
than 99 percent of the time after automatic application on a
product at the point of manufacture. Labels from other
manufacturers deactivate in the process and are rendered useless
almost 30 percent of the time.
Anti-theft Labels Reactivation for Retailers
TUV Rheinland researchers also reported that labels from other
manufacturers can reactivate up to 23 percent of the time after
being deactivated at point of sale, resulting in tag pollution,
increased false alarms, decreased alarm compliance, employee
frustration and potential consumer embarrassment. In contrast,
performing the same tests, TUV Rheinland found that Checkpoint
labels remain deactivated after legitimate point of sales
transactions. They have almost zero percent reactivation when
products are motionless (static) in a customer’s bag, or in motion,
(dynamic) when sewn into a customer’s garment.
Anti-theft Labels Deactivation
According to TUV Rheinland, most other label manufacturers have
deactivation heights at point of sale as low as 0.5 inches to 5
inches (1,3cm to 12,7cm), which results in more non-deactivated
items, customer embarrassment and lack of responsiveness to true
theft alarms in store. In contrast, TUV Rheinland noted that
Checkpoint labels can be deactivated by cashiers scanning products
up to 17 inches above the deactivator pad.
Anti-theft Labels Detection
Overall, TUV Rheinland found that Checkpoint labels are detected
more than 95 percent of the time by EAS alarm systems. Compared to
other label offerings, Checkpoint labels deliver among the best
detection rates irrespective of position: laying flat, facing front
or on their side.
Based on the research findings, the study suggests that labels
that frequently deactivate during application prove ultimately to
be more costly. These labels are offered at low-cost and treated as
a commodity where price is the only differentiation. Indeed, these
“dead” tags do not protect store merchandise, potentially resulting
in further profit loss from stolen merchandise. Retailers and their
buyers can trust Checkpoint labels to protect their merchandise
with much less risk of false alarms thanks to the almost zero
percent of reactivation, the deactivation simplicity by cashiers at
the point of sale and the high detection rate with the antennas at
the point of exit.
According to Farrokh Abadi, president & chief operating
officer Shrink Management Solutions Checkpoint Systems, “For
retailers seeking to achieve best practices, this study can help
them make appropriate purchasing decisions. TUV Rheinland’s
independent study clearly shows that investing in Checkpoint
solutions is beneficial in the long-run, because our superior
quality labels perform significantly better when compared with
other manufacturers’ labels. In other words, retailers truly get
what they pay for.”
About Checkpoint Systems, Inc.
(www.checkpointsystems.com)
Checkpoint Systems is a global leader in shrink management,
merchandise visibility and apparel labeling solutions. Checkpoint
enables retailers and their suppliers to reduce shrink, improve
shelf availability and leverage real-time data to achieve
operational excellence. Checkpoint solutions are built upon 40
years of RF technology expertise, diverse shrink management
offerings, a broad portfolio of apparel labeling solutions,
market-leading RFID applications, innovative high-theft solutions
and its Web-based Check-Net data management platform. As a result,
Checkpoint customers enjoy increased sales and profits by improving
supply-chain efficiencies, by facilitating on-demand label printing
and by providing a secure open-merchandising environment enhancing
the consumer’s shopping experience. Listed on the NYSE (NYSE: CKP),
Checkpoint operates in every major geographic market and employs
more than 5,000 people worldwide.
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