Jan 2019 – Checkpoint Systems is expanding its relationship with Polish fashion retail group LPP, with the deployment of a large-scale Radio Frequency IDentification (RFID) programme to improve merchandise availability, operational efficiency and the consumer experience. The program will be deployed across LPP’s entire supply chain from manufacturing through LPP’s eCommerce platform and to over 1,700 outlets spanning 23 countries.
With more than 200 million items sold each year, LPP has created the biggest apparel manufacturing / retail company in Central and Eastern Europe. The socially responsible Polish family company was looking for a solution that would improve operational efficiency across its estate, while enhancing inventory visibility for its five high fashion retail brands: Reserved, Cropp, House, Mohito and Sinsay.
Checkpoint already supplies Electronic Article Surveillance (EAS) technology to LPP and the new RFID @Source programme will enable items to arrive in-store, shelf-ready, reducing the time store employees spend checking deliveries and enhancing inventory accuracy. It demonstrates Checkpoint’s ability to offer both EAS and RFID technology simultaneously to meet the needs of the Polish retailer.
Introducing RFID technology is also expected to increase profitability through improved efficiencies, with early estimates indicating a 3% sales uplift. It will also improve the identification of single items in the supply chain, while also transforming product visibility and availability in store. The technology also enables LPP to easily pin-point top-sellers and key trends in individual outlets, meaning it will be able to tailor its inventory to individual stores and their customer base more accurately.
Checkpoint will work with LPP’s suppliers to ensure Hard and Soft RFID tags are applied at source, during garment manufacture. To further improve the supply chain process, the retailer has also placed RFID tunnels in its distribution centres. These allow accurate checks on incoming and outgoing goods, with the latter ensuring the required merchandise is shipped to the correct store.
The flow of goods and reuse of Checkpoint’s RFID hardtags is also enabling LPP to achieve responsible production, as all of its tags can be repurposed within the supply chain. Recovered hard tags are returned to Checkpoint’s ‘Total Quality Management’ Refurbishment Centre before moving to LPP’s distribution centre or the retailer’s vendors to be tagged at source. Tagged merchandise can then be shipped to LPP stores for sale.
John Dargan, President at Checkpoint Systems said: “We are delighted to support LPP’s vision to become the leading fashion business in Europe. Implementation of RFID technology will enable LPP to greatly improve on key operational efficiencies and improve the overall customer experience.
We have partnered with LPP for many years and are immensely happy to have been chosen to support their growth over this period, we look forward to supporting their continued expansion.”
“The implementation of RFID is a crucial breakpoint in our activity. We are the first company in Poland and one of the first in the world which have decided to implement it. RFID will allow us to offer our customers tailored and more accessible choices, and give us a great support in the product management on every stage starting from the factory, through the distribution centre, ending with a store chain. It’s a challenge which we want to meet effectively as in our opinion RFID is a technology of the future. The process is not easy since it requires huge organisational changes however, we believe that this technology is worth the efforts”, says Jacek Kujawa Vice-President LPP.
About LPP (https://www.lppsa.com)
LPP SA is one of the fastest growing clothing companies in the region of Central and Eastern Europe. For over 25 years, the Company has consistently carried out its operations in Poland and abroad, being successful on the demanding clothing market. LPP SA manages five fashion brands: Reserved, Cropp, House, Mohito and Sinsay. The company has a chain of 1,700 stores with the total area of over 1 million sqm and operates online stores in 11 European countries. LPP employs over 25 thousand people in its offices and sales structures in Poland, Europe, Asia, and Africa. LPP SA is listed on the Warsaw Stock Exchange in the WIG20 index and belongs to the prestigious MSCI Poland index.
About Checkpoint Systems, Inc. (www.checkpointsystems.com)
A division of CCL Industries, Checkpoint Systems is the only vertically integrated RF/RFID solution provider for retail. With consumer demands accelerating at an extraordinary rate driven by technology, Checkpoint delivers intelligent solutions – bringing clarity and efficiency into the retail environment anytime, anywhere. Through a unique offering of software, hardware, labels, tags and connected cloud-based solutions, Checkpoint optimizes retail operations and efficiencies with real-time intuitive data delivered throughout the supply chain and in-store resulting in improved profitability and an enriched consumer experience. Checkpoint's intelligent retail solutions are built upon 50 years of radio frequency technology expertise, innovative high-theft and loss prevention solutions, market-leading software, RFID hardware and comprehensive labeling capabilities to brand, secure and track merchandise from source to shelf.
About CCL Industries
CCL Industries Inc., a world leader in specialty label and packaging solutions for global corporations, small businesses and consumers, employs approximately 19,000 people and operates 150 facilities in 25 countries on six continents with corporate offices in Toronto, Canada, and Framingham, Massachusetts. For more information, visit www.cclind.com.
Checkpoint Systems, a division of CCL Industries, addresses two critical issues for its customers: Improving Profitability and Improving Consumer experience. With consumer demands accelerating at an extraordinary rate driven by technology, Checkpoint recognizes the challenges faced by its customers in the rapidly evolving retail market. We deliver intelligent solutions – bringing clarity and efficiency into the retail environment anytime, anywhere. Through a unique offering of software, hardware, labels, tags and connected cloud based solutions, Checkpoint optimizes operational efficiencies through analysis of real time data captured throughout the Supply Chain and in store then translating this to clear concise actions and tasks.
We provide end-to-end solutions enabling retailers to achieve accurate real-time inventory, accelerate the replenishment cycle, prevent out-of-stocks and reduce theft, thus improving merchandise availability and the shopper’s experience. Checkpoint’s solutions are built upon 48 years of radio frequency technology expertise, innovative high-theft and loss-prevention solutions, market-leading RFID hardware, RFID software, and comprehensive labeling capabilities, to brand, secure and track merchandise from source to shelf. Checkpoint’s customers benefit from increased sales and profits by implementing merchandise availability solutions, to ensure the right merchandise is available at the right place and time when consumers are ready to buy. Checkpoint operates in every major geographic market and employs 4,500 people worldwide.