Telling Our Story
Tyco Retail Solutions Source Tag Recirculation Program Supports Green Retailing
Have you ever wondered what happens to the plastic security tag that’s removed from the shirt you buy in a clothing store? Does it become just another piece of trash dumped in a landfill, or is it recycled in some way?
If this electronic article surveillance (EAS) “hard tag” is a genuine Sensormatic product from Tyco Retail Solutions (TRS), it may be shipped by the retailer to a Tyco location where it’s recycled, recertified and recirculated to apparel manufacturers.
Since launching the source tag recirculation program in April 2010, TRS has processed 750 million hard tags and is the only supplier today with three automated recirculating processing centers globally and eight tag distribution center points. According to projections, TRS will process 1.2 billion tags this year.
“As an environmentally conscious organization, we are committed to helping retailers integrate responsible solutions into their global supply chain,” says Scott Clements, president of TRS. “We’re proud to offer an innovative program that not only supports green retailing but also helps our customers reduce labor costs and improve profits.”
Seven global apparel retailers currently participate in the program. Hard tags are applied to apparel at the manufacturing source. Merchandise arrives at retail stores ready to sell, which accelerates both sales and inventory turns. For example, by switching from in-store to source tagging, one leading global specialty apparel retailer has been able to move 30% to 50% more merchandise to the sales floor per hour. Also, the retailer benefits from having sales associates spending less time applying tags and more time on the sales floor interacting with customers. Used tags are shipped to a Tyco recirculation processing center and, from there, to one of the tag distribution centers located near an apparel manufacturing region.
While the program is off to an impressive start, TRS developed this solution with a clear eye on the future. When radio frequency identification (RFID) technology joins EAS source tags, retailers will enjoy the added benefits of advanced inventory intelligence from end to end of a secure global supply chain.
“The Tyco Retail Solutions source tag recirculation program puts the infrastructure in place to deliver cost-effective protection today, and unlock the full capabilities of EAS and RFID for robust protection and end-to-end inventory visibility tomorrow,” says Clements.
TRS expects to expand the recirculation program to accommodate dual-technology EAS/RFID tags in the near future.
Access a white paper on the benefits of source tag recirculation.
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