VDC Research: RFID, Barcode, Retail Automation & Self-Service Market Blog

Navigating the Fragmented, Fast-Moving & Crowded Retail & Transaction Automation Equipment Market in 2010

It's no secret that the retail and hospitality industry was hit hard by the recession.  Players in these industries are under even more pressure than usual to better manage costs, enhance customer experiences, and retain/grow their customer base.  For these beleaguered industries, automation technologies can help address these pressures and aid in realigning their business to better meet the ‘new’ customer requirements (for retail, see: 'Jujitsu at the Point of Decision') and preferences.

In our opinion, retail and hospitality enterprises must continue to evaluate and invest in automation technologies because the value propositions associated with such technologies have proven to:

• Aid in the improvement of product turnover;
• Enhance stakeholder interaction;
• Reduce costs;
• Synchronize multi-channel strategies, and;
• Develop competitive advantages/differentiators. 

As automation technologies mature and evolve, enterprises have more investment and deployment choices than ever before. The problem is, with more options come more questions.  The ability to effectively scope and manage such investments has become a major strategic initiative. Enterprises who invest in the wrong solution, could alienate their hard-won, fickle and expensive-to-replace customers. Suppliers who pursue the wrong market opportunity risk precious resources drilling a dry well, and join the ready-to-invest markets too late.

In order to be successful, suppliers of these technologies need to deftly navigate a fragmenting, faster-moving, more crowded market. In order to help suppliers find their way through this maze, VDC has recently announced the launch of our 2010 Retail & Transaction Automation Equipment  Market Intelligence Service.  This market research program will deliver the insight, analysis and data that suppliers need to make the most profitable product, market and channel development decisions.

Feel free to contact us to learn more about the research and the opportunity to be a founding sponsor of this research.

2010 RFID Market Opportunity & Requirements Research

In a market that has continually underperformed, it should be welcome news that we expect the next 3-5 years to provide some of the most exciting opportunities and activities in the RFID market.

To help suppliers get a grasp on this ever-evolving market - VDC is, once again, planning to launch our RFID Business Planning Service. Year after year, our RFID market data supports our clients efforts to identify product, vertical and application opportunities.  Specifically, the 2010 research will provide:

• Analysis of global market demand with detailed market definitions and segmentations;
• Market estimates and forecasts;
• Customers’ and evaluators’ technical and commercial requirements and preferences;
• Channel analysis of the structure of the global RFID and related solution supplier community;
• Leading and emerging supplier market share, position, direction and profiles;
• Industry structure and analysis; and
• Discussion of key issues, forces and trends driving and restraining market growth and development. 

The RFID Business Planning Service: 2010 Opportunity and Requirements Analysis is currently in our founding sponsorship period - which provides early subscribers some significant benefits, including  the opportunity to provide input and influence the study architecture, scope, direction and content of the research. Feel free to contact us to learn more about the research and the opportunity to sponsor this research.

NCR Augments Product Portfolio by Purchasing Netkey's Assets

On November 2, NCR Corporation (NYSE: NCR) officially announced purchasing the assets of Netkey, a leading provider of enterprise-class software for the development, deployment, management and security of self-service kiosk and digital signage applications.

The terms of the deal were not disclosed, but VDC believes that the deal is beneficial to both parties.  This acquisition comes almost immediately after NCR announced its mixed Q3 results that saw revenues and net income increase slightly from Q2 of 2009, but decline significantly from 2008.

As these enterprises look to establish strategic partnerships with entrenched, global solutions providers, NCR has strengthened their case for inclusion on a shrinking list of potential partners.  The question remains: “what’s next?”

In VDC’s opinion, the advancement of stakeholder interaction management and the proliferation of next-generation transaction and branding solutions is what’s next.  Put another way, anticipating how customers will want to receive information and transact business is only one part of the self-service equation, and one that NCR is even better positioned to address through the acquisition of Netkey.  The real source of competitive differentiation for enterprises deploying self-service solutions will come from using the information they capture from each customer interaction to create a source of sustainable competitive advantage.  NCR and a contracting list of competitors will be there to meet this challenge.

To view VDC's research note: NCR Aquires Netkey please click here.