RFID’s Untapped Potential Lies with CPG and Retail Suppliers
RFID is a powerful, game-changing technology that enables greater supply chain visibility, inventory accuracy, and operational efficiency. However, unlike its predecessors—such as the barcode—RFID requires more thoughtful planning and careful execution to deliver lasting value.
The challenge? While retailers often have the resources to hire in-house experts or engage top-tier consultants, suppliers—who are ultimately responsible for implementing the technology—are left without comparable support. This imbalance results in slower adoption, limited buy-in, and pilot programs that are more likely to stall than succeed.
Understanding RFID Progression: The Four Stages of Excellence
RFID adoption is typically measured on a supplier-by-supplier basis, with progress closely aligned to the category rollout timelines set by major retailers. Each supplier tends to fall into one of four stages of RFID maturity:
Stage 1: What is RFID? – Initial research and partner selection
Stage 2: Mandate Compliance – Tagging inventory for a single retailer
Stage 3: Source Tagging – Tagging all outbound inventory
Stage 4: Internal Optimization – Reading and leveraging RFID data for internal operations
Progressing from one stage to the next requires a project-based lift, complete with investment, cross-functional coordination, and expert guidance. Yet, many suppliers hesitate to take the initiative, preferring a “wait and see” approach that aligns strictly with retailer mandates—leaving potential internal gains on the table.
What’s Holding Suppliers Back?
Through our work, we’ve identified three key barriers that commonly limit supplier momentum:
• Internal alignment issues – Key stakeholders aren’t yet bought in
• Uncertainty in vendor selection – Project leads don’t know who to trust
• Limited expertise and bandwidth – Teams are stretched too thin to prioritize RFID
At The Sigma Collective, we exist to solve these problems. Our team of RFID experts, ex-operators, and former consultants acts as your on-call partner—supporting your business at every stage of the RFID journey and helping you move forward in a way that makes sense for your unique goals.
1. Getting Internal Buy-In: The Business Case Problem
The number one driver of RFID momentum is a strong internal business case. Unfortunately, most suppliers don’t approach it holistically. Some teams focus only on direct cost impacts and overlook operational benefits. Others understand process improvements, but aren’t involved in negotiations with the retailer.
Our belief is simple: Suppliers should first build a comprehensive business case that captures their own unlocks, then align internally, and reposition the retailer as a beneficiary rather than the driver.
EBITDA Walk - Customized RFID Implementation Business Case
While each supplier’s answer will be different, the evaluation buckets are consistent. At The Sigma Collective, we deliver a validated business case—backed by experienced advisors—within four weeks.
2. Choosing the Right Partners: The Vendor Landscape Problem
One of the biggest challenges in RFID adoption is navigating the fragmented vendor ecosystem. No single provider covers all components of an end-to-end RFID implementation. Some offer broader partnerships, but always through the lens of selling their own technology.
Vendor Capability Landscape
When vendors prioritize sales over fit, suppliers suffer—projects drag on, implementations fail, and trust erodes across the organization.
At The Sigma Collective, we know the full landscape. We understand which players excel in which areas and match you with the right partners from the start. Most importantly, we only accept fees from suppliers — not vendors—so you can trust that our recommendations are in your best interest.
Imagine driving your RFID implementation forward with a single, experienced partner focused on results — not commissions.
3. Limited Bandwidth: The Resourcing Problem
It’s hard to work on the business when you’re busy working in it. RFID initiatives are cross-functional by nature and often fall outside any one team’s core responsibilities. They impact finance, operations, IT, and customer management—making it difficult to assign ownership, especially when no one is dedicated full-time.
RFID is a data layer for serialized inventory, but most suppliers don’t have a designated resource who can focus on this long-term.
At The Sigma Collective, RFID is our full-time job. We are a collective of SMEs, former operators, and consulting professionals who bring a rare combination of business understanding, technical know-how, and practical execution experience. We don’t just advise—we get in the weeds and help get it done.
Let’s Move RFID Forward—Together
Whether you’re just beginning to explore RFID or looking to optimize existing investments, The Sigma Collective exists to help you move faster, more confidently, and more strategically.
We meet you where you are, build the case, vet the vendors, and embed ourselves alongside your team—because RFID done right can unlock real, compounding value for your business.
Book a call with us to learn more.