The evolution of access control systems and other security tools has led to the adoption of radio-frequency identification technologies across many industries. According to a new report by IDTechEx, the RFID market is forecast to generate more than $7.4 billion in revenue in 2012, up from slightly less than $6.4 billion in 2011.
Retailers are especially keen on adopting RFID solutions as the technologies help decision-makers track products and reduce theft. IDTechEx noted that roughly 1 billion RFID labels are being demanded by retail organizations in 2012. This is forecast to increase to more than 1.3 billion in 2013, as RFID matures and becomes more trusted.
A separate report by the University of Florida revealed that retail businesses using RFID and other integrated security systems have been able to reduce theft as a percentage of revenue in 2011 to slightly more than 1.4 percent, down from roughly 1.5 percent in 2010.
"The decrease in retail theft can be a direct result of the widespread investment in technologies and integrated solutions by retailers," security expert Michael Creedon said.
In addition to retail, transportation organizations are also adopting RFID solutions for tickets that can reduce fraud. IDTechEx reported that 500 million RFID tags will be used in transit in 2012. This will contribute to the growing RFID tag market, which is forecast to increase from 2.9 billion in 2011 to nearly 4 billion in 2012.
The report noted that the majority of RFID technologies seen their popularity grow in recent years, even though they have been around for multiple years. IDTechEx noted that more than 15 billion RFID tags have been sold in the last 65 years but 20 percent of those purchases were made in 2011.
As RFID continues to evolve, more organizations will leverage the tools to enhance security and convenience.