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Adoption Rate of RFID is Moving at a Modest Pace, But There is Reason to Believe Growth May Be on the Way, According to New Study
[May 22, 2006]

Adoption Rate of RFID is Moving at a Modest Pace, But There is Reason to Believe Growth May Be on the Way, According to New Study

CHICAGO --(Business Wire)-- May 22, 2006 --

Survey sponsored by NCR and conducted by Retail Systems Alert Group finds technical and human challenges impeded industry-wide RFID integration

Latest Findings Released at Retail Systems(R) 2006

According to the survey "RFID: How Far, How Fast?" sponsored by NCR Corporation (NYSE: NCR) and conducted by Retail Systems Alert Group, the adoption rate of RFID is moving at a modest pace. Many challenges, both technical and cultural, continue to impede the growth of RFID. However, there is reason to believe growth may be on the way.

Highlights of the survey include: -- Retailers are lagging far behind manufacturers in adopting RFID. Only 9 percent of retailers who responded to the survey have an RFID-implementation timeline, and the majority of retailers who responded positively estimated their organization's overall revenue to increase to $5 billion or more. -- 44 percent of manufacturers have developed a timeline. Although fewer retailers reported a timeline for implementation, those retailers that have a timeline reported that they are spending more than in 2005, according to survey results. -- Manufacturers are focusing their attention on one to 50 product lines, rather than across a broader range of product lines as was reported in the 2005 survey results. -- Among those companies that have a timeline for RFID adoption, most respondents (both retailers and manufacturers) report that they have pilot distribution centers up and running.

According to the survey, although there still may be several challenges that are on the horizon in the adoption of RFID, the outlook is cautiously positive. The awareness level of RFID among C-level executives, directors and managers has significantly improved. In addition, many respondents are aware of the benefits their companies can expect within the first five years of RFID implementation.

The release of the survey, 3rd Annual Benchmark Study "RFID: How Far, How Fast?" was part of the 3rd Annual Retail RFID Technology Symposium, a full day pre-show held at Retail Systems 2006 which addressed underlying RFID trends. The results were presented by Dan Bogan, vice president of NCR's Retail Solutions Division.

Touching industries around the world, NCR's global RFID solutions encompass thoughtware, hardware, consumables, services and software, including Teradata warehouse solutions, to help customers solve real business problems.

About Retail Systems Alert Group

Retail Systems Alert Group is a global research and events company that has followed the advancements of technology applications within the retail, CPG, and apparel industries for more than a decade. The company provides analysis and insight about a broad spectrum of issues and trends through publications, conferences and expositions, Internet services, special reports, and customized research. Retail Systems Alert Group has organized the annual Retail Systems Conference & Exposition, America's leading Retail IT and Supply Chain Event for more than 15 years. For more information, visit

Retail Systems Alert Group is a trade name of Retail Systems B2B LLC, a Proximus Company.

About NCR Corporation

NCR Corporation (NYSE: NCR) is a leading global technology company helping businesses build stronger relationships with their customers. NCR's Teradata(R) data warehouses, ATMs, retail systems, self-service solutions and IT services provide Relationship Technology(TM) that maximizes the value of customer interactions and helps organizations create a stronger competitive position. Based in Dayton, Ohio, NCR ( employs approximately 28,400 people worldwide.

NCR and Teradata are trademarks or registered trademarks of NCR Corporation in the United States and other countries.

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