News | May 27, 2020

Automate Returns Safely With Inventory Quarantine

Checkpoint Systems launches Inventory Quarantine (IQ)

Thorofare, NJ /PRNewswire/ - As the apparel retail industry prepares to open its doors again, phased re-openings hinge on a safe shopping environment for both employees and customers.

In response to the many questions surrounding the handling and management of returns in fitting rooms, stores and fulfilment centers, Checkpoint Systems has announced a new technology agnostic software solution – Inventory Quarantine (IQ).

The SaaS-based solution can be stand alone or integrated with your store management system and allows retailers to assign returned stock to an automated quarantine 'holding area' for a number of hours, removing items from visibility to customers both online and in-store.

Recommended to be set to Government guidelines in accordance with the lifespan of COVID-19 on garments and packaging, the simple but effective solution helps retailers process returns, releasing items only when deemed safe for re-sale – maximizing sales while minimizing health risk.

Succeeding in the 'new now'
IQ uses unique software to identify returned items in fulfilment centers, stores, as well as merchandise from fitting rooms – initiating a virtual 'quarantine clock'. Once activated, the items remain in a retailer's designated 'safe area' until the assigned quarantine period is completed. A push notification is then sent to employees notifying them that items are safe for re-sale.

During the coronavirus pandemic, online apparel sales increased 34%, according to Adobe Analytics, while ACI Worldwide has claimed that many online retail categories saw an uptick in sales of up to 74% for March. These increases in sales will no doubt lead to a sharp rise on the standard 30-40% 1 return rate of clothes and shoes, posing logistical issues for retailers who are implementing a quarantine on returned items.

To add to the complexity, as brick and mortar stores re-open their doors, customers can begin returning items in person rather than via post. This coupled with items from fitting rooms, creates uncertainty over potential contamination of merchandise in stores.

Retailers carry the responsibility of ensuring returned or customer handled merchandise does not pose a health risk to others. As a result, the likes of Macy's, Gap, Nordstrom and Mango have already announced plans to quarantine items for a set period of time after they've been taken into a dressing room.

Keeping track and minimizing time 'off shelf', Checkpoint's IQ solution is part of a suite of Safer Shopping automated solutions that are technology agnostic and help retailers introduce effective health and safety measures – instilling confidence in both employees and consumers.

Phil Fisher, Director, Product Management - MV DC/ Supply Chain at Checkpoint Systems, commented: "Across the world, the shopping experience we have grown to know is dramatically changing. Retailers implementing new processes demonstrate they're keeping people safe will undoubtedly be seen favorably by shoppers."

"Returns and fitting rooms have always presented a huge challenge to retailers. COVID-19 has compounded this challenge even further. Shoppers who use dressing rooms are 70%2 more likely to buy, so it's important to get them safely opened as quickly as possible. Inventory Quarantine enables retailers to do just that, and will ensure stores minimize the financial impact".

For More Information Visit: https://checkpointsystems.com/us/Inventory_Quarantine/

About Checkpoint Systems, Inc. (www.checkpointsystems.com)
A division of CCL Industries, Checkpoint Systems is the only vertically integrated RF/RFID solution provider for retail. With consumer demands accelerating at an extraordinary rate driven by technology, Checkpoint delivers intelligent solutions – bringing clarity and efficiency into the retail environment anytime, anywhere. Through a unique offering of software, hardware, labels, tags and connected cloud-based solutions, Checkpoint optimizes retail operations and efficiencies with real-time intuitive data delivered throughout the supply chain and in-store resulting in improved profitability and an enriched consumer experience. Checkpoint's intelligent retail solutions are built upon 50 years of radio frequency technology expertise, innovative high-theft and loss prevention solutions, market-leading software, RFID hardware and comprehensive labeling capabilities to brand, secure and track merchandise from source to shelf.

About CCL Industries
CCL Industries Inc., a world leader in specialty label and packaging solutions for global corporations, small businesses and consumers, employs approximately 19,000 people and operates 150 facilities in 25 countries on six continents with corporate offices in Toronto, Canada, and Framingham, Massachusetts. For more information, visit www.cclind.com.

1 https://www.cnbc.com/2019/01/10/growing-online-sales-means-more-returns-and-trash-for-landfills.html

2 https://www.retaildoc.com/blog/what-if-home-depot-had-a-dressing-room

Source: Checkpoint Systems, Inc.

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