Case Study

Carrucci Shoes

Carrucci Shoes uses TagMatiks Wedge and RFID handhelds to scan inventory items for shipment verification and inventory management for a major RFID Retail Mandate.

Challenge

When Carrucci Shoes was mandated to implement RFID technology by the retailers selling its products last year, it faced a decision: either attach RFID tags to goods destined for retailers and bear the cost, or harness the technology for its own internal advantages.

Carrucci Shoes chose the latter. By integrating RFID tags into every box of shoes it produces, the brand has streamlined both the receiving and shipping processes, capitalizing on the technology for its operational benefits.

Solution

The data from the RFID4U solution, known as TagMatiks Wedge, not only ensures that the correct products are shipped to retailers but also provides Carrucci with the precise inventory accuracy required for e-commerce sales.

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This affordable application, which can be downloaded at no cost for up to 500 scans, includes a “success center” offering live chat and ticket-based support.

Since implementing the RFID system in May, Carrucci Shoes has cut labor costs, enhanced inventory visibility for e-commerce, and reduced shipping errors, according to Janice Hu, operations director at Carrucci Shoes’ parent company, King Windsor Group

Before the mandate was issued, Carrucci faced significant challenges with inventory management. Although the company strived for accurate inventory, the process was labor-intensive and cumbersome.

In fact, counting inventory in the warehouse could consume half a workday for just one or two shoe styles, making a full inventory count nearly impossible. As Carrucci transitioned toward online sales, maintaining precise inventory became even more crucial. To ensure products were available and ready for shipment from the Los Angeles warehouse, accurate inventory was essential.

“We needed to ensure our inventory is always precise. Whether the customer is a wholesale partner or a retailer, if we indicate an item is available, it must be in stock and ready to ship,” Hu explained.

Result

In the past year, companies have rushed to comply with RFID mandates, focusing on simply identifying and attaching tags to products before deadlines. Retailers face increasing pressures, including rising labor costs, the need for rapid order fulfillment, charge-backs for errors, and high logistics expenses

The cost of shipping alone makes errors particularly costly. Incorrect shipments not only require resending the product but can also lead to the supplier losing the sale.

Carrucci, having implemented RFID tags on all its products, is now looking to expand its use. The company is exploring options like fixed RFID readers and portals for automatic tag reading at doorways or dock doors.