The right asset. In the right place. At the right time.

RFID A Zebra Perspective

Marty Johnson

Is RFID Real.......This Time?

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R

FID

201

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Understanding

Awareness

Facilitated & Broader Adoption

Innovators

Shift from Understanding to Commitment indicates beginning of broader and facilitated adoption

Early Adopters

Early Majority Late Majority Laggards

Awareness

Understanding

Facilitated & Broader Adoption

CommittmentCommittment

Solution moving to next phase on latest adoption lifecycle … this time it is broader, and deeper

Source: VDC Research Webcast - 8/10 RFID & Barcode: State of the Industry

Customer Adoption Drivers

Top RFID System Adoption Drivers• Need for real time data Vs batch• Gain competitive advantage• Reduce operating costs• Enhance security via RFID• Technology price declines• Better visibility of inventory position• Compliance• Reduce labor costs• Financial ROI• Visibility of other RFID success

3Source: ABI Research (annual RFID end-user Survey Report – Q1 2011

Global RFID Market Size

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2009 2014

CAGR 2009-2014

$ MM % Share $ MM % Share

TRANSPORTATION $156.8 27.1% $558.8 18.9% 28.9%

GOVERNMENT $103.8 17.9% $269.6 9.1% 21.0%

CPG $128.9 22.3% $522.2 17.6% 32.3%

RETAIL $53.5 9.2% $473.7 16.0% 54.7%

COMMERCIAL SERVICES $29.3 5.1% $210.3 7.1% 48.3%

AUTOMOTIVE $47.4 8.2% $83.1 2.8% 11.9%

HEALTH CARE $19.7 3.4% $79.8 2.7% 32.2%

ELECTRONICS $12.4 2.1% $46.8 1.6% 30.5%

PHARMACEUTICALS $8.2 1.4% $54.7 1.8% 46.2%

OTHER $18.9 3.3% $663.2 22.4% 103.8%

TOTAL $579 $2,962

Includes All Solution Components)

Verticals Continue to Evolve and Expand – Many Niche ApplicationsSource: VDC Research Webcast - 8/10 RFID & Barcode: State of the Industry

Diverse Applications Driving Growth

Supply Chain Management and Inventory Control

• Fashion / Apparel• Luxury Goods• Airplane parts

Asset Tracking & LBS• IT and Medical Equipment• Vehicles, Containers, Pallets• People

Baggage Handling• Airports• Rail• Marine

• Sensing / Monitoring Produce/Food products Museums/Artifacts Life Sciences/Pharmaceuticals

• Shop-Floor Automation• Consumer Electronics• WIP• Automotive• CPG

• Automatic Vehicle Identification

• Parking authorization• Traffic control• Registration

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Where Are The Deals…….Retailers

Not just the big apparel names Smaller retailers & specialty stores see same benefits & are

getting engaged• Example: Pawn shop with over 300 stores - need 1-2 printers

per store Different set of decision-makers

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Where Are The Deals……Retail Suppliers

Currently: jeans, basics, intimates, tires

Next: footwear & boxed electronics - TV, DVD, cameras, etc.)

Picture courtesy Checkpoint Systems7

Apparel RFID Tagging Example

Apparel manufacturer encoding 1 MM tags/wk, 50M tags/yr• 8 Printers, 200k tags/day, 5 days/wk • On-pitch encoding reduces media costs by $750,000/yr

A single printer encoding 25k labels/day will consume $500k of RFID media per year!

Printer pays for itself in 2 weeks from media saving

Throughput as high as 100+ tags per minute

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Where are the Deals?

Manufacturing• Relatively simple

applications to gain visibility

Healthcare• More and more

applications for specimen tracking are popping up

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High Performance Printers

Mid-RangePrinters

PerformanceClass Card Printers

Print and Apply Engines

Label DesignSoftware

Mobile Printers

Desktop Printers

RFIDPrinter/Encoders

Value ClassCard Printers

Kiosk Printers

NetworkingProducts

SecurityCard Printers

Specialty Supplies

Card PrinterSupplies

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Printer Management

Software

Specialty Printing Solutions

RetransferCard Printers

ID Solutions

Patient ID Printer

QUESTIONS

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