Iot in the Retail industry By Vanesa levine, mElina kim, Aizhou Liu

Retail industry in the Connected world Photo Source: A&S Magazine

Use 1: IoT surveillance cameras Photo Source: itech-ny

Surveillance Facial Recognition capability Photo Source: CodeFire Technologies

SMART CAMERA SURVAILLENCE system Smart surveillance cameras in the future will be equipped with machine learning. Machine learning will have facial recognition capabilities.

What can facial recognition abilities provide? Identify customers Take notice of items the customer looks at, tries on, and puts back Take notice of how often the customer comes into the store; including what day/s of the week and times

What can retailers do with this data? Make recommendations about other products Send special promotions that are relevant to each individual customer Both can be accomplished either through a store app, a virtual reality digital system, or by email

summary/analysis of how this technology is changing in the retail industry Technology is changing in the retail industry because we are moving towards smart technology. Surveillance cameras are becoming smart surveillance cameras which are providing retailers with great new opportunities. The functions of the system are completely difference than traditional surveillance systems. Traditional surveillance systems generally are checked when an issue occurs. The remaining data is generally disposed and not useful. The smart surveillance system however, monitors everything that is happening and collect data which can later be used to assist marketing. 

Challenges in increasing the use of this technology Although there are many opportunities using smart surveillance systems, there are some corresponding challenges in increasing the use of this technology. False predictions can alter data and negatively affect the opportunities posed by smart surveillance. For instance, the smart surveillance's facial recognition may mistake a consumer for a different consumers. Similarly, the smart surveillance may not recognize a consumer and create a new profile for them. Overall, issues with facial detection may pose great challenges for the system.   

Use 2: radio-frequency identification (RFID)

RFID technology RFID is an ID-identification-system that relies on a small chip that is implanted in a tag.

What can RFID provide? Record serial number, price or purchase record Easily and quickly keep track of inventory stock Collect accurate data on customer movement patterns and traffic areas to optimize product placement

What can retailers do with this data? Reduce shrinkage and fraud issues by getting alerts when there is a suspicious movement in the store Increase work efficiency and boost sales Provide faster checkout and return experience to customers Example: Clothing and accessories retailer, Zara, is now able to conduct a physical inventory in their outlets in about 15% of the time it used to take by using RFID

Use 3: Augmented Reality (AR) Shapes User Experience Photo Source: http://www.augmentedrealitytrends.com/augmented-reality-retail/future-of-retail-and-commerce.html

Augmented Reality (AR) Through a smartphone or tablet, AR overlays a digital image and enable the shopper see the virtual object in the real world setting. Photo Source: http://cdn.pymnts.com/wp-content/uploads/2017/03/shutterstock_520486687.jpg

What can Augmented Reality (AR) provide? Detect: The sensor detects an object called reference point(s), gathering the current state of environment information. Overlay: A process will evaluate the sensor data, to implement the natural environment and to generate the signals required to drive the display. A display finally creates the impression that the virtual world and the real world are coexistent.

What can retailers do with this data? The connected mobile app allows shoppers to magnify, move and change the configuration of the product. It provides a seamless user experience by allowing shoppers to interact with products, and get more product information. It increases the conversion rates. It satisfies the shopping for speed, convenience and simplicity.