February 09, 2005

European Consumers Express RFID Privacy Concerns

A recent study of 2,000 European consumers by Capgemini revealed that more than half felt that RFID technology threatened their privacy. Retailers are increasingly using RFID for inventory control, from the distribution center to the store shelf to checkout. But what can be done to allay consumers' fears of the technology that becomes more prevalent with each passing day? Certainly privacy-protection legislation could make some feel more secure. Many consumers however see benefits arising from RFID and in the future, those who currently fear the privacy implications of the technology could come around to this side of the argument. According to InformationWeek:

Survey respondents say the tags will improve anti-theft measures, lead to faster recovery of stolen items, better security for prescription drugs, safer foods, faster and more reliable recall notices, quicker checkout, and reduced counterfeiting.
Ironically, the study reveals that making sure the product consumers want is on the shelf was one of the least important benefits from RFID, along with increased access to more products and in-aisle comparisons. Reducing the number of out-of-stock items has been a major reason retailers have touted their decision to deploy RFID in their supply chains.

Read more: Majority Of European Consumers Worry RFID Threatens Their Privacy, Survey Says

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