Sensormatic Electronics Acquires Vue Technology
Boca Raton, Fla.–based Sensormatic Electronics Corp., maker of loss-prevention sensor tags for retailers, has acquired RFID (radio frequency identification) specialist Vue Technology, based in Lake Forest, Calif., for an undisclosed sum.
Sensormatic is a division of Tyco International, which acquired Sensormatic in 2001. The latest acquisition will give Sensormatic a foot into the door of the growing RFID market as well as the potential to integrate the companies’ products.
Vue Technology develops and markets item-level RFID software and infrastructure solutions, including RFID read points and RF networking devices to track inventory on a realtime basis and a full RFID platform.
The acquisition of Vue builds on Sensormatic’s strategy to offer integrated technology solutions for its retail customers. The integration of Vue’s RFID infrastructure into Sensormatic’s portfolio of loss-prevention hardware solutions and other sensor technologies will enable retailers to deploy RFID at the store level to gain better control of inventories and security. According to recent studies, out-of-stocks alone contribute up to $93 billion of lost revenue for retailers and cause higher operational costs as well as an erosion of customer service.
Vue’s technology has been tested to show that users gain up to 99 percent of sales-floor availability, which contributes to same-store sales growth of up to 25 percent.
“Sensormatic is known as a company that helps retailers reduce theft losses. Now we can help retailers address their biggest form of loss—lost sales due to inventory inaccuracies,” said Scott Clements, vice president and general manager of Sensormatic. “Sensormatic is focused on lowering the cost and complexity of implementing item-level RFID solutions.”
Vue Chief Executive Officer Robert Locke said the acquisition will help speed up the adoption rate of item-level RFID. The technology has mainly been used by big-box retailers such as Wal-Mart and Target to track incoming shipments in the warehouse. Privacy issues and costs have hampered store-level RFID implementations, though Vue’s client American Apparel is among the first to launch a program in the United States. —Robert McAllister
