RFID Reader

Some Frequently Asked Questions About RFID

Frequently asked questions about RFID

What is RFID’s Return on Investment (ROI)?

When contemplating the purchase and deployment of any new system, two of the most critical concerns to address are whether and when the organization will see a return on its investment. Before introducing a new system, fixed costs, recurrent expenses, and the cost of switching in terms of labor costs must all be considered.

Both application feasibility and cost feasibility should be evaluated before adopting an RFID system.

RFID Application Feasibility

The process of establishing if an application is acceptable for usage with RFID is referred to as application feasibility. RFID, like other technologies, has limitations. Environmental limits, read range limitations, and asset material composition are just a few of the factors. That can have a significant impact on how effective an RFID system is for a particular application. As a starting point, the Application Feasibility process should include scoping the project and its environment. Followed by deciding whether RFID (or another technology) is the best fit for the application.

RFID Cost Feasibility

Cost feasibility relates to determining whether or not adopting an RFID system is financially feasible. Cost feasibility entails not just determining whether an ROI is conceivable, but also working with existing and prospective figures to determine the expected timescale for a return on investment. RFID systems can be costly. They necessitate an initial expenditure for testing and dealing with various types of equipment and tags (which could be a sunk expense for the corporation if the technology fails). Following the testing phase, the deployment charges begin (Read more about Fixed vs. Recurring Costs below). Only once a system has been built and is fully operational can the timeline for seeing a return on investment begin.

Fixed vs. Recurring Costs of Wireless RFID Reader Systems

Grouping costs by fixed (initial) or recurring will help to paint a more accurate picture of expected yearly costs and return on investment of a system.

Fixed Costs

Fixed expenditures are one-time expenses connected with starting a business. A fixed cost in an RFID deployment is typically connected with gear. Such as readers, antennas, and cables. That required setting up the system. Fixed expenses do not always imply that you will never buy that thing again. They simply indicate that the item is not utilized once. And then abandoned or consumed during the application. Hardware will still be deemed a Fixed Cost. If you plan to set up an initial system and then extend that system later. RFID tags are only considered fixed costs when they are constantly reused throughout the system. Such as access control RFID fobs that are allocated and redistributed to personnel as needed.

Recurring Costs

Items that are utilized once and subsequently discarded or consumed during the application incur recurring costs. A common example of a recurrent expense in an RFID system is an RFID inlay or label. Because of their inexpensive cost, RFID tags are usually put once and then left on an object for the duration of its life (or discarded after use). If an RFID printer is utilized, printer ribbon will be an ongoing expense. If a software license is renewed annually or acquired as a SaaS (Software as a Service) product. It should also be considered a recurrent cost.

Environmental factors that affect RFID

RFID systems are vulnerable to specific materials and environmental variables. Which can result in reduced read ranges and worse overall system accuracy. Metal and liquids are the two most prevalent sources of RFID interference. But they may be reduced with the right RFID tags, equipment, and design.

As UHF RFID becomes more widely used with liquid-filled or metallic products. More and more tags are being created with new techniques to mitigate these issues. Furthermore, approaches such as working with tag placement and spacers. Have been created to help reduce the effects of these things.


Despite the fact that this book is packed with RFID information, it is only the tip of the iceberg when it comes to deploying RFID technology. The good news is that there are numerous options to learn more:

The purpose of this blog is to keep you informed and up to date on the latest RFID industry advances like Rfid smart reader. We intend to create original information covering a wide range of topics for all levels of RFID experience, whether you’re an industry veteran or a newcomer to the RFD sector.

Leave a Reply

Your email address will not be published.