Metro Cash & Carry to Launch Global Shrink Management Initiative

HAMBURG, Germany -- German retailer Metro Cash & Carry plans to launch a shrink management and source protection program at its stores in Europe, Asia, and Africa to minimize shrinkage and enhance the shopping experience.

The retailer tapped Thorofare, N.J.-based Checkpoint Systems for the installation of 3G NDRF (new digital radio frequency) technology and source-tagging antennas and deactivators across 425 Cash & Carry self-service wholesale stores in 28 countries.

"Protection of products right from the manufacturer is now essential to minimize shrinkage and improve processes," said Gerhard Friedrichs, corporate head of security for Metro. "Traditionally, across Metro, security was managed in-store, using a number of different technologies and methods, such as AM (Acousto-magnetic) and RF, from different suppliers. Partnering with Checkpoint will allow Metro to have a consistent product protection solution across its entire international estate."

According to Checkpoint, the global shrink management solution will provide Metro with product protection throughout the entire supply chain, from manufacturing and distribution to the point of sale, where the RF tags on the item are deactivated. This eliminates the need for employees to spend time physically securing the tags in-store or removing them at the point of sale.

Source tagging ensures that the presentation of a product is not altered, as the tag can be applied onto, or integrated directly into, a product's label or packaging. This provides a discreet security solution that enables the retailer to display the products freely, giving customers easy access to products.

Products prone to theft will be protected first, such as garments, shoes, razor blades, wine, spirits, liquors, and high-value meat.

A large proportion of Metro's product range will be tagged, and the security added to the product will be adapted to each country's specific needs. A variety of source tagging solutions from Checkpoint will be used, including high-speed auto-apply labels, fully integrated hang tags, and shoe and woven labels with or without variable data to be applied on apparel, within apparel, or into the shoe items.

Checkpoint is also able to provide Metro with tags through its Global CheckNet Service Bureau, which can print virtually any label or ticket on demand from any of the five continents.

Metro has built an internal team to handle the implementation of the project, and Checkpoint is supporting the program with its own source-tagging team, including source tagging advisers based at Metro's buying offices around the world.

Metro Cash & Carry is the largest sales division of Germany-based Metro Group.
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