AIDC CHANNEL ORGANIZATIONS SUPPORT EMERGING APPLICATIONS

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AIDC CHANNEL ORGANIZATIONS SUPPORT EMERGING APPLICATIONS
21 December 2004 - Venture Development Corporation

New research by Venture Development Corporation, the 2004 Global AIDC Industry Business Planning Service, reports that AIDC system resellers continue to expand support coverage for emerging application solutions.

While most resellers support traditional application markets such as warehouse management, inventory control, point-of-sale, and shipping/receiving, the majority of market growth is found in emerging applications such as self-checkout, mobile POS, route accounting, and more. The following exhibit illustrates the top six emerging applications generating support among AIDC resellers.

Indications show that adoption may in fact intensify over the next few years as:

Mobile Printing Opens New Doors, Much of the expansion into mobile applications such as POS, DSD, and shelf labeling are being driven by innovations in the field of mobile printing. Enabling wireless technologies such as Bluetooth and 802.11 a/b/g and their integration into small, portable printers can greatly increase system efficiency over traditional stationary printer applications.

Complexity of Self-checkout Systems, Self-checkout systems, while largely being installed by the suppliers of the technology can require significant amounts of post-sale service and support. Resellers educated on the proper maintenance and support services can generate a constant revenue stream from service contracts.

Recall and Tracking Efficiencies, Reverse logistics is becoming an increasingly important task as organizations associated with high-recall industries such as automotive, food & beverage, and pharmaceutical install AIDC systems to comply with growing industry/government mandates and to streamline the recall process.

According to VDC analyst Taylor Smith, 'Traditional AIDC markets such as WMS, supply chain management, POS, and shipping/receiving are becoming increasingly standard solutions often found in off-the-shelf products. Future opportunities for channel organizations exist in emerging markets such as route account, mobile POS, and on-demand/distributed shelf labeling. Acquiring the knowledge and expertise to install these application-specific systems will position solution providers at a competitive advantage over traditional resellers not able to support such solutions.'

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About: Venture Development Corporation
Venture Development Corporation (VDC) is an independent technology market research and strategy consulting firm that specializes in a number of industrial, embedded, defense and niche enterprise IT markets. VDC has been operating since 1971, when graduates of the Harvard Business School and Massachusetts Institute of Technology founded the firm. Today, we employ a talented collection of analysts and consultants who offer a rare combination of expertise in the market research process; experience in technology product and program management, and formal training in engineering and marketing. VDC's clients include thousands of the largest and fastest growing tech suppliers in the world and the most successful investors participating in the markets we cover.

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