Frost & Sullivan pegs the RFID market at $201.3 million in 2004 and forecasts a market of $1.26 billion in 2011.

The latest Frost & Sullivan analysis, RFID Real Time Locating Systems Market,
also suggests that channel partners in the RTLS industry are not very
active and need to be trained more effectively. The successful
implementation of this technology requires a deep understanding of
business operations, quality functions, system support issues,
standards, IT infrastructure issues, and ERP systems. Ineffective
installations lead to customer dissatisfaction and increased customer
support issues later on.

"The apparent inefficiency of channel members adversely affects the
perception of brands among consumers," warned Durga. "Though technology
and pricing factors remain favourable, ineffective deployments reduce
consumer confidence and ruin brand images." To overcome these issues,
solution providers must train their channel members. Effective and
customised training would reflect on the level of customer satisfaction
and help in brand building, the report says.

Pushing a disruptive new technology through indirect channels is never easy.