Discover More in Our Blogs, Articles and Use Cases

What Is ESL System? How Does It Work?

Jul 05, 2022

Electronic shelf label systems are a popular technology used in the retail industry to increase efficiency and reduce costs. The system consists of a transmitter and receiver, which are connected by wire or wireless connection. The transmitter is attached to the product label and sends information about the product to the receiver, which is usually located at eye level on a wall or display shelf.

Retailers can use this information to manage inventory and track sales, while also providing real-time information about products to customers. Some electronic shelf label systems can also be used with mobile devices to provide even more functionality.

electronic label system.jpg

How MinewTag's ESL system works in the warehouse

What Is A Electronic Shelf Label System?

Electronic shelf label systems include two main components: transmitters and receivers. A transmitter is attached to each product label using adhesive tape or another method, such as wire ties or clips. This transmitter sends information about each product to a receiver, which is typically located at eye level on an endcap display or wall unit near the store's registers or checkout lanes.

The receiver collects data from all transmitters within range and displays it on a screen for employees to see. Employees can then use this information for various tasks ranging from inventory management to customer service assistance.

ESL System Components

The ESL system has three main components: label management software, communication station, and terminal display.

  • Label management software

The label management software allows you to create labels for your products and assign them to your inventory. It also enables you to generate bar codes for each label and print them on the label printer. The labels are printed on rolls that come in different sizes and can be used for all types of products. The labels have a self-adhesive backing so they can be applied to items directly without additional help.

  • Communication station

The communication station is used by shipping personnel to scan bar codes from the labels and send them electronically to the ESL database in your computer system. You can use any device that supports bar code scanning as long as it connects with an RS232 or USB cable (depending on what type of communication station you have). Some stations have both interfaces so they can connect with whichever type of device is available at your business location.

  • Terminal display

The terminal display acts like a large calculator that displays information about shipments as they are processed through the ESL system at the shipping facility where it's installed. You can use this screen to verify data before sending orders off for delivery, or even while customers wait in line.

DS116 large size label.png

Large-size electronic labels of MinewTag

ESL System Benefits

There are several benefits to using electronic shelf label systems, including:

  • Improved Accuracy: When the data is entered into a database, it is stored and organized in a way that makes it easier for users to find what they need. This means that there is less room for error when using the database.

  • Faster Queries:  You can search for specific information faster because of the way the database is organized. You also don't have to worry about whether someone has updated their information or if it's been entered correctly since there is only one version of each record in each database.

  • Increased Security: By storing all your information in one place, you reduce the number of opportunities there are for unauthorized access by hackers and other groups who might want access to your data on purpose or by accident (such as through a computer virus). This can help keep your data secure from theft or misuse by unauthorized users who may want access such as competitors or criminals looking to use your information against you.

  • Increases sales revenue: Customers who know exactly what they want don't waste time looking around for specific items or asking questions about where something may be located, they simply grab it off the shelf and pay for it right away! This saves them valuable time that could be used shopping elsewhere or doing something else entirely unrelated to shopping.

  • Automation: Electronic shelf label systems allow you to automate many tasks so that you don't have to do them yourself any more, saving you time and money.

  • A better working environment for employees, who are less fatigued and more effective at their jobs.

  • Reduced waste: as workers use only the amount of material needed for each job.

  • Reduced scrap: as workers use only the amount of material needed for each job.

Electronic price tags are more expensive than digital ones, but they also offer you a lot more benefits.

paper label and digital label.jpg

Paper labels VS. Digital labels

Differences between Electronic Tags and Digital Tags

Here are the main differences between the electronic price tag system and the digital price tag system:

  • Cost

Electronic price tag systems are typically more expensive than digital ones because they have more features. However, their long-term benefits may outweigh their initial cost.

  • Durability and Portability

Electronic price tags are more durable than digital price tag systems because they don't need to be held up by anything other than a small magnet or adhesive strip. You can also move them around as needed without the worry of damaging them.

  • Style Options

Electronic price tags come in many different shapes and sizes, so you can find one that fits in with your store's aesthetic or style perfectly. You can even get personalized options if you want to make sure your customers recognize the brand when they see it on your product.

how esl system work.jpg

How does ESL systems work

Why MinewTag's Electronic Shelf Labels?

The MinewTag Company is a leading manufacturer of an electronic shelf label system, shelf labels for the retail industry, and other types of electronic label printing equipment. MinewTag has been helping retailers to create an effective and engaging consumer experience by enabling them to design their dynamic product displays. The company helps retailers in creating a personalized brand experience for consumers, which will enhance their shopping experience.