While near-field communication is a subset of RFID, both technologies come with specific advantages and limitations. Company leaders should learn the pros and cons of each so they can decide which technology is best for their organization.
RFID is more widely applicable across the supply chain, but near-field communication (NFC) has applications in manufacturing settings and can deliver information to retail consumers, among other applications. Other key differences between the technologies include cost and security.
Learn more about RFID vs. NFC, as well as the pros and cons for each technology.
What is RFID?
RFID is a type of wireless communication in which an RFID reader, which consists of a scanning antenna and transceiver, harnesses radio waves to send signals to an RFID tag, or transponder. When the tag's wave reaches the scanning antenna, the person using the RFID reader receives information about the object.
The core technology was conceived in the 1940s and tracked military shipments in the 1970s. RFID technology includes several variations that each work across different radio frequencies, data rates and distances. There are two types of RFID tags: active tags, which run on their own power; and passive tags, which use power from the reading antenna.
Supply chain uses for RFID include using RFID readers to get information from tags on individual products or shipping containers. In addition, smart tags can track environmental conditions for product boxes and record when products exceed temperature, vibration or humidity thresholds. Food companies can also use RFID tags to track livestock by injecting animals with tags.
What is NFC?
NFC is a subset of RFID technology that was initially designed to support short-range communication for mobile devices. Through magnetic field induction, NFC enables two devices to send messages when they're near one another. Today, NFC is part of all cell phones and most modern credit cards.
NFC is often used to open doors, link devices like Bluetooth headphones to a smartphone, and pay with a cell phone through services like Apple Pay or Google Pay.
A supermarket might put NFC tags on their food products so customers can use their smartphones to scan the tags and get more information about ingredients. NFC can also be useful in a manufacturing setting. For example, a worker can scan a machine's NFC tag to get information about how it works.
RFID pros and cons
RFID is far more configurable and customizable than NFC. Low-frequency RFID has a small read range, but low-frequency RFID waves can pass through water or metal. High-frequency systems can support ranges of a few inches to a few feet, while ultra-high frequency systems can range 25 feet or more. RFID can also help a company keep costs down, improve data capture or meet other requirements. For example, RFID tags can monitor inventory in a cost-efficient way, and record a product's history to give supply chain leaders more insight into the product shipping process.
The biggest disadvantage of RFID tags is their lack of security. Any user with the correct reader can access the information on the tag.
NFC pros and cons
While NFC isn't free from security weaknesses, it's more difficult for hackers to access than many other types of RFID because NFC sends information through magnetic field induction, and the field fades faster.
However, NFC's short range can be a disadvantage in various use cases. For example, NFC technology isn't a good fit if the user needs to scan tags on a long line of products stretching to the back of a shelf. In addition, NFC tags tend to be more expensive than many types of RFID tags because of the additional encryption cost. Because of this, NFC tags are less suited, for example, to a retail store where every item of clothing needs a tag.
FAQs
RFID is more widely applicable across the supply chain, but near-field communication (NFC) has applications in manufacturing settings and can deliver information to retail consumers, among other applications. Other key differences between the technologies include cost and security.
Which one is better, RFID or NFC? ›
While RFID technology can be used over long distances, NFC technology is limited to small distances. RFID tags can generally be scanned at distances of up to 100 meters and do not require a direct line of sight to the reader.
What are the pros and cons of RFID tags? ›
Using RFID for inventory management offers several benefits, such as reduced labor costs and faster scanning. However, RFID technology also has some disadvantages, including security concerns and infrastructure requirements.
What is the difference between NFC and RFID access control systems? ›
Shorter range: RFID readers have a range of a few feet, while NFC devices are limited to a few inches. This can create some inefficiencies when deployed at scale. Limited availability: At least in the United States, NFC-enabled devices are less commonly available than RFID.
What is the difference between NFC and RFID inventory? ›
Which is better, NFC or RFID? The real answer to which is better depends on what you want to use it for. RAIN RFID is best for inventory management and asset tracking because it offers a broad-spectrum solution to your problem with long-range capabilities. NFC is best for single communication over small distances.
Why is RFID better? ›
RFID not only streamlines and automates asset scanning but also eliminates the possibility of human error. Each asset or tagged item is detected and identified automatically, and it is matched up with the correct information in your database using its unique ID.
Which is cheaper RFID or NFC? ›
There is very little difference in price between an NFC tag vs RFID tag. Both types can cost less than $0.10. Active RFID tags are more expensive because they have their own built-in power source.
What are the negative effects of RFID? ›
Lack of Security: One of the main disadvantages of RFID tags is their lack of robust security. Any user with the correct reader can access the information stored on the tag, which exposes the system to potential security breaches[3]. Expense: Compared to barcode systems, RFID systems can be more expensive to implement.
What is the controversy with RFID? ›
There is controversy regarding human applications of implantable RFID technology including concerns that individuals could potentially be tracked by carrying an identifier unique to them. Privacy advocates have protested against implantable RFID chips, warning of potential abuse.
What are the limitations of NFC? ›
Limited Range
Based on the name alone, people can't use NFC cards when the NFC-enabled device is too far from the sticker. The tag and device will refuse to establish a connection when the distance is more than 4 cm or a few inches. Bluetooth and WiFi will be better methods to transfer data in such cases.
RFID chips exist in many variations, with the most common being NFC chips. Most modern smart access cards are NFC-enabled cards. What's interesting, though, is that this tech is not limited to access cards and readers: Most modern smartphones have an RFID chip inside them.
Do credit cards use RFID or NFC? ›
That's because contactless credit card payments are enabled by a type of RFID technology called near-field communication, or NFC. When you wave your credit card or phone's digital wallet in front of a contactless reader for a few seconds, the NFC technology is activated, allowing the payment to be processed.
Why NFC is better than RFID? ›
RFID works at distances of hundreds of feet. Communication – RFID is typically only capable of one-way communication (from the tag to the reader), NFC is capable of two-way communication. Data Storage – NFC can store more complex data than simple identifying information. NFC tags can store up to 4KB of data.
What is the difference between NFC and RFID implants? ›
RFID is an acronym that means Radio Frequency IDentification, while NFC is an acronym meaning Near Field Communication. NFC is a strict set of protocols applied to existing RFID standards. This means NFC devices are also RFID devices, but not all RFID devices are NFC compatible.
What is the difference between NFC and RFID business cards? ›
NFC & RFID Cards...the basics
RFID tags contain a chip for storage and an antenna communicating via a radio signal. NFC stands for near-field communication. A newer form of RFID technology that NFC card can store data and communicate with smartphones from a close distance without contact.
Can I use my phone NFC as an RFID card? ›
Certainly! You can utilize an NFC tag as an RFID tag provided that you have an RFID reader operating at the same frequency. NFC tags function at 13.56 MHz, which falls under the high-frequency RFID range.
What technology is better than RFID? ›
Therefore, for applications that require the tag to be working continuously, like in wearable technology, BLE is the better option when compared to RFID. Both RFID and BLE technology have varying levels of security, depending on the implementation.
What technology is better than NFC? ›
However, NFC technology is the best choice if the application requires proximity communication and higher security. Finally, RFID technology is the best choice if the application requires inventory management or asset tracking.
Is RFID outdated? ›
RFID is most definitely not outdated. As far as a better type of RFID goes, the technology is evolving and improving every day. There are many different types of RFID. Some have very broad applications, some more narrow uses.
