Most people think about RFID sticker as just a piece of plastic that they can stick on the their vehicles to open the boom gates automatically. It is intuitive to think that the cost of RFID sticker is just the cost of the sticker itself. However, there are many other factors that contribute to the overall cost of using the RFID technology. In this article, we will discuss these factors and how they affect the pricing of RFID stickers.

Pricing Structure

Currently our RFID stickers can be purchased at RM50 a piece for new vehicles and RM20 for replacements. This pricing structure is comparable to most gated and guarded communities but the price is usually the same for new or replacement. To put things into perspective, most fancy coffee drinks cost more than RM20.

Cost Breakdown

When discussing the cost of RFID stickers, it is essential to consider all the components involved. The following are some of the factors that contribute to the overall cost of RFID stickers:

• Processing: The cost involved in processing an application for an RFID sticker.
• Reader: To read and write data to the RFID sticker, a reader is required.
• Software: While we’re partly using an in-house solution, we’re still relying on third-party software to manage the RFID stickers.
• Maintenance: Regular maintenance of the hardware and software is required to ensure that everything is working properly.
• Support: In the case of any issues, support is required to resolve them.
• Miscellaneous: There are also other costs that may not be immediately apparent, such as the cost of training.

A key take-away here is that the cost of the RFID sticker itself is just a small fraction of the total cost and it does not stop when the RFID sticker was issued.

Why not take it out from our collection fees?

Given that we have already lowered our collection fees several times throughout the years, taking the cost out of the coffers would result in less funds being available for unforeseen circumstances.

More importantly, some people have more vehicles than others and some require more replacements based on their usage so it would not be fair to have the cost of their stickers covered by others.

What can be improved?

We want to thank everyone who has given valuable feedback in the span of one year since the RFID system was introduced. Below are just some of the initiatives to address the issues raised by the residents:

1. A new type of RFID stickers with higher durability have been rolled out to all new applications, eliminating the need for an additional layer of PPF film which was previously used to protect the stickers.

2. A new system will be introduced to enable residents to apply for new or replacement RFID stickers directly from Club@Ferrea, resulting in a reduction of the processing time and cost.

3. A reasonable warranty period for the stickers will be implemented to cover any accidental damage or loss of the stickers.