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It's Uniqlo and it works because clothes have no metal or body of water or something else that could interfere with the RFID.

The items are also all high enough margin to cover the extra tag cost. Isn’t going to work for supermarkets.

Yup, tagging and all the related costs are only reasonable for high-margin/relative high value products, not food

It's not just for payment though, it also helps for theft, and I suppose inventory management is improved on many aspects as well.