RFID System Designed To Prevent Car Theft From Auto Dealerships

We’ve all taken the requisite new car test drive from the local auto dealership. But at the same time, car dealers are fighting off the rising problem of auto theft that comes with that drive around the block.

And with an RFID-enabled security system designed by MIKOH Corp. and Ship2Save, car dealers should be able to breathe a little easier.

The two companies have partnered to design a joint solution for AVS Key and Inventory Solutions to help protect cars at dealerships. The solution uses MIKOH’s Smart&Secure tamper-evident RFID platform with custom cabinets from Ship2Saves Operational Management Systems.

“Car theft is a rising concern for dealerships, mostly due to stolen keys,” said Anoop Sharma, president of AVS Key and Inventory Solutions and a former Toronto police officer. “During test drives, thieves switch the original keys with counterfeits, returning a few hours later to drive the car off the lot and onto a waiting truck. RFID is an ideal security solution to prevent key counterfeiting and theft.”

The system works like this. The keys at the dealership are stored in a custom Ship2Save cabinet with an automatic locking mechanism. Employees check out the keys with coded ID cards and can only check out a certain quantity of keys for a limited time period.

If the keys are not returned on time, or more keys are removed than authorized for the employee, the system alerts a designated party that the keys are at risk. The dealership can then move the card to a more secure location.

To prevent thieves from disabling the system, each key is equipped with an RFID tag using the Smart&Secure system.

“Car theft costs dealerships approximately $420,000 each year, not including increased insurance premiums and lost opportunity costs,” said Aminder Singh, vice president products and services for Ship2Save. “The Ship2Save and MIKOH partnership creates an obvious solution to enhance dealership security. The addressable market in North America alone is more than 10 million tags annually.”

AVS Key and Inventory Solutions also can help dealerships manage key inventories. Thanks to employees losing or forgetting to return keys, dealerships spend an average of $2,000 per year on key replacement fees. The system is designed to cut down on that expense.

“AVS Key and Inventory Solutions perfectly illustrates how RFID can be leveraged to create an innovative solution to a specific market need,” said Andrew Strauch, vice president of product marketing and management for MIKOH. “The result prevents car theft, saving money for both dealerships and insurance companies while saving time and resources for local law enforcement organizations.”

The system is in use at a Toronto car dealership while eight others in the area are planning to install the system. Company officials said they are looking to expand the system to other North American locations.

About the Author

Brent Dirks is senior editor for Security Today and Campus Security Today magazines.

Featured

  • Empowering and Securing a Mobile Workforce

    What happens when technology lets you work anywhere – but exposes you to security threats everywhere? This is the reality of modern work. No longer tethered to desks, work happens everywhere – in the office, from home, on the road, and in countless locations in between. Read Now

  • TSA Introduces New $45 Fee Option for Travelers Without REAL ID Starting February 1

    The Transportation Security Administration (TSA) announced today that it will refer all passengers who do not present an acceptable form of ID and still want to fly an option to pay a $45 fee to use a modernized alternative identity verification system, TSA Confirm.ID, to establish identity at security checkpoints beginning on February 1, 2026. Read Now

  • The Evolution of IP Camera Intelligence

    As the 30th anniversary of the IP camera approaches in 2026, it is worth reflecting on how far we have come. The first network camera, launched in 1996, delivered one frame every 17 seconds—not impressive by today’s standards, but groundbreaking at the time. It did something that no analog system could: transmit video over a standard IP network. Read Now

  • From Surveillance to Intelligence

    Years ago, it would have been significantly more expensive to run an analytic like that — requiring a custom-built solution with burdensome infrastructure demands — but modern edge devices have made it accessible to everyone. It also saves time, which is a critical factor if a missing child is involved. Video compression technology has played a critical role as well. Over the years, significant advancements have been made in video coding standards — including H.263, MPEG formats, and H.264—alongside compression optimization technologies developed by IP video manufacturers to improve efficiency without sacrificing quality. The open-source AV1 codec developed by the Alliance for Open Media—a consortium including Google, Netflix, Microsoft, Amazon and others — is already the preferred decoder for cloud-based applications, and is quickly becoming the standard for video compression of all types. Read Now

  • Cost: Reactive vs. Proactive Security

    Security breaches often happen despite the availability of tools to prevent them. To combat this problem, the industry is shifting from reactive correction to proactive protection. This article will examine why so many security leaders have realized they must “lead before the breach” – not after. Read Now

Most   Popular

New Products

  • Compact IP Video Intercom

    Viking’s X-205 Series of intercoms provide HD IP video and two-way voice communication - all wrapped up in an attractive compact chassis.

  • Unified VMS

    AxxonSoft introduces version 2.0 of the Axxon One VMS. The new release features integrations with various physical security systems, making Axxon One a unified VMS. Other enhancements include new AI video analytics and intelligent search functions, hardened cybersecurity, usability and performance improvements, and expanded cloud capabilities

  • PE80 Series

    PE80 Series by SARGENT / ED4000/PED5000 Series by Corbin Russwin

    ASSA ABLOY, a global leader in access solutions, has announced the launch of two next generation exit devices from long-standing leaders in the premium exit device market: the PE80 Series by SARGENT and the PED4000/PED5000 Series by Corbin Russwin. These new exit devices boast industry-first features that are specifically designed to provide enhanced safety, security and convenience, setting new standards for exit solutions. The SARGENT PE80 and Corbin Russwin PED4000/PED5000 Series exit devices are engineered to meet the ever-evolving needs of modern buildings. Featuring the high strength, security and durability that ASSA ABLOY is known for, the new exit devices deliver several innovative, industry-first features in addition to elegant design finishes for every opening.