ELECTRONIC RETAILING SYSTEMS INTERNATIONAL INC
8-K, 1998-11-06
CALCULATING & ACCOUNTING MACHINES (NO ELECTRONIC COMPUTERS)
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               SECURITIES AND EXCHANGE COMMISSION
                     Washington, D.C. 20549

                    ------------------------

                            FORM 8-K

                         CURRENT REPORT


                 Pursuant to Section 13 or 15(d)
             Of The Securities Exchange Act of 1934



Date of Report
(Date of earliest event reported):            November 6, 1998
                                             --------------------


        ELECTRONIC RETAILING SYSTEMS INTERNATIONAL, INC.
        ------------------------------------------------
     (Exact name of registrant as specified in its charter)


   Delaware                 0-21456              06-1361276     
- ----------------         ------------        -----------------
(State or other          (Commission         (I.R.S. Employer
 jurisdiction of          file number)        Identification No.)
 incorporation or
 organization)



488 Main Avenue, Norwalk, Connecticut                06851  
- ---------------------------------------------------------------
(Address of principal executive offices)          (Zip Code)



Registrant's telephone number,
 including area code:                            203-849-2500
                                                 ------------











<PAGE>
Item 5.   Other Events.
          -------------

     The Registrant has announced that, effective November 6, 1998,
its Common Stock, $.01 par value, will be listed on The Nasdaq
SmallCap Market pursuant to the maintenance criteria for such
listing. For further information with respect thereto, reference is
hereby made to the Registrant's press release issued November 6,
1998 annexed to this Current Report as Exhibit 99, the text of
which is hereby incorporated by reference.


Item 7.   Financial Statements and Exhibits.
          ----------------------------------

     (c)  Exhibits.

          The exhibit filed as part of this Current Report on Form
8-K is listed in the attached Index to Exhibits.

<PAGE>
<PAGE>

                           SIGNATURES

     Pursuant to the requirements of the Securities Exchange Act of
1934, the Registrant has duly caused this report to be signed on
its behalf by the undersigned thereunto duly authorized.


                              ELECTRONIC RETAILING SYSTEMS
                               INTERNATIONAL, INC.



                              By s/ Michael B. Persky
                                 -------------------------------- 
                                 Michael B. Persky
                                 President



Dated: November 6, 1998<PAGE>
<PAGE>

                        INDEX TO EXHIBITS

Exhibit        Description
- -------        -----------

99             Press Release of the Registrant issued November 6,
               1998.
                                                                 


                                                       EXHIBIT 99

     Electronic Retailing Systems International, Inc. to be
              Listed On The Nasdaq SmallCap Market


     Norwalk, Conn.--November 6, 1998--Electronic Retailing Systems
International, Inc. (the "Company") (NASDAQ:ERSI) announced that,
effective today, the Company's Common Stock will be listed on The
Nasdaq SmallCap Market pursuant to the maintenance criteria for
such listing. 

     The move of the Company's securities to the Nasdaq SmallCap
Market is pursuant to a determination by the NASD that the
Company's minimum bid price is not consistent with the requirements
of the Nasdaq National Market.

     ERS is a leading developer and supplier of electronic shelf
labeling systems designed to improve retailer profitability. The
ERS ShelfNet(R) system is designed to assist retailers in cost
savings and pricing accuracy by using a wireless network to link a
store's central computer both to its check-out scanner and to the
electronic shelf labels ("ESLs") that display pricing information
at the shelf edge. With ShelfNet, this pricing information is
updated automatically on the ESLs when prices in the point-of-sale
("POS") scanner are changed. This provides price integrity between
the shelf edge and the POS scanners. ShelfNet uses spread spectrum
RF technology, which is the most widely used method of wireless
communication in retail today. In addition, ShelfNet uses a suite
of patented software applications designed to communicate
merchandising, inventory and other information to and from store
personnel in the aisle. These applications are designed to provide
value-added benefits to retailers in the areas of shelf-edge
merchandising, replenishment control, strategic pricing and shelf
set compliance.


CONTACT:  Electronic Retailing Systems International, Inc.
Bruce F. Failing, Jr./Tina L. Horne (203) 849-2500

or

Kekst and Company
Roanne Kulakoff (212) 521-4800




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