Abstract: The method relates to a method of characterizing a radio link. In the method, a radio frequency interrogator and a first radio frequency transponder, the response of which in an essentially anechoic chamber is known, are utilized. According to the invention, the response of the first radio frequency transponder is measured in a target environment in the chosen interrogator-transponder geometry and the responses of the radio frequency transponder in the target environment and in an essentially anechoic chamber are compared for characterizing the actual radio link. The invention provides information on multi-path propagation of radio waves characteristic to the target environment, which can be further taken into account in, for example, RFID system design.