Starting in 2027, GS1, the global organization in charge of barcode standardization, has announced a major breakthrough in commerce and logistics. After decades of use, 5 to be exact, traditional linear barcodes will be replaced by the more advanced and versatile QR Codes. This decision represents a significant step forward in global product management and traceability.
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How Barcodes Evolved
Linear barcodes, introduced in the 1970s, have revolutionized the way products are identified, tracked, and managed. These codes consisting of a series of black lines of various widths have become a global standard, simplifying checkout operations, improving inventory management, reducing human error, and essentially automating and speeding up global logistics.
However, as technology has evolved and information and traceability needs have increased, the limitations of linear barcodes have become more obvious. Their information holding capacity is limited and their readability can be compromised if the code is damaged or partially obscured. Another significant limitation is the amount of space required to affix the linear bar code, thereby taking away space from graphics and packaging.
Why QR Codes?
QR Codes, or Quick Response codes, represent a significant innovation over linear bar codes. Created in Japan in the 1990s and spreading very quickly, QR Codes can contain a much larger amount of information, including alphanumeric characters, symbols, and even URLs. In addition, their two-dimensional structure allows for faster and more reliable reading, even if the code is partially damaged.
One major advantage of QR codes is their flexibility. They can be used for a wide range of applications, from inventory management to product tracking, from communicating with consumers to sharing detailed product information.
The real breakthrough for QR Codes came with the ability to be read easily by smartphones and other mobile devices, allowing consumers to easily and immediately access additional information about the products they purchase and thus instantly enjoy all the benefits of the Web.
Impacts on the Commercial and Logistics Sector
The transition to QR Codes will result in several benefits for the commercial and logistics sector. First, the increased information capacity of QR Codes will enable much more detailed product traceability, improving security and transparency throughout the supply chain. Companies will be able to accurately track the origin, route, and destination of their products, reducing the risk of counterfeiting and improving inventory management. In addition, QR codes will facilitate better communication with consumers. Product details, directions for use, nutritional information, and promotions can be easily accessed through a simple scan. This will not only improve the customer experience but also provide companies with new marketing and loyalty opportunities.
Part of the large-scale retail sector has already replaced the loyalty card with the smartphone App, and by scanning the QR Code users can access promotions, collect rewards, and discounts, and access digital receipts.
Transitioning to QR Codes: Challenges and Opportunities for Global Commerce
While the transition from linear barcodes to QR Codes represents a great opportunity, it will also bring challenges. Companies will have to invest in new technology and infrastructure to implement QR Codes on their products. Scanning systems will need to be upgraded and staff trained to ensure a smooth transition.
QR codes can only be read by a 2D scanner, which is more expensive and complex than the linear barcode scanner.
However, the long-term benefits far outweigh the initial costs. Greater efficiency, improved traceability, and the ability to offer a richer, more interactive customer experience will likely make this transition a necessary and beneficial step for the future of global commerce.
GS1’s successful implementation of QR codes marks the beginning of a new era for the trade and logistics industry. This innovation will not only improve operational efficiency and product traceability but also provide new opportunities for communication and marketing.
The QR code, together with the diffusion of smartphones and the web will be the real revolution that awaits commerce and product packaging in general.
The future of commerce will be more interconnected, transparent, and interactive, paving the way for a world of possibilities for businesses and consumers.