2D codes in retail: opportunities, transition procedures and tips

The way products are labeled and scanned in retail is changing. Traditional barcodes, which have been in use for decades, will be replaced by more powerful QR codes. This development promises greater efficiency in business processes and more opportunities for customer interaction, POS marketing and product experience.

Since their introduction in the 1970s, barcodes have revolutionized the retail industry by significantly speeding up product identification and the payment process. With technological progress and the growing need for more detailed product information, the focus is now shifting to two-dimensional codes, especially QR codes. These can store significantly more data and therefore open up new opportunities for retailers and consumers.

The international standards organization GS1 has published a new comprehensive guideline for the implementation of 2D barcodes in retail to help companies make the transition. This document provides practical recommendations for brand owners, manufacturers, retailers and solution providers to smooth the transition from linear to 2D barcodes.

• Increased data density: In addition to the Global Trade Item Number (GTIN), QR codes can store additional information such as expiry dates, batch numbers or serial numbers.
• Direct access to digital content: Consumers can use a QR code to access further online information such as ingredient lists, allergy information or recycling instructions.
• Design flexibility: QR codes are customizable in size and can also be used on packaging where space is limited.

Disadvantages of QR codes

• Need for new hardware: Not all existing checkout systems are able to scan QR codes, which requires investment in new scanners.​
• Training requirements: Employees must be trained in the use of the new technology to ensure smooth operation.

Storing batch numbers and expiry dates in QR codes improves the traceability of products, which is particularly beneficial in the event of recalls.

QR codes enable interactive marketing campaigns in which customers can scan the code to access exclusive content or offers.

Consumers can call up detailed information on products, such as nutritional information or origin, directly via the QR code.

The precise recording of expiry dates helps retailers to reduce markdowns and optimize the rotation of goods.​

QR codes can provide information on the recyclability of products and thus promote sustainable consumer behavior.

Among other things, the GS1 guide provides valuable information on:

• Dual marking: Recommendations for the simultaneous use of linear and 2D barcodes during the transition phase.
• Employee training: Strategies for effectively training staff to use the new technology.
• Working with solution providers: Tips for selecting suitable technology partners for the implementation of 2D barcodes.

The transition from traditional barcodes to QR codes represents a significant opportunity for retailers to optimize processes and improve the customer experience. With the right resources and careful planning, this transition can be managed successfully.

Source: 2D Barcodes at Retail Point-of-Sale Implementation Guideline by GS1