According to our July 2009 poll, 45% of readers predicted that the GS1 DataBar might replace the UPC barcode in the future, compared to 41% who voted yes and 14% who voted no. Three years later, it looks like the majority of our readers were correct in their prediction.

As of June 30, Manufacturers began removing the UPC code from coupons and are only using the GS1 DataBar, originally created for variable weight items, such as produce.

Why Change from a UPC to the GS1 DataBar?
The reason for the switch was because the UPC barcode links directly to a brand but manufacturers could not link to a specific product within a brand. For example, if there was a coupon for $1 off a 16oz bottle of shampoo, people could have simply gotten the trial size version for .99 and actually earned a penny, unless the cashier read each and every coupon, which would cause a line to build up.

The GS1 DataBar is able to store more information than the UPC, accommodating longer manufacturer identification numbers. These longer manufacturer numbers will be able to instantly check to see if consumers are purchasing the correct item, as well as the expiration date. This way, all the cashier will have to worry about is simply scanning the barcode and consumers will be able to enjoy a much speedier checkout process.

What Does this Mean for Retailers?
In order for coupons with the GS1 DataBar to scan properly, retailers will need to update their barcode scanners. While many major retailers will support them, a lot of smaller chains may not yet be equipped. For information on upgrading a POS system, learn more here.

What Do You Think?
Aside from coupons and produce, do you think other products will ditch the UPC code for the GS1 DataBar. Share your thoughts below, or on our Facebook or twitter pages.

The GS1 provides standards for barcodes in addition to general business standards such as electronic messaging and data synchronization. The GS1 also provides training and support for the implementation of international standards.

The GS1 also works collaboratively with the ISO, or the International Organization for Standardization, which is the world’s largest developer of standards. The GS1 and ISO both share the same passion for the importance of global standardization. For this reason, many of the GS1’s standards are ISO-compliant and the GS1 has adopted many ISO standards such as identification, GS1 barcodes, electronic data interchange and RFID.

For more information about the relationship between GS1 and ISO, download the brochure here.

Recently, we wrote about the GS1 DataBar, a new barcode that can store more data than a UPC in a smaller amount of space. Since the advent of the GS1 DataBar, the barcodes have been implemented in a variety of different grocery applications. Let’s take a look at whose using the GS1 DataBar and how it’s affecting their business.

Canada Uses GS1 DataBar for Fresh Produce

Canada’s largest retailer, Loblaw Companies Limited, implemented a limited use of the GS1 DataBar back in 2007, with specific suppliers of apples and bananas. After this initial implementation, Loblaw began to expand its use of the GS1 DataBar to all of its fresh produce. Since making the switch to the GS1 DataBar, Loblaw has experienced vast benefits, including:

• Improved accuracy and speed at the retail POS for fresh produce
• Improved accuracy and speed at self-checkouts
• Reduced shrinkage
• Improved stock control by better differentiation of organic and conventional produce
• More accurate product replenishment
• Improved supplier identification

Cashiers found the new barcodes to be a vast improvement to manual entry, and also discovered that the produce bags did not impair the ability to read the DataBar labels.
Loblaw themselves found traceability of their fresh produce to be greatly enhanced after the implementation, bringing supply chain efficiency to the forefront of their operationas.

In addition to produce, the GS1 DataBar has also made its way to Japan, keeping sushi fresh by the hour.

In 2008, Bunkado and Beisia, two leading Japanese retailers, conducted GS1 DataBar pilots to take advantage of the ability to encode additional data, such as expiration dates and hours. During this piloted experiment, staff prepared to-go sushi meals, which tend to have a short shelf life.

The freshness of the meals were checked regularly, allowing discounts to be given to products that were approaching the end of their shelf life. These discounts were given by printing and applying a new GS1 DataBar Expanded label to the product. Cashiers were then able to scan the product quickly and accurately at the POS instead of manually entering information. In addition, staff was able to easily remove any products that had expired easily and efficiently.

Since this piloted implementation, Bunkado and Beisia have begun to implement a similar mark-down process using the GS1 DataBar on other products such as milk, yogurt and other short-shelf life products.

While not all grocers have begun to implement the GS1 Databar, it is clear that the new barcodes save cashiers a lot of time and hassle, protect consumers, and ultimately save companies money. This begs the question, will the GS1 Databar replace the UPC?

Recently, we discussed how the GS1 Databar is making a major impact on the world of produce. However, the GS1 Databar has even more potential than that. It’s long-planned adoption began in September 2007, when the Joint Industry Coupon Committee (JICC) called for January 1, 2007 to be the day coupons no longer contained the old UPC-A barcodes.

Since then, coupons still contain the traditional UPC-A barcode, but many are now adorned with both types of barcodes since not all retailers have upgraded their barcode scanners to handle the higher density of the GS1 DataBar.

While JICC’s original expectation was a bit overzealous, since manufacturers are already beginning to adopt the GS1 DataBar, it may not be too far-fetched that it will replace the UPC-A symbology.

The UPC barcode has been around for 35 years, but in an age where information is king and space is limited, the GS1 DataBar definitely seems to have an appeal. Do you think the GS1 DataBar will replace the UPC?

New GS1 DataBar barcodes are starting to appear on produce at select supermarkets in order to facilitate cashiers at check-out. The GS1 DataBar can store more data than the average barcode, and will be used for not only convenience, but also for tracking consumer behavior and the amount and types of fruits and vegetables sold. In addition, it will prevent cashiers from mistakenly ringing up organic produce as regular, ultimately saving grocery chains money.

Since standard barcodes take up too much space on loose produce such as apples, the GS1 DataBar provides the medium to store a lot of information into a small amount of space, allowing for easy scanning of variable weight items.

The new GS1 DataBar Barcodes can also be used in coupon applications, allowing merchandisers to combine specials on multiple products in one simple transaction. GS1 DataBar coupons can also be displayed on cell phone screens, which can be sent to consumers via text messages and scanned right at checkout.

In the near future, grocers plan to implement the GS1 DataBar at the deli counter and for fresh meats and poultry, further saving time at the checkout. The GS1 DataBar seems like a great solution for all variable weight items that will save both time and money for grocers and consumers alike.