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Packaging touches everyone every day.
In the What's Up With Packaging podcast, we examine how packaging is changing and essential issues such as sustainability, legislation, compliance and more.
What's up with packaging? Find out with David Holliday. Welcome to our Packaging Newsnet q and a on the GS one Sunrise '20 '20 '7 program and how it can help brands, retailers, and consumers. I'm Janice, the AI personal assistant, and I'm with David Holliday, the forty second most visionary marketer in packaging. Are you ready, David?
David:Thank you, Janice. Yes. Let's do it. Just to get started, for anyone unaware of the Sunrise 2027 program, it's the migration away from the traditional UPC or EAN barcodes on retail products to new, more powerful GS one two d barcodes. The current barcodes have done an excellent job for fifty years now, but they have the limitation that the only data contained in one is the product's global trade item number or GTIN.
David:While the GTIN is the key to much information on the product, it only identifies the SKU. For example, the GTIN of a 12 ounce can of Coca Cola. Every 12 ounce can of Coke has the same GTIN. The new two d barcodes can contain so much more data, including the best before or use by date, lot or batch number, a unique serial number for enhanced traceability, and even a web link to access online information. What's the first question, Janice?
Janice:Okay. How does moving to the new GS one two d barcodes, especially Digital Link, help product brands?
David:Well, there are good reasons for product brands to get involved in Sunrise twenty seven. But first, a lot of work must be done. That can be the topic of a future podcast. But let's assume everything is in place and the brand is producing products with a GS one two d barcode, probably a digital link. What's in it for them?
David:Here are some significant advantages in no particular order. First, traceability. Traceability for food products and many other items is becoming more important. A digital link barcode containing a unique serial number enhances the level of traceability that a barcode can provide. There's also the simplicity of using a single barcode.
David:The GS one digital link barcode can replace not only the existing UPC or EAN code, but also any additional barcodes on the package, such as QR codes for customer engagement. This reduces the amount of space on the product package taken up by barcodes, allowing it to be used for marketing or other purposes. Regulatory compliance is another important advantage. The level of traceability that a GS1 digital ink barcode provides enables it to be used as part of a brand's compliance program for mandates such as the Food Safety Modernization Act, the EU Digital Passport Program, and the EU Wine and Spirits labeling rules. This is all done without taking up any additional space on the product packaging.
David:Brands can also take advantage of smart consumer engagement. The opportunities for consumer engagement enabled by one GS one digital link barcode are almost unlimited. Each brand can choose precisely the information it wants to provide for its customers. This information can include important safety information such as allergen updates and complete nutritional data. The consumer scanning the barcode can also be warned if the particular item is of a recalled batch or lot.
David:Detailed product information, recycling or disposal data, and much more can be included as part of smart customer engagement, making your package more intelligent than it has ever been. In addition, whenever one of the barcodes is scanned, whether it's in a retail score or after a consumer has bought the product, the scan data is automatically provided to the brand, providing excellent analytics of where the package is at a particular time, the type of device used to scan it, the effectiveness of marketing campaigns, and more. So as you can see, the new GS one barcodes are powerful tools for many brands.
Janice:It sounds like a good thing for brands. What are the advantages of this program for retailers?
David:Oh, okay. Let's talk about retailers. For retailers as well, there are certainly advantages to the introduction of the new GS one barcodes. These barcodes can contain information that helps the retailer in several ways, particularly since they can include lot or batch numbers and an expiration or use by date. Extensive testing over the last couple of years has proven that the GS1 two d barcodes scan at checkout as quickly or possibly faster than the current UPC and DAN codes.
David:Manufacturers of point of sale hardware and software have also been working closely with GS1 to ensure their products will be compatible with the new barcodes within the required timeline. So what are some of the advantages? Well, there's inventory control and the principle of first in first out or FIFO. The date embedded in the barcode makes it easy for retail store associates to ensure products are positioned on the shelves so that the oldest are sold first with just a simple scan. And in addition, when product is subject to a recall, a quick scan of the barcode can show whether a particular item is part of the recall or not, making dealing with recalls simpler than in the past.
David:There are also advantages at the time of checkout in the store. Today, when a standard barcode is scanned at checkout, the GTIN number is used to look up the item in the retailer's database. This establishes the price that the customer will be charged and also depletes the inventory by one item. With the new two d barcodes, the checkout process can be more helpful. If the item being scanned is part of a lot that's recalled, for example, the cashier can be advised.
David:The same if the date for expiration or use by has passed. And don't forget, retailers are brands as well. As well as selling items from their suppliers, retail organizations also have their own private label products. Adopting the new GS one barcoding for these items provides the retail organization with the same advantages as any other brands that we discussed a few minutes ago. In addition, retailers can use the new GS one barcodes for products they print in the store, such as deli meats and similar products.
David:GS one has published some interesting case studies on retail companies using these new barcodes, including some organizations in Australia and the seven eleven chain in Thailand. There are lots of benefits for retailers with Sunrise twenty twenty seven, both for products they sell from their suppliers and for their own private label products.
Janice:So a win for brands and for retailers. What about people like us, the consumers? Is it good for us as well?
David:Oh, yes. We consumers are not being left out of all the benefits here. We will be able to take advantage of the enhanced consumer engagement that digital ink offers regardless of whether we're looking for product information, nutritional and allergen information, recipes, disposal and recycling information, and much more. The brand will be able to provide us with all of this with just a scan of the single barcode on the product.
Janice:That's great. Thank you for the insight on this. So the GS one Sunrise twenty twenty seven project, while it creates a lot of work to do and a lot of it is already happening, brings benefits throughout the product's life cycle for brands, retailers, and for the consumer. I'm looking forward to seeing the new barcodes on all kinds of products in the near future.
David:It's certainly an exciting time for barcodes.
Janice:Check-in soon for the next Packaging Newsnet q and a.