24 Jul 2024

The Barcode at 50: The Unsung Hero of Global Commerce

The Barcode at 50: The Unsung Hero of Global Commerce
GS1

Anne-Marie has a background in marketing, communications, and product development spanning both commercial and not-for-profit organisations.

 

As head of membership, Anne-Marie champions the needs of GS1 UK’s 60,000 members, amplifying their voices, raising awareness of the challenges they face and building a community of brands, suppliers and networks – large and small – to help members thrive.

 

 

Since its adoption by the retail industry in April 1973, the barcode has propelled global commerce into a whole new era – an era of control, traceability, data-informed management and customer focus, all powered by a 13-digit number. 

 

For more than 50 years they have revolutionised our day-to-day in ways most do not realise – keeping our shelves stocked with products and ingredients from around the world, helping us find and buy products online, ensuring what we consume is genuine and safe, helping the NHS save time, money and lives – and much more. 

 

 

How do they work? 

 

The combinations of vertical black lines and white spaces of varying thickness and height that make up each barcode are simply visual representations of the 13 digit numbers found underneath – the  Global Trade Item Number (GTIN)

 

These globally unique numbers power each and every barcode by identifying specific products and their relevant information. Computers linked to laser scanners can read these codes and use the exact combination of bars, spaces and numbers to retrieve data for that product. 

 

Today, barcodes are found not only on household items from supermarkets or retail stores, but also licenses, rental cars, checked luggage, medical devices, patient wrist bands and much more. In each case, they identify a product, person or asset and encode important information. 

 

Over 2 million companies and 1 billion products around the world currently use GS1 barcodes, boosting efficiency and providing greater trust and transparency for businesses and their consumers alike. 

 

 

Why you need one 

 

GTINs are essential for successfully listing, selling, barcoding, managing stock, building supply chains, appearing in search engines and much more. 

 

This small but incredibly powerful number is used and accepted by retailers and marketplaces across the world, guaranteeing seamless sales and efficient processes for your business. 

 

 

A cultural icon 

 

The barcode has worked its way into our cultural fabric. It is now scanned over 10 billion times each day. That means it is used 1.5 billion times more each day than Google’s search engine which boasts 8.5 billion daily searches.  

 

According to our own research, it is seen more often by UK consumers than household logos such as Apple, Instagram, Twitter, McDonalds, TikTok, Spotify, Nike and Starbucks. On average, people estimate that they see at least 20 barcodes a day, most typically when buying groceries.  

 

Despite its ubiquity, the humble barcode has largely been taken for granted. Although 63 per cent of consumers recognise its role in identifying products, a third do not realise just how significantly they continue to impact our everyday lives. 

 

 

Powering ecommerce  

 

While their origins lie firmly in the world of bricks and mortar retail, barcodes and GTINs now play a vital role in online shopping. In fact, GTINs are essential for selling online and are one of the most important attributes you will need. 

 

Including GTINs in online listings enables search engines, shopping platforms and marketplaces to recognise existing products, distinguish new ones, and ensure that they are genuine and safe. 

 

That is why online marketplaces such as Amazon are increasingly requiring their sellers to include GS1 GTINs when listing a product.  

 

This doesn’t just help the marketplaces and their consumers, it also offers substantial benefits to sellers, especially in terms of boosting visibility in online search results. According to Google, adding a GTIN to your online listing can increase impressions by 40 per cent and conversions by 20 per cent.  

 

 

Where it all began 

 

Despite the vital role the barcode plays, just three per cent of consumers can name its creator, Norman Joseph Woodland, who drew the world’s first barcode in the sand on a beach in Florida in 1948. 

 

Inspired by his Boy Scout training – where he learnt Morse Code – Woodland drew dots and dashes in the sand and pulled them downward with his fingers to produce thin lines from the dots and thicker lines from the dashes. This created a linear morse code – known today as the barcode. 

 

Woodland’s vision didn’t become a reality until 3rd April 1973, when US grocery leaders came together to agree on a common way of doing business. The barcode design that the industry settled on was a variation of Woodland’s designed by an IBM engineer named George Joseph Laurer. 

 

This changed the course of global commerce forever and gave rise to GS1, the world’s only authorised provider of Global Trade Item Numbers (GTINs). 

 

A year later, on 26th June 1974 in a supermarket in Ohio, a pack of Wrigley’s chewing gum became the first product in the world to go beep at the till. 

 

Four years later in 1979 – in true British tradition - it was a box of Melrose Tea Bags that became first product to be scanned in the UK at Keymarkets in Spalding. 

 

 

What the barcode did next 

 

The world has changed a great deal since that first beep at the till. From consumers and regulators to brand owners and retailers, everyone wants to know more about the products they buy, sell or consume. However, space on-pack is finite, meaning there will always be a limit to the amount of information physical labels can carry.  

 

QR codes powered by GS1 have been identified by industry as the solution to this problem, allowing businesses to connect their products’ unique identity to multiple online sources of enriched, real-time content. They can be scanned by smartphones, and at the point of sale, enabling capabilities far beyond what a standard barcode can offer today. A single code that has the power to improve supply chain visibility, ensure product safety and bring a wealth of information to consumers, both at home and in store. 

 

GS1 UK is now collaborating with industry to support the global transition to QR codes powered by GS1.  These next generation barcodes are now being tested in 48 countries, representing 88% of the world’s GDP and globally, GS1 aims to ensure a comprehensive rollout by 2027. 

 

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