GS1 2D Barcode: Definition, Application, Benefits & More

GS1 2D Barcode: Definition, Application, Benefits & More

GS1 2D barcodes are a solution to simplify stock management. These standardized product codes act as a universal language for quick identification, enabling retailers to track stock levels, automate reordering, and reduce human error.

By adopting retail inventory GS1 barcodes, businesses can say goodbye to manual counting errors, reduce labor costs, and gain unprecedented insights into their product flow.

Let's explore GS1 barcodes and how they simplify retailers' stock management.

    What are GS1 2D Barcodes?

    GS1 2D barcodes are next-generation codes that go beyond traditional black-and-white stripes. Instead of the one-dimensional format used by standard barcodes, these come in a square or rectangular shape. They pack more information into a smaller space and can be scanned from different angles.

    Unlike older barcodes, which usually just carry a product identifier (like a GTIN), 2D barcodes can include additional data, such as expiration dates, batch numbers, serial numbers, and more. This makes them especially useful in industries where traceability and updated information matter, like healthcare, food, and logistics.

    They often look like the QR codes you see on product packaging, posters, or receipts. But what sets them apart is their work, not their appearance. These follow GS1 barcode standards, meaning the data inside them is structured consistently and globally recognized.

    One of the biggest developments related to 2D barcodes is GS1 Digital Link. This technology connects the barcode to the web. Scanning can direct a user or system to updated information or web-based content using the barcode.

    Think of it like this: a traditional barcode gives you a product number. A GS1 2D barcode gives you the number plus a smart connection to live data.

    Types of GS1 2D Barcodes

    There are two main types of GS1-compliant 2D barcodes: the GS1 QR Code and the GS1 DataMatrix. While both follow the same global standards, they differ in appearance and are favored by different industries.

    GS1 QR Code

    This version looks just like the QR codes you’ve likely seen on posters, menus, or packaging. It’s a square with many tiny black-and-white boxes, and it's easy to recognize by the three large squares in three of its corners. Scanners use these corner blocks to orient the code.
    Because of its familiarity and easy smartphone readability, the GS1 QR Code is becoming more common in retail, food, and consumer goods. It’s especially popular where the brand wants to connect with shoppers directly from packaging.

    GS1 DataMatrix

    The difference between QR and DataMatrix is often easiest to spot by their finder patterns. Unlike QR codes, which feature three large squares at their corners, Data Matrix codes have an "L"-shaped border formed by one solid line and one dotted line.
    A rectangular version is also less common but used when space is narrow and long.
    The DataMatrix is preferred in healthcare, pharmaceuticals, and industrial manufacturing. Sometimes, such as with medical device(UDI) labeling or prescription packaging, it’s even required by regulation. Its compact size makes it ideal for small surfaces like vials, syringes, or circuit boards.
    GS1 retail inventory

    Why the move to 2D barcodes in retail?

    Traditional barcodes have served retail well for decades, but they have limitations. They hold only basic product identifiers and don’t capture important details like batch numbers or expiration dates.

    Today’s retail environment demands more—from better inventory accuracy to enhanced product transparency. Old barcodes can’t keep up with these needs.

    They also fall short in connecting products with the digital experiences consumers expect, such as scanning for detailed information or verifying authenticity.

    These gaps create challenges in managing stock, meeting regulations, and engaging shoppers effectively.

    Many retailers are looking beyond classic barcodes, toward 2D barcodes that can fill these gaps.

    Benefits of GS1 2D Barcodes

    These two-dimensional barcodes provide many solutions to the gaps left by traditional linear barcodes. They're compact but carry more data and can link to other information.  Here are some of the things it can do:

    Improved Traceability and Recalls

    A core advantage of these barcodes in improving retail inventory is superior traceability. Capturing critical batch/lot details at the source enables the tracking of products throughout their journey from the farm to the store shelf.

    This enhanced visibility enables retailers to manage recalls proactively to ensure customer safety. For instance, if a packaging fault is detected in one dairy product batch, affected stores can identify inventory for immediate withdrawal via batch numbers encoded in barcodes.

    Regulators also benefit from simplified traceback investigations through accurate batch/date records stored in the QR code. Overall, prompt remedial responses minimize legal liabilities and brand damage. More importantly, improved traceability reassures consumers of supply chain integrity.

    Optimized Inventory and Reduced Waste

    Leveraging real-time traceability from barcodes, smart retail tools forecast upcoming demand at the store level down to specific batches and SKUs. This eliminates overstocking while continuously fulfilling orders on predicted consumption.

    Freshness management is optimized, too, with auto-alerts on fast-approaching expiration, customized markdowns, or donations clear shelves just in time. Automatic replenishment guided by precise data captured in barcodes slims excess inventory. Less waste means bigger savings to reinvest in the business and community.

    Streamlined Operations and Fulfillment

    Digitally encoded attributes seamlessly populate inventory systems for effortless reporting, picking, and shipping. Replenishment times shrink as order fulfillment runs on autopilot, guided by real-time availability signals.

    Staff redirection to value-adding customer service becomes possible. The liberation of resources for strategic functions uplifts the in-store experience. Customers gain through punctual order receipts and minimal erroneous substitutions or cancellations owing to clean supply chain visibility built on universal GS1 standards and retail inventory barcodes.

    How to Generate GS1 2D Barcodes

    Before creating these types of GS1 barcodes, your product must have a GTIN (Global Trade Item Number).

    You can either: 

    1. Register individual GTINs from GS1 (ideal for businesses with only a few products), or
    2. Apply for a GS1 Company Prefix if you manage many products under one brand and use it to create GTINs.

    Once you have your identifiers, the next step is to format them using GS1 Digital Link syntax.

    This turns structured product data into a web-friendly link that machines can read and systems can use.

    It’s important to note: GS1 does not provide barcode generation software. Instead, they publish the rules and guidelines. Companies either build their own software that follows these standards, or use third-party platforms that are compliant, like QR TIGER’s GS1 QR code generator..

    Many of these generators are designed to be user-friendly. Some even include tools for analytics and tracking once codes are used in the field.

    Here’s what a sample GS1 Digital Link might look like:

    https://qr4.be/01/049000012781/10/55465893/21/C2301-12345?17=250621

    In this example, you’ll see:

    • 01 – the GTIN
    • 10 – batch or lot number
    • 21 – serial number
    • 17 – expiry date (YYMMDD format)

    These elements are structured using GS1’s rules, allowing both machines and people to pull the right product details at the right time.

    Gs1 2d barcodes

    Best practices for 2D barcode printing

    Most GS1 print parameters are already handled if you’re using a third-party GS1-compliant generator. You must first focus on the GS1 QR code colors, which greatly affect scanning reliability.

    Don’t use red for the code

    Most supply chain scanners use red light, which makes red QR codes virtually invisible. Red can still be used in the background — just pair it with a dark-colored symbol like black or navy.

    Stick to high contrast

    Good scanning depends on how much light is reflected. A dark code on a light background gives the best results. The stronger the contrast, the easier it is to read.

    Avoid gradients

    Color fading or blending may look sleek, but scanners struggle with uneven brightness. It leads to failed scans, especially in logistics and retail environments. Use solid, flat colors only.

    Do not use inverted colors

    A light-colored code on a dark background (called reverse reflectance) might work for some industrial scanners. However, many built-in or app-based smartphone scanners fail to read them properly. To avoid confusion and scanning errors, it’s best to skip inverted styles entirely.

    The Future of Retail Inventory GS1 Barcode For Stock Management

    Looking ahead, their ability will define the future of frictionless shopping. Implementing retail inventory GS1 barcodes equips enterprises with the demands of tomorrow while delighting customers today. So, managing stock inventory with GSI barcodes will never be an issue again.

    Retail inventory GS1 barcodes present a major step forward for inventory management. They enable transparency throughout intricate supply chains by carrying comprehensive product details in a globally understood format.

    With benefits ranging from enhanced traceability and waste reduction to optimized replenishment, GS1 QR Code Generator optimizes operations and fulfillment. 

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