Understand how QR codes powered by GS1 are paving the way towards a more transparent and integrated supply chain.
Since their introduction in 1974, linear barcodes have created a single industry standard for product identification, reliable scanning and consistent management across the supply chain. However, they only hold one data point: the Global Trade Item Number (GTIN).
The case for next-generation barcodes
As consumers and retailers increasingly want access to more information and data, space on packaging labels is finite. QR codes integrate the GTIN from the linear barcode, whilst also providing access to real-time content and supply chain data.
The unique ability that comes with QR barcoding is moving from a one-to-one data relationship between the item and the identifying number to a one-to-many, where an item can be simultaneously linked to multiple data points. This can include the expiry date, batch code, product URL, sustainability credentials and consumer-facing product information. QR codes can be read by tills, scanners or smartphones, building on the existing systems used for linear barcodes.
How are next-generation barcodes becoming a reality?
Over two years, Tesco, Cranswick and GS1 collaborated to add QR codes to products in supermarkets, ensuring they would be reliable, interoperable and scalable.
In 2026, Tesco became the first UK chain to introduce QR codes across an entire private label core sausage range. This demonstrates that next-generation barcodes can be implemented at scale and in a live product range, whilst using existing infrastructure.
Similar examples exist in Thailand and Australia. In Thailand, cashiers in 7-Eleven stores are notified if a product they scan has reached its expiry date. This has eliminated customer complaints related to the purchase of expired products.
In Australia, Woolworths has seen up to a 21% improvement in productivity, driven by managing inventory by expiry date. In the future, product markdowns for products approaching expiry will be automated; therefore, staff will not have to individually re-label products.
What are the key benefits for manufacturers, retailers and consumers?
Real-time monitoring and information flow across the entire supply chain is a key benefit. This can include sourcing details and regulatory requirements. Specifically for consumers, the barcode offers information such as ingredients, allergens and nutritional content. Availability of this data offers greater transparency and serves the needs of different stakeholders.
In the event of a product recall, retailers can identify and withdraw specific batches rather than whole production lines, reducing food waste.
The data behind the QR code can be updated in real time, even after printing. This means packaging doesn’t need to be reprinted due to product changes.
For manufacturers, key product information can be integrated into the QR code, freeing up valuable on-pack space and improving packaging visuals. This can remove the need for excessive packaging and reduce associated costs.
What foundational steps do manufacturers need to take?
For Cranswick, the initial focus was to ensure that the QR code could be printed at speed, maintain readability and connect to live data in existing systems. Their combined success ensured the pathway towards a feasible and successful scale-up.
In the first instance, some foundational measures include:
Data readiness: ensuring the input data is structured, accurate and accessible will enable successful implementation.
Focus on one simple product line: by initially keeping the scope small, any potential challenges can be isolated and rectified.
Collaboration with solution providers: working with equipment and verification specialists to integrate QR codes into the fast-paced packing environments.
Dual coding: printing both the linear and QR codes on-pack labels whilst employees are trained and databases are fine-tuned.
Standards-based approach: integrating the GS1 Digital Link standard allows a singular symbol to be used across tills, scanners and smartphones. This connects the user to a range of data including product expiry, sustainability, packaging and nutritional data.
Use GS1 guidance: GS1 provides design and implementation resources tailored for SMEs, brands and retailers as next-generation barcoding pilots grow.
What are the manufacturing implications?
As with any barcode, poorly printed QR codes can create delays at checkouts, degrade customer experience, create employee friction and result in additional hours of labour costs. Maintaining quality is imperative to ensure reliable scanning performance across the supply chain.
Variation of packaging materials can impact print quality. Paper labels, wineglass labels and glued labels perform best, whilst flow wrap and flexible bags perform worst. Workable solutions need to be implemented in categories which utilise tricky packaging materials.
While manufacturers continue to operate in a challenging macro-environment where driving efficiency and “doing more with less” is essential, it becomes clear that QR codes cannot be a barrier to line production speed. The technology must be able to adapt to the operational requirement for physical production at pace, not vice versa.
Verification of print quality is needed to act as a safeguard before reaching supermarket tills. Currently, two types exist: offline and inline. Offline uses ISO-graded equipment, which offers robust verification; however, its sampling frequency is limited. On the other hand, inline conducts real-time checks but its lack of ISO-grading means it can’t offer the same levels of assurance. Ideally, a combination of inline and offline verification is used to ensure real-time data is recorded, and high-quality standards are maintained.
How can QR barcoding enable sustainability and policy change?
From October 2027, the Deposit Return Scheme (DRS) will come into effect for certain single-use drink containers. Similarly, businesses producing more than 25 tonnes of packaging have already started reporting packaging production volumes under Extended Producer Responsibility (EPR) obligations.
The QR codes can incorporate the critical data required for tracking product volumes and packaging types throughout the supply chain. Organisations that invest in these capabilities today will be better placed to respond to evolving regulatory requirements.
Key insights for Supply Chain operators
Integrating QR codes creates opportunities for supply chain operators to begin digitising their end-to-end tracking and visibility, which can be achieved using existing infrastructure.
In time, connecting the data points across the entire supply chain will further enable automation, advanced analytics and AI-enabled orchestration. However, this is expected to come much later in an organisation’s supply chain maturity model.
This technology is expected to prove to be a key enabler of a wider, digitally powered ecosystem across the supply chain. For now, usage of QR codes is increasingly moving from pilot projects to real-world implementation, with new barcoding standards facilitating data sharing at item-level and enabling smarter operational decisions.