In this article, learn about:
- How to put 2D barcodes on your products
- RFID implementation and the importance of consultancy
- How low-stakes pilot tests help reduce problems later
By 2027, many major retailers will require all point-of-sale systems to be capable of reading 2D barcodes. There are many reasons to consider implementing 2D barcodes early, but the deadline speaks for itself: If your products aren’t ready, they won’t scan.
But how do you make it happen?
In this guide, we’ll cover how to get started with 2D barcodes and how to leverage RFID alongside them for full inventory visibility.
2D Barcodes: Initial Steps and Stakeholder Meetings
The most important recommendation we can give is to start small, with one product and one barcode. Suppliers have a unique opportunity (at the time of this writing) to utilize a dual-barcode system, where both 1D and 2D barcodes can be used on one product during testing. This allows teams to experiment with lower stakes throughout the implementation process.
We recommend developing an action plan with major stakeholders, as determining the type of barcode is essential to meet organizational goals. As a group, it's beneficial to review the two types of barcodes and then decide which product feels reliable enough to start with. When selecting a pilot product, consider an item that's consistently manufactured, sold at a steady volume, and has stable packaging.
Once the product is determined, start conversations with internal teams, packaging vendors, distributors, and warehouse managers. This determines the right stakeholder involvement early on and allows crucial conversations to occur ahead of time.
Step 1: Get a GS1 Company Prefix + GTIN Number
To get started with 2D barcodes, you will need two distinct numbers from GS1 (the governing body driving the transition to 2D barcodes): a GS1 Company Prefix and the Global Trade Item Number (GTIN). The company prefix is a numerical representation of the business and is included in every product's GTIN.
For example, GS1 might assign a company prefix of 061. Every product that the company manufactures must be registered for a GTIN, and each number will always begin with 061. A GTIN number in this example could be 0614141234562 or 061298889235.
You can think of the company prefix as a house address, with the GTIN number being the same address but also including the recipient at the house.
How to get the numbers:
- Visit GS1 US. Purchase a company prefix, which allows you to assign GTIN (global trade item numbers) to all your products, just like you do with UPC barcodes.
- Use the prefix to purchase and create GTINs.
Step 2: Select your 2D Barcode Type
Determine what information your team needs to encode. This step is arguably the most important for teams to consider, and we highly recommend this resource to determine which barcode type works best for your business.
GS1 supports two main 2D formats:
- GS1 DataMatrix: preferred for most consumer goods and healthcare items.
- GS1 QR Code: sometimes used when you also want consumers to scan it (e.g., for marketing or product info).
The chart below from GS1 breaks it down into an easy-to-read format.
Step 3: Encode Your Product Data
This step is crucial, as encoding your data correctly ensures that both customers and POS scanners can read your data.
All suppliers should utilize software to encode the data into a 2D barcode. Quality barcode software will typically format the data, optimize the encoding to keep the size small, and automatically include the required quiet zone (the clear, unprinted area surrounding the barcode).
There are two ways to encode data via software, dependent on the barcode type:
- GS1 Element String Syntax: Used primarily in GS1 DataMatrix barcodes. This format is ideal if you need a smaller barcode and more data than linear options, but do not require web connectivity.
- GS1 Digital Link URI Syntax: Used in QR Code or DataMatrix barcodes. This syntax puts the GS1 data into a web-friendly format (like a URL) and is chosen when connecting consumers to online information (like ingredients, promotions, or traceability) is required.
The following list includes a selection of options to generate barcodes:
- Zebra DNA (for use with Zebra printers)
It should be noted that all QR barcodes should be GS1 Digital Link enabled, a process that converts URLs on products into a format that can be read by POS systems and customers. GS1 encourages all suppliers to contact their local GS1 office while testing out the first 2D barcode to assist with the process.
Step 4: Design Your Label
Once the 2D barcode is generated, the product label can be designed. While a long-term benefit of 2D barcodes is their ability to occupy less label space, the dual-marking period required by GS1 means both 1D and 2D barcodes must be included. This ensures that the product will continue to scan until the widespread adoption of 2D barcodes by retailers.
We recommend considering the following for optimal barcode scans:
- Placement: To match the pace of high-speed retail scanning, the 2D barcode should be located within 50mm of the linear barcode's center. Edges should be avoided as printers can't guarantee the barcode is printed fully if it's on the edge.
- Surface Consideration: Labels should be smooth, so suppliers should be aware that textured paper or labels can hinder scanning. Thin and cylindrical products prohibit scanning, so suppliers should consider exterior packaging in these cases.
- Human Readable Text: As of the fall of 2025, GS1 mandates the numerical value on barcodes to be readable. This order could change as automation and AI continue to impact the supply chain heavily.
Step 5: Print and Test Your Barcodes
When deciding how to make barcode labels, it helps to know whether the label will use static or dynamic data. Labels with static data, such as a product Global Trade Item Number (GTIN), do not change and can usually be pre-printed by packaging suppliers. Labels with dynamic data, like batch numbers or expiration dates, need to be printed in real time during production. This process is called on-demand or dynamic data printing and makes sure the right information is added to each product. Because the data changes often, these labels usually cannot be completely pre-printed ahead of time.
Print and Apply (P&A) systems are another option. These machines automatically print and place labels on products or packaging. They are often used in factories and warehouses because they can handle large volumes and print changing information as needed.
Other printing methods include Thermal Ink Jet (TIJ) and Continuous Ink Jet (CIJ). TIJ printers spray small drops of ink onto the label without touching it, making them good for small or detailed barcodes used in areas like healthcare.
Label material choice is important, as each has its own pros and cons. Paper is common, polyethylene works better on curved surfaces, and polyester is the most durable choice. Selecting the right material ensures the ink adheres properly and maintains the label's clarity and readability.
At the very minimum, suppliers should be talking with their label partners throughout this process, as they're key stakeholders in a product's success.
Step 6: Share Data With Your Retailers
Many retailers use portals to receive your product data and barcode information. We recommend using the portal to communicate your product information, new data, and any updates or delays that concern your retailer. As incorrect items often result in chargebacks and fees, this proactive step is essential for success.
When updating an item's information, make sure all details are completely accurate so they match exactly with what is printed on your packaging. This is also a good opportunity to take initiative by verifying that your retailer's systems can correctly recognize your GTIN and barcode format.
Step 7: Run Pilot Tests
Before beginning full-scale rollouts, it's essential to run trials to test how your new 2D barcodes perform in real-world conditions such as warehouses, during transit, and at checkout.
A pilot test helps ensure that new systems work correctly and do not disrupt normal business operations. This step also enables you to verify whether your current equipment and systems can effectively create and read the new 2D barcodes.
Running a successful pilot requires teamwork within your organization and external partners. Work with your IT team to prepare systems, ensure connectivity, and train staff on handling and scanning the new barcodes. Suppliers should also collaborate with retailers and technology providers to resolve any hardware or software issues and agree on clear test requirements.
During the pilot, it’s helpful to review results and adjust to improve performance. Once the pilot meets its goals, you can confidently expand the process across all your products and packaging formats.
Implementing RFID As A Supplier
2D barcodes are often paired with RFID technology. If you’ve determined that RFID is a good fit for your business for real-time visibility, then this guide will help break down how to get started with implementation. We’ll walk you through strategic planning, feasibility analyses, and how integration works with new hardware and software components.
Step 1: Strategic Planning and Expert Consultation
The most crucial part of RFID implementation begins with a partnership with a trusted, reliable RFID provider. Many companies provide RFID technology, but suppliers should look for experts who understand industry-specific nuances. These providers will understand specific quality control nuances and can help connect technological systems with their partners.
We highly recommend investing in an RFID consultation to receive targeted and professional advice that is tailored to your specific company and needs. Consultants can help with the following:
RFID Planning Stage | Benefit |
Roadmap Development | This highly mitigates risks and manages project timelines. Allows suppliers to maximize the benefits of RFID tech. |
Feasibility Assessments
| These assessments look through competitor research, return on investments, and will provide a full picture of the impact on the business. |
Application Use Cases | These will look through the supplier’s specific application for RFID tech, such as asset material composition, read range limitations, and environmental constraints. |
Cost Feasibility | These assess if implementation is financially doable. Investments in equipment and tags are examined with current and prospective numbers and comparisons for a Return On Investment (ROI). |
Step 2: Obtaining Required RFID System Components for Suppliers
Suppliers will need three components to create a complete RFID solution for products: tags, hardware, and software.
RFID Tags, Types, and Testing
The transponder itself is attached to the parts, products, or containers. The same technology is used in credit cards, certain types of licenses, and in high-end clothing. They contain a microchip that stores data and acts as an antenna for signals.
Tag types range in pricing, so choosing between passive and active RFID tags can have a big impact on the bottom line. Most tags used on inventory tracking are passive and can be more affordable (around 5 – 15 cents per chip when purchased in bulk).
Tag specifications and use cases should also be considered, as the type of surface the tag is attached to can affect how the tag is read. Materials like metal and liquids can interfere with RFID signals, necessitating the use of specialized (and more expensive) tags.
Once the tags are confirmed to operate within the desired read range and size limitations, it's important to conduct testing. During the test phase, suppliers can observe the impact of various environmental conditions, including heat, cold, moisture, and chemical exposure. The testing allows suppliers to use a variety of tag types on the actual items to be tagged.
RFID Hardware: Readers, Antennas, and Printers
The next part of the RFID trifecta is the hardware, which consists of the physical items that enable the item to be tracked via RFID.
The readers, also known as interrogators, are the "brain" of the system, sending out and receiving radio waves to communicate with the tags. Readers can be fixed or mobile. Passive reader systems can cost between $ 1,000 and $ 3,000.
Antennas take the reader's signal into waves that the tags can receive. These are necessary in an RFID setup, as they generate the radiofrequency field that powers the tags. Antennas are often referred to as "dumb devices" because they can't power on or retain power individually and lack computing power. Most RFID antennas cost between $50 and $300.
Tag printers are the most critical devices in an RFID system, as they're used to make the physical tags and labels that track suppliers' inventory and assets. There are desktop RFID printers, industrial or heavy-duty printers, and mobile RFID printers.
Tag printers are beneficial when you frequently use materials such as RFID inlays or labels, as they make it easier to tag individual items or parts. When using an RFID printer, the cost of the printer ribbon is another regular expense to consider, as it can range in price from $1000 to $8000.
RFID Software: Processing and Utilizing Data
The final piece of complete RFID suppliers will need is management software. This allows information and data to be collected, processed, and realized. Many types of management software can be integrated with existing systems, such as inventory management databases or Enterprise Resource Planning (ERP) systems. A list of RFID software can be found here.
Step 3: Establishing and Connecting Digital Standards
The last step for setting up RFID for your products is to connect the tag information to GS1. Like barcodes, RFID tags must be encoded with data and registered with a GS1 company prefix. This prefix allows you to create your Global Trade Item Number (GTIN), which serves as a unique identifier.
RFID and 2D Barcodes: Bringing It Together
Transitioning to 2D barcodes and RFID is not just about meeting retailer requirements by 2027. It is about improving accuracy, efficiency, and visibility across your supply chain. Each step in this process, from obtaining GS1 identifiers to testing labels and coordinating with retail partners, lets your organization prepare for long-term success.
By starting early and using lower-stakes pilot tests, you can find challenges before they become cost-prohibitive and build confidence in your systems. Collaboration with label vendors, technology providers, and GS1 representatives ensures that your products will scan correctly at checkout and that data remains accurate throughout the supply chain.
Adopting 2D barcodes and exploring RFID now gives suppliers a head start in adapting to future standards. It also provides an opportunity to streamline operations, reduce errors, and improve traceability. The sooner your organization begins, the smoother your transition will be when 2D barcodes become the new industry standard.
