Smart QR codes could replace linear barcodes in next five years

Smart QR codes will replace the linear barcode in the next five years, according to 41% of senior retail industry executives.

The research comes from a report of 500 senior executives in the retail industry, commissioned by global barcode organisation GS1 UK, to understand the trends, challenges and priorities facing the retail sector.

Smart QR codes are dual-purpose giving every product the ability to provide consumers instant access to comprehensive online information and also going beep at the till.

Powered by GS1, the QR codes are now being tested in 48 countries, representing 88% of the world’s GDP.

Globally, GS1 aims to ensure a comprehensive rollout by 2027 and many leading household brands including PepsiCo, Walmart, P&G, Loreal and Amazon are already on board.

A strong 91% said that most retail businesses are still using technology dating from the 1990s – so the race to transition becomes even more challenging.

This challenge must be addressed given that 84% of executives said that those who do not adopt smart QR codes within the next three years will lose out on billions of pounds in revenue, said GS1 UK.

Morrisons is one of the retailers exploring the potential of this new technology with solutions architect Sagar Mehendale saying that the smart QR code, supported by trusted data, is replacing the barcode to become the “‘de facto standard for identifying your product at SKU level and also augmenting information about the product”.

QR codes powered by GS1 will allow consumers to instantly access hyper-relevant insights. This could include information on a products provenance, its carbon footprint, the risk of contamination with potential food allergens – and much more.

Previous research from GS1 UK found that mislabelled or unclear food packaging has meant that over 50% of people with food allergies have had an allergic reaction.

Anne Godfrey chief executive of GS1 UK, who led the report with FT Longitude, said: “The invention of the barcode is one of the great, untold stories in the history of our modern world – it is more frequently used than Google. The next generation of barcodes codes – QR codes powered by GS1 – will underpin the next retail revolution to give greater power to the consumer. They will connect physical products to the digital world to give businesses the power to provide the detailed product information consumers are increasingly demanding.”