Important information for logistics: In 2027, the Data Matrix code (2D barcode) or QR code will replace the barcode

GS1 is a global, non-profit organization dedicated to developing and implementing standards and solutions for the supply chain. Founded in 1977, it is headquartered in Brussels, Belgium.

GS1 works with companies and organizations worldwide to ensure that products and information can be communicated consistently and efficiently throughout the supply chain. GS1 standards cover the identification of products, locations, and facilities, as well as data collection and electronic communication within the supply chain.

GS1's best-known products are the EAN-13 barcodes, which can be found on almost all retail products worldwide. GS1 also operates the Global Data Synchronization Network (GDSN), which enables companies to synchronize and exchange product data globally.

GS1 is a membership organization whose members include companies from various industries such as retail, pharmaceuticals, transport and logistics, automotive and healthcare.

2D matrix code usable for WebAR or WebXR (3D product presentation in augmented reality)!

Barcodes – Image: kamellys|Shutterstock.com

In the 1970s, the barcode revolutionized supermarket shopping worldwide by enabling automated checkout. With the Global Trade Item Number (GTIN) as part of the barcode, it became the universal standard in global trade and is scanned ten billion times a day on products. But now it's time for a new generation of codes to arrive.

The matrix code (also known as QR code) already has some advantages over the barcode, such as the ability to store more information in a smaller space and the ability to encode information in all directions.

DataMatrix 2D code – GS1 DataMatrix, Data Matrix and QR code are types of 2D barcodes

Furthermore, matrix codes are already used in various industries and applications, such as advertising, e-commerce, the automotive industry, and healthcare. The ongoing digitalization and the increasing importance of data in logistics could lead to even greater use of matrix codes in the future.

However, it should also be noted that barcodes are still widely used and successfully employed in many areas of logistics. Therefore, there will likely be a transition period during which both codes coexist. Ultimately, the actual adoption of matrix codes in logistics depends on various factors, such as industry acceptance, technology availability, and implementation costs.

Related to this:

• Barcodes are changing the world: the present is linear, the future two-dimensional
• QR-like “2D barcodes” will revolutionize retail as we know it
• The GS1 Global 2D Program – Basic FAQs

Data Matrix Code Explanation

A Data Matrix code is a two-dimensional code type consisting of a matrix of square modules, which can be either black or white. These codes are used to store a variety of information such as text, numbers, graphics, and other data.

Data Region

The data region is the central area within the Data Matrix code that contains the actual data. The data region is surrounded by an empty zone called the quiet zone, which serves to make the code more readable.

The size of the data region varies depending on the size of the Data Matrix code. If the code is larger, the data region can also be larger to store more data.

It is important to note that the data region has a defined size and structure, which depends on the specifications of the Data Matrix format. This means that when creating Data Matrix codes, it is crucial to adhere to the specifications to ensure the code can be read correctly.

Finder Pattern (Orientation Pattern)

The “Finder Pattern” is an important component of Data Matrix codes, used to recognize and decode the code. It is a pattern of black and white squares located in the corners of the code.

The pattern consists of a large square in the corner of the code, surrounded by a border of smaller squares. This combination of squares forms a unique pattern that can be recognized by the software to locate the code.

The size and ratio of the squares within the Finder Pattern are standardized, allowing the software to easily identify them. Once the pattern is recognized, the software can analyze the code and extract the information it contains.

Overall, the Finder Pattern ensures that Datamatrix codes can be detected and decoded quickly and reliably, making it a useful technology for a wide variety of applications.

Alternating Pattern

The alternating patterns in Data Matrix codes serve to mark the beginning and end of the code, as well as to determine its orientation. Data Matrix codes consist of a square grid of black and white squares, which are called modules. The alternating pattern is a specific arrangement of black and white modules in the corners of the code, forming a unique structure.

The alternating pattern allows a reader to recognize and decode the code even if it is in any orientation. This is particularly important in applications where the code can be placed on a variety of surfaces and may be rotated or moved.

Furthermore, the alternating pattern also allows a reader to identify the beginning and end of the code. This is important because the code may not be placed on a clearly defined area, and it can be difficult to visually determine the start and end of the code.

1D barcodes have limitations that prevent them from addressing key business needs. Because of these limitations, companies have moved to using 2D barcodes to enable better solutions for traceability, supply chain transparency, customer engagement, recall, waste reduction, and other requirements.

1D barcodes, such as EAN/UPC, can only carry a product identifier known as the Global Trade Item Number® (GTIN®). 2D barcodes can include additional data such as expiration date, batch/lot number, serial number, and more. Including this data in the barcode adds value because the information can be automatically captured and processed.

Some 2D barcodes, such as the QR code with GS1 Digital Link, can contain additional data while connecting consumers and other users to online resources and experiences.

DataMatrix 2D code – GS1 DataMatrix, Data Matrix and QR code are types of 2D barcodes

2D barcodes can not only contain more data, but are also smaller than their 1D counterparts and also have features such as integrated error correction, which increases their reliability.

No, EAN/UPC and other 1D barcodes, such as GS1 DataBar, will not disappear. 1D barcodes will coexist alongside 2D barcodes as long as there are applications for them. If it is not necessary to add data to the barcode via the Global Trade Item Number (GTIN) (e.g., batch/lot number or expiration date) or to facilitate consumer interaction through connection to online resources, a 1D barcode (EAN/UPC) can be used.

POS systems need to be updated to scan 2D barcodes and process at least the GTIN. Until all retailers have completed these updates, a transition period is required for dual labeling with a 2D barcode and the existing EAN/UPC barcode. This will ensure that advanced use cases can be implemented by retailers who have upgraded their hardware and software.

The industry has set the ambitious goal that POS scanners in retail stores worldwide will be able to scan and process 2D barcodes by the end of 2027. Those deciding which barcode to use on their products could continue to use a 1D barcode or choose from standardized 2D barcode options.

The industry's defined goal is to enable the use of 2D barcodes in addition to existing 1D barcodes in retail.

Different regions of the world will move at different paces towards the ambitious goal of transitioning from 1D to 2D barcodes. The Global 2D Programme is working with global communities to coordinate these activities.

GS1 DataMatrix, Data Matrix, and QR codes are all types of 2D barcodes approved for use within the GS1 system for specific applications. Currently, they are not approved for use in the open supply chain at the retail point of sale (POS). If any of these barcodes are used on a retail POS product, a 1D barcode is required until the transition period is complete.

All three barcode types are capable of encoding GS1 Application Identifiers (AIs) such as GTIN, batch/lot number, and expiration date. The way these AIs are encoded into the barcode affects how they can be used. GS1 DataMatrix uses a syntax or data format known as the GS1 Element String. QR codes and DataMatrix use the GS1 Digital Link URI syntax.

GS1 DataMatrix uses the GS1 element string syntax, which is also found in other GS1 barcodes, such as GS1-128. This data format is widely used throughout the supply chain to deliver critical data where it is needed—in healthcare, fresh food, logistics, and a variety of other areas. It does not offer the simpler web compatibility of QR codes and DataMatrix, which allows for greater consumer engagement.

QR codes and Data Matrix codes use the GS1 Digital Link URI syntax and bring GS1 data into a web-compatible format, making it possible to use the information for traditional supply chain applications, such as price inquiries, while also connecting to online resources.

The QR code is currently the preferred method because the standard camera application on a mobile device is able to automatically scan the QR code and connect the user to the website or other resource.

Data Matrix can also be used to connect users to the web, but not all mobile device cameras can currently process this barcode type automatically. One advantage of Data Matrix over QR codes is that Data Matrix is ​​usually the smaller of the two barcodes.

The GS1 Digital Link Standard extends the capabilities and flexibility of GS1 identifiers by defining how the GS1 standard system is encoded in web addresses (URIs/URLs) so that they are natively connected to the Internet.

This means that GS1 identifiers, such as the GTIN, are now a gateway to consumer-facing information, including brand loyalty, improved supply chain traceability, APIs for business partners, patient safety information, and more. The possibilities are endless.

While a URL typically points to a single, specific website, the GS1 Digital Link URI syntax enables connections to all types of business-to-business and business-to-consumer information. When you add a QR code to a product, using the GS1 Digital Link standard in barcodes means that it provides a scannable URL and also carries GS1 identifiers – the same identifiers the entire industry relies on.

A 2D code (also known as a 2D barcode or matrix barcode) is an optoelectronically readable code consisting of lines or dots of varying widths and spaces between them, with the highest possible contrast. Unlike one-dimensional barcodes, the data is not encoded in only one direction (one-dimensionally), but rather as an area spanning two dimensions, hence the name. The advantage is a higher density of information. In this context, the term "code" does not refer to a type of encryption, but rather to the representation of data in symbols.

The data in a 2D code is read automatically using optical readers, such as camera scanners, and processed electronically. Common applications of 2D codes include logistics for product identification and mobile tagging. Due to their higher storage density, they are also used for optical data storage. For example, in optical sound recording, digital audio signals are stored as 2D codes between the perforations of film.

More information here:

• 2D code / Matrix barcode

The DataMatrix code is one of the best-known 2D codes. It was developed in the late 1980s in the USA by Acuity Corp.

Today, this code is one of the best-known types of 2D codes and is used for permanent direct laser marking in production (e.g., printed circuit boards), with dot peen marking in automotive manufacturing, on analytical instruments and devices (chemistry, medicine), and increasingly as a printed code image in document handling (tickets, electronic postage for mail). In the pharmaceutical sector, it is used for printouts of electronic prescriptions, for medication plans, and for the tamper-proof serial number of each drug package in the Securpharm system.

More information here:

• DataMatrix code

The barcode is found on almost every product and represents a machine-readable, multi-digit number that allows computers to distinguish between different products. The European trade standard for barcodes, the European Article Number (EIN), allows a maximum of 13 digits, which, according to GS1, the organization responsible for standardization, is insufficient. Therefore, GS1 plans to replace the one-dimensional barcode with two-dimensional matrix codes by 2027.

GS1 matrix codes were introduced back in 2021, as can be seen in an FAQ document (see also here). GS1 is working with the US association on a roadmap called Sunrise 2027, which stipulates that no new barcodes will be issued worldwide from 2027 onwards. Instead, all businesses will be required to have scanners capable of reading matrix codes. However, existing barcodes may still be used.

Product manufacturers can choose between QR and Data Matrix codes, which can be found in the linked FAQs . The greater capacity of the 2D codes is intended to benefit customers, retailers, and suppliers. Plans are in place to integrate URIs (Uniform Resource Identifiers), which will allow access to additional product information, such as recipes or traceability details.