QR Codes with Embedded Expiry Dates – Retailer Updates

In April, we hosted our annual catch up with retailers, including Tesco, Mercadona, Woolworths and Norgesgruppen, who each shared their latest learnings on the use of QR codes in grocery retail, focusing on embedded date codes in their perishables category.

Here below are five key learning points from retailers regarding the trials, deployment, and business cases related to QR codes with embedded date codes:

1. Enhanced Traceability and Supplier Identification

Retailers have found significant benefits in using QR codes for enhanced traceability and supplier identification. By embedding date codes and other relevant information within QR codes, retailers can track the origin of products more accurately. This is particularly useful for variable weight products where traditional barcodes fall short. For example, one retailer implemented QR codes to identify suppliers for each unit, which allowed them to differentiate sales from different suppliers effectively. This improved traceability helps in better inventory management and supplier accountability.

2. Improved Expiry Date Management and Reduced Food Waste

One of the primary advantages of QR codes with embedded date codes in retail is the ability to manage expiry dates more efficiently, thereby reducing food waste and improving productivity. Retailers have leveraged QR codes to block the sale of expired products automatically. This ensures that expired items are not sold to customers, which not only complies with food safety regulations but also enhances customer trust. Additionally, dynamic pricing based on expiry dates has been explored, where products nearing their expiry dates are discounted to encourage sales and minimise waste.

3. Operational Challenges and Solutions

The deployment of QR codes in grocery retail has not been without challenges. Retailers have faced issues such as wrinkles on labels, which hindered the readability of QR codes, especially at the POS. One retailer addressed this by placing labels on the flat side of products and improving the labelling system and QR read quality controls with their suppliers. They also implemented contrast measures to ensure QR codes are readable and optimised the size of the QR code. These changes have improved the read rate at the POS to be 99.9%, however, the target remains 99.95%. This gap and the operational challenges highlight the importance of thorough testing and collaboration with suppliers to refine the process and ensure smooth implementation.

4. Technological Integration and Employee Training

Successful implementation of QR codes requires robust technological integration and comprehensive employee training. Retailers have had to upgrade their scanning systems and ensure that all relevant information is captured accurately. For instance, one retailer had to inform all cashiers about the change from traditional barcodes to QR codes to prevent confusion at the point of sale. Continuous follow-up and monitoring are essential to maintain the effectiveness of QR code scanning and to address any issues promptly.

5. Customer Engagement and Transparency

QR codes offer an opportunity for retailers to enhance customer engagement and transparency. By scanning QR codes, customers can access detailed information about the product, including its origin, expiry date, and pricing. This not only improves the shopping experience but also builds trust and loyalty. Retailers have started to direct customers to their website upon scanning QR codes, providing additional product information and reinforcing their commitment to quality and transparency.

Overall, the learning from the trials and deployment of QR codes with embedded date codes is that the results are positive, with QR codes improving traceability and productivity, reducing food waste, and enhancing customer engagement. However, retailers must navigate operational challenges and invest in technological upgrades and employee training to ensure successful implementation.