Barcode is a data and product organization system that retail businesses have been implementing over the years but what exactly are they? The innovation you know as barcodes comes as machine-readable representations of data providing details on target objects, used by product-led brands.
The use of barcodes takes itemization from manual book records to automated and detailed inventory systems. Automated systems guarantee more accurate and detailed organization, especially for a large number of items.
The question is, what benefits does it bring and how can you generate barcodes for your products? We bring you the answers in this article.
Benefits of Using Barcodes for Products
The use of barcodes offers various benefits that contribute to improving your SME, especially if you operate in Nigeria. Your business gets to enjoy the following benefits when you implement barcodes:
Inventory Management
Implementing the barcode system helps you manage your inventory in more ways than one improving stock balance. You get to have detailed information about each item in stock immersed in each unique barcode registered in your inventory. It implies that tracking also becomes easier as you can locate each product with its unique code.
A good example of an inventory management and point of sale system (POS) in Nigeria is Lumi Business, combining its inventory management system and POS allows you to keep of all your products from the shelf to buyers’ hands.
Efficiency and Speed
The use of barcodes also makes operations faster as you get product information at the click of a button. Registering products in stock or on sale is faster with barcodes as in an automated system rather than the manual methods.
Data Collection
Collecting and organizing data becomes easier and more efficient as registering barcodes compresses large volumes of information. It allows you to organize your products into a register and use automated systems freely with its unique target codes. It doesn’t end there as barcodes also help to facilitate analysis to improve your SME’s decision-making process.
Customer Experience
Nothing makes customers come back to your brand with positive feedback like a great experience which is another benefit of barcodes. In actuality, it doesn’t directly cause them to come back but helps you offer them better service increasing customer satisfaction.
They get detailed information about products from the barcodes and you get to register it faster and more efficiently.
Steps to Generate and Use Barcodes in Nigeria
Generating barcodes for your products might seem complicated but we have brought you a way to get it done. You can generate a barcode for your products by following the four steps below:
Obtain a GS1 Company Prefix
The first step to generating barcodes for your products is to obtain a GS1 prefix from a GS1 member organization. These prefixes allow you to create identification keys for your business and aren’t restricted to your products alone. Nigeria uses the number “615” as its GS1 Prefix but you can only get it legally by becoming a member of GS1.
Becoming a member of the company isn’t complicated as you just need to visit the GS1 website and fill out their membership forms. After filling out the forms, an annual subscription and a one-time joining fee are required to complete your membership. Once you have that, you can move to the next step of assigning numbers to your product.
Assign Product Numbers
The next step to getting your unique barcode is to assign numbers that will go into the barcode you are creating. You have to know the products you have available and need barcodes for as GS1 charges based on quantity. For example, you will only have 3 digits, covering over 1000 unique products if you get an 8-digit company prefix.
The first digit of your unique product code is your number ID from GS1. The GS1 company assigns a set of unique numbers to your products via a form where you fill in product details.
The details span criteria for quantity, name, description, and any other essential information needed. After you get the unique product number from GS1, you then fit unique numbers to each item with the remaining digits.
Creating Barcode
Once you are done with assigning numbers to your products, you then move on to generate the barcodes for your products. There are many barcode generators available online that you can use with their cost being paid or free. One popular Barcode generator is the Shopify Barcode Generator, mostly used by several SMEs in Nigeria.
Once you visit the generator, input the information you wish to encode into the barcode without missing any detail. After encoding the information, you then insert your email address which should preferably be a business secondary email, and then download. Ensure you test your downloaded barcode with a scanner to ensure that it works properly with inventory systems.
Printing and Application
The last step is to print your barcode and use it on your products you will need to choose the barcoding to use. Your products can have either a static or dynamic barcode and they have different uses to them. Static barcoding is best for products having fixed information while dynamic works for products with constantly changing details.
You can print static barcodes directly on the product packaging and is best if it doesn’t affect the packaging. Dynamic barcode printing is kept digital or used in combination with traditional printing to keep it updated. You can also consider printing the barcode as a label and fitting it on the product packaging.
Choosing the Right Barcode
Getting barcodes for your products is now easy but how do you get the right ones for your type of business? Different types of barcodes match each type of business use and the common ones are UPC, EAN, Code 128, and GS1-128 barcodes.
If you run a retail business requiring your products to be identified and registered at checkout the UPC and EAN work best. On the other hand, if your barcode needs are for product tracking in terms of logistics, code 128 and GS1-128 are the best choices.
Software and Tools for Barcode Generation
In terms of software and tools that you can use to generate barcodes for your products, there are a few to note:
Barcode Generator
A barcode generator is an essential tool to have as you can’t generate barcodes without having one. There are several generators but one great and common choice is the Shopify Barcode Generator. It’s a free tool to use and matches well if you run a Shopify online store but you can also use it as a separate tool.
POS System
It is essential that you have a POS system that properly scans barcodes to help you with your itemization. In cases where you are creating custom barcodes for your products, ensure that your POS has integrated barcode software. POS systems also create barcodes for transactions which you find on receipts so it’s a great tool for SMEs.
You can also contact Lumi Business to enquire about their POS machines.
Inventory Management system
Lastly, you should get an inventory management tool as it helps with efficient management and growth of your SME. You get to track your stock levels, product logistics, and more right from a centralized dashboard. Check out our list of great inventory management software if you are wondering which to use. But we can save you the stress of reading through as you can use the Lumi Business IMS which is reliable and robust for all your needs.
Design and Printing of Barcodes
There are design standards that govern the creation and printing of barcodes making them work properly in different locations. One standard for your barcode to meet is clarity and readability making it easily checked and scanned. Knowing where it will be used also helps you match the standards and quality control to your barcode.
Implementing Barcode in Business Operations
Implementing your barcode into your business operations takes a certain approach to ensure 100% efficiency. The first step is to ensure you train your staff on using the barcodes and matching them with POS systems and inventory software. Knowing how to use barcodes makes it more efficient to manage stock levels and scan products during checkout.
It’s also essential to maintain barcodes by keeping them up to date along with their respective information. This stands mostly for dynamic barcodes but counts for static ones on special occasions.
Barcode Challenges and Solutions
You might encounter some issues when using your barcodes especially for the first few times after creation. One common challenge is when scanners don’t pick up your barcodes when they are being checked. The issue might be due to scanner incompatibility which will require you to get scanners that match that code.
Other issues might be due to the barcode being too small, too big, or on a crumpled label, hindering proper scanning. The best solution for this is to ensure that the barcodes meet the resolution requirements and contrast with the background. Also, ensure that you prioritize using high-quality printers to get the best results with your barcodes.
That wraps up everything you need to know about barcodes and how to generate barcodes for your products. You now know what you need, and how to get them to generate the barcodes that you need.
So what should you do next? Well, it’s time to generate barcodes for your products and improve your business operations in general. Remember to match your barcode creation to your business and information type for efficient use.
Need an inventory management system to manage your multi-store business in Nigeria? LumiBusiness helps businesses like yours across diverse verticals to manage their operations and to scale.