Application Scenarios and Technical Solutions of Barcode Scanning in Retail Industry

  • 2018-07-03 09:31:06
  • 213

In recent years, barcode scanning technology has been widely applied in the global retail industry, providing us with convenience and numerous new experiences in our daily lives.

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Next, this article will take stock of various applications and technological solutions of barcode scanning in the retail industry.

Application Scenario One: Self-checkout Machines and Barcode Scanners - A New Experience in Smart Checkout

The advent of the "Internet Plus New Retail" has brought about a transformation in the traditional retail industry. Self-checkout machines, commonly found in foreign supermarkets, have gradually appeared in various domestic supermarkets, including stores like Suning, Yonghui, and Wumart. Self-checkout is becoming an important trend in China's retail sector.

Compared to traditional checkout devices, self-checkout machines are equipped with 2D barcode scanners, integrating barcode scanning and data transfer functions. They excel in scanning one-dimensional and two-dimensional barcodes on products and payment applications. They seamlessly integrate with supermarket product management and checkout systems and connect with POS card payments, Alipay, and WeChat Pay interfaces, offering consumers multiple payment options. Customers only need to scan the product's barcode into the system, choose the payment method, and complete the checkout.

Application Scenario Two: Scan-and-Pay Ordering and Self-checkout After Dining

With the arrival of the mobile payment era, consumers can now order by scanning a QR code. Restaurants enable customers to place orders by scanning QR codes or by following the restaurant's WeChat official account for intelligent ordering. Moreover, after dining, customers can use the scanning payment function on the ordering machine, simply open their mobile payment apps like WeChat or Alipay, scan the payment code at the ordering machine's scanning window, and print the payment receipt. It's worth noting that scanning payment machines are equipped with a barcode scanner beneath the scanning window, seamlessly integrating data transfer, data collection, and scanning payment functions, making the entire ordering process efficient and fast.

On July 1, 2017, KFC opened its first green light food restaurant, K PRO. To target younger consumers, KFC K PRO introduced paperless ordering. Paperless ordering reduces labor costs, shortens order wait times, and offers customers the most convenient interactive experience. Customers simply order at the self-ordering kiosk and take a numbered sign from the shelf on the left. The staff will deliver the food to the customer's location. These self-ordering kiosks typically embed a barcode scanner below the scanning window, integrating data transfer, data collection, and scan-and-pay functions. When it comes to the ordering process, customers can place orders using their mobile phones and make payments by scanning the barcode. This feature is efficient and quick.

Application Scenario Three: JD.com Warehouse Management

Introducing barcode technology into warehouse management allows for automated data collection at various stages, including goods inspection, inbound, outbound, allocation, relocation, and inventory counting. This ensures efficiency and accuracy in data input at all stages of warehouse management, providing companies with timely and accurate real-time inventory data. Additionally, scientific encoding methods facilitate batch and shelf-life management of products.

JD.com utilizes RFID technology, EPC inventory retrieval technology, inventory counting technology, and intelligent shelving technology to achieve automated warehouse management. JD.com divides its warehouse into three main areas: receiving, storage, and outbound. In the receiving area, JD.com first conducts quality checks on goods received from suppliers, and then uses EPC and electronic tag technology to label each product with a barcode tag, serving as unique identification. All items are shelved and stored in the storage area, with each shelf having a unique identifier. When shelving products, JD.com's warehouse staff use handheld PDA devices to scan product barcodes and link them to the information system. This allows warehouse staff to access the correct shelf for order picking when customer orders are placed, avoiding the need to cross-check product names.

Additionally, JD.com uses historical data results to store products with high relevance together, increasing warehouse efficiency during busy seasons. During promotional periods, shelf placement can also be adjusted to save picking time and improve order processing efficiency. The warehouse management system comprises three main modules: inbound management, inventory location management, and outbound management. This system is responsible for the scanning, updating, and managing of EPC label information and determining product storage areas and shelf locations. The use of IoT warehouse management technology allows JD.com to efficiently allocate products, update inventory information promptly, implement visual inventory management, improve warehousing agility and accuracy, enhance JD.com's service level, and provide safeguards for accurate returns, replenishments, and customer satisfaction. From a cost management perspective, these technologies maximize warehouse space utilization, reduce inventory, decrease storage costs, and automate processes such as storage, inbound/outbound, and inventory counting. This significantly reduces losses resulting from supply chain incidents like product misplacement.

Application Scenario Four: Cainiao Post Logistics Management

Barcodes are effectively used in logistics to improve the efficiency of item identification, speed up logistics processes, and reduce inventory, thereby shortening item transit times and enhancing the efficiency and effectiveness of logistics. This helps meet the requirements of modern, high-speed, and high-efficiency logistics, ultimately better serving customers.

Logistics and information flow coordination does not solely depend on a company's internal management system. ERP emphasizes overall supply chain management as an information platform that integrates company resources. Logistics management focuses on the management of goods in the logistics process, requiring goods to move instantly and accurately. This necessitates real-time data recording to accurately reflect the flow of goods. The logistics center must complete data collection, verification, and sorting tasks within a short time, with high requirements for data accuracy and work efficiency. Barcode technology is introduced in logistics management to effectively improve information collection in the flow of goods, addressing the coordination between logistics and information flows.

Cainiao Post, part of the Cainiao logistics system, is a community and campus logistics platform established with the authorization of Tmall, a subsidiary of Alibaba. It provides users with convenient services, including parcel collection, express shipping, discounted shopping, Taobao purchasing, recharging, ticket agency, and more. The parcel management at Cainiao Post is characterized by the application of barcode technology. It uses professional barcode scanning handheld terminals for information management of parcels and goods, ensuring comprehensive and accurate monitoring of parcel receiving, sending, and inventory management. This system enables real-time data collection and transmission, seamlessly connecting with the express company's backend systems. It effectively relieves the pressure on station parcel management, significantly reduces employee sorting error rates, and improves the efficiency of parcel management work, providing users with a more convenient parcel receiving and sending experience.

Application Scenario Five: Sales Scene in Retail Stores

The sales scene is where retail store market supervisors need to be present every day. However, with numerous stores, complex displays, varied product placements, frequent special events, and order placement scenarios, relying on a laptop and a mobile phone would result in reduced scanning gun efficiency. A barcode data collector can be a better tool for this situation, helping management personnel ensure smooth store operations to create the best customer experience. It can assist in simplifying task management, effective product sales planning, on-demand training, and mobile inventory management.

Replenishment: If store shelves and promotional displays need replenishing, staff can scan the shelf label or product itself. Warehouse employees immediately receive a notification to restock, preventing empty shelves and missed sales opportunities.

Product Location: When a customer asks whether a product is available in other colors or sizes, the staff can quickly check the inventory on the spot. If a product is not in its designated place or has been misplaced, staff can use mobile data terminals with integrated RFID to locate the product quickly, avoiding missed sales opportunities.

Price Management, Price Increases, and Decreases: By accessing the product database in real-time, price changes can be made quickly. With retail mobile data terminals and mobile printers, staff can easily scan the product and print new price tags, ensuring faster and more accurate price adjustments.

Application Scenario Six: Smart Food Safety System

In a mall in Qingdao, the staff of the Shinan District Food and Drug Administration demonstrated the "Smart Food Safety" IoT monitoring platform. Inside the Yonghui Meesee Bai Le supermarket in the China Railway Center, two enforcement officers randomly picked up a container of peanut oil from the shelf. They pulled out their mobile phones, opened the mobile enforcement platform, which includes six sections: inspection supervision, food traceability, license inspection, laws and regulations, user center, and credit files. The staff clicked on "inspection supervision" and used their phones to scan the product's barcode. The platform instantly displayed information about the product's production date, origin, and the manufacturer. Following the guidance of the enforcement terminal, the staff began to check the product's purchase date, other products from the same manufacturer, and supplier information. "If a food safety issue is found, the enforcement terminal will switch to another page, and we will record the issue, such as an expired product," the staff explained. All operations are connected to the regulatory backend, automatically saving data in real time. If an issue is detected, they can promptly find the problematic link. Enforcement officers can investigate the cause based on the issue, making the system efficient and effective. This "Smart Food Safety" IoT monitoring platform will be promoted in large supermarkets, restaurants, and markets to make food regulation more detailed and accurate. Additionally, based on this platform, an app will be developed for citizens to view food information easily.

Conclusion:

There's no doubt that the widespread use of barcode scanning technology in the global retail industry over recent years has significantly reduced the need for manual labor and customer waiting times in queues. This is a result of ongoing exploration and research in achieving higher efficiency. Currently, mobile payments, mobile marketing, self-checkout, and automated supply chain management are driving a transformation in the entire retail industry. As the market continues to develop, we have every reason to believe that barcode recognition will drive us to experience a higher quality of life!