GTIN: Structure and Usage in GS1 Digital Link Explained

In the global economy, correctly and effectively identifying products is a common need to offer customers optimal services and increase a company's efficiency.

This is where the GTIN, an essential element that drives the merchandise flow across borders, comes in. 

It acts as a product identification code that helps organizations monitor their products in their supply chain system.

It goes far beyond distribution, as it supports digital transactions and improves customer confidence by using GS1 Digital Link, which links the physical object with digital data.

Let’s explore their uses, how they and the QR Codes will change, and how consumers access product information.

What is the GTIN?

The Global Trade Item Number is a universal numbering system designed to identify products. 

Created and managed by GS1, a global non-profit organization, this system guarantees that every product is uniquely labeled, facilitating trade and logistics. 

This product identifier can encompass various product forms and sizes. It is either 8, 12, 13, or 14 digits long and is used where needed in particular regions and product kinds.

Product identifier structure

A typical product identifier consists of three main components: the company prefix, the item reference, and the check digit.

Company Prefix: This segment states who the manufacturer or brand owner is. It forms the basis, so no two companies use the same prefix when assigning these unique identifiers, as discussed above.

Item Reference: Assigned by the company, this part uniquely identifies a specific product, including its variations (size, color, model). It ensures that each product, even with modifications, has a distinct identifier.

Check Digit: The final digit is calculated using an algorithm to validate the product identifier. It ensures that the code is correctly scanned or entered into systems, preventing errors.

Purpose and Importance of Global Trade Item Number

The GTIN is designed to standardize product identification, simplifying tracking and management on a global scale.

As international trade grows, maintaining consistent and detailed product information is essential. Businesses use them to reduce errors, optimize costs, and improve logistics efficiency.

These identifiers also play a crucial role in retail and e-commerce. They enable faster checkout scanning, streamline inventory management, and ensure the accuracy of online product descriptions. By providing a universal standard, they help businesses operate more effectively across diverse markets and systems.

They also improve consumer confidence by ensuring that the details provided on the products are authentic and can be traced to the producer.

Use in global trade

These numbers are indispensable in international commerce. They enable goods to meet customs and retailers' requirements for international transfer by offering uniform product descriptions. 

This eliminates time delays and reduces errors in international transport, allowing the firms to enter other foreign markets. 

Global Trade Item Number also supports authorities in regulating the flow of goods by ensuring accurate identification and monitoring during transit.

By understanding the goals and advantages of these item numbers, a company can increase sales and improve its position in competitive international trade by using them in its operations.

How to Get GTIN

Integrating these numbers is a strategic move that any business that wants to guarantee its products' recognition in the global market should undertake. 

Such a code makes inventory control, distribution flow, and e-business make the process smoother and more standardized, since all products are assigned unique numbers. 

Here is a step-by-step guide on how to get them:

Step 1: Understand the need 

Before obtaining these product identifiers, there are a few important factors to consider.

If you're thinking about selling a product through extensive distribution channels or via a platform like Amazon, you will most likely be required to have  GTINs to manage inventory and expiration dates.

They assist in improving inventory procedures and ensuring that products are scanned and listed quickly online. By being aware of these benefits, you will better realize the importance of a Global Trade Item Number and its relevance for business processes.

Step 2: Registering

The first process is to register with GS1.

Here's how you can proceed:

Visit the local GS1 website: Visit the website representing the local GS1 branch. Every country has its own GS1 member organization to assist you in registering.

Choose the Licensing Options: GS1 offers different membership options for different companies, specific sizes, and the number of products to be assigned Global Trade Item Number. Single registration might be useful for numerous small businesses, while multiple GTINs might require a Company Prefix from large-scale enterprises.

Complete the application form with the correct business information. This information is vital when allocating a company-specific prefix to your 2D barcode so that it does not clash with that of other companies.

Step 3: Application

After the registration and approval are done, GS1 will issue your company prefix to the business. With this prefix, one can generate these u for their products going forward. Here's how it works:

Generation: You can create them by combining your company prefix with a product-specific number. A check digit is added to the end to ensure validity. GS1 provides tools and guidelines to simplify this process and ensure accuracy.

Assigning to Products: Every version of a product—like different sizes, colors, or types of packaging—needs its own unique product identifier. This helps keep track of products correctly in stores and throughout the supply chain. 

Using a GS1 QR Code Generator: Once you have your GTINs, you can easily generate GS1 QR codes to represent them. Consumers or businesses can scan these QR codes for quick access to product information, inventory tracking, and even expiration dates.

QR Tiger GS1 QR code generator simplifies this by automatically embedding your GTIN into the QR code, allowing for seamless integration into your product packaging, marketing materials, and online systems.

Important Considerations

While obtaining Global Trade Numbers is a necessary step, there are key factors to keep in mind:

Cost: Registering with GS1 involves fees that vary based on your country and the registration option you choose. To avoid having such costs shoot your prices up or delay your product launch, expansion, or business expansion, it is wise to incorporate them into your financial plan.

Maintenance: Make sure GS1 has your registration details updated. This maintains the relevance and validity of your product identifiers and business continuity.

Compliance: Adhere to the set GS1 standards and guidelines when assigning them to ensure the accuracy and reliability of information.

Improve Your Business Productivity

Acquiring a GTIN is crucial for businesses seeking success in global markets. These unique identifiers enhance inventory systems, streamline product tracking, and ensure compliance with the requirements of large retailers and online platforms.

Implementing Global Trade Item Numbers enables organizations to improve supply chain efficiency, optimize product management, and expand internationally

By integrating them into their strategies, businesses can position themselves for sustainable growth and long-term success in an increasingly interconnected marketplace.

DISCLAIMER: We acknowledge that GS1, as well as the materials, proprietary items, and all related patents, copyright, trademark, and other intellectual property (collectively, “intellectual property”) relating to its use, are the property of GS1 Global, and that our use of the same shall be in accordance with the conditions provided by GS1 Global.