How can processes be optimised in the retail industry? Should RFID Codes Replace Barcodes in Stores? And where is the place for QR codes in all this? While their purpose is similar—data transfer, after all—they differ significantly in terms of technology, functionality, and applications. Let’s compare these three solutions to understand their capabilities better and, ultimately, know when to choose RFID, barcode, or QR solutions.
Barcodes or RFID? Learn about the pros and cons of the solutions
What are the pros and cons of barcodes? In the context of the retail industry, one of the solutions has been taking the lead in recent years, but one by one.
QR Codes – Pros and Cons
QR codes (short for Quick Response) became very popular in the world of marketing and the retail industry a few years ago. These are 2D codes that store data in the form of a pattern consisting of dark squares and light spaces. After scanning the code with a smartphone camera or a special reader, the user can open a website, download detailed product information, check the restaurant menu or configure Wi-Fi. The limitation is that for the code to be read, it must be placed in the reader’s field of view.
Read about Phygital in the retail industry to understand how QR codes will help you implement this strategy.
RFID Codes
RFID stands for Radio-Frequency Identification. The data carriers here are tags, i.e. devices consisting of a microchip that stores information and an antenna that allows communication with the reader.
They can be active (battery-powered) or passive (powered by power from the reader). Importantly, the data from the tags can be read from a distance, even when the carrier is out of sight. For example, they are perfect for retail because the data stored on them can be modified, and it is also possible to read several media simultaneously. As for the disadvantages, implementation costs will definitely be higher than in the case of QR or barcodes. If you’re wondering how to improve product scanning and shelf presence, see Smart Shelves.
Barcodes
The oldest and still very popular form of product identification, barcodes are sequences of parallel lines of different thicknesses/spacing that can be read with a laser scanner. Barcodes are commonly used in retail, warehousing, and logistics for product identification and asset management. Most often, they refer to external databases. The limitation is how they are scanned – they have to be directly on the laser line, and it isn’t easy to position the code near the reader.
RFID, barcodes or QR? Find your solution
Barcodes and QR codes are best suited for places where reading is sporadic and manual, while RFID supports process automation well. But to give you even more detail about the pros and cons of RFID, barcodes, and QR codes, we’ve compiled a table showing their standard features.
Feature | RFID | Barcodes | QR Codes |
Method of information transfer | Radio waves | Laser reader | Scanning (e.g. with a camera) |
Read range | Up to a few meters | A dozen or so centimetres | Up to 1-2 meters (depends on the reader) |
How to read | Contactless scanning is done remotely | Requires direct contact (the device must “see” the code) | Requires the scanner to be set up on the code line |
Upgradable | Yes, you can change the data for some tags | None (data is static) | None (data is static) |
Cost of implementation | Higher (RFID readers and tags) | Low (readers and printers are cheap) | Low (Readers and Printers) |
Does scanning require human involvement? | No | Yes | Yes |
Data Retention | Ability to store additional data, identify multiple items at once | Encodes only the product ID | Encodes more data than barcodes, such as URLs |
Safety | Higher Encryption Capability | Low | Average |
Applications | Logistics, warehousing, and access control | Retail, Inventory Management | Marketing, website links, mobile apps |
Read time | High-speed (simultaneous reading of multiple tags) | Slower (one label read once) | Faster than barcodes, but one-time |
Low-light reading | Yes, possible thanks to radio waves | Impossible | Impossible |
See also: AI in retail spaces.