Have you ever wondered about those black and white squares and lines that are stuck on nearly every product we buy? These ubiquitous symbols help stores, manufacturers, and even hospitals track inventory and critical data behind the scenes through special codes.
The two most prevalent encoding methods are the older one-dimensional barcodes and newer two-dimensional QR codes. But what exactly are they, and what’s the difference?
In this comprehensive guide, we’ll decode when and why barcodes and QR codes came about, how they work to store information, key distinctions between them, and how both code types are evolving within business applications.
What Are Barcodes and QR Codes?
Barcodes and Quick Response (QR) codes serve the same basic function – encoding data in a machine-readable format for easy scanning and data collection.
Barcodes represent data in the widths of parallel black lines against a white background. When scanned, this sequence of varied line widths directly translates into a string of numbers. For example, the 12-digit number sequence below a Universal Product Code (UPC) barcode identifies details about the product manufacturer and type.
QR codes also translate data into black and white pixel patterns, but arranged in a two-dimensional grid rather than linear bars. This matrix design vastly expands the possible data combinations, allowing QR codes to encode all types of alphanumeric text, website URLs, app downloads, and more.
Both encoding methods have trade-offs between data capacity, scanning ease, physical size, and other factors that dictate ideal usage.
History and Origins
Barcodes emerged earlier out of the retail sector’s need to streamline cashier operations. With increasing checkout volumes in the 1940s, supermarket manager Philharmonic Armstrong sparked inventor Norman Joseph Woodland to create a solution.
After Woodland’s first patent in 1949, the bullseye-style barcode design evolved over 20+ years into today’s ubiquitous linear Universal Product Code with vertical lines.
This 12-digit numbering system finally reached widespread retail adoption in the 1970s and 80s, driven by standardization efforts from the UPC Council and tech investments from scanner company Spectra-Physics.
QR codes arrived on the scene decades later as computing and cameras advanced. Invented in 1994 by Masahiro Hara at Denso Wave, the first commercial user was Toyota to track vehicles and parts along assembly lines.
The key QR innovation was encoding Kanji characters and images in a scannable matrix, allowing fast access to richer product information. This breakthrough quickly spawned marketing applications through the early 2000s.
As smartphone adoption took off, QR codes linked the digital and physical worlds by connecting phone cameras to web URLs, app downloads, videos and more. Marketers eagerly promoted QR codes in every medium, cementing ongoing popularity.
Inside Encoding: How Do Barcodes and QR Codes Work?
Barcodes and QR codes rely on the same binary concept of using just two visual states – typically black and white – to represent digital 0s and 1s. This On/Off encoding builds data sequences that translate into anything from numbers, to letters and symbols, to program instructions, images and beyond.
In linear barcodes, the width and spacing of vertical black lines maps to binary digits that directly encode the represented number printed below. Scanners measure the line/space widths and relay this raw signal to a computer to decode.
In matrix QR codes, both the horizontal and vertical arrangement of black/white pixels builds larger binary streams. QR metadata also lets the same pattern encode different formats like website URLs versus contact cards. Camera phones process captured QR images to read this encoded data.
Advanced QR code error correction allows accurate reading even if parts of the matrix dot pattern are obscured or damaged – a key robustness benefit.
Barcodes vs QR Codes – Key Metric Comparison
While both encoding methods have been around for decades now, barcodes still dominate many industrial settings due to early adoption and sufficient data capacity. However, QR codes are gaining strong traction across expanding mobile and online use cases thanks to increased storage and omni-directional scanning.
Here is a full feature comparison:
| Metric | Barcodes | QR Codes |
|---|---|---|
| Invented | 1949 | 1994 |
| Encoding | 1D Linear | 2D Matrix |
| Typical Shape | Lines/spaces | Square with patterns |
| Total Data Capacity | 20 alphanumeric characters | 7,089 numeric characters |
| Error Correction | Limited | Up to 30% recovery |
| Scanning Method | Laser scanner | Camera imaging |
| Scanning Direction | Aligned to barcode | 360 degrees |
| Cost | Virtually free | Low cost |
It’s clear 2D QR codes have technological advantages. But ease and inertia also come into play when changing established systems.
Current Uses and Trends
Retail and Healthcare Rely On Barcodes
The 12-digit UPC barcodes stamped on every grocery item links primarily to pricing files. This narrow purpose limits information, but the routing system works reliably at global scale. Healthcare likewise tracks specimens and hospital assets with simple barcode data.
QR Codes Dominate Mobile Marketing
QR codes sparked renewed purpose in enabling smartphones as mobile bridges between advertising and online action. Consumers scan QR codes to visit websites, download apps, access product information, follow social accounts and make seamless payments.
Recent stats show:
- 11+ million US homes scanned a QR code in 2020
- 58% used QR codes to pay bills with their phone camera
- 44% of smartphone users have general QR scanning apps
As consumers shift transactions even more to mobile, QR codes bring convenience across retail, events, real estate and financial services.
Trends and Market Growth
- Global barcode market size is forecast to grow 6% yearly, reaching $9.71 billion by 2030 (Allied Market Research) driven by retail and logistics applications
- The global QR code market hit $3.3 billion in 2021, seeing over 23% annual growth recently (Mordor Intelligence)
- By 2027, the QR code market could exceed $15 billion with CAGR over 17%, led by payments and smartphone advertising
Clearly QR codes are seeing faster adoption growth in digital spaces compared to modest expansion in long-standing barcode infrastructure.
Making the Choice – Barcode, QR, or Both?
In many inventory management cases tied to UPC product databases, barcodes are simply irreplaceable in the near term. Healthcare, manufacturing, packaging, and retail rely on embedded barcode systems handling billions of scans per day.
But QR codes fill simpler use cases like URLs and contacts very affordably. More importantly, QR codes create opportunities in mobile marketing, payments, and consumer engagement where barcodes fall short.
Savvy brands combine both options with barcodes on packaged products guiding inventory systems while QR codes give consumers direct mobile links to extra content.
When choosing codes, evaluate required data type and capacity, operating conditions, scanning methods, costs, and longevity. Simple barcodes work forever but offer limited data types in controlled settings with aligned laser scanners. QR codes enable far more dynamic applications with error-corrected image scanning across smartphones – but may change with technology platforms.
By understanding use conditions and leveraging the strengths of both encoding methods, companies can optimize data collection, inventory management, and customer connectivity.
Summary: Key Takeaways
- Both barcodes and QR codes use encoded black/white patterns to compactly represent larger data
- Invented over four decades earlier, barcodes are entrenched in retail and industrial settings
- QR codes from 1994 store exponentially more data and enable omnidirectional camera scanning
- Marketing via smartphones has skyrocketed QR code usage, with payments displaying high growth
- For inventory control, barcodes still rule through deep integration with pricing catalogs
- QR codes excel in mobile applications linking physical and digital engagement
- Select encoding by required data properties, scanning environment and business goals
- Combining barcodes and QR codes on packaging often provides the best consumer experience
As mobile saturation increases across regions and generations, versatile QR codes will continue displacing linear barcodes in cost-sensitive and consumer-facing applications. But deeply embedded barcode infrastructure ensures these codes evolve together serving complementary encoding roles for the foreseeable future.
