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Barcode vs. QR Code: Overview, Differences, & Top Use Cases

Ever thought about the magic behind keeping your fixed inventory in check or making sure your assets are right where they need to be? That's where asset-tracking technologies come into the spotlight. These tools, both QR codes and barcodes, are game-changers for businesses of all sizes. 

Whether you're in retail, logistics, or any sector in between, understanding these technologies can seriously up your game. Let's explore how they can make a difference in your business and why they're more than just a tech trend.

Main Takeaways From This Article:

  • Barcodes offer a one-dimensional, straightforward solution for managing fixed inventory and tracking products, particularly in retail. Meanwhile, QR codes expand possibilities by storing more complex, two-dimensional data, facilitating access to a vast range of information, including multimedia content.
  • Barcodes are praised for their high-speed data entry, accuracy, cost-effectiveness, and customization options but are limited by their data storage capacity and vulnerability to damage. QR codes, in contrast, boast a high storage capacity, fast readability, and the ability to integrate multimedia, although they require smartphones for scanning and may pose privacy issues.
  • Barcodes excel in fixed inventory management,  asset tracking, and supply chain management, where straightforward, reliable tracking of goods and assets is essential. QR codes are utilized in mobile payments, marketing campaigns, and information access, offering a bridge between physical items and digital experiences.
  • Barcodes are suitable for environments with high-volume scanning needs and require simplicity and speed. QR codes are preferred for applications requiring more data storage or direct integration with digital platforms.

What Are Barcodes?

A barcode is a one-dimensional (1D) machine-readable code that is composed of parallel lines varying in width and spacing. This system of visual data representation is primarily used in retail and fixed inventory control due to its speed and accuracy. 

A barcode has different components:

  • Quiet Zone: This is the empty space at either end of the barcode used to prevent misreads.
  • Start and Stop Characters: These mark the start and end of the barcode.
  • Data Characters: These contain the actual information encoded within the barcode.
  • Check Digit: A redundancy check is used for error detection to ensure data integrity.

The framework behind 1D (linear) and 2D barcodes is somewhat different. 

Linear barcodes, such as UPC (Universal Product Code) or European Article Number (EAN), are best suited for  managing inventory and tracking products in stores. Their use is relatively straightforward, using lines and spaces of different widths to encode numbers and letters. 

On the other hand, two-dimensional barcodes, like QR, are more complex as they can store data both horizontally and vertically, thus capable of holding a greater volume of information. 

Advantages of Barcodes

  • High-Speed Data Entry and Retrieval: One-dimensional barcodes significantly speed up the process of data entry and analysis, making it efficient for businesses.
  • Accuracy: Automation helps to prevent human errors related to manual data entry.
  • Cost-Effectiveness: Barcoding technology provides a cost-efficient solution to manage, track, and update fixed inventory or assets.
  • Customization: Barcode systems can be tailored to meet the individual needs of specific businesses, giving them flexibility that's imperative for operating in different industries.

Disadvantages of Barcodes

  • Limited Data Capacity: Barcodes have a limitation when it comes to storing data. Their storage capacity is less than what 2D codes like QR codes can offer.
  • Vulnerability to Damage: If a barcode is damaged or poorly printed, this can lead to inaccurate scanning and information retrieval.
  • Limitation in Data Storage: Standard barcodes can only hold a limited amount of information, which may not be sufficient for complex fixed inventory management.
  • Line-of-Sight Dependence: Barcode scanning requires a line-of-sight between the scanner and the barcode, which means they cannot be read if obscured or facing the wrong way. They must be scanned horizontally.

How Does a Barcode Scanner Work?

The process of using a barcode scanner begins with creating the barcode itself. A unique code is generated using a barcode generator, printed onto labels or tags, and applied to items in easily visible locations. This ensures the barcode can be scanned without hassle during regular use.

When a barcode is scanned, a light source—usually a laser or LED—shines on the barcode. The white spaces reflect light, while the black bars absorb it, creating a pattern of contrasts. A sensor in the scanner picks up this pattern and converts the reflected light into an electrical signal.

The scanner's decoder then processes this signal, translating it into digital information such as numbers or letters. This data is sent to a connected system, where it matches a database entry to pull up the relevant details, such as product information or inventory status.

Barcode scanners come in different types, including handheld, stationary (for quick reading at the point of sale), and even built into smartphones for more infrequent uses.

Top Use Cases for Barcodes

  • Fixed Inventory Management Systems: Barcodes are extensively used for inventory tracking and management in retail businesses, warehouses, and manufacturing plants. They enable real-time  updating and monitoring of stock, helping to avoid shortages and overstocking.
  • Asset Tracking: Organizations use barcodes to track valuable assets such as IT equipment, fleet vehicles, and even human resources to prevent loss and plan resources accurately.
  • Supply Chain Management: In supply chain management, barcodes provide visibility into the movement of goods from one place to another, tracking orders, managing delivery schedules, and ensuring the accuracy of shipments.

What Are QR Codes?

QR codes, or Quick Response codes, are 2D matrix barcodes capable of storing binary data. They're scanned using everyday mobile devices, transforming into a vault of information within seconds.

Unlike traditional barcodes, these 2D codes hold much more than just a sequence of numbers. They can store multimedia data ranging from images, audio, and video files to identifiers or locators that direct the scanner to specific URLs or apps. 

The design and development of QR codes enable them to hold information in various encoding modes, such as numeric, alphanumeric, byte/binary, and kanji. This means they can hold more data and a greater variety of information than regular barcodes.

Advantages of QR Codes

  • High Storage Capacity: QR codes can store a vast amount of data, including text, URLs, and other information.
  • Fast Readability: QR codes not only can be generated using a QR code generator but can also be read quickly and easily using a smartphone.
  • Real-time Tracking: QR codes can track the location, date, and time of each scan.
  • Multimedia Integration: QR codes can connect directly to websites, videos, or social networks.

Disadvantages of QR Codes

  • Requires a Smartphone: To scan a QR code, users must have a smartphone and a QR reader app installed.
  • Privacy Issues: Some QR codes may hold sensitive information, attract spam, or redirect to malicious websites.
  • User Complexity: QR codes may not be convenient or intuitive for all as they require a smartphone with a camera and an app to decode the information.
  • Limited Accessibility: QR codes require a smartphone with a camera and a QR reader app, along with an internet connection for certain applications, which may not be available to older individuals or those without reliable access to technology.

How Does a QR Code System Work?

QR codes work similarly to barcodes but are more versatile. The process starts by creating a QR code with a generator, encoding data like a website URL or product details. This code is printed and placed on items or materials where it can be easily accessed for scanning by a QR code reader.

When a QR code is scanned, a camera—like the one on a smartphone—captures its image. The software in the device quickly decodes the intricate square patterns of the QR code into usable data. This decoding happens almost instantaneously, providing a seamless user experience.

Unlike barcodes, QR codes can be scanned from any angle, making them faster and more convenient to use. Once scanned, they can trigger actions such as opening a webpage, displaying text, or accessing other linked information. This flexibility and ease of use make QR codes a practical tool for everything from marketing campaigns to asset management.

Top Use Cases for QR Codes

  • Mobile Payments: QR codes facilitate mobile payments. Rapid, accurate, and efficient scanning means hassle-free transactions, enhancing the overall customer experience.
  • Marketing Campaigns: In marketing, QR codes are used in campaigns. They provide consumers with quick and easy access to product details, promotional content, or website URLs, enhancing the overall customer experience and engagement rates. 
  • Information Access: QR codes have made accessing product or service information as easy as just a scan away. For instance, in retail, customers can scan a product's QR code to access detailed information, like specifications and user reviews.

Barcode vs. QR Code: Key Differences

Now that we've unpacked the basics, let's explore the key differences between barcodes and QR codes. These can greatly influence their suitability for different asset-tracking applications.

Key Characteristics

Barcodes are simple, one-dimensional codes used to track items efficiently, carrying basic details like product ID or price. On the other hand, QR codes, which are two-dimensional, can hold much more data, such as website links or multimedia content. They offer a fuller data solution.

Unlike barcodes that need special laser scanners, any device that can take pictures, like our everyday smartphones, can decode QR codes. You can generate QR codes easily using online tools. This makes them versatile and usable in a variety of situations.

Physical Appearance

Barcodes have a one-dimensional design made up of black and white lines of different thicknesses running parallel to each other. You've likely seen this simple, striped pattern on countless products in various industries.

On the other hand, QR codes have a two-dimensional, square-shaped design made of small squares or dots called modules. Each QR code has its own unique design, usually including three square corners that help in identifying the code.

Type of Code

One-dimensional barcodes like UPC codes are straightforward. They're made up of vertical lines with varying gaps and widths and are used for tasks such as managing fixed inventory and labeling products in various industries, like retail, logistics, healthcare, and government.

On the other hand, two-dimensional QR codes store information both horizontally and vertically, holding more data than a 1D barcode. You can find all types of data in a QR code, from text to URLs. They're seen in marketing materials, linking potential customers to additional online content, and in ticketing systems.

Information Capacity

Barcodes store data that is simple and numeric in a linear format. They can hold up to 25 characters, which is enough for basic details like price or fixed inventory codes. Because of this, barcodes are effective and economical for simple tracking uses.

On the other hand, QR codes are more complex and have a higher storage capacity. They can hold thousands of characters, including alphanumeric and binary data like URLs, geolocation info, and plain text. This makes QR codes highly suitable for more complex uses that require detailed data.

Scanning Process

To scan barcodes, you position the scanner's light to intersect the lines on the barcode, ensuring it crosses each line. Barcodes only contain information in one direction, left to right, which makes the scanning process quite fast and effortless.

Scanning QR codes, on the other hand, is slightly more complicated due to their matrix design. To scan a QR code, you use a scanning device, usually a smartphone camera, to capture the entire code from any angle, provided it covers the whole square.

Data Accuracy

Barcodes are dependable as they use lines and spaces of different widths to store information, which a barcode scanner reads. Their straightforward design makes barcodes usually reliable, giving accurate data as long as they're not damaged. But barcodes don't have built-in error correction. This means if a barcode gets smeared, scratched, or degraded, it may not be readable anymore.

QR codes are designed to protect the stored data with an error correction system. This system can recover up to 30% of the data from a damaged code, making QR codes reliable when they're partially blocked or degraded.

Size Comparison

QR codes, with their two-dimensional design, can fit a lot of data into a tiny square, making it an ideal choice for storing large information in a compact way. However, the small size can sometimes make QR codes difficult to scan, especially if you're using devices without a high-resolution camera. 

Barcodes, on the other hand, are larger and easier to scan, particularly in environments where a lot of scanning happens. Laser devices can quickly read them, so they're efficient for high-volume usage.

Technology and Equipment for Scanning

Barcodes use a straightforward system of lines and patterns to represent data. Each line width and space is translated into valuable information by barcode scanners, which use components such as light emission and sensors. Barcodes can be scanned using stationary, handheld, or wearable scanners. Although the initial investment might be higher, their swift scanning and easy operation make them a sensible choice for many businesses. 

On the other hand, QR codes use a two-dimensional structure to encode data in both vertical and horizontal dimensions. Most smartphones can read a QR code using a basic camera app, and there's no need for special hardware. This convenience boosts consumer interaction but also increases security risks and creates dependence on personal devices. 

Despite these trade-offs, QR codes are cost-effective for businesses seeking to interweave physical and digital experiences.

Security Measures

Barcodes have simple security features due to their universal standards and fixed structure. This simplicity makes it easy for any scanner to read them but also makes them prone to counterfeiting. However, you can boost their security using software or by combining them with other technologies. 

QR codes, on the other hand, offer advanced security options like encryption and password protection, which help keep sensitive data safe. However, their open design also makes them vulnerable to misuse, as ill-intentioned individuals might embed harmful information. 

Additionally, QR codes can be easily copied, leading to potential counterfeiting problems. To lower these risks, digital signatures can be employed.

QR Codes vs. Barcodes: How To Choose the Appropriate Technology

Choosing between QR codes and barcodes starts with assessing your specific needs and operational goals. Evaluate factors such as the type and amount of data you need to store, the scanning environment, and the intended application. For example, if you require minimal data for quick retail transactions, a traditional barcode might suffice. However, for more complex information like URLs or multimedia, QR codes may be more appropriate.

Ask these key questions when deciding:

  • What type of data will you encode? Determine if you need numeric, alphanumeric, multimedia, or detailed data storage.
  • What is the scanning environment? Consider factors like lighting, space constraints, and user proximity to the code.
  • What equipment is available? Ensure compatibility with existing scanners or mobile devices.
  • How important is future scalability? Choose a solution that can grow with your business, such as integrating with advanced systems or handling additional data.
  • What is your budget? Consider costs for implementation, equipment, and ongoing maintenance.

Boost Efficiency with the Right Technology

While both barcodes and QR codes offer tracking capabilities, understanding their strengths and aligning them with your business needs is crucial. 

RedBeam’s system leverages the efficiency and reliability of barcode technology to address diverse tracking requirements: 

  • Enhanced Visibility: Gain real-time insights into asset location and status, minimizing loss and ensuring accountability.
  • Improved Efficiency: Effortlessly track assets during movement, expediting audits and streamlining workflows.
  • Scalable Solutions: Accommodate growing fixed inventory needs with a system that adapts to your specific demands.

Book a free demo and learn how RedBeam can simplify your asset tracking and take control of your assets. Or better still,  try it now yourself.