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UPC Codes

UPC Codes. Marketing I Mr. Yates. What?. As you can see, there is no price information encoded in a bar code. When the scanner at the checkout line scans a product, the cash register sends the UPC number to the store's central POS (point of sale) computer to look up the UPC number.

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UPC Codes

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  1. UPC Codes Marketing I Mr. Yates

  2. What? • As you can see, there is no price information encoded in a bar code. • When the scanner at the checkout line scans a product, the cash register sends the UPC number to the store's central POS (point of sale) computer to look up the UPC number. • The central computer sends back the actual price of the item at that moment.

  3. Break it down

  4. Why? • This approach allows the store to change the price whenever it wants, for example: to reflect sale prices. • If the price were encoded in the bar code, prices could never change.

  5. What’s in it? • UPCs originate with a company called the Uniform Code Council (UCC). • A manufacturer applies to the UCC for permission to enter the UPC system. • The manufacturer pays an annual fee for the privilege. In return, the UCC issues the manufacturer a six-digit manufacturer identification number and provides guidelines on how to use it. • You can see the manufacturer identification number in any standard 12-digit UPC code.  The UPC symbol  has two parts: • The machine-readable bar code • The human-readable 12-digit UPC number

  6. History • A group of grocery industry trade associations formed the Uniform Grocery Product Code Council which defined the numerical format of the Uniform Product Code. • Technology firms including IBM, Pitney Bowes-Alpex, RCA, Scanner Inc. and Singer proposed alternative symbol representations to the council. In the end the Symbol Selection Committee chose to slightly modify the IBM proposal. • The first UPC marked item ever scanned at a retail checkout (Marsh's supermarket in Troy, Ohio) was at 8:01 a.m. on June 26, 1974, and was a 10-pack of Wrigley's Juicy Fruit chewing gum. This item is currently on display at the Smithsonian Museum.

  7. The Big Guys Get First Dibs • One thing you will notice if you start looking at UPC codes in detail is that the big manufactures have manufacturer IDs with lots of zeros in them. • Here are a few: • Post - 043000 • General Mills - 016000 • Del Monte - 024000 • Quaker Oats - 030000

  8. Okay, show me You can see that Coke's manufacturer ID is 049000. However, if you look at a can of Coke or most 2-liter bottles, you will find that the UPC code is much shorter -- only eight digits total. Here's the bar code from a 2-liter bottle of Sprite:

  9. Short Codes – “Zero Suppressed” • These short bar codes are called zero-suppressed numbers. The basic idea is to leave out a set of four digits, all zeros. • In the case of the Sprite UPC code, the 049 at the beginning is the first three digits of Coke's 049000 manufacturer ID. The 551 is the item number for this bottle of Sprite, shortened from 00551. • The zero in the second-to-last digit is the fourth digit from Coke's manufacturer ID. The final digit is the normal check digit. • The main reason for having zero-suppressed numbers is to create smaller bar codes for small product packages like 12-ounce cans.

  10. What’s that first number in the code? • Variable-weight items, such as meats and fresh fruits and vegetables, are assigned a UPC by the store, if they are packaged there. In this case, the LLLLL is the item number, and the RRRRR is either the weight or the price, with the first R determining which. • Often for loyalty cards or store coupons.

  11. Okay so… • Here is an example of a pharmaceutical bar code (number system character 3), Selsun Blue dandruff shampoo: • Here is an example of in-store marking (number system character 4), in this case from a $10 Toys R Us gift certificate:

  12. Coupon Codes • If you have ever wondered how the scanner can read a coupon and reject it if you haven't bought the product, here's your explanation… • Here is the UPC code from a box of Post Honey Nut Shredded Wheat:

  13. A Coupon’s Code Product UPC • You can see that the coupon's bar code starts with a 5 to indicate that it is a coupon. • The 43000 is Post's manufacturer ID. The next three digits (186) are called the family code. • The next two digits (70) are a value code. • The final digit is the normal check digit. Coupon UPC

  14. Once it’s scanned… • When the coupon is scanned, the POS computer: • Decodes the family code • Checks to make sure the customer purchased an item from the family • Decodes the value code • Sends the discount back to the cash register

  15. The “Check Digit” • In the UPC-A system, the check digit is calculated as follows: • Add the digits in the odd-numbered positions (first, third, fifth, etc.) together and multiply by three. • Add the digits in the even-numbered positions (second, fourth, sixth, etc.) to the result. • Find the result modulo 10 (i.e. the remainder when the result is divided by 10). • If the result is not zero, subtract the result from ten. • For example, a UPC-A barcode (in this case, a UPC for a box of tissues) "03600029145X" where X is the check digit, X can be calculated by adding the odd-numbered digits (0+6+0+2+1+5 = 14), multiplying by three (14 × 3 = 42), adding the even-numbered digits (42+3+0+0+9+4 = 58), calculating modulo 10 (58 mod 10 = 8), subtracting from ten (10 - 8 = 2). The check digit is thus 2.

  16. Get your own dang code! • Say if you wanted a UPC code for a product you were going to sell – now what? • Well, there is only one place to get a legit, unique UPC code: GS1 • GS1 US provides a GS1 Company Prefix through its Partner Connections membership that allows users to build many unique and authentic U.P.C. barcode numbers, also known as Global Trade Item Numbers® or GTINs®.

  17. How Much? • Well, it runs a minimum of $750, then at least a minimum of $125 annually. (It becomes your code forever.) • Forget that, I just want to sell my CD that I recorded. Now what? • Well, you could go through a UPC Reseller (most less than $100, CDBaby for instance is $20) • The only issue is, you could never sell a resold UPC in a major chain.

  18. Okay, now I got a code… • What now?? • Well, you could use a Windows or other program to make your code, or…

  19. One of the many online…

  20. Barcode Art • http://www.youtube.com/watch?v=Dxwi2sVSEow

  21. It all leads to inventory!

  22. Okay… • There’s some questions on the back…

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