This week at CeMAT / Industrial Transformation expo, a panel of industry leaders tackled the big questions around 2D barcode implementation – from interoperability and traceability to regulation, ROI and readiness for 2027. The message was clear: 2D is here to stay, but the path forward will demand collaboration, investment and change management.
The future of product identification is taking shape – and it’s square. In a conference session on the CeMAT / Industrial transformation showfloor, curated by APPMA, a lively panel discussion on the next wave of barcode innovation confirmed what many already suspected: 2D barcodes are set to revolutionise supply chains, and the transition is well underway.
Moderated by Andrew Steele, director of Retail at GS1 Australia, the panel brought together three key players deeply involved in advancing traceability and smart data technologies: Mark Dingley, CEO of Matthews Australasia; Michael Dossor, GM of Result Group; and Praveen Kannan, head of Asia Pacific Market Product Management at SICK.
Why 2D, and why now?
Unlike linear barcodes, 2D barcodes – including GS1 Digital Link and QR formats – can encode far more information. Batch and lot numbers, expiry dates, recall data, origin details, and more can be packed into a single, compact code, scannable both at point-of-sale and via smartphone.
“2D barcodes have been around since the '90s, but their time has truly come,” said Dingley, citing drivers like pandemic-era QR code familiarity, global traceability requirements, and growing demand for rich, accessible data. “The 1D barcode has done its job well for decades, but it simply can’t compete with the power of 2D.”
Andrew Steele pointed to Woolworths as a leading adopter. “They’ve been scanning over 10 million 2D barcodes per week since 2020, and have seen up to 40 per cent reductions in food waste thanks to expiry date data embedded in the code.”
From promotions to provenance
Michael Dossor highlighted real-world implementations that go beyond retail. “We’ve used 2D barcodes to power traceability for 600 table grape growers exporting to 15 markets, and for promotional activations with QSR brands like Hungry Jack’s. The same barcode can drive B2B traceability and B2C engagement. That’s a game changer.”
Praveen Kannan emphasised how shifting consumer preferences are influencing adoption. “People want to know more – about where their product comes from, how it was made, its sustainability credentials. That’s not something a 1D barcode can deliver. 2D makes this possible.”
2D vs RFID
Kannan, known for his early work in RFID, addressed the question of competition between the two technologies. “It’s not a binary choice. RFID and 2D barcodes will coexist, each serving different needs. As mobile phones evolve to include NFC and camera tech, the overlap will grow – but the key is aligning with the right use case.”
Dossor agreed: “It’s about collaboration across the supply chain to deliver the right data in the right format. That’s where the real value is unlocked.”
Lessons from the front lines
Dingley offered a candid view of the early rollout of 2D barcodes in Woolworths’ fresh produce aisles in 2018. “Printing the barcode was the easy part. The complexity came with scanning hardware inconsistencies, poor data quality from suppliers, and the need for end-to-end training. Change management was grossly underestimated.”
He recalled that even within Woolworths, store-to-store scanner performance varied wildly based on legacy infrastructure. “Some stores had near 100 per cent scan success; others had zero. Getting uniform results required software upgrades, new equipment and rigorous training for staff and suppliers alike.”
Dossor added that smaller players – particularly fresh produce growers – need tailored support. “We’ve had to create middleware to bridge old and new systems, without asking businesses to reinvent the wheel. It’s about lowering the barrier to participation.”
Is it worth the investment?
An audience member asked the panel to justify the cost of transitioning to 2D systems. Dingley was clear-eyed: “Any new technology comes with upfront cost. But what you gain is access to better data. That enables smarter decisions, reduces human error, and improves compliance – especially for exporters needing proof of provenance.”
Praveen noted that camera-based scanners – essential for 2D – are now cheaper than older laser models. “The market is shifting. The infrastructure upgrades that are coming, including for cybersecurity compliance, mean new hardware will naturally support 2D.”
Dossor boiled it down: “Yes, there are costs. But if implemented well, 2D barcodes don’t become a cost – they become a cost saving.”
Proof points and productivity gains
The Woolworths example continues to be a powerful case study. Steele explained that in-store markdowns for fresh produce used to take several hours a day. With 2D barcodes, the process now takes less than an hour. “That’s a major productivity gain – and it’s happening every day, across more than 1000 stores.”
Looking further up the chain, Dossor said: “If we can apply those same principles to warehousing and logistics, using product-level data at the point of scan, we can reduce waste, improve inventory management and optimise supply chains globally.”
Kannan pointed to premium export sectors – wine, dairy, meat – as key benefactors. “To maintain trust in Australian products, we must guarantee traceability and authenticity. 1D barcodes don’t cut it. 2D, possibly in conjunction with RFID, allows brands to maintain their value in global markets.”
Roadmap to 2027
GS1 has set 2027 as the target for global readiness for 2D barcode scanning at point-of-sale. Steele confirmed that Coles is working towards a pilot program, while Aldi is rolling out 2D capability globally on a country-by-country basis. Independents like Drakes and Ritchies IGA are already equipped.
Mark Dingley estimated that it will take 5 to 10 years before 2D barcodes are more ubiquitous than 1D. “We’re dealing with infrastructure challenges, software compatibility, education gaps, and budget constraints. This isn’t an overnight shift, it’s a transition.”
Even so, the momentum is building. “The horse has bolted,” Kannan quipped. “It’s now about unlocking value through industry-wide collaboration.”
Regulation: A quiet catalyst
Wrapping up the session, Steele asked the panel to comment on the regulatory landscape.
Kannan noted that while Australia may not lead on regulation, it will benefit from global compliance standards. “Whether it’s the EU’s Digital Product Passport or the US Food Safety Modernization Act, international brands operating here will align globally – and we’ll reap the benefits.”
Dossor added: “Digitising regulatory documentation and attaching it to shipments via a 2D code opens enormous potential for supply chain transparency and efficiency.”
Dingley pointed to the sustainability link. “From recyclability to anti-counterfeit protections, 2D barcodes are proving their worth. Governments may be slow to mandate, but industry can’t afford to wait.”
As the panel closed, Steele summed up the session: “2D barcodes are not just about encoding data, they’re about enabling a smarter, safer, more connected world. The use cases are expanding, and the question is no longer ‘if’, but ‘how fast’.”
Dingley agreed: “This is a digital transformation. And 2D is the tool that will drive it.”
