What is a GTIN?

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What is a GTIN? - Commport Communications

What is a GTIN Mean?

A GTIN (Global Trade Item Number) is a unique identifier that can be used globally to identify products, ensuring consistency and accuracy in product information

The Global Trade Item Number (GTIN) can be used by a company to uniquely identify all of its trade items. GS1 defines trade items as products or services that are priced, ordered or invoiced at any point in the supply chain. GS1 Global Registry holds information on who subscribed to trade items or party data using Global Location Numbers (GLN), Global Trade Identification Numbers (GTIN), Global Product Classifications (GPC), and Target Market (TM) as identifiers.

It can identify product types at any packaging level (e.g., consumer unit, inner pack, case, pallet, etc.) as it moves through the global value chain to the end user. If a product comes back into the value chain as a re-sold item or needs to be recalled, it can be re-identified by its original GTIN.

They are frequently encoded within a barcode, they can also be used on their own (some major online sellers use GTINs to authenticate a product before allowing it to be sold on their platform. It can be used to identify trade items online, for example in catalogs, in electronic messages such as purchase orders and invoices, and embedded in web pages to optimize use by search engines and other information consumers.

Key Takeaways

  1. A GTIN (Global Trade Item Number) serves as a universal identifier for products across global supply chains, enabling consistent and accurate product information tracking at any packaging level—from individual units to pallets.
  2. Implementing GTINs provides significant competitive advantages by reducing inventory errors, streamlining order fulfillment, and facilitating seamless expansion into international markets through standardized product identification.
  3. GTINs come in various formats—GTIN-8 (for small items), GTIN-12 (UPC, common in North America), GTIN-13 (EAN, used internationally), and GTIN-14 (for logistics units)—each serving specific business requirements and product categories.
  4. In e-commerce, GTINs improve product visibility by enabling efficient indexing by search engines and online marketplaces, creating a unified product identification system across digital platforms and physical retail environments.
  5. Beyond identification, GTINs deliver measurable operational benefits including improved data quality, reduced counterfeiting, decreased manual processing requirements, and creation of permanent product records that support resale and recall processes.

The Importance of GTIN for Businesses

The importance of GTIN cannot be overstated. It serves as a universal product language that bridges gaps between suppliers, retailers, and consumers. By using GTINs, businesses can ensure that their products are correctly listed and easily searchable in databases and online platforms.

One of the primary benefits of implementing GTINs is the reduction of errors in inventory management and order fulfillment. Misidentification of products can lead to significant disruptions in supply chains, financial losses, and diminished customer satisfaction. GTINs help prevent these issues by providing a reliable method for cataloging and referencing products across diverse systems.

Moreover, GTINs are crucial for expanding a business’s reach into international markets. As a standardized system, GTINs facilitate global trade by making it easier to manage cross-border transactions and comply with international regulations. For businesses looking to grow beyond local confines, understanding and utilizing GTINs is an essential step.

What is a GTIN? - Commport Communications

Types of GTINs

GTIN-8: This is the shortest GTIN format, consisting of eight digits. It is commonly used for smaller items where space for labeling is limited. GTIN-8 is ideal for small packages and products sold in large quantities.

GTIN-12s can be encoded with UPC-A and UPC-E barcodes. Known as the Universal Product Code (UPC), GTIN-12 is widely used in North America. This 12-digit number is what most consumers are familiar with when scanning barcodes at retail stores. It is a staple in consumer goods industries.

GTIN-13s can be encoded with the EAN-13 barcode. Also known as the European Article Number (EAN), GTIN-13 is the standard format used outside North America. With thirteen digits, it accommodates a broader range of products and is crucial for businesses operating in international markets.

GTIN-14s can only be encoded in barcodes that have a 14-digit capacity. These include ITF-14, GS1-128, GS1 DataBar™, and Data Matrix. This format is primarily used for tracking trade items at higher packaging levels, such as cartons or pallets. GTIN-14 is vital for businesses dealing with bulk shipments and logistical operations.

For Retail Point-of-Sale Products, only GTIN-12 and GTIN-13 are approved for retail point-of-sale applications.

For Logistic units (Inner packs, Cases and Pallets) consisting of a homogeneous grouping, you can use GTIN-14s or assign GTIN-12s or GTIN-13s.

How GTIN is Used in Retail and E-commerce

The application of GTIN in retail and e-commerce is multifaceted. In retail settings, GTINs are typically used for inventory management, point-of-sale transactions, and supply chain logistics. Retailers rely on GTINs to maintain accurate stock levels, streamline checkout processes, and ensure efficient replenishment of goods.

In the realm of e-commerce, GTINs play a critical role in enhancing product visibility and searchability. Online marketplaces and search engines index products using GTINs, which helps consumers find exactly what they are looking for quickly and easily. This indexing is crucial for businesses aiming to increase online sales and improve their digital footprint.

Moreover, GTINs facilitate seamless integration of product information across different platforms and software. Whether it’s ERP systems, CRM tools, or online shopping carts, GTINs ensure consistent product data is shared and updated. This consistency is key to delivering a unified customer experience, whether online or offline.

How to Obtain a GTIN Number for Your Products

Acquiring a GTIN number for your products is a straightforward process, but it requires adherence to specific protocols and guidelines. Here’s a step-by-step guide to obtaining a GTIN:

  1. Register with GS1: The first step is to become a member of GS1, the global organization responsible for assigning GTINs. Membership provides access to the tools and resources needed to manage product identification.

  2. Assign GTINs to Products: Once registered, you can begin assigning GTINs to your products. It’s essential to follow GS1’s guidelines for assigning numbers to ensure compliance and avoid duplication or errors.

  3. Label Products: After obtaining GTINs, you’ll need to label your products with the corresponding barcodes. This step is crucial for enabling scanning and tracking within retail and e-commerce systems.

By following these steps, businesses can effectively implement GTINs and leverage their benefits for improved operations and market reach.

GTIN vs. UPC: Understanding the Differences

Many people use GTIN and UPC interchangeably, but they are not identical. Understanding their differences is crucial for businesses involved in product labeling and international trade.

  • GTIN: As mentioned earlier, GTIN encompasses a variety of formats, including GTIN-8, GTIN-12, GTIN-13, and GTIN-14. It is a global standard used for identifying products regardless of region.

  • UPC: The Universal Product Code is a specific type of GTIN, specifically GTIN-12, used predominantly in North America. It is one of the most commonly recognized barcodes in the retail industry.

In essence, while all UPCs are GTINs, not all GTINs are UPCs. Businesses need to understand these distinctions to ensure proper product labeling and compliance with regional standards.

Benefits of using a GTIN

  • Improved data quality
  • Reduces confusion by accurately identifying specific products and avoiding duplicates
  • Fights product counterfeiting
  • Eliminates manual processing which saves time and resources
  • Increases the efficiency of payment and reporting processes
  • Provides a permanent record of products that can be leveraged when a product is resold or recalled
GDSN Defined - Commport Communications

GDSN Defined

The Global Data Synchronization Network (GDSN) is the world’s largest product data network.

GDSN makes it possible for any company, in any market, to share high-quality product information seamlessly. Because companies of all sizes need the same thing—timely and reliable product information—to ultimately benefit consumers and patients.

With GDSN, high-quality product content is uploaded, maintained, and shared automatically, ensuring trading partners have immediate access to the most current and complete information needed to exchange products on both local and global markets.

Sources: gs1.org 

Conclusion

A Global Trade Item Number is a vital identifier in the world of commerce, facilitating unique product identification and smooth global trade. With its various formats, including GTIN-12, GTIN-13, and GTIN-14, businesses can enhance supply chain efficiency, reduce errors, and improve customer satisfaction by implementing standardized product identification through GTIN.

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Frequently Asked Questions

Global Trade Item Number, is a unique identifier assigned to products to facilitate their identification in the supply chain. It is crucial for accurate and standardized product tracking, enabling efficient global trade and enhancing inventory management.

It come in different lengths. The most common ones are GTIN-12 (12 digits), GTIN-13 (13 digits), and GTIN-14 (14 digits). The length depends on the specific application and the GS1 system being used.

No, a GTIN is not the same as a barcode. It is the numerical component of the barcode and serves as a unique product identifier. Barcodes, on the other hand, are the graphical representation of the GTIN for scanning and data entry purposes.

It plays a crucial role in supply chain management by providing a standardized and globally recognized way to identify products. This facilitates accurate tracking, reduces errors, and enhances efficiency in logistics and inventory management.

They are designed to be unique to each product. Reusing GTINs for different products can lead to confusion in the supply chain and may cause errors in inventory management and order fulfillment. Each product should have its own distinct GTIN for accurate identification.

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