Packaging label creation and the way consumers interact with products is under a major transformation. GS1 standards are in place to structure and communicate label content (www.gs1.org/request-packaging-artwork-standard). And with the GS1 cloud efforts, communicating product information to consumers at the POP is around the corner. So what does this mean for your brand?
I believe the next three phases of packaging labels and electronic interaction with consumers include:
· Phase I - Initial consumer interaction: The first is the deployment of the GS1 cloud. It enables consumers to scan the GTIN using a mobile app to learn more about a product through a limited attribute set.
· Phase II – Personalization: Creation of an app with consumer profiles to facilitate their shopping choices. For example, a user may select from ingredients to which they are allergic. If the product contains these ingredients, the app highlights ingredients as inconsistent with user preferences (e.g. color ingredients red). Think about Pharma and how this could help consumers identify potential drug interactions. The app could also be used for additional POP content demonstrating why product A is a better value than its competitors. Facilitating this step requires leveraging the GS1 labeling standards above in combination with the GS1 cloud.
· Phase III – Legislation: Completion of Phase II means all label information is available to consumers online as structured content. They no longer need to read the label. Rather, they can scan the item and verify it meets their criteria based on their user profile. This provides manufacturers with an incredible opportunity: Remove detailed content from the label! So why is this important? Because we make mistakes when generating thousands of different labels each year. If the mistake is significant, the product must be recalled from the shelves, which is very costly in terms of execution, and more importantly, brand image. Future label corrections are delivered electronically, rather than physically. No more label-based recalls!
Achieving this goal requires action. Your company must:
· Become a GS1 member (if you aren’t already).
· Engage in the GS1 cloud efforts.
· Structure your label content per the GS1 standards.
· Work with GS1 to expand mobile content to include the full label attribute set following the successful GS1 cloud pilot completion.
· And finally, form a consortium to lobby congress to change packaging laws based on the successful electronic delivery of full label content.
I feel a sense of urgency based on the current business-friendly political environment. Leveraging this approach has start-up costs, but provides annual benefits in terms of label creation and modification, as well as consumer satisfaction. Please contact me if you’d like to discuss this in more detail.