Here's a refined version of "What is a UPC?" that captures the essentials for CPG brands:

Understanding UPCs: A Guide for CPG Brands

What is a UPC?

A Universal Product Code (UPC) is a unique barcode paired with a 12-digit sequence that identifies a product and links it to your company’s information. It’s an essential identifier for your product in retail and distribution, encoding details like brand name, item, size, and other key information necessary for warehousing and checkout.

Why is a UPC Important?

If you’re planning to sell through retailers or distributors, a UPC is non-negotiable. It’s how products are tracked, managed, and scanned in both warehouses and at the retail checkout, ensuring accurate inventory and pricing.

UPC Best Practices for CPG Brands

1. Think Ahead

Before purchasing UPCs, consider the scope of your product line and future growth:

How many products do I plan to have?

What types of packaging will I use? (Unit, case, or outer pack)

Each product typically requires multiple UPCs: one for the individual item, another for the case, and potentially a third for an outer pack. Since UPCs are sold in increments (10, 100, 1000), it’s usually wise to buy more than you currently need to accommodate future growth.

2. Create a Numbering System

Assign UPCs in a way that makes them easy to manage:

For instance, start your original product line UPCs with “1.” Then, for any line extensions, you might start with “2.”

The following digits can identify whether the code is for a single unit, a case, or an outer pack.

This type of internal structure helps maintain consistency as your product line expands.

3. Integrate UPCs into Internal Systems

Organize your UPCs by linking them directly to your internal reporting. This way, each code instantly corresponds to a specific product in your inventory management system.

How to Get UPCs for a CPG Product

When you’re ready to create your UPCs, you’ll need to go through GS1 US, the organization that regulates UPC codes globally. Here’s how it works:

Get Your Company Prefix: This prefix is unique to your brand and will appear in each of your product’s UPCs, establishing the brand identity.

Assign Product Codes: Each product in your line (including variations in size or flavor) needs a unique sequence after the prefix.

Add the Check Digit: The final digit is a “check digit” that verifies the UPC is valid. If incorrect, the code won’t scan.

Common Mistakes to Avoid

Not Buying Enough UPCs

Once you buy a company prefix, you’re locked into the number of UPCs that prefix allows. Always buy with future expansion in mind.

Using Unit UPCs on Master Cases

Using the same UPC for both individual units and master cases can create logistical nightmares, potentially resulting in product recalls from distributors.

Using Discounted or Repurposed UPC Codes

Always buy authentic GS1 UPCs. Major retailers like Kroger and Amazon require you to own your prefix to ensure no conflicts with other products.

In summary: BUY REAL GS1 UPC CODES. An authentic GS1 UPC ensures your product is accurately tracked from the warehouse to the retail shelf and protects your brand from costly errors in the supply chain.