In this episode, we dive into how QR codes are revolutionizing packaging, non-alcoholic beverages are making waves, and community networks are driving market success.
Daniel Scharff is the CEO and founder of Startup CPG, a vibrant community supporting emerging consumer packaged goods brands. With a background in San Francisco's food tech scene, Daniel created a Slack community with over 20,000 members, offering resources and fostering collaboration. He hosts 100+ events annually and produces the Startup CPG podcast, sharing his insights from his experience as a former CEO of a beverage company.
Daniel's unique approach to helping brands navigate the complex world of product development, market-entry, and supply chain logistics is driven by his firsthand experience as a former CEO of a beverage company. Daniel's innovative strategies and relentless drive to make dreams a reality have earned him a reputation as a visionary leader in the CPG community.
Key takeaways:
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Learn how QR codes are transforming packaging, improving traceability, and enhancing consumer engagement
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Understand the impact of the growing trend of non-alcoholic beverages on supply chain logistics and market dynamics
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Discover the crucial role of community support in helping emerging brands succeed in the competitive market
Timestamps:
[00:00] Welcome to Next Level Supply Chain
[01:32] Introducing Daniel Scharff, CEO and founder of Startup CPG
[04:18] The basics a startup would need to get off the ground
[06:26] Deciding on UPC vs. 2D barcode
[12:42] Common supply chain issues and questions when building your startup
[14:12] How to ask and give critical feedback on your product
[17:47] What trends Daniel is seeing with small CPGs
[23:18] Trends Daniel is seeing in 2D barcodes, specifically
[29:39] Daniel’s favorite technology right now
[31:32] Trend that has blown Daniel’s mind recently
Connect with GS1 US:
Our website - www.gs1us.org
Connect with guest:
[00:00:00] . Hello and welcome to the Next Level Supply Chain with GS1 US, a podcast in which we explore the mind-bending world of global supply chains, covering topics such as automation, innovation, unique identity and more. I'm your co-host Reed and I'm Liz and welcome to the show.
[00:00:50] Hello everybody, I hope you're having a great day. Today our guest is Daniel Scharf and he's the CEO and founder of Startup CPG. Daniel brings a ton of energy who's a great guest to have. We talk about startup trends, trends within the CPG community, best practices and you
[00:01:12] might even want to check out their Slack channel because they have over 20,000 members collaborating through their Slack channel. Let's jump right into the conversation. Hey Daniel, welcome to the show. Thank you so much for having me. I love this topic.
[00:01:27] We're excited to jump into this startup CPG topic which also is the name of your company. Before we dive into all this, take a minute and just tell us a little bit about yourself and how you started Startup CPG. Yeah, absolutely. Thank you.
[00:01:43] So when I started working in Better4U CPG, I was really excited about it. I was living in San Francisco, which is like the home of food tech at a food tech company. But I felt like I didn't know anybody.
[00:01:54] I just knew the people at my company and I wanted to connect with the other early brands in the area and also just see if I could help them because I felt like
[00:02:03] I knew things coming from big CPG and consulting and just thinking about the kind of like one two person founder teams. There's a lot and I know people who can help them.
[00:02:13] So I just wanted to see if I could do that in a way that would be useful. I started doing events. We launched our Slack channel the day the pandemic officially started, which is when Tom Hanks got it as we all know.
[00:02:23] And from there, we just grew and grew. I think people saw there was a huge need for a national community that would help all the emerging brands for free where they could ask questions of each other. Like hey, I'm trying to figure out this logistics thing.
[00:02:39] Of course somebody has done that before, right? Getting experts in there also and trying to find ways to get the media coverage just at that early stage. Any help that you can give them, saving them time, connecting them to an opportunity makes all the difference.
[00:02:54] Yeah, it's like a real community. And networking like for people who are starting and then you could have that person that has been through it and help. And then you have light flung like mentors and networks, right? Like you're creating that for them. It's cool. Yeah, that's right.
[00:03:10] So yeah, I mean, fast forward to today. We do a hundred events a year. So these are in-person ones and webinars all around the country and all the major cities. And then we do big ones around trade shows.
[00:03:22] We have our community obviously based in this Slack channel that now has reached over 20,000 members. And then we're a media company as well. So we do really cool coverage. Check out our Instagram for sure. We've got about 25,000 people on there and we're going to be featuring brands
[00:03:37] in really cool ways. And we have our podcast, also the Startup CPG podcast, just a lot of fun stuff and it's basically to educate and feature brands. And I love doing it. You can probably hear how passionate I am about this, but it's fun for me,
[00:03:50] I think because I've been in their shoes. My last job was the CEO for a beverage company that I launched from scratch. I've walked in their shoes. I've gone through all of these steps. I've played this level of the video game, you know?
[00:04:02] So I feel like I'm really well positioned to then in turn help them by pairing up with them with the right experts, the right education and just having a lot of fun while doing it. When you think about a startup, if you're assimilating all the information
[00:04:17] that you've learned and what you've seen in the Slack channel and talking to people, if you had to just a couple quick basics that a startup would need to think about doing to get off the ground, like boil up
[00:04:32] all of this information that you have in your head, what would like the first few things be that they should be thinking about doing? First, obviously is just having the right idea. So do you have one that's going to work?
[00:04:43] Is it a tiny little niche market that no retailer is going to say yes to a new product in that area because it just doesn't turn or it's some overly competitive category where you have no differentiation and
[00:04:55] how are you going to possibly get a good return on all the time you're going to spend? Or is it a really cool new idea or just a really cool take on a category that's doing really well?
[00:05:05] So it's just important to think about who are buyers really going to have time for right now, because I mean, at least most of the brands are pretty focused on retail these days. So just I would say getting a sense of is there going to be room
[00:05:16] for this idea right now because you got to get on shelves to get in front of consumers. Second, I would say is obviously the quality of the product, right? So what can I make if I'm making it myself or if I'm bringing somebody
[00:05:28] on to make this thing for me? Can I have a really high quality product that we can make in an affordable and reliable enough way to get it into the market? And then third, I would say what's it going to look like? Right.
[00:05:41] I mean, the packaging is very important, maybe even more important than the product, depending on the category. So can I make this thing look really compelling to the target audience that I'm going for? And then fourthly, getting it done right.
[00:05:54] Like with anything, whether you have a band or you're an artist or you've got to be out there selling yourself. So do you have a good strategy to go out and sell? And will you be relentless to actually make your dream a reality
[00:06:08] once you have the right product and packaging and plan for how to get out there? Wow, you struck a very positive nerve with Liz, which is packaging. I was very excited. Yes, it's a crazy topic right now, this packaging, because it's advertisements, it's functional, it's circular economy slash
[00:06:32] sustainability, and then there's this piece that is it's near and dear to our hearts. It's a little bit of a battle and it's that forever present barcode, right? And do I use a UPC or traditional 1D barcode with the black line straight up and down?
[00:06:51] But I don't know if that's a UPC or not a UPC. And then there's the 2D barcode and the QR codes are the most popular 2D barcodes that are out there right now. And do I have two of them, three of them? How do I work? Honest question.
[00:07:05] I'm looking for a direct answer here, Daniel, but is this something that comes up a lot or is this something that's overlooked a lot? So I think the typical process would be, OK, now I'm going to do my branding
[00:07:17] and get the packaging ready and oh, wait, I need a barcode. And maybe you know that because you've done it before, or the designer might tell you like, you know, you need that right. And so at that point, if you're brand new to this, probably somebody out
[00:07:31] there is going to tell you, hey, you need to go to GS1 and get your barcodes and UPCs set up. And at that point, probably you have the experience that I had, which is,
[00:07:41] OK, let me just try to figure out how to do this for myself the first time. And so the designer will leave the space for it on the package. And then you go out there and you log into the GS1 website and start trying to create this yourself.
[00:07:54] It's pretty interesting, you know, because I think, you know, the website is great. It's well laid out. And I think you do your best to proactively answer questions that you know people are going to have. But the anxiety is still real when you're in there and you're like,
[00:08:07] oh, I'm choosing a name for my product, but I heard you can never change that ever again and I'll be locked in forever. Like, well, what should I name it? Should I wait? Do I need to put a comma before fluid out? How should I write that?
[00:08:20] And then also when you actually have to go in and select like, wait, oh, first you learn. Oh, I don't need just a barcode for my package, but also the case that it goes in because of course I need that for shipping.
[00:08:30] All of these questions start coming up. And, you know, I think it's beautiful to have obviously the great instruction that you guys have. But then also startup CPG where you can then just ask like those little questions that anybody wants. That gives everybody anxiety.
[00:08:45] It's like doing your taxes. I have to report my income, but I can have a write off, but is that write off legal or does it have to be done this way? Like I don't want to go to jail. Like, can I just get this right? Please.
[00:08:59] I'm not trying to do anything wrong. Yeah. Let me ask you another question related to this because it's, this is the part where I call it's adulting, right? We're becoming adults, right? You know, it's like, it's when you become a real adult, you
[00:09:12] realize, wow, the world is so complicated. Why can't we just do it this way? But then you start to get into like you just said, well, I need a barcode on the item and then I need a different barcode for the cases because
[00:09:23] that's a different quantity and it can actually be sold as the case or sold as individuals and it starts to layer the effect. It's not as complicated once you kind of start to swim in it a little bit.
[00:09:34] But I guess my question back to you is you went to GS one to kind of get a UPC code or global trade item number, right? And if you're selling overseas, it's an EAN. They refer to it as differently, right?
[00:09:46] And it's like cheers versus good day versus how you doing? You know, it's, it's all the same thing. It's just a little bit of a different way, but do you run into this problem because people will call it, Oh, get yourself a barcode.
[00:09:57] You can create a barcode at any time through a lot of different applications as simple as word or Excel, but having a UPC barcode with a global number attached to it that's been issued only once versus proprietary closed loop barcodes.
[00:10:15] I'm just curious, does it come up at all? I think people ask in our Slack sometimes like, Oh, what about this other thing? I found a way to get a barcode off Groupon and everyone's like, don't do it. It's not worth it.
[00:10:27] Go and get the GS one thing. I've seen some lawyer have like some complex work run. I'm like, just get the regular thing. This is not worth you like learning to be your own mechanic. Fitting.
[00:10:38] So people are pretty quick to go in and just recommend that everyone works with GS one on this to have the confidence. I would say that the thing is going to scan. That's the main risk is like, what if this thing doesn't scan and it's
[00:10:51] printed on all your products and packaging out there and shipping and just, Oh my God, the amount of money you could lose based off some little. It's the worst, you know, when you like print some packaging and have some
[00:11:03] tiny little mistake that a distributor is going to have a problem with. Oh boy. Especially after all the work you got it to be that far down the line. Oh, imagine now you're going to have to pay somebody to go and sticker
[00:11:16] all of your inventory to put a new barcode on it. And it's going to look like crap because you as a sticker on it. The proof looks good. Go run the 1 million count run right now.
[00:11:25] I don't know if you guys have ever been on that end of it. Do you know what it feels like to do the final proof of your packaging? Very stressful. It is horrible. Yeah. Actually have to do that.
[00:11:35] Like, Oh, at my last company, we had a process where there would be basically four of us doing it. Like we'd have the first for the ops manager do it. Like the COO would do it. The marketing manager would do it.
[00:11:47] And then I was a CEO and each one of them, like you had to sign it like physically printed out, put a signature on it. We had a whole checklist, an old checklist of things. Like you need to literally check every single number on here.
[00:11:59] You need to check all the copy. And even despite all of that, we would mess it up and then you just have to live with it for a year or something. It's a lot. And it makes me even sweat just sitting here remembering.
[00:12:12] Multiple SKUs with different orders of ingredients and like changing around certifications and the designers. The problem is the designers don't know even what you're doing. They're just doing what you tell them to do. And so they don't do the obvious thing that you think that they would do
[00:12:26] or just some little misspelling of a word that doesn't get caught in there. Well, designers typically don't have spell check on Canva or whatever they're designing in. And so you might have some little thing you just don't see. Yeah. Cause your eyes just go right over it. Yep.
[00:12:39] Yeah. Oh yeah. It's crazy. I mean, this whole process sounds so relaxing and just, you can do it in your sleep. That's why so many people do it. So we've talked to a barcode in printing, making sure you have a double triple quadruple check right on those prints.
[00:12:53] But what are some of the other common issues and questions that some of the startups have that kind of are pervasive through? Just generally getting a product out into market. Oh my God, so many. The biggest problem overall, like I was saying before, is just like
[00:13:07] not having the right product because it's heartbreaking to think of all of the time and effort of good people who want to improve your food system and do good things for the world and have responsible businesses and have a product that is not going to hit.
[00:13:19] Like we can all agree that we wish their dream would succeed, but the product isn't going to sell because of the taste of the product or no one cares about that kind of a product. And, you know, I think also like being realistic about what
[00:13:32] it tastes like as well. Like don't just believe yourself and wanting people to like the way it is or tricking yourself into thinking that the quality is good enough. I think one of the most important things is being brave enough to ask
[00:13:44] people for real feedback about it, which should be a gift. Like feedback should be a gift. It doesn't mean your product has to please everyone and you should understand who you're asking and whether it's right for them.
[00:13:53] And like really just having a good target of what you're trying to go for and does it actually meet that target? But in my life, in so many different instances, just actually somebody giving me some really critical feedback and being open to that made all the difference.
[00:14:07] How do you recommend startups go about doing that? Because a lot of times you go family and friends and, oh, Reed, that really looks good on you. No, it doesn't. I have one sister that'll tell me the others would be like, yeah, you look good.
[00:14:22] I mean, Liz will tell me, do you recommend that they go set up a little pop-up stand and do samplings? You know, is this the old blind taste test for the colas that we're doing? What do you recommend for startups to kind of get this real like,
[00:14:35] Hey, before you invest and send it out to print and get those millions produced, what is the best way? And I know products are different. We all kind of understand that, but are there a couple of like, this is the best way to do it?
[00:14:47] The technical answer will be like kind of how focus groups do it, get someone else to do it, whatever. But like, I think there are a lot of ways that you can get real feedback. I think the most important thing is how you ask for it.
[00:14:58] How you receive it to like being open to it. Yeah. Whether you're even going to get it, though, I think is like, OK, me, for example, my role in this industry is to support emerging brands if I'm out there and we're at a trade show and things are
[00:15:11] going good and someone's like, hey, can you try this? I'm going to be like, it's great. Typically, it's not my job. I don't think to offer unsolicited feedback. But if people ask for it, then I will give it to them.
[00:15:23] And it doesn't mean that I know everything, but I know a lot. Like I have a pretty good palette for things. You're a consumer. Yeah, I'm a consumer. And yeah, I mean, I think, you know, sometimes if I'm like, man,
[00:15:33] I actually think this product has a lot of potential, but there's something really wrong with it. And I want to give them that feedback. I might ask for permission like, hey, how honest do you want me to be when I try this?
[00:15:42] And usually if you ask that, they'll say, give it to me straight. And then you can actually give them the. Oh, actually, I pretty much never had anyone be like, why to me? But love the packaging, hate the ingredients. Yeah, it is tricky that way.
[00:15:56] But, you know, I always try to qualify with like, yeah, I might. I don't eat tofu, so don't listen to me. But I think, yeah, for me, I don't know. I think there's like fear and ego that will get in the way of truly doing that.
[00:16:07] But it's not always going to be appropriate. Like, I'm not going to send it to a buyer and say, hey, can you just give me your honest feedback? No, I'm going to be like this is the best god damn thing you ever had in your life.
[00:16:18] Right. And so I think it depends. But if you're out demoing at a store, I think that's an opportunity to do it. And I think also like what is the feedback people give you when you don't tell them your story and explain the 20 things
[00:16:30] about the brand and the mission that a typical consumer the shelf is not going to know about. They're just going to pick up your product and maybe try it. Or maybe they don't pick it up at all. Right. That's important feedback.
[00:16:39] Yet also, so I think it has to be within the context of the shelf and the consumer. So like, OK, I'm launching a new pasta sauce. Great. Like, let me get feedback from somebody who buys pasta sauce. Maybe even in the grocery store near the pasta aisle
[00:16:52] so they can interpret this against other stuff and just ask them like, hey, like, I see you're shopping the shelf over here. Can you tell me what you think about this? Like, hey, would you be willing to try it?
[00:17:00] Yeah, I think those are the kind of perfect scenarios. You can do a lot of this stuff digitally with surveys. Also get feedback that way. That would give you more of like a database approach if you're just kind of like running through,
[00:17:10] asking a lot of people about stuff that with like a visual and a bunch of questions that can be really valuable, too. But I also love the kind of focus group. And actually, for anybody who wants more info on this, we will have released
[00:17:23] probably by the time this comes out, a really cool podcast episode on qualitative research. So the qualitative research would be basically like, how do you run your own surveys online and how do you ask people all those questions to get answers?
[00:17:41] I would say that you need another thing that was top of mind for me. I want to make sure I got this question in, which is what are the trends that you're seeing with small CPGs? I mean, we just talked about so many things there.
[00:17:53] Remember, I don't even know the name of it, but there was a water that was out there and it came in a can. I always thought it was beer, but it was, yeah, liquid death.
[00:18:02] And I would see this liquid death and I'm like, I'm walking right past that. Kids don't look, don't look at that. Don't buy that. Like it totally was counterintuitive branding for me, but they went viral. I have a few folks on our team that like swear by it.
[00:18:17] But what are some of the big trends that you're seeing coming out of small CPGs right now? First, I want to know what other kind of rules you have in your household besides drink water that looks like beer. And are they seeking it and having parties
[00:18:32] when you're not around where they're just crushing water can't It would be even better if the kids came home. Oh, my gosh, we got so wasted on liquid death and like, great. Keep drinking that. Keep drinking. You're well hydrated.
[00:18:43] Yeah, I mean, other trends, I guess one that I personally see coming up a lot, just a lot around beverage in general. I think liquid death has been a big part of that. But even like going way back when to like La Croix
[00:18:55] and coming out with better for you versions, getting people away from like sugary sodas. And I think that disruption, you just see more and more lifting up overall beverage. People look for more functional stuff and more hydrating stuff and beverage and even like new formats like tablets,
[00:19:12] which I'm personally a big fan of and the hydration powders. I think just overall for me, what I'm seeing is what I call like beverages and snack coming a lot more, which is like all of these occasions where maybe you would feel
[00:19:27] like you want to snack a lot more, but maybe actually just looking more for, I would say healthier, like better for you beverages, replacing a lot of those consumptions, which I think generally is a good thing. And, you know, like when you go to the Museum of Arowan
[00:19:41] and like picking up beverage is like a whole outing and activity. And I know other people believe in this trend as well, but I just feel like beverages serving as like entertainment and all of these other things I think will only increase,
[00:19:53] especially because it's probably a healthier alternative to other stuff that you could be putting in your body, like snacks and chips and whatever. So I think I just see that one continuing to rise. And then obviously we see this massive trend away from alcohol,
[00:20:09] especially with the younger generations as well, which I think is a very beautiful thing. But they're going to go to something like they're not just going to sit and twiddle their thumbs or drink satanic water. I mean, they're going to be doing something right.
[00:20:25] And so, you know, I think it would be just really interesting for me personally, just to watch the beverage space. Interesting. A few years back, I want to say probably right before COVID, I was involved with a couple of startup associations groups
[00:20:39] and I was seeing consistently these prepackaged cocktail type things. And even there was one in an edible package like the pods. I remember I'm like, this is wild. I know what you're talking about. And I think there's really interesting stuff out there.
[00:20:55] There are like there's a company called Say So, which they do tea bag cocktails. Like you can put the tea bag in your own booze at home and it makes a full drink. There's interesting stuff out there. I would say like personally, I'm not a big mocktail guy.
[00:21:11] Maybe with the exception of like one that I've had the rest of it, like, I don't know, this stuff is expensive juice. I'm not going to pay 15 bucks in a bar for a juice, basically.
[00:21:21] Like I'll have, I don't know, a Diet Coke or something if I'm not drinking. Because for me, that just tastes better than whatever mocktail they're going to make me. Yeah, I'm less honestly about creative mocktails as I am about just functional beverage in general.
[00:21:33] And I see more people choosing liquid death or, you know, people are just like if they're out and they're being social, you're probably like your guards down a little bit. You want to indulge a little bit.
[00:21:41] But there are a lot of ways to do that that aren't alcohol. And I think the stuff that tastes good, but also maybe isn't as bad for you. I think that's just generally what I see in the future. Yeah, it's really cool.
[00:21:51] I had a mocktail recently and it was a delicious one. And then I went to a restaurant like the next night and I said, can you make me a mocktail? And I was like, why am I drinking this?
[00:21:59] It's full of sugar and I should just have a day in water with lemon. You know what I mean? Yeah, but you know, none of us is perfect, right? When I worked in food tech, we had this plant based egg.
[00:22:10] And for a lot of people who would view it as healthier than having an egg, pretty cool, but the CEO would always be like, by the way, for all of you saying it's processed or whatever, like, look,
[00:22:19] if you want to just eat a kale salad, go eat just kale. That's great. Do that. But a lot of us don't do that. A lot of us have like fast food burgers and a bunch of other B.S.
[00:22:29] And so for me, it's about just finding stuff that's better. And so, OK, like something that maybe has some sugar in it for me. Like, yeah, what's the alternative? Like, oh, is it Liz going five deep on daiquiris? I don't know. I mean, that's a good, you know,
[00:22:42] you got to do what you want to do in life. They're like, we all got to enjoy ourselves. But like I'm at the age now where I'm probably not going to feel too good if I do that, but I still want to have a good time.
[00:22:51] And so like I'm not going to sit at home and drink like a bunch of coconut waters just because the sugar is going to add up. But if I'm at a bar for me, that's a great option.
[00:22:59] Like hopefully just sugar from the coconut added because I want to have fun. And oh, OK, that is also hydrating. So that's a good thing for me to drink. Maybe I'll alternate that with like a cocktail or two. We're all doing our best in this life.
[00:23:10] We're not going to make perfect decisions. We've got to have some fun. And it's cool that there's all these alternatives. And it sounds like there's going to continue to be even more alternatives, which is really cool. So 2024 is a big year for the barcode.
[00:23:24] 50th anniversary of the first barcode scan is in June. We're really excited about it. There's a scan anniversary celebration that's planned. That being said, 50 years is a long time to have something be in the market. And we know that we're moving towards 2D.
[00:23:38] So my question for all that, all that preamble. What have you been seeing with all the 2D barcodes out there? Are you seeing a lot of stuff? More and more. And honestly, this surprised me a little bit because when we were getting my
[00:23:50] beverage out to market, this was like 20, 21. We were designing it. And honestly, no one cared that much about your kids before COVID. Like they're out there a little bit. But then COVID hits now every menu that you go for in a restaurant is a QR
[00:24:05] code and we're all like, oh, that's cool. Oh, wait, I don't need like an app for that. Actually, it just scans on my camera. That's cool. And so adoption skyrocketed. So when we were pushing out our can design, we're like, we need a QR code.
[00:24:16] We should have that. But a lot of people still didn't have it probably one 10 at that point at 2021. So we had it on there and we had it linking. I don't think we had a great strategy for what we're going to do with it.
[00:24:25] And honestly, me personally, I just didn't pay a ton of attention to the results, but I remember somebody asking the question in our spec. Hey, should I have a QR code? Sometimes if I know the answer, I'll say it.
[00:24:34] And if I'm not sure, I like to stay on the sidelines more. And I mean, in general, there are 20,000 experts in there and they will know better than I will usually. I was very interested by what people said.
[00:24:45] They were kind of like, hey, should I delay my package? To get this thing. And I was kind of like thinking, I wouldn't worry about it too much. I don't think we had so many hits even with people like, I don't know, Liz Reed.
[00:24:54] Like how often do you go in and just scan codes in general versus looking at the package? I mean, probably you guys more than most because of your profession. We're probably the wrong people to ask. Yes. In my life, I don't do it so much.
[00:25:05] But I was asking out there, like really not expecting a lot. And people are like, no, we're actually getting hits on this thing. And so the percentage is actually for some people really high. They're like, oh, no, like, let's say one to five percent of all people
[00:25:19] buying it or something are actually scanning the code, which can be a really high number. And if especially you can get their email addresses through it or it really surprised me because I felt like so much more.
[00:25:30] That's like a direct sales impact when you can actually get a number that high. And like, why wouldn't you do it? You know, it's so easy to put it in there and get more info. And I mean, in general, I'm very excited about the evolution
[00:25:41] to 2D like QR code type stuff, because why wouldn't you be? First of all, I've never figured out how to scan a barcode on my phone, like the black bars. I want to be able to do that, especially when I'm printing packaging.
[00:25:53] Like, I think generally your printer is the one who will just double check the scan ability. But for me, when our designer just puts the QR code on the packaging and I can scan it with my phone and see that works, I feel better.
[00:26:06] You'll never know the anxiety of just not knowing if your product is going to actually scan until you get the can and you're terrified. So that part alone, I like a bit worth the very beginning of understanding what people are going to do with it even.
[00:26:17] Right. And I think also like one designer has got to be rejoicing now. Right. Because there's so much more that you can do with a 2D barcode. We're very excited right now. Startup CBG. So we partner with GS1 to do cool education and fun stuff for the community.
[00:26:33] We're doing a UPC art design contest right now, which fun. You can weave in designs into the barcode and they still scan. So that's really fun. But you have less freedom, I would say, to work with there when you have the barcodes.
[00:26:45] I think QR codes, you're going to have a lot more flexibility and can do amazing stuff. And I think I won't be surprised to see it on front of pack where people do really cool stuff
[00:26:53] and want it in your face. Like let us engage with you, the consumers. I agree with you on that, Daniel. I think that there is a significant day coming where the QR code is going to be like a de facto standard
[00:27:05] on the front of packages because you can do so much with it, not only from a consumer standpoint, from inventory and batch lot information and all these things. The funny thing though, we talked about the 50 year anniversary of the first barcode scanned in retail.
[00:27:21] How old do you think the QR code is? Oh no, my brain is computing it. I have no idea. I will throw the number 15 years out there. Close 30. All right. 30 years old. Who invented it and why? Yeah. So that's on the next episode. Tried to get you back.
[00:27:40] Yeah. It's just one of those things where it needed a couple of other things. So like the standard 1D UPC barcode, it's very difficult to scan on your phone. But it wasn't until the phone could scan the QR code
[00:27:53] and then really have an interaction that it really took off. And so now we're really pushing retailers to enable QR scanning at checkout. We have this thing called Sunrise 2027. The year 2027, we want all the retailers and major retailers to be able to
[00:28:10] have this so we can move away from the 1D barcode and then we give more real estate back to the packaging folks. And then we can make a push, have it on the front side
[00:28:21] and then you could see, oh, is it gluten-free or how much sugar is in it? Or is it sustainable? And the other thing that's very interesting with this QR code is that now the brands are getting more information without having to talk to the retailer
[00:28:36] because people are scanning it in the stores, which didn't happen before. So you still have all these balances. It's fascinating and fun. I totally agree with you. And by the way, bold prediction. Someday every pack will have QR code on the front
[00:28:51] and it will enable the Amazon technology that lets you check stuff out so seamlessly. Like every retail is just going to have cameras that are scanning codes that way and just like really help everybody's supply chain.
[00:29:05] And I bet probably can promote just tons of efficiencies all across retail and CPG. It really is. It's not just a number anymore. It's really a boom, access to everything and anything. All right.
[00:29:17] It's come to that time in our show where we actually have to start wrapping this up, even though it's been a lot of fun. We leave everyone with two questions. I'll start with the first one. And this can be your professional life or your personal life.
[00:29:29] Makes no difference to us. But what is your favorite technology you're using right now? One very cool new tool that I've just figured out is a plugin for LinkedIn. I do most of my selling work, I would say on LinkedIn.
[00:29:44] And so I'm really interested in stuff that can help me do that better. It was true when I was the CEO for the beverage company doing a lot of sales myself and then also now start of CPG finding great partners. And so I found this plugin, surf, SCRF.
[00:29:57] It's brand new. They're not a partner of ours. I hope they will be someday. It plugs into your CRM and into LinkedIn so that if I just add somebody on LinkedIn, I can create the deal with them or like me. Pro it right into your CRM.
[00:30:13] And it'll give me their email address, which is very cool. And it will log all the messages that I have with them so that then, okay, like I hit somebody up on LinkedIn and I just want to remember to follow up with them in two weeks.
[00:30:25] If I don't hear back, it lets me do that. I can see all the history in my CRM. I can set it up so it pings me like, hey, you messaged them two weeks ago and it hasn't gone any further. S-U-R-F-E. Yes. Free shout out for them.
[00:30:38] Please partner with us. But everybody should know about it because when you're selling in CPG, especially if you don't have all these relationships, you're not like Coca Cola or Nestle, whoever, you don't already just have all those accounts. You need to build them. You don't know the buyers.
[00:30:53] In most cases, you might not have all the money for a broker. You need to go out there and make friends with them. And you can do it at trade shows and that's expensive. But LinkedIn is really the best way you follow brands who are like yours
[00:31:04] and they're getting in places, see who they tag when they announce a big win. And then you need to build your relationship there. And just having a tool to manage that and help keep you on track and make you more efficient is incredibly important.
[00:31:16] So I'm like the biggest LinkedIn fan. I want like an as seen on LinkedIn hat to wear around because I feel like people always see me posting on there. So for me, that's been a huge game changer. That's awesome. That's really cool. Okay.
[00:31:29] So the second question again, whether it's in your personal life or professional life, what has blown your mind? You've seen a bunch of trends and different evolutions of how startups work if you choose your professional life. But what has just blown your mind?
[00:31:44] I think maybe I would just go back to the non-alch trend. I love hosting parties, which probably doesn't surprise you. If you see all the stuff that I do with startup CBG and all the events, when I would host parties, I used to live in San Francisco
[00:31:55] and I would always host parties there. And I'd have like 50 people over and make a big, big jug of drinks. And like that way, you don't have to make them individually, like a big delicious not like jungle juice like we had in the college days.
[00:32:07] It's something nice, but it's great. And people will go all the way through it, make it really nice for everybody and garnish it. So when I started having parties here in LA, that's my thing. I would do that and go to Costco and get the good booze,
[00:32:19] but on discount and make those things. And then I'd have people over and like nobody's drinking. Even on like a Friday night, more than half the people I would say who come to a party like this in LA are not drinking.
[00:32:29] And they're really excited if I have non-alch options, which they don't even expect. They're kind of like, oh, no, I'm good. You're like, oh, no, like I have a bunch of sparkling waters and other stuff like, oh, great. Yeah, I want to do something.
[00:32:40] So that's an amazing number, like more than half of people. Everything like all the trends start in California and go everywhere else. And I think we just are kind of tip of the iceberg for seeing what the big shift is overall in society
[00:32:57] that's going to come from this. It's going to be really exciting. I like a drink every now and then, like probably should minimize drink less than I use to. Nine, 12, three, four. Yeah. I want to drink them everyday. I just feel so dang bad when I do that.
[00:33:11] Just my body won't let me anymore. I think that's going to be the biggest trend shaping the industry over the next five, 10 years. That's all the time we have for today. Daniel, thank you so much for being on the show. This was a lot of fun.
[00:33:23] We appreciate you taking the time out of your day. Thank you guys so much. Really appreciate it. Thank you for joining us on this episode of The Next Level Supply Chain with GS1 US. If you enjoyed today's show, please subscribe to our feed
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