Relevance of the EAN in retail and eCommerce

Knowing what an EAN is and understanding its importance in eCommerce can be a powerful tool for success. From product matching and price monitoring to making sure your products are up-to-date and easy to identify, an EAN (short for European Article Number) is key to unlocking profitable opportunities. In this article we look at the EAN number - what it is, what it does and how it can help your business.

What is the EAN?

An EAN is a 13-digit product identification number used to identify products mainly in European trade. It is also known as the European Article Number or International Article Number and is recognized by retailers, manufacturers and consumers worldwide. 

While the EAN is used mainly in Europe, the 12- or 14-digit barcode number GTIN (abbreviation for Global Trade Item Number) is used worldwide. Both EAN and GTIN are used to uniquely identify products and facilitate inventory management and tracking in the supply chain. Both numbers are an important tool for companies and eCommerce platforms to track product information across multiple channels, ensure competitive pricing between stores, and manage inventory efficiently.

What is behind the EAN code?

The EAN consists of two parts: the country code (the first two digits), which provides information about where the product was manufactured, and the company code (the next five digits), which identifies the manufacturer of the item. The remaining six digits are known as the product code, which is assigned by the manufacturer to identify its own item. With this information, companies can easily track products across different channels. It also allows them to monitor price changes between stores and ensure efficient restocking when needed.

How to get the EAN?

Each EAN is issued once worldwide. It's relatively easy to get an EAN - just apply online with a vendor that meets GS1 standards, and once approved, you'll receive your codes via email. Depending on the type of products you sell, you'll likely need multiple EAN numbers; for example, if you sell T-shirts in different sizes or colors, each size/color will need its own code.

Once all the necessary codes are in place, businesses can print labels and attach them to the products - allowing customers to quickly identify the items before purchasing. With the help of vendors that adhere to GS1 international standards, obtaining an EAN is quick and easy - contributing to the success of the business.

What are the advantages of the EAN in eCommerce?

With a unique EAN, companies can ensure that their products are easily identifiable and differentiated from those of their competitors. The benefits of using EAN are numerous:

• They help companies track product information and ensure quality control standards across their entire offering. This makes it easier to manage inventory and compare prices between different retailers.
  
  
• EAN codes make it easier for customers to quickly and easily search for the products they want on eCommerce platforms. This helps increase customer satisfaction as customers have access to all the necessary information about a product, such as availability and price.
  
  
• EAN codes help manufacturers distinguish their products from those of their competitors, which helps prevent counterfeit products from entering the market. 
  
  All in all, these barcodes offer many benefits that streamline operations and improve the customer experience. Having a unique EAN for your products is an essential step for any business that wants to succeed in today's market. EANs can automate tasks, reducing the resources required, such as time and money.  Automation support with oraya's SaaS tools is also provided through the use of EAN, which allows our software solutions to track products and their prices based on EAN coding.