Products like water bottles, potato chips and other everyday items have long been branded with a Universal Product Code, or UPC, that can be scanned anywhere to trace an individual item through the supply chain.
Metrc, a provider of regulatory technology for the cannabis industry, has introduced what CEO Michael Johnson defines as “UPC for the cannabis space:” a barcode system called Retail ID that will ease regulation, increase operational efficiency for participating brands and retailers, and provide detailed product information to consumers.
“We think of the Retail ID opportunity for everybody that participates, certainly in the state of Nevada, as a win-win-win,” Johnson said.
Nevada is one of 18 markets in which Retail ID has rolled out, said David Eagleson, Metrc’s vice president of product.
Retail ID is essentially a QR code, Eagleson said. Consumers can scan that QR code on a cannabis product and get key information — including lab testing results, Certificate of Analysis and similar details — that will ultimately boost their confidence in what they’re purchasing.
“When you go out and you pick up a cannabis product right now, you’re relying on some potentially challenging-to-read, small information on the product labels around what actually is contained in the product,” he said. “So this standardizes that from a consumer standpoint.”
The QR code can also function as an inventory identification code that businesses can rely on through the supply chain for their internal systems, Eagleson said. That means retailers can use a 2D barcode scanner on the QR code during the checkout process.
Space is limited when packaging goods, he emphasized. Retail ID condenses a barcode label and informational QR code into one function. Some retailers have seen such a benefit and efficiency gain from Retail ID and not having to add more labels to products that they are informing brand partners that they want to see it on all of their inventory, Eagleson said.
“It frees up space and ultimately is multifaceted and multipurpose in what it can provide both for businesses and consumers alike,” he said.
The system has the potential to give regulators a better sense of what’s happening with cannabis products, Johnson said, and allow them the ability to facilitate news of a recall through the QR code.
Retail ID increases product visibility for the consumer, he said.
“It really puts a lot more of that power in your hand as a consumer,” Johnson said, “and ultimately, I think, is going to create a better overall safe experience for the consumer.”
Metrc is already producing 4 million to 5 million items across the country in any given week that are tracked within the Retail ID ecosystem.
The company expects that number to grow dramatically, Johnson said.
“We’re certainly very proud of where we’re at,” he said. “This is a special time to be able to get something out there — support the industry, support the consumer and support the regulation dynamics.”
Metrc has for a long time provided track-and-trace solutions that allow for greater visibility in the cannabis supply chain — from “seed to sale,” Johnson said.
“So we’ve got a really, really important role to play in trying to help the regulated market be successful and support the will of the regulators to carry out everything that’s necessary to produce the safest market,” Johnson said. “Nevada happens to be an exceptionally strong market, and so I’m very proud of the opportunity to be able to participate with the state.”
The company has become a standard for track-and-trace systems in the cannabis industry, Johnson said, and he expects that will extend to Retail ID as well as it evolves in terms of features and functionalities.
“Ultimately, every industry — regardless of where you’re at, certainly not special to cannabis — is looking for efficiencies and opportunities to try and do more with less,” he said. “We’re trying to provide Retail ID as an opportunity to do more with more.”
