You can fool some of the people some of the time , but you cannot fool all the people all the time.

Many posts and blogs are discussing the health effects of misleading food labels. I believe that there is another more basic level to the issue.
People have the right to make informed choices.  They can eat what ever they like and eat as much as they want.

The issue is the misleading information that is put on the food label. The FDA regulates when labels can state "fat free" or "sugar free". They also require that when a health statement is made such as "sugar free", the manufacturer must add disclaimers if the fat content is high, as to not mislead people.

When one buys a food product, and actually reads the label it needs to be accurate and informative. Then, and intelligent person can make his or hers own decision.


Let us not forget that the front food label panel is advertising, and as such, when it is used to advertise and market a product it should fall under the deceptive trade practice act. It is in effect false advertising.


Several months ago I was helping a customer create his food labels ( we deal with the labels and printing side of it) The customer was very confused about the regulation. As a result we created a "human readable" (no need to be a lawyer) food labeling guide that is based on the FDA regulations. The section dealing with statements and claims is particularly relevant to this discussion.

NY Times article F.D.A. to Clarify Standards for the Front of Food Labels

The NY Times today published an article regarding the supposed confusion experienced by food manufacturers regarding claims they can and cannot put on the food labels.

"The Food and Drug Administration said Tuesday that it would seek to clear up the confusion caused by a surge of upbeat nutritional claims — for everything from Froot Loops to mayonnaise — that manufacturers have begun to make on packaged food labels.

The FDA is very clear about what is acceptable and what is not with very clear intent not to deceive the public. The regulation states that if a label claims that a product is
Sugar Free: (food that contains less than 0.5 g of sugars.)  and if the food is NOT also low or reduced in calorie that fact must be disclose. You can read more about specific words that can and cannot be used here.

A similar regulation has to do with the term: "light". It can only be used if the consumer would generally recognize it as a food that is improved in its nutrient value compared to other average products of its type.

The same is true for the following terms on a food label:
"reduced", "less", "fewer", and "light" : the label must state each of the following (these are called "accompanying information"):
1. The percentage or fraction by which the food has been modified,
2. The reference food, and
3. The amount of nutrient (that is the subject of the claim) that is in the labeled food and in the reference food. 

And finally just in case anyone still had any doubts the disclosure statement is supposed to clear any misunderstanding:

"... is a statement that calls the consumer's attention to one or more nutrients in the food that may increase the risk of a disease or health-related condition that is diet related. The disclosure statement is required when a nutrient in a food exceeds certain prescribed levels."

I have to wonder what manufacturers are thinking when they engage in such practices. Didn't they ever hear the famous quote: "you can deceive some of the people some of the time, but you cannot deceive all of the people all of the time..."

The NY Times reports that:

"By early next year, officials said, the agency will issue proposed standards that companies must follow in creating nutrition labels that go on the front of food packaging.
That could force manufacturers to deliver the bad news with the good, putting an end to a common practice in which manufacturers boast on package fronts about some components, such as vitamins or fiber, while ignoring less appealing ingredients, like added sugar or unhealthy fats."

The manufacturers (and their marketing people) should know that people are paying attention, and just because they figured out a loop hole in the current regulation, does not mean we are "buying" it.

Check out the tweets on this site regarding this issue.

What is the check digit in bar codes?

The check digit is a simple yet powerful way to let your system know if the barcode was scanned correctly.

A barcode by definition is simply coded information. The coded information is machine readable – meaning it can be read by a scanner (the machine.) the scanner needs to verify that what it reads is actually what the barcode contains. The Check digit is the way it checks itself.

For example: let us assume that we have a barcode that contains the numbers 1 2 3 4 5.
The check digit will then be: 6
Why 6?
Because the check digit in this case adds all the numbers in the barcode together:

1+2+3+4+5=15 15=1+5=6.

The check digit is normally the right most number in a barcode.

Different barcodes use different ways of calculating the check digit. Most good label design software will perform this calculation automatically.

The GS1 site has a wonderful calculator and they explain in great detail how to calculate check digits for various barcodes using graphics and step by step instructions.

Here is an example of how you calculate a check digit for the GTIN-12 (U.P.C) [taken from the GS1 site]:

GTIN-12 (U.P.C.)
The Check Digit for a GTIN-12 (U.P.C.) ID Number is figured using the standard modulo calculation. Here is how it works:

Step One:	Suppose you want to find the Check Digit for the GTIN-12 (U.P.C.) Number 61414121022. Set up a table with 12 columns, and put the number 61414121022 into Positions One through Eleven. Position Twelve will be blank because it is reserved for the Check Digit.
Step Two:	Add the numbers in Positions One, Three, Five, Seven, Nine, and Eleven: (6 + 4 + 4 + 2 + 0 + 2 = 18).
Step Three:	Multiply the result of Step Two by three: (18 x 3 = 54).
Step Four:	Add the numbers in Positions Two, Four, Six, Eight, and Ten: (1 + 1 + 1 + 1 + 2 = 6).
Step Five:	Add the results of Step Three and Step Four: (54 + 6 = 60).
Step Six:	The Check Digit is the smallest number needed to round the result of Step Five up to a multiple of 10. In this example, the Check Digit is 0.

What is the meaning of numbers in a barcode (UPC in particular)?

There are several answers to this question which explains why there is so much confusion regarding this issue. Each answer represents a solution using barcodes in different ways.

Answer 1: The numbers in most barcodes represent a numerical field in some company’s database.

Example: Company A has a warehouse full of items. Each item has an ID. The ID is represented in numbers. The ID can be a SKU number. Every time the company send or receives items, they want to show it in their inventory software. Instead of having to type the numbers in (which can cause many mistakes and is very time consuming) they print labels with barcodes on them. The barcode is a machine (i.e. computer) readable code. They use a scanner to read the barcode. The scanner communicates with the software application. It tells the software that an item with a particular SKU number has entered the warehouse.

Answer 2: This answer has everything to do with UPc codes. There are several types of UPC bar codes used for different purposes. The numbers in a UPC barcode represent several pieces of information about the product.

The Three versions of the UPC barcode are: A, D, and E.

1. Version A (the regular version) - is used to encode a twelve digit number.

2. Version E (the zero suppressed version) - is a six digit code used for marking small packages.

3. Version D (the variable length version) is not commonly used for package marking. It is used in limited special applications.

4. Both Version A and E may include either a 2 digit or a 5 digit supplemental encodation. These extra digits are primarily used on periodicals and books. Supplemental encodations are supported.


The first 6 digits of the UPC barcode:

The UCC assigns manufacturers an Identification number. This is a 6 digit code. So the first 6 digits of the UPC barcode is the manufacturer ID.

The first digit of the Manufacturer ID in the UPC code represents the market segment or type of products they manufacture:

1. Consumer products - start with 0, 1, 6, 7, 8, or 9.
2. Items sold by weight - starts with 2. This is also used for items used in warehouses and stores that are not sold to the public.
3. Pharmaceuticals start with 3.
4. Warehouse and store only purposes - starts with the number 4.
5. Manufacturer coupons, and store loyalty cards UPC numbers start with a 5.

Digits 7-12 of the UPC bar code:

Represent the item number. The item number is assigned by the manufacturer. It is their code for their item.

For items sold by weight - the first five middle digits are used to identify the item. The next five digits are used to identify weight or price, with the first digit of that set signifying whether it's for weight or price.

To help illustrate the difference between UPC and other bar codes look at this example:

I hope this helps clarify some of the confusion. As you can imagine there is more to UPC codes than meets the eye. As always if you have questions about a subject or just want me to explain some things about barcodes, labels and printing - drop me a line labelady@tpgtex.com.
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Can I put upc and ean barcodes on one label?

We get this question many times. The simple answer is: Yes.
The image on the left is an example of a shipping label that has several barcodes on it. Each barcode is drown from a different field in a database.
This particular label has SSCC, Postal Code, and code 128.

A good label software program should allow you to do this and even add images.

You can read more about finding a good label software for your needs Here.

A label can have many "elements/objects" on it or just one. The printing of labels with multiple elements need to be considered as well. If you want to print graphics in full color you may want to use your inkjet printer. However, barcodes do not print well using this method. On the other hand, a color laser printer will be able to produce both full color images as well as clear barcodes.

The label on the right is an example of a label that was printed with black and white graphics and text using a thermal transfer printer with was/resin ribbon.

Green - translates into real dollars for SMB

We were wondering how we could be part of the "green" movement. Is going "green" even makes sense for a small business? Wouldn’t it involve too much work and effort? Would it be expensive? Where should we start? We started with paper recycling- it was an obvious choice, as we were drowning under mountains of paper. We placed a file box in each office. The instruction that went along with that was: "place all your waste paper in the box". Within 2 days we had to modify our instructions since we realized that we had different types of waste paper, each with its different characteristics:

1. Junk mail - went directly into our recycling boxes (as long as it did not have sensitive information - credit applications, etc.)
2. Drafts - were recycled into a different box - to be used again in our printers for internal documents or more drafts.
3. Old reports and documents - continued to be shredded.
4. Sensitive documents with company or personal information - were shredded.
5. Magazines, periodicals and news paper - after they were read or distributed among the employees they also ended up in our recycling boxes. The recycled paper is donated once a week to a local school. The school collects the paper and sells it. The money is used to buy additional supplies for the students and teacher and pay for special programs. The shredded paper is used in our packaging. We no longer use "peanuts" or other packaging materials as we produce our own now. We then started thinking of ways to REDUCE the amount of paper we were using.
   

These are the ways we found:

1. Important documents are printed to PDF and saved on our server.
2. Before printing something from the internet - we use the print preview button and choose the pages to print - if you have ever printed anything from the internet you know that what looks like 1 page is actually 3 pages. The last two pages are usually nothing but some graphics, footers, etc.
3. Email - we now email all of our invoices, quotes and purchase orders. When we asked our customers if it will be ok to email them invoices instead of mailing them - they all agreed. (We only have one customer that asked us to continue mailing his invoices.)
4. Fax - We connected our fax to an old computer (no expense there) and made it into our "fax server". Junk faxes? No problem - we click "delete" and they are gone. An unexpected added benefit was that now we can access all of our faxes. No one has to monitor the faxes and go distribute them. A fax is never lost. Using a simple fax program - we can recognize the text on the faxes; we can email them to other people.
   

Conclusion: we are saving money - We reduced the amount of new paper we buy by 70%. We used to buy 10 reams every month. A simple calculation: $50.00 a box times 12 months = $600.00. 70% of $600.00 = $420.00 a year. We are helping our community and we have less paper to file. Our filing clerk only spends about 5 hours a week filing, the rest of the time she is now able to help with the phones, and accounts receivable - we joke with her that we recycled her job too.

Going Green - More Benefits

We are in the Technology business. We have about 30 computers that are used on the regular basis. Over the years we have collected a whole grave yard of old computers. Many years ago, it made sense to upgrade computers. Not anymore! Now-a-days it is cheaper to buy a new computer than to go through the hassle of upgrading. So we asked ourselves, how can we get rid of these computers without having a small landfill named after us? We looked around and found that less than 3 miles away from our offices is a computer recycling company. We found out that the company was willing to pay for our junk computers - they pay by the pound. We certainly did not have enough computer equipment to make any substantial amount of money. Instead we reached an agreement that has been working very well for both of us: we give them the old computers and they give us equipment. The equipment is usually pretty good and is perfect for the testing we need to do for our label software applications. I love going over there. It is like being a kid in a candy store. They have equipment that originally cost hundreds and even thousands of dollars. The best part - we can just pick it up and go. We have expanded our computer equipment recycling program to include all of our customers and friends, neighbors and family. We collect the old equipment and every once in a while make the trip to the recycling company and leave it there.
Over the years we have established such good relationship with the owner and his family that we are now good friends. They have become our customers. They have used our expertise in warehouse and inventory management to reorganize their warehouse, find the appropriate software for them (had to connect to QuickBooks) and help them in the implementation process. Some of the old computers we have had over the years, have been re-done and donated to local non-profit organizations, local needy families. I am just amazed by how recycling and community involvement are so tightly connected. That is one aspect of recycling I never knew about. We just love recycling, reusing and reducing.

Green Makes Sense

Since the last time I wrote about this subject, we have expanded our recycling to include: 1. Ink Toner and Cartiges 2. Plastics 3. Aluminum and tin - we donated the tabs to whatever schho/ orginization is collecting them. There is always a group that collects those. 4. Yard waste - we asked our yard people to mow the grass using a mulcher - we are going organic. This, we found out, is the best feed for the grass. (please not comments from feed companies etc.) Any other yard waste goes into a compost pile. Our yard man said, that in time for fall, we will be able to use it on the shrubs - no need to buy mulch - we make our own now. Another benefit: in our area we are limited to one garbage bin (a pretty big one) each week. We have to pay for additional bags. We have not paid anything extra for at least a year now - again we save real money.

Economy is down - Green is up

It seems that not a day goes by without hearing about how bad the economy is. We, like everyone else are trying to think how to save money. At least our business model is based on getting customers the best return on investment. Our solutions are usually very practical and end up saving our customers hundreds, if not thousands of dollars in barcode equipment, software solutions, etc. As I was a little depressed today about the global economic situation, I needed something to lift my spirit up a little. I looked back at this blog - and then I thought, hey, we are doing it! We are saving money everyday with our recycling program. We also cut on overhead expenses by having people working from their homes. Our programmers, web designer and accountant are all working from their own home offices. That means that we do not have to pay high rent for a large place. In addition, they do not have to travel and pay the unbelievable amounts of money a gallon of gas costs these days. Yes, I know prices have gone down. But I still remember when a gallon was $0.68. Ok, maybe this was not a year ago, but still paying over $1.00 per gallon looks expensive to me. Thinking about much money we have saved, and how much money we have helped collect for the local school and community center by recycling, reusing and reducing lifted my spirit. We estimate that this year alone we will be saving several thousand dollars. Even if it was less than that - it still makes sense. After all every dollar counts toward the bottom line!

Back at home

am back from India. It was amazing trip. It was not at all what I have expected. In Many ways I felt as if I went to a different planet. Everything is different there. I had my meetings, again not what I expected. The people were very nice. What I did not expect is to see technology companies on the side of the road in the middle of miles and miles of poor villages and small towns. On one side of the road is an open market, barbers in the street and on the other side, a new modern building of a technology company. The sites we saw were majestic, but dirty. Here is a picture of my mom - Rachel and myself.

Information Information

I feel bombarded with all this new information about marketing and PR. As it is, I spend many hours a week reading and learning about new technologies that are related to bar-coding.
Today I had an interesting call from a University that want to implement an RFID solution. RFID sounds like such a cool technology - and it is. Only that it is still not practical for most companies. The problem with RFID is the cost of the tags. The printers and scanners have come down a lot in price, but not the tags. There are also very little options when it comes to sizes. There are only few standard sizes. Huge companies do not need to worry about that, because they can afford to order the sizes they need. Small and even medium size businesses could not afford to have special size orders. I did my best to explain all of this to the customer. I think that people are under the wrong impression that RFID is here to replace barcode. It is not.
RFID is a different technology that has specific uses. We had a customer, about a year ago that ordered an RFID printer, 1 roll of tags and no RFID scanner. I asked if he already had a scanner. The answer was that he did not want to spend his money on a scanner yet. I asked if he was going to ship his goods to someone else who required him to put the RFID tags on.
The answer was no. Someone in his company just thought that RFID was cool technology and did not understand that it did not replace barcodes. Since he did not want any more input from us, we sold him the RFID printer. Few months later I met someone from that company. He told me that the RFID printer is sitting in unused in the IT manager's office.
I think that one of the most important things we do here is talk to our customers to find out what their real needs are. I believe that over the past several years we probably saved companies thousands of dollars.

The Website is up

Our new website is up. We still expect to add more to it. The only problem now is that it does not work in Internet explorer. It is working well in FireFox and Chrome.
We need to solve this problem. We started our Google Ad Campaign. We are starting with just two ads and a very small budget to try it out. Our first article will be published in a IT magazine; the subject is asset tracking. I now devote about 30 minutes a day to PR.
Our new store is being built is I write these words. Business is good.

Set Back with our on-line store

We had a terrible set-back with our on-line store. We used an open source store that has a free version. Some of the features in the store did not work correctly. They recommended upgrading the store to the newest version. We followed all instructions, only to find that the entire store inventory was gone! We are in the IT field, so we always make backups and more backups. None of the backups seem to work. Reading in the forums, we discovered that we were not the only ones who experienced this set back. Our guys worked for 2 days to restore all the products. The uploads did not work right. This is when I decided to put a stop to it.
Before we went on, I wanted them to test the functions in the store. Again, things did not work right. We went to the forums only to discover that there more bugs, some with fixes and some are not. Our goal was to spend minimal amount of money, but this was ridiculous. We spent so many hours working on something that did not show any results and seemed to be riddled with problems. Again, being a small business, we are able to make quick decisions and change course, and this is exactly what we did. We came up with a list of requirements and set out to check what was available out there. We saw 2 common solutions:
1. Hosted Stores – these are on-line stores that are hosted by another company. The company has to maintain the servers and all updates to the store (software updates.) Cost – includes usually a set up fee and reoccurring monthly fees. They also have various plans depending on the number of items in inventory. Some stores charge a percentage of every transaction. Some have different features available depending on the monthly fee.
2. Store software – these companies have developed a complete solution. You need to purchase the entire package. The software is installed on our servers. They provide installation support, but charge for that as well. The up front cost is high. The stores that had the features we were looking for cost between $1,000 to several thousand dollars.

We decided that we wanted a hosted store – the benefit to us: we do not have to maintain the server and the updates. The monthly fee seem reasonable to us. We currently have an eBay store. This store is going to be closed as soon as the new store is up. After searching many companies we found one company that we just love. The store is easy to manage, and has tons of features. They even have real people answering the phone. (We stopped doing business with companies that do not bother to pick up their phone.)

Bloging

I see that this word is not yet in the dictionary. When I first started bloging, I did it because I just felt like doing it. Now, I find out that it is also used as a marketing tool. Well good for us. I do not think I have any following, but I do not care, since I have truly enjoyed writing it. If it helps us in our marketing efforts than that is great!

Marketing Plan for SMB on shoe string budget (part 6)

Happy New Year. The phone started to ring! I am hoping that this is a good sign for things to come. We are now busy working with our current vendors to generate more leads. We decided that once our website is up, we will try to use Google ads. Many of the articles I was reading spoke of social networking. That was not something I could envision us doing. So to prove myself wrong, I met a guy in a party that told me about his websites and how he markets them through Google. I told him a little about our plan. We agreed on a fair exchange – We will help him with his websites and he will help us with Google. We are looking for other networking opportunities now. Still checking what is available and what is worthwhile. The website design is almost done. We will put up a beta site in about two more weeks.