subject: Barcode Equipment Costs Rising Or Decreasing? [print this page] Over the past twenty years, barcode equipment has become an increasing part of every business organizations day-to-day processes. Barcode printers are used to print barcodes on everything ranging from UPC barcodes in retail stores to barcode tracking identification labels on FedEx shipments. Obviously, barcode scanners are needed to take advantage of these printed barcodes and we see these barcode scanners in many forms ranging from handheld barcode scanners to mobile computers with integrated barcode scanners that can handle not only 1D and 2D barcodes, but also images as well. In fact, barcodes are so integrated into an organizations business processes that many companies utilize barcode verifiers to ensure that printed barcodes satisfy a minimum quality level.
With all these barcode scanners, thermal label printers and barcode verifiers in our businesses, companies often wonder whether the cost of barcode equipment has gone done as many other technologies have. The truth is that barcode equipment has decreased in prices for certain commoditized products, has stayed steady in other areas where new technologies are being integrated together to form a more complete solution, and has also increased in other areas.
More specifically, the cost of a standard handheld barcode scanner has probably dropped about 50% in price over the last 10 years as barcode scanners became increasingly commoditized. Cordless barcode scanners have also dropped significantly in price as wireless technologies have become ubiquitous. Just think, 20 years ago, wireless access points were common in warehouses but not in homes; today, it is very common to see wireless access points that cost under $100 in homes and available at most office supply stores.
With mobile computers that contain integrated barcode scanners, the prices have actually remained relatively steady with street prices typically in the $1000-2000 range. The reason for this is that similar to laptop computers, mobile computers simply add more and more features to them, such as WWAN and GPS technologies, which forces the price to hold steady.
Barcode printers have dropped in price, but the cost of barcode labels has started to increase the last few years as barcode label manufacturers face upward raw material pricing pressure. Many of these cost increases are being driven by supplier consolidation, suppliers closing inefficient plants and/or diverting production to more profitable applications, and an elimination of black liquor tax credits. Some examples of issues that are driving up the cost of raw materials for barcode label include paper and pulp costs that have increased by 15 percent since September 2009, Propylene monomer up 20 percent and Paraxylene and MEG resin costs up over 30 percent since October 2009.
In short, barcode equipment costs for barcode printers, barcode scanners and barcode verifiers have gone both up and down as barcode technology allows for commoditization or products; unfortunately, the raw material costs for producing barcode labels has increased.
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