When Japan became a member of EAN Association (now GS1) in 1978, we acquired country code (GS1 Prefix) 49 and began allocating 7-digit company prefixes to member companies. Since then, with the increase in number of member companies, an additional country code, 45, was acquired. In January 2001, we began allocating 9-digit company prefix to companies that had less than 50,000 product items at the time of application, while allocating conventional 7-digit company prefixes to companies that had 50,000 or more items. 114,791 GS1 company prefix are allocated to 113,692 companies as of September 2007. These registered companies include manufacturers of consumer products such as foods, sundry goods, apparel and textiles, and domestic electrical appliances, as well as utility companies engaged in supplying electricity, gas, water, and telecommunication services (see 1.3) and companies/ individuals who sell their products online (see 1.1.6).

Registration of the company prefix needs to be renewed every three years.

Fig.1.1.1-1 Company Prefix allocation and shops with POS (as of End/March)

GS1 Japan has been making efforts to promote use of GTIN in Japan, but for smooth introduction and operation of GTIN in this nation, problems specific to Japan must be resolved.
The main problems in the introduction of GTIN in Japan are as follows:

Termination of the use of 16-digit identification codes for standard item groupings (ITF-16)
In Japan, the 16-digit identification code for standard item groupings which used to be accepted by the EAN International is still widely used, but it must be shifted to a 14-digit code to conform to the international standard.
The sunset date for the changeover has been set as March 2010 considering the time required to plan the steps necessary to conform with the GTIN allocation rules and the inventory level of packing materials. The shift is in fact being made smoothly by major food manufacturers and other related parties.

Acceptance of two methods of identifying standard grouping
In Japan, standard groupings of trade items have been identified with GTIN-14 using the Indicator. In this case, the GTIN-14 and GTIN-13 always share the same item reference, and they are in a hierarchal grouping.
However, outside Japan, some companies are allocating GTIN-13 to groupings of trade items. In this case, the item reference of a given trade item and the groupings of the same item have no relationship. This situation does comply with the standard. As such, it has been determined that GTIN for standard grouping by means of the latter allocation method should be accepted from March 2007.
Consequently, many companies need to take action for the new designation in the internal system that uses the identification code for standard grouping of items, especially in delivery acceptance inspections. GS1 Japan has been publicizing this problem through various means such as by holding seminars and circulating informative pamphlets. These activities have been steadily contributing to the industry's preparations.

Full enforcement of compliance with the international standard for displaying the identification code on the outer package
In Japan, the GTIN of each item contained in a package is sometimes displayed on the outer package for standard groupings of the same trade item. Compliance is being promoted to adhere with the rule that a new identification code (GTIN) for a standard grouping of the item that differs from the GTIN of each item contained must be allocated.

Thorough development of allocation standards conforming to the GTIN allocation rules
Among the new allocation rules, there are rules that have not been conventionally adopted in Japan.
For example, some companies do not follow the rule that the item code for an item that has an increased net content because of a seasonal promotion must be changed. GS1 Japan has translated the GS1 GTIN Allocation Rule into Japanese in an attempt to thoroughly promote compliance with the rule, and the users' conformance has actually started since March 2007.

The code for periodical publications (magazines) and books in Japan differs from standard GS1 codes, and is structured as follows:
The numbering structure for periodical publications (magazines) is made up of 13-digit code and addon code. The former is made up of: 3-digit journal prefix number "491"; 1-digit spare code "0"; 5-digit journal code; 2-digit publication number; 1-digit publication year; and 1-digit check digit, whereas the latter is made up of 1-digit spare code "0", and 4-digit price.
This code structure was introduced in June 2004. Today, most weekly and monthly magazines issued in Japan are marked with this structure. GS1 Japan cooperates with the Japan Magazine Publishers' Association in registeration and management of the code.

Fig.1.1.3-1 Code Structure for Periodical Publications (magazines)

For books, we use two codes. The first one is made up of 3-digit ISBN prefix "978"; 9-digit ISBN without check number; and 1-digit check digit. The second one is made up of: 3-digit prefix "192" for the 2nd bar code unique for Japan; 4-digit book classification code; 5-digit price; and 1-digit check number. GS1 Japan works together with Japan ISBN Agency in registration and management of the number.

Fig.1.1.3-2 Code Structure for Books

In Japan, many agricultural cooperatives (approx. 800) get GS1 Company Prefix and allocate GTIN-13 to their products. In addition, the following coding system unique to fresh foods was developed under the government initiative with GS1 Japan's collaboration. The code structure is intended for application by shippers or in supply chain including use in retail in-store marking and ordering systems.
The code is made up of: a 4-digit fresh food prefix number, "4922"; 5-digit domestic fresh food standard article code (product name number); 1-digit cultivation method classification for identifying organic farm products or hothouses, etc.; 1-digit size classification for identifying size, e.g., S, M, L; a 1-digit weight/sales unit classification for identifying sales unit, e.g., case, or volume/weight such as 100 g or the number of units contained in a package; and a 1-digit check digit.

Fig.1.1.4-1 Code Structure for Fresh Food

GEPIR, a database that contains basic information on GS1 Company Prefix holders, has been accessible in Japanese since 2003 at GS1 Japan website. During the 2006 fiscal year, the number of the access to the GEPIR website exceeded 1.63 million.
Starting from 2007, the detailed location data for each GLN have been added to it and made accessible for public as well.

Fig.1.1.5-1 GEPIR Search Result Example

GTIN has been applied to not only products sold at conventional brick-and-mortar stores but also for products (physical merchandise and digital downloads) sold via the Internet.

(1) GTIN in Online Music Service
In August 2005, a new service that uses the Internet to sell music content was launched in Japan. The system called iTunes Stores is run by a wholly-owned subsidiary of Apple Computer, Inc.
Since all songs must be controlled globally and digital songs must be synchronized with hard copy products of the same content, iTune Stores manages sales units (both individual songs and albums) by GTIN. Therefore, the GS1 company prefix is mandatory for registration of songs at iTune Stores.
The allocation of GTIN for digital songs should be proceeded as follows:

Fig.1.1.6-1 GTIN Allocation Procedure

Regardless of the format of audio-visual products (either digital or physical CD/DVD), GTIN is the same if the content is exactly the same. When they have different content (e.g. a promotional video is added) a different GTIN should be allocated.
There are approximately 500 online music services in over 40 countries whose sales have been estimated to have nearly doubled in 2006, accounting for about 10% of total music sales.
In Japan, over 7 million songs are now downloadable from more than 10 online websites and the increase in online music sales has led to the application of a new GTIN company prefix. In 2006, "music" was our second largest category after "foods" in the number of GS1 Company Prefix applicants, and we expect that it will continue to grow.

(2) Use of GTIN by Amazon. co. jp
In addition to music content distributors, an increasing number of other companies are now choosing GTIN for Internet sales.
Amazon. co. jp offers a program called "Amazon. co. jp Advantage" that enables independent authors, musicians, filmmakers, publishers, studios, and other content providers to list and sell their products on Amazon. co. jp right alongside products that have massive marketing and distribution. This program provides a simple, efficient way to have a direct relationship with Amazon. co. jp. Independent content providers, who want to sell their products on Amazon. co. jp, normally need to contract with major distributors. However by joining this program, products can be easily enrolled, warehoused as consignment and shipped from Amazon. co. jp fulfillment centers. Amazon. co. jp shows these products with an "In Stock" message similar to Amazon purchased inventory.

The Advantage program is available to all-sized businesses including small-sized and sole-proprietorships. Participants in the program need the following:

1. Registering seller must be at least twenty years and/or a business enterprise, and a resident of Japan.
2. Sales rights for any items must be registered
3. A valid ISBN or GTIN for each item must be registered
4. ISBN or GTIN must be marked in barcodes on each package
5. A bank account in Japan.
6. Accessibility to emails and Internet

Amazon. co. jp assigns its original ASIN (Amazon Standard Item Number), instead of an ISBN or GTIN, and uses these numbers for merchandise management. ASIN is used because the same product is sometimes sold by different distributors. In this case, items with different ISBN or GTIN can be managed as the same product on the Amazon websites.
ASIN is mapped to ISBN and GTIN in Amazon. co. jp product master, and EAN symbols are used for product inspections at the fulfillment center or other distribution sites.
GS1 Japan is receiving applications for the registration of the GS1 Company Prefix from an increasing number of businesses who are planning applications for the Advantage Program.