Data Matrix vs. QR Codes: An Overview of the Differences

It’s a common misconception that Data Matrix codes and QR Codes are the same thing. While they may look similar at first glance—both being square, pixel-based 2D barcodes—they serve different purposes and have distinct capabilities.

From the way they store data to how they’re scanned and used across industries, these codes aren’t interchangeable. Data Matrix codes are often used in industrial and healthcare settings, while QR Codes are more common in retail, marketing, and logistics. Choosing the wrong one for your business can lead to compatibility issues, missed opportunities, or unnecessary complexity.

What is a QR Code?

A QR Code (short for Quick Response Code) is a two-dimensional barcode made of black and white square modules arranged in a grid. Unlike traditional barcodes, which are read in one direction, QR Codes are scanned horizontally and vertically, allowing them to store significantly more data, up to 4,296 alphanumeric characters. The more data stored, the more modules are added to the grid.

A black and white QR Code
A QR Code

QR Codes are structured using seven key encoding elements that define how scanners interpret the code, including formatting, data type, and positioning. They also include built-in error correction levels ranging from 7% to 30%, helping ensure readability even when the code is slightly damaged. Keep in mind that a higher error correction level means slightly less space for encoded data.

The history of QR Codes began in Japan to improve inventory management, but they have evolved into a powerful tool used across many industries. Today, they support a wide range of applications, including:

  • Displaying contactless restaurant menus

  • Sharing recipes in magazines or newspapers

  • Enabling mobile payments in retail stores

  • Managing assets and streamlining supply chains

  • Providing info at museums or historical landmarks

Thanks to their 2D structure and mobile phone compatibility, QR Codes have become a global standard for everything from marketing to advanced product QR Code inventory management

What is Data Matrix Code?

A Data Matrix Code is a square-shaped 2D barcode made up of black-and-white pixel patterns, similar in appearance to a QR Code. However, it holds less data—up to 2,335 alphanumeric characters. As more data is added, the number of rows and columns (modules) increases. Most Data Matrix Codes feature a distinctive L-shaped border along the left and bottom sides, which helps scanners identify and orient the code.

A black and white data matrix code
A Data Matrix Code   

Like QR Codes, Data Matrix Codes include built-in error correction—up to 30% of the code can be damaged and still function., In Data Matrix Codes, the error correction level is automatically adjusted based on the code’s size and available capacity.

Data Matrix Codes were originally designed for laser-marked labeling of small parts in the aerospace, electronics, and automotive industries. Today, they’re widely used for:

Their compact size and scannability on curved or tiny surfaces make them ideal for industrial use.

The key differences between Data Matrix Codes and QR Codes

While they may look alike, QR Codes and Data Matrix Codes differ in key ways. Let’s break down the major differences below.

FeatureQR CodeData Matrix Code
Maximum data capacity Up to 4,296 alphanumeric charactersUp to 2,335 alphanumeric characters
Size efficiencyLarger at higher data volumesMore compact; ideal for small or curved surfaces
ShapeAlways squareTypically square, with an L-shaped finder pattern
Error correction capabilitiesUp to 30% (manually selectable)Up to 30% (automatically adjusted)
Common use casesMarketing, payments, logistics, and product manualsElectronics, aerospace, food packaging, and manufacturing
CustomizationHighly customizable (colors, logos, frames)Minimal customization
Scanner compatibilitySmartphone-friendlyRequires industrial scanners in some cases

Maximum data capacity

When it comes to storing data, QR Codes have the upper hand. They can hold up to 4,296 alphanumeric characters, making them ideal for complex applications like URLs, product manuals, payment details, or multimedia content.

By contrast, Data Matrix Codes top out at around 2,335 alphanumeric characters. While that’s still substantial, their smaller capacity limits their use to more compact, straightforward data, like serial numbers, part identifiers, or production details.

Size efficiency

Despite having a smaller data capacity, Data Matrix Codes are more space-efficient. They can store data in a tighter grid, making them ideal for small or curved surfaces, such as electronic components, circuit boards, or medical devices.

QR Codes require more physical space as data volume increases. Their module structure expands more noticeably with each additional character, making them better suited for packaging, posters, and larger labels.

Shape

Both QR Codes and Data Matrix Codes appear as square 2D codes, but their design has subtle differences.

QR Codes use three distinctive square markers in three corners to help scanners quickly detect and align the code. This is part of what enables fast omnidirectional scanning.

Data Matrix Codes, feature an L-shaped “finder pattern” along the left and bottom sides. This allows for alignment, especially on very small or curved surfaces, but they don’t offer the same visual recognizability as QR Codes.

From a branding and design standpoint, QR Codes are more visually distinctive, while Data Matrix Codes are optimized for compact, technical environments.

Error correction

QR Codes and Data Matrix Codes feature built-in error correction that helps ensure readability, even if part of the code is damaged or obscured. They can recover data with up to 30% of the code missing or corrupted.

The difference lies in control: QR Codes let you manually select the error correction level (ranging from 7% to 30%), allowing for a balance between data capacity and durability based on your needs.

In contrast, Data Matrix Codes automatically adjust their error correction level depending on the size of the code and the amount of stored data, optimizing protection without requiring user input.

Common use cases

QR Codes are now ubiquitous in marketing, retail, and customer engagement. Their versatility makes them perfect for:

  • Contactless payments

  • Product packaging with rich multimedia

  • Event ticketing and boarding passes

  • Digital business cards and menus

Data Matrix Codes, meanwhile, are the workhorses of the industrial and manufacturing sectors. Their small footprint and high-reliability suit:

  • Labeling tiny electronics and medical devices

  • Aerospace and automotive parts tracking

  • Food product dating and packaging compliance

QR Codes are the consumer-facing, flexible option, while Data Matrix Codes are the go-to for precise industrial labeling.

Customization

QR Codes offer extensive customization options that make them visually appealing and brand-friendly. You can:

  • Change colors and gradients

  • Add logos or icons

  • Use frames and calls-to-action

This makes QR Codes ideal for marketing materials where design matters.

Data Matrix Codes prioritize functionality over aesthetics. Their dense pixel pattern and strict structural rules limit customization, focusing on reliable scanning in challenging environments.

Scanner compatibility

QR Codes have broad scanner compatibility. Smartphone users can scan them directly through their native camera apps. For iPhone users, scanning a QR Code with iOS is easy since no additional app is needed—just open the camera, point it at the code, and access the content.

There are also dozens of dedicated QR Code scanner apps available for added functionality, such as scan history or bulk scanning, making QR Codes extremely accessible for consumers and businesses.

Smartphone cameras don’t natively support Data Matrix Codes. While some third-party apps can scan them, they’re primarily intended for industrial scanners, especially when applied to small parts, curved surfaces, or laser-marked items.

6 reasons QR Codes are better than Data Matrix Codes

While Data Matrix Codes and QR Codes sound quite similar, the number of applications QR Codes have extends far beyond those of Data Matrix Codes. Here’s why QR Codes are a better choice for most businesses: 

Better product inventory management

QR Codes have reshaped inventory management by offering greater flexibility and data capacity than Data Matrix Codes. They can store detailed product info, track assets, and link to external resources, making them a smart fit for modern supply chain systems.

Using a batch QR Code generator, you can quickly create large volumes of QR Codes and customize them with specific information, like product manuals, which are especially useful for employees. Embedding rating QR Codes on product labels makes it easier for customers to leave valuable feedback.

Best of all, no special scanners are needed. Most inventory systems already support QR Codes, and a smartphone is all it takes to scan them.As the industry shifts toward a universal “2D barcode” standard, many consumer packaged goods (CPG) and retail companies are replacing older formats with QR Codes to unlock more dynamic, flexible data capabilities.

QR Codes on skinON product packaging
QR Codes work perfectly for product inventory management

Flexible uses for business and marketing

If you’re looking for more than just basic inventory tracking, different types of QR Codes give you far more flexibility than Data Matrix Codes ever could. That’s why QR Codes have become such a powerful tool in modern marketing and operations. You can use them to:

  • Direct customers to your business page.

  • Share all your social media profiles in one place.

  • Link to video tutorials, image galleries, or audio files.

  • Enable one-tap event registration or contact saving.

QR Code on a real estate agent's business card prompting people to scan and get to know the company
A QR Code on a print business card can connect to a business page

In contrast, Data Matrix Codes are typically used for tracking and managing internal product data.

Let’s say you want to enhance your product packaging with more than just a label. A Video QR Code on the side of a juicer box, for example, can link directly to a tutorial on how to use it, creating a smoother post-purchase experience. The same approach works internally, too, helping employees learn how a product works through a quick scan.

QR Coe on a home juicer product package prompting the buyer to scan and watch the product tutorial
A video tutorial for a product becomes easy to access with a Video QR Code

Unlimited size options

QR Codes are not limited in size, unlike Data Matrix QR Codes. As mentioned above, Data Matrix Codes are used to label smaller products, but QR Codes can be made as large as you need—you can even put a QR Code on a billboard ad. 

There’s no QR Code size limit. You only need to remember that they must be large enough and have high enough image quality to be scanned from a distance.

QR Code on a financial company's billboard ad prompting people to scan and follow their social media
An example of a QR Code on a billboard ad to be scanned from far away

Easy marketing campaign tracking

QR Codes are the obvious choice for combining product packaging with marketing campaigns, thanks to QR Code tracking capabilities. When choosing between a Static vs. Dynamic QR Codes, the dynamic option enables tracking important scan metrics like time, location (by city or country), device type, and unique versus total scans.

These insights support marketing strategies and can enhance QR Codes for asset management by providing data on product movement and interaction throughout the supply chain.

Visual representation of the different scan metrics available with QR Code Generator — scans by time, device, country, and city
An overview of QR Code scan tracking data

If you want to go pro with QR Code marketing, you can even integrate QR Code campaigns with Google Analytics and monitor everything from a customer’s first QR Code scan to their final purchase.

Full-scale customization

QR Codes won’t clash with your design. They can be styled to match almost anything, unlike Data Matrix Codes.

You can use a custom QR Code frame with an editable call-to-action (CTA), branded colors, edge styles, and a logo in the middle to make your marketing materials cohesive.

Even better, the content you show on your QR Code display page (such as colors, links, videos, images, or even contact details) is also customizable. You can download QR Codes in four different image file formats (JPG, PNG, SVG, and EPS), giving you complete control over how they appear in your designs. All you need to do is download the image and drop it into your layout using any photo editing software.

The QR Code customization panel in a QR Code Generator Pro account
QR Code customization options with QR Code Generator PRO

QR Codes aren’t limited to print materials; they come with an automatically generated (and customizable) short URL. A QR Code short URL is a cleaner and speedier version of the same QR Code content that is clickable, which makes it super easy to use for digital marketing or a combination of print and digital.

Editable after printing

What’s likely the coolest part about QR Codes? You can edit them even after they’ve been printed! If you choose a Dynamic QR Code, you can update your internal display page content and short URL anytime. 

So, if you accidentally include the wrong link or even decide to change the type of content your QR Code leads to, you don’t need to start from scratch. Log in to your QR Code Generator account, make the necessary updates, and save the changes. This feature can save significant time and money across product inventory and marketing campaigns.

Generate QR Codes for all your needs with QR Code Generator PRO

While Data Matrix Codes may look similar to QR Codes, the two are quite different. QR Codes are the superior choice for brands looking to enable a wide range of customer interactions.

You can create QR Codes for virtually any type of content—from PDFs to music files. They’re easy to generate, customize, and share, making them a powerful and cost-effective solution that delivers a more seamless experience for businesses and customers.

Want to see how custom QR Codes can elevate your operations and marketing efforts? Get started with QR Code Generator PRO.

Author
Tobias Funke

Tobias Funke is Bitly’s Vice President of Product. With a background in software engineering, he has a decade of combined experience in product development and the QR Code space. Tobias leads a team that developed one of the most successful and popular QR Code generators available. His entrepreneurial and growth mindset helps build products that continuously disrupt the market. You can connect with Tobias on LinkedIn.

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