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Q&A With Bluefly, Part 2

January 6, 2011 in Barcodes, Mobile Marketing by Peter Langlois | No comments

Last month we spoke with Bluefly’s CMO Bradford Matson on the company’s use of 2D barcodes in the Closet Confessions campaign. Now, Mobile’s Next Big Thing talks to Marty Keane, SVP of e-Commerce about the company’s mobile marketing strategy for 2011.

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2011 Outlook for 2D Barcodes

January 4, 2011 in Barcodes by Peter Langlois | 3 comments

From an overall market perspective, there are two key drivers that are influencing the continued growth of mobile marketing and advertising in 2011 – smart phone adoption and the expansion of 3G/4G networks. Smart phones will continue to proliferate with more consumers owning these devices and using mobile applications. The expansion of 3G and 4G networks is leading to much faster connection speeds and the ability to instantly connect users with content whether it is coupons, videos, or product details.

These two factors are not the only drivers for mobile marketing but will contribute to the adoption of 2D barcodes on an accelerated path. With this in mind, here’s a look at where we see the 2D barcode industry heading in 2011:

Shopping

The focus for 2D barcodes will be as much on information and utility as it will be on entertainment and shopping. We’ll see continued use of barcodes for information gathering, but they will also enable more creative marketing, allowing companies to demonstrate how products and services work together in unique ways. We’ll see a significant uptake of barcodes to get people into stores to experience and buy products, as well as an increase in related applications such as grocery store apps and the integration of location-based services and maps. Barcodes offer a unique opportunity for co-op marketing among different brands, as well as between brands and retailers.

Enterprise Adoption

There will be more 2D barcode use in the enterprise. The mobile workforce is driving new enterprise applications that integrate with existing workflow and CRM solutions. 2D barcodes will enable easier access to these applications as well as more effective reporting and tracking. There will also be new uses for 2D barcodes within supply chain management, as 2D barcodes allow for more data than traditional 1D barcodes.

On-Ramp to a Deeper Experience

For brands, 2D barcodes are simply an introduction to the consumer. They offer a call to action that draws consumers in to learn more and allow companies to start conversations and engage in ways that will accelerate ongoing brand engagement and loyalty.

Integrated Mobile Marketing

Other mobile marketing mediums will continue to grow as well and we’ll see more integration of these into single campaigns such as SMS, smart code-based advertising and mobile Web advertising. All of these mobile mediums will work together and each will act as a springboard to another.

Industry Fragmentation

Unfortunately all of this growth and opportunity will lead to more market fragmentation. Due to the richness of the medium, there will be even more applications introduced into the marketing mix. A lack of industry standards and/or open technologies will further fragment the ecosystem and create interoperability and compatibility challenges.

Neustar will continue its work with industry players — brands, retailers, barcode campaign management providers, mobile operators and agencies — to develop a trusted neutral barcode interactive mobile exchange. Working together as a marketplace, we can demonstrate measurable return by creating consumer metrics and an opportunity for aggregate data and analytics that provide a holistic view into the impact of barcodes and associated applications and value added services for the consumer and enterprise markets.

Bringing the marketplace together by providing the opportunity for compatibility, so the solutions become more integrated and seamless, will allow 2D barcodes to become as ubiquitous as SMS. By connecting all players, we can leverage the power of what each player has to offer, enabling 2D barcodes to become the next World Wide Web for mobile advertising.

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2D Barcodes: 2010 Year In Review

December 30, 2010 in Barcodes, Mobile Marketing by Peter Langlois | No comments

As the end of the year quickly approaches, we thought we’d take a look back at how far along 2D barcodes have come over the past year.  There were definitely some memorable 2D barcode campaigns that captured a lot of media attention. Many companies in various industries have embraced the technology and integrated barcodes into their marketing and advertising campaigns.

 

Calvin Klein made headlines in the marketing industry when it replaced provocative photos on billboards across New York City with large barcodes that could be scanned to reveal a 40-second commercial featuring models Lara Stone, “A.J.,” Sid Ellisdon, Grayson Vaughan and Eric Anderson. There was a great story in Mashable on this campaign: “Calvin Klein Jeans Replaces Racy Billboards with QR Codes”

 

At the SXSW Interactive show this past spring, QR codes appeared all over the show’s promotional materials including flyers and postcards as well as on people’ business cards and t-shirts. There was even a QR code on each attendee’s badge for quick access to their contact information.  See the Fast Company article What Business Card? Just Scan My QR Code for more details on this clever use of QR codes.

 

Here’s a look at some of the various industries that have tested this new technology in 2010:

 

Arts & Entertainment (IronMan2, True Blood)

Automobile (Chevy, Mazda)

Education (George Mason University)

Publishing (Washington Post)

Retail (Calvin Klein, Bluefly)

Real Estate (Coldwell Banker)

Sports (Detroit Redwings)

Transportation (American Airlines)

Travel & Tourism (Canadian Tourism Commission)

 

We’ve also seen some interesting recaps of mobile barcode campaigns pop up over the past few weeks:

 

That’s Great!, a blog written by Great! CEO and Ideologist Dan Smigrod, recently listed the Top 101 Major U.S. National Brands Using 2D Barcodes. Among those on the list are Barnes & Noble, Crayola, Coca Cola, Disney, Nike, Nieman Marcus, Mountain Dew, and more.

 

Warbasse Design, the company who brought 2D barcodes to the movie promotion industry with IronMan2, Tron and others, recently released a 2010 Designer QR Codes –  A Year in Review which highlights the company’s campaigns.

 

This year also delivered some initial statistics on the size of the barcode market.  In October ScanBuy reported a 700 percent increase in the use of mobile barcode scans as viewed from its own network, and Microsoft has claimed that more than 2 billion of its TAGS have been printed.

 

While all this activity clearly demonstrates growth, 2D barcodes remain an emerging and nascent technology. Since there are so many companies out there using so many different barcode technologies, it is hard to get an aggregate of the market as a whole.

 

2010 was a great year for 2D barcodes, but we are still not close to widespread adoption. There are still challenges with interoperability, proprietary technologies and an overall lack of awareness among consumers. There needs to be  standardization around barcode readers and symbologies, so there is less confusion for the end user consumer.

 

We expect the growth to continue into 2011 as more marketers embrace mobile tools and technologies and interoperability issues become resolved, and as consumers understand what to do when they see a barcode. Keep an eye out for our 2011 outlook post in early January for more details on where we see the market heading next year.

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Realtors Jumping on the Mobile Barcode Bandwagon

December 16, 2010 in Barcodes by Peter Langlois | No comments

In today’s digital age, there is hardly an industry that is not taking advantage of the new innovative tools and technology available to market their products and services.  The real estate industry is no exception and has experienced a rapid increase in social media use among agents promoting their properties for sale.  For the past few years, thousands of agents have been leveraging social media tools such as Twitter, Facebook, and YouTube to boost their marketing efforts.

Now, many real estate agents have discovered the value of mobile and are incorporating 2D barcodes into their marketing campaigns.  One must look no farther than some recent headlines in real estate to see that 2D barcodes are taking the industry by storm.

The December issue of Realtor Magazine featured the following article on QR codes: “Your ‘Code’ to Mobile Marketing Success.” In November, Arizona Realtor Magazine featured an article on “The 5 Best Ways to Use QR Codes for Real Estate.” And last month Crain’s New York Business wrote about this trend as well: “Residential Brokers Embracing Jazzy Barcodes.”

In addition, 2D barcodes were a hot topic of discussion at the National Association of Realtors convention in November.

There are many different ways that 2D barcodes can be used to help realtors better market their inventory of homes. They can be placed on yard signs so people driving by can scan them and instantly access more details, or on mailers, calendars, business cards and brochures.  Since listing information tends to change on a frequent basis, a huge benefit to using 2D barcodes is that the information can be updated in real-time, so there is no need to keep re-printing updated flyers or brochures if the price terms or other key items change.

Coldwell Banker Residential Brokerage was one of the first realty companies to launch QR codes in their marketing and advertising campaigns.  The QR codes are being used in the company’s corporate ads, home magazines and other marketing material. Additionally, Coldwell Banker plans to work with its 3,300 agents in 58 offices in Northern California to use the codes on their flyers, postcards and for-sale signs.

Some barcode generator companies are even creating special applications for the real estate industry. Clikbrix offers a turnkey solution that links buyers to property details using 2D barcodes and Barcode Realty lets agents create QR codes that can link directly to an MLS listing.

So, the big question is do 2D barcodes sell homes? It may be too early to tell if the use of 2D barcodes is impacting home sales and obviously there are several other factors involved.

However, being able to instantly access listing information from your mobile device could save time and money by letting potential buyers learn more about a property and decide immediately if they are interested or not. 2D barcodes could also be the starting point for the listing, but then allow users to open a session to do things such as make an appointment to view property or run a mortgage calculator.

For now, they are one more powerful marketing tool in a realtor’s tool kit.

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Q&A with Brooks Running Company

December 14, 2010 in Barcodes by Peter Langlois | 3 comments

 
When Brooks Running Company prepared to launch its Ghost 3 running shoe earlier this year, the company embarked upon a widespread mobile barcode campaign. Teaming up with its retail partner, Finish Line, the company placed mobile barcodes on special direct mail pieces sent to customers and also on t-shirts of employees at 600 retail locations.

 

Mobile’s Next Big Thing talked to Dyana Berger, Senior Marketing Programs Manager, at Brooks to learn more. Here’s what she had to say:

MNBT: Why did you decide to use 2D barcodes in the Brooks Ghost 3 campaign?

Berger: 2D barcodes were a perfect medium to help bring our new product the Ghost 3 shoe to life with video.  Often in-store we do not have access to video monitors to play our videos on so this allows the customer a chance to see them on their phone and learn more about the shoe.

MNBT: What kind of response did you get?

Berger: Adoption of this technology is still a bit slow. I feel that some consumers are not sure where their phone information is going so they are less likely to click and send.  We did see that once the sales associate walked them through how it worked, they were more likely to use the 2D barcode.

MNBT: Are you planning to expand the use 2D barcodes for other campaigns?

Berger: Yes, we are planning to start using 2D barcodes in almost all of our in-store print collateral.  It is a technology that is not going away and is becoming more mainstream.  We were excited to be one of the first to use it in the Running Specialty markets.

MNBT: Beyond 2D barcodes, how has the explosion of mobile devices impacting your marketing efforts?

Berger: None to date, but we may start using some programs that help link mobile devices to special offers and customer loyalty.

MNBT: What advice do you have for other companies interested in integrating 2D barcodes into their promotional campaigns?

Berger: Education of the staff is a must — they need to understand how the 2D barcodes work and the benefit behind using them at point of sale.  Once you have the store staff on board, customer adoption will be greater.

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Best Practices for a Successful Mobile Barcode Campaign

December 9, 2010 in Barcodes by Peter Langlois | 2 comments

In many ways 2010 has been a great year for mobile barcodes.  There were lots of new companies offering related services, loads of graphic designers including barcodes in ads, and enough campaigns in the market to learn some practical lessons.  If you’re working on a barcode campaign for the first time, here are some best practices that may help you maximize your results:

Assume your audience has never scanned a barcode

  • Many consumers are still not aware of 2D barcodes or how they work.  Be explicit in your marketing materials and tell them what to do, i.e. “scan the barcode with your camera phone.”
  • Also give them directions for what to do if they don’t have a barcode reader – “visit www.getreader.com on your mobile phone now to download a reader” (or whatever app and app download site you prefer).
  • Another option is to include SMS – so if they don’t have a reader tell them to “text CODE to 24286” (whatever you like, get a free barcode reader, download the retailer’s mobile app, participate in campaign and also get a free reader, etc.)  This response is appropriate to the ad’s purpose but also can provide a link to get a barcode reader, or simply imbed a hypertext link within the mobile site to which they are directed.

Keep the barcode design simple

  • Some brands try too hard to come up with clever designs for their barcodes, but they may only work well with one or two scanner types.
  • Keep it simple and make sure the 2D barcode is able to be scanned by many different readers.
  • Make sure the barcode actually works. This may seem obvious, but you’d be surprised to learn that some companies don’t take the time to test their barcodes. It’s even better if you can do a final scan test on the advertisement before it heads to the printer.

Use a common barcode type

  • Quick Response (QR) and Data Matrix barcodes are the most common and are non-proprietary and built on open source technology.
  • There are other types of 2D barcodes that may work for your needs, so this isn’t a hard fast rule, but there are plenty of readers that recognize QR and Data Matrix codes.  Even notable retailers are building QR readers into their branded mobile apps.

Be mindful of how the barcode will be printed

  • Give explicit instructions to graphic designers and printers so that the printed barcode can be easily scanned and read.
  • Avoid glossy paper or materials as they often create glare or reflections that can make getting a good scan difficult.
  • Consider the size. Renu Mobile, for example, has done a lot of testing on the ideal size of mobile barcodes.  They’ve recommended a minimum barcode size of .85 inch by .85 inch and 100dpi (enlargeable to 300dpi and perhaps more) for the best scans.
  • Test the barcode with several scanners before your ad goes to print.

Ensure a rewarding experience

  • Think about what’s in it for the consumer. If you assume your audience has never scanned before, reward them well for engaging your company in this way.
  • Entertain them or give them something else of value or else it may be a while before you see them scan again.
  • Unless it makes sense for some really good reason, don’t send them to your home page for information.  If you do, make sure the site is optimized for the best viewing on an array of mobile devices.

It only takes one bad experience to turn a consumer off and associate the negative experience with your brand. By implementing these simple best practices, you can avoid some common mistakes and ensure a good experience for the end user that will have them coming back for more.

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Gold Rush for Mobile Barcodes

December 7, 2010 in Barcodes by Peter Langlois | No comments

At the beginning of this year 2D barcodes were gaining momentum in the U.S. and the industry was optimistic about their growth potential. With the explosion of smart phones hitting the market with so many new features built-in, it was only natural that we’d see an increase in mobile applications and services as well.

Fast forward almost 12 months later and we’ve seen an influx of barcodes popping up everywhere — on billboards, in magazines, airports, storefronts, etc. We’ve witnessed a gold rush with brands scrambling to integrate mobile barcodes into their advertising and marketing campaigns making it seem like the  “Wild West”  in the market, where companies are clamoring to grab a piece of this growing market.

Blogger Dan Smigrod, CEO & Ideaologist at Great! recently compiled a list of the top “Must Read” barcode stories of 2010, many of which highlight the explosive growth and various uses of this emerging technology.

While it may seem that everything is full steam ahead, we have a few hurdles to jump before we see mainstream adoption of 2D barcodes and this technology becomes as much a part of our daily lives as SMS or e-mail are today.

First, consumer awareness is still lacking. Many technology early adopters are scanning barcodes, but the average consumer still does not recognize what a 2D barcode is — much less what to do with it.  This will likely change as more smart phones enter the market and as more brands use them in their marketing and advertising campaigns. Yet, it is critical that brands proactively educate consumers on this new technology and how they can use it to get deals or more information on products and services.

Second, interoperability is still an issue and this will become even more evident as the technology continues to grow.  There are so many companies rushing to take advantage of 2D barcodes and many of them are developing proprietary solutions that require consumers to have multiple readers to participate in the various mobile barcode offers. And, as with any new technology, many new players are entering the marketplace every day, which continues to add fragmentation

Lastly, brands need to focus on seamless execution. In the rush to integrate barcodes into their multi-channel campaigns, many brands are making common, costly mistakes such as creating  ineffective barcodes or barcodes that don’t deliver much value add. If the consumer’s first experience is a bad one, they may give up on this technology. Brands sometimes trying to be seen on the cutting edge tend to rush to use a new technology without thinking through the entire process, or how it integrates with their overall strategy

As mobile technology continues to proliferate, companies need to be mindful of how they are integrating it into their campaigns and mobile barcodes are no exception.  The mobile barcode ecosystem needs to come together in a more coordinated, collaborative way to make this technology a success.

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Mobile Barcodes Bring Newspapers and Magazines to Life

December 3, 2010 in Barcodes by Peter Langlois | No comments

In the publishing industry, mobile barcodes offer publishers an easy way to bridge the gap between traditional print mediums and digital media.

A recent Technorati article, “The Print Industry Transformed,” explains how emerging technologies such as QR codes, personalized URLs, variable data printing and web-to-print technologies are creating a “rebirth” of the printing industry.  It highlights how publishers can utilize cross media publishing platforms to offer a more personalized and interactive experience.

Nellymoser, a mobile response firm, conducted a study to understand how 2D barcodes, (QR codes, matrix codes and Microsoft Tags) are being used by advertisers and publishers.  It focused on the top 100 magazines by circulation in the U.S. and specifically issues available on newsstands in September, October and November 2010.

The study found that these codes are used primarily by advertisers (59 percent), although a significant portion is used for editorial content.  In addition, it found that 52 percent of QR codes used in print magazines are connected to videos, while 23 percent direct the reader to an associated website.

While many companies are incorporating mobile barcodes into the ads they place in newspapers and magazines, publishers themselves have also begun integrating mobile barcodes into their own published content. Here are a few recent examples:

The Washington Post has integrated mobile barcodes to offer readers “digital jumps” that help them get from stories in the paper to interactive digital content on their site.

Allure Magazine gave away $725,000 worth of beauty products using Microsoft Tags in its annual Free Stuff issue in August.

Time Magazine incorporated 2D barcodes for the promotion of its TimeFrames project which, when scanned, led readers to additional content online.

A slew of other publications are featuring ads that contain QR codes including: Bloomberg Businessweek, Esquire, Fortune, Time Magazine, Vogue, and many more.  In fact, it would be hard to find a major magazine or newspaper today that does not contain a QR code either within the content of the publication or in an advertisement.

While some people are convinced of the demise of print media, new technologies such as mobile barcodes offer a way to make both their advertising and editorial more relevant and targeted. This helps breathe new life into their content while offering readers a more rich and interactive experience.

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User Experience Key to Creating a Strong Brand Image

December 1, 2010 in Mobile Marketing by Peter Langlois | No comments

Building a strong brand begins with building a strong product. Last week, Wikipedia founder Jimmy Wales talked with Fast Company about this in colorful terms – he thinks the key to success is “making things that don’t suck.”

For all the time, effort and money it takes to build a strong brand, it only takes one bad experience to damage your brand image. In today’s always-on world, the importance of ensuring a strong consumer experience is magnified by the user’s ability to instantly trash your brand online if they are unhappy.

In addition to having good products and services, brands need to make sure the experiences surrounding their brand are enjoyable as well.

Let’s talk about mobile barcodes in this context. As more brands integrate these into their marketing and advertising campaigns, they are putting trust into the campaign manager’s ability to ensure a seamless consumer experience.

If you create a mobile barcode campaign and the result of the scan does not take the consumer where it is supposed to, they will blame the brand.  This happened to Macy’s when they placed an ad in Lucky Magazine that featured a mobile barcode. Unfortunately, when people scanned the code, nothing happened. The reason: Macy’s had planned to link the barcode to a promotional video, but the ad ran before the video was ready.

Additionally, if you create a campaign that doesn’t provide some kind of value as an end result, your brand will suffer as well.  Consumers want instant gratification, especially with mobile. If they invest the time and effort to scan a barcode, it had better work AND deliver something of value, be it a coupon, discount, video with more information, etc.

Around this time last year Esquire Magazine featured a mobile barcode on its front cover and they also appeared in several ads through the magazine. One ad in particular, for an Etro wool blazer takes you to a page on Esquire’s site where you can view pictures of Etro’s Winter 2010 fashion show. It doesn’t offer any information about the blazer itself, or any incentive for the consumer to take action, such as a coupon, or where or how they could buy. In this case, interacting with Etro’s brand delivered no end value-add for the consumer.

With Neustar’s clearinghouse approach to mobile barcodes, we can ensure a high level of trust, loyalty, and quality assurance for brands. We enable all members of the mobile ecosystem to work together, thereby creating a more seamless consumer experience. Also, the clearinghouse model allows for brands to control the user experience of when and where they want to take consumers based on their campaign goals and the shelf life of the codes in the wild.

When it comes to integrating a mobile barcode campaign, don’t get so caught up in the creative side that you forget about ensuring a good consumer experience. Ask yourself, what is in it for the consumer? Why would they want to scan your codes?

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It’s a Mobile Holiday Season for Retailers

November 23, 2010 in Barcodes, Mobile Marketing by Peter Langlois | 3 comments

You don’t need to look far to see that mobile retail is all the rage this holiday season.  A recent Wall Street Journal article” “Retailers Look to Mobile to Help Boost Holiday Sales,” states that “Mobile commerce sales in the U.S. will grow to $3.7 billion this year, with most of the buying coming in the holiday season, according to a study by ABI Research, which tracks the eCommerce industry.”

The reason is simple — consumers are starting to recognize the power of their mobile devices not only to search the Web and take photos, but also to research and buy products.  According to the National Retail Federation, “more than one-fourth of Americans who have a smartphone will use their mobile device to shop for gifts, compare prices and research products (or read reviews, buy merchandise, find nearby stores…the opportunities are truly endless).”

There are many benefits of integrating mobile into your marketing and advertising campaigns. In addition to boosting sales, mobile opens opportunities for up-sell and cross-sell, increases customer loyalty, gives consumers access to more detailed product information, and can draw customers into your store.

This  year we are seeing more use of mobile barcodes in retailers’ holiday promotional campaigns. There are some interesting mobile barcode campaigns and shopping applications popping up already this year from big brands.

Here are a few examples of companies that are integrating mobile tactics this holiday season:

Sears has added QR codes to the print edition of its holiday Wish Book catalog that, when scanned, lead the consumer to additional product information and videos.

Target is also incorporating QR codes into its Holiday Toy Catalog with product information, videos and the opportunity to purchase items in the catalog directly from your mobile device.

Toys R Us has launched a mobile coupon campaign that sends mobile alerts to customers who want to visit ‘Toys R Us’ and shop with exclusive discounts.

Amazon.com is targeting in-store shoppers with its barcode scanner application that lets consumers compare in-store prices with Amazon.com and then allows them to purchase the item on the spot.

The key for mass adoption of mobile barcodes is going to be the interoperability of all these different technologies. Consumers will want to be able to scan these codes and they work — not worry about the technology behind it, or if they have the right application on their phone. The mobile barcode ecosystems needs to work together to get to the point that codes can be scanned and resolved no matter what app or scanner the consumer is using.

Will you be heading to the stores or will you turn to your mobile device to shop this holiday season? Let us know what mobile campaigns you are seeing out in the marketplace and what your experience is like with today’s mobile-powered shopping solutions.

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