QUICK RESPONSE

CODES:AAKRITI AGARWALABEER NANDRAJOGADITYA KHANNASSCBSDELHI UNIVERSITY

TAKING PHYSICAL ADVERTISINGTO THE VIRTUAL WORLD

QR CODES• 2 Dimensional Bar Codes.• Invented in 1994 by Denso Wave.• Hyperlinks in the form of an image.

THE DREAM MARKETING

TOOL• No costs attached

• Takes consumer experience from the physical to the virtual world.

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Interest

QR Code Action

THE DREAM MARKETING TOOL

• Trackable and measurable.

• Gathers Demographics.

• The ideal mode of consumer communication

• Less intrusive

• More engaging

• Cut costs on Air Time.

PROBLEMS IN THE PRACTICAL WORLD

• 2 prerequisites for a successful use –• Internet connection• QR code scanning app. • Not available in India (especially on mobiles), to a vast

population.

• Another major problem is the incentive given to the user for scanning a code.

• Factors affecting Usage –

• High or low technology self‐efficacy• Perceived ease of use and complexity

•The rich have greater access to internet on their smart phones, and they keep up with the latest technology.

• The size of this niche population in India is still very small and geographically concentrated.

•Inefficient practices in terms of how QR codes are actually used.

• Companies launch QR codes which lead to desktop sites, thus giving the consumer an option to scan a QR code which leads them to a website that is not optimized for the device they use to scan (Smart Phone).

•Lack of standard scanning apparatus may cause problems in the highly conservative Indian market.

• There may be some apps that offer a good scanning experience while others may be less than satisfactory, thus affecting consumer perceptions.

•Moreover, barring a few brands of smart phones, no other ones come with standard scanning apps pre-loaded, hence causing the need for an effort on the part of the consumer which definitely acts as a spoiler.

American cereal producer, Post’s Food, created a web based sitcom for their product Honey Bunches of Oats where QR

codes were the primary distribution vehicle.

Research had indicated that a third of their target audience would be interested in accessing the QR codes and these

codes were therefore printed on 12 million boxes (Zmuda 8).

INSTANCE OF COMMERCIAL

FAILURE

However, when the sitcom episodes of Honey and Joy were released at the end of April 2011, they only attracted at most

358 views, with the most recent episode only being viewed 35 times.

It is arguable that this might have been attributable to the content, as a sitcom based in a cereal factory might not be

appealing to the consumers of their product.

It does clearly display, however, that using QR codes does not guarantee a successful campaign, and that the content

included is still the motivation for access, not the technology used.

Japan is the most tech-savvy country in the world.It is the place where QR codes originated and have been

successful.

They must create something of value for the consumers, or at least the consumers perceive a value.

The use of QR codes has been quite innovative; they have been used in various products for a variety of reasons.

For instance - The way to become a member of a beauty shop is to scan a QR code.

THE JAPAN SCENARIO

With regard to the types of incentives, many people feel that QR code is a convenient way to access the information at anyplace at

any time.

Apparently, the ubiquitous nature of QR codes is a benefit. Hence, quality is another factor in the appeal of QR codes.

Many services ranging from fast food restaurants to newspapers also use QR codes for site registration.

Consumers tended to seek –Free trials

Product samplesBonus membership points

Something which would bring an increase in the perceived value of products or services.

• Coffee offering a give-away, which when opened revealed a QR code inside, which turned out to be a mobile game in

which you can gain points and apply for a specific gift with the points.

• A QR code in front of a restaurant — may even give a discount.

• Asahi.com, a Japanese newspaper, offers a QR discount code for museums entry fee.

•Cosmetic brand Orbis having a QR code which offered 300 yen discount to encourage sales via mobile.

EXAMPLES – SAVING MONEY

• There is a booklet that lists a bunch of QR codes in Family Mart (Japan’s third largest convenience store

chain).

Using their online shops may mean saving money.

• QR-code are used to capture patients’ identification and prescription information from the hospitals to

transfer all data to the pharmacy computer system.

This is an inexpensive way to digitalize the prescription contents.

• QR codes are used to see approaching buses, their location, and estimated arrival time at the stop.

• Some imported wines and beers which usually are not well known in Japan have a QR code printed on the label.

Accessing it gives information about the region and grape producers, brewers etc.

Unless one can access that kind of information, one never knows what kind of liquor is being consumed.

• Nestlé’s chocolate has a QR code which explains the calorific consumption.

EXAMPLES – INFORMATION

• Having Warranty details, Instruction Manuals, and other crucial information on the consumer durables through a QR

Code will be highly useful for both- the retailer and the consumer.

• With counterfeit drugs so rampant it could also be used to act as a replacement for a hologram to verify that the

medicine is genuine.

• Medicines do not have enough space to provide important information like – Drug Interactions, Possible Side Effects etc

but a QR code could greatly help with that.

• Used widely on Business Cards to let prospective employer or client view CV, Testimonials, Social Media Handles, etc.

The LEGO Campaign

The biggest example of QR code success in Europe can be seen with a LEGO campaign by a German toy store

MyToys.de.

3D codes were created out of LEGO. These codes were made to look like pictures, encouraging customers to take a photograph of them with their mobile phone, which would then provide a link to the online shop where they could purchase some LEGO

bricks.

EXAMPLES OF SUCCESS IN OTHER

COUNTRIES

During this 2009 campaign, 49% of visitors to the site came from the QR codes, with the sales of boxes of LEGO

doubling.

A marketing technique which doubles sales for a period of time is surely packing a punch, albeit with correct

implementation.

Requisite technology is widespread in the affluent continent of Europe, and such a campaign would

probably not have many participants in India

Daimler AG

QR codes are also being fitted in Mercedes-Benz automobiles and Smart cars.

Used by the for delivering essential information to emergency services after a road accident.

The Louisiana State Museum in New Orleans

Used a QR code on its front door to tell visitors about its new exhibits.

The code links to the museum's Facebook page, where visitors are encouraged to post their own stories.

FUTURE POSSIBILITIES

• Still Scope, Despite Predicted Downfall.

• Huge potential for B2B communication.

• Contactless Payments

• Integration with Other Gear.

• Potential with Google Glass.

• Onverts

• Giving Way to Augmented Reality

India cannot match Japan in terms of technology, but it is possible that the marketers adopt similar techniques in large

metros to start the life of QR codes in India.

The Japanese have shown remarkable innovation in their marketing strategy by using QR codes in such a variety of

businesses.

There is no dearth of talent in our country, and given the technology, such innovations can come from India.

CONCLUSION

Urban centres like - Delhi, Mumbai, Kolkata, Chennai, and several other major cities boast of a populace

which is technologically advanced than the rest of the country.

This Smartphone wielding population is the target audience for marketers looking for a niche position in

market of large malls.

As the technology to use QR codes becomes more prevalent in other areas, QR codes will play a major role in advertising provided they give value as in the

case of Japan.

REFERENCESElmore, Stephens (2012) The Application of QR Codes in UK Academic Libraries. New Review of Academic Librarianship. Vol. 18 Issue 1, p26-34. http://search.ebscohost.com/login.aspx?direct=true&db=aph&AN=74073376&site=ehost-live

Hawthorne(2012). Deciphering the QR Code Tips for effectively leveraging QR codes in your advertising campaigns. Response. Vol. 20 Issue 6, p44-44.http://search.ebscohost.com/login.aspx?direct=true&db=buh&AN=73151642&site=ehost-live

Jung, Somerstein, Kwon (2012). Should I Scan Or Should I Go? Young Consumers' Motivations For Scanning QR Code Advertising. International Journal of Mobile Marketing, Winter 2012, Vol. 7 Issue 3, Pg 25-37http://search.ebscohost.com/login.aspx?direct=true&db=buh&AN=85961052&site=ehost-live

Lin, Tsai, Tsai (2012) The feasibility of QR-code prescription in Taiwan. Journal of Clinical Pharmacy & Therapeutics. Vol. 37 Issue 6, p643-646http://search.ebscohost.com/login.aspx?direct=true&db=aph&AN=83005573&site=ehost-live

Okazaki, Li, Hirose(2012). Benchmarking the Use of QR Code in Mobile Promotion. Journal of Advertising Research, March 2012, Vol. 52 Issue 1, Pg 102-117http://search.ebscohost.com/login.aspx?direct=true&db=buh&AN=73179672&site=ehost-live

Unknown. (2014) QR Codes Deliver Key Crash Data to Rescue Services. Engineering and Technology Vol. 9 Issue 1, p14-14.http://search.ebscohost.com/login.aspx?direct=true&db=buh&AN=94137715&site=ehost-live

Walker.(2011) Making Best Use of QR Codes: Gleaning Lessons from the Latest Data. Seybold Report: Analyzing Publishing Technologies. Vol. 11 Issue 23, p2-4 http://search.ebscohost.com/login.aspx?direct=true&db=buh&AN=69712607&site=ehost-live

Xue, Li (2008) Creative Use Of QR Codes In Consumer Communication. International Journal of Mobile Marketing, Dec 2008, Vol. 3 Issue 2, Pg 61-67http://search.ebscohost.com/login.aspx?direct=true&db=buh&AN=36666208&site=ehost-live

The Next QR Code: The future of mobile 15/3/2014. http://www.economistgroup.com/leanback/the-next-big-thing/the-next-qr-code-the-future-of-mobile/

Why QR Codes Don't Work. Forbes.com. 8/3/2012, p27.http://search.ebscohost.com/login.aspx?direct=true&db=buh&AN=78400808&site=ehost-live