2012

[QR CODES ]

as productivity tools

While the technology of QR Codes is relatively new in the Indian market, it has certain merits that can make it a great tool to be employed for carrying our marketing activities, both for a mid-size and a large-size company. However, as with any other technology caution has to be exercised at every step as stepping overboard may be fraught with a negative impact as well.

TABLE OF CONTENTS
Preface ....................................................................................................................................................................................... 2 What are Barcodes .................................................................................................................................................................... 3 Types of Barcodes ...................................................................................................................................................................... 3 Background of QR Code Development ...................................................................................................................................... 4 CHARACTERISTICS OF THE QR CODE .......................................................................................................................................... 5 a) All-Direction (360) High-Speed Reading ...................................................................................................................... 5 b) Resistant to Distorted Symbols ..................................................................................................................................... 5 c) Data Restoration Functionality (Resistant to Smudged or Damaged Symbols) ............................................................. 6 d) Linking Functionality of the Symbols ............................................................................................................................ 6 e) Masking Process............................................................................................................................................................ 7 f) The Confidentiality of the Code ..................................................................................................................................... 7 g) Direct Marking .............................................................................................................................................................. 7 THE QR CODE STRUCTURE ......................................................................................................................................................... 8 a) Finder Pattern ............................................................................................................................................................... 8 b) Alignment Pattern......................................................................................................................................................... 8 c) Timing Pattern ............................................................................................................................................................... 8 d) Quiet Zone .................................................................................................................................................................... 8 e) Data Area ...................................................................................................................................................................... 8 Avoid mistakes ........................................................................................................................................................................... 9 Integration of QR codes in routine Salesmen Life
(Implix, 2011)

.................................................................................................... 10

QR for List Building .......................................................................................................................................................... 11 QR codes on printed sign up forms ................................................................................................................................. 11 QR sign ups via incoming mail ......................................................................................................................................... 12 QR codes on digital sign up forms ................................................................................................................................... 12 QR for Campaigns ........................................................................................................................................................... 12 QR for Information Sharing ............................................................................................................................................. 13 QR Codes for Email Marketers: Getting Started. ..................................................................................................................... 14 How to create QR codes for your campaigns. ..................................................................................................................... 14 Tips on QR Code Creation. ....................................................................................................................................................... 14 Firms Best Positioned to Leverage QR Codes .......................................................................................................................... 15 When QR Codes Do Not Make Sense....................................................................................................................................... 17 Competing Standards Lose Out ............................................................................................................................................... 17 Concluding Remarks ................................................................................................................................................................ 19 Bibliography ............................................................................................................................................................................. 19

PREFACE
As I sat in my office, reflecting on the bevy of activities taking place in the organisation after the new managing director had taken over, the pace of activities seemed to be hectic. The end goal was to be many things at the same time, viz. a data driven company, a high performance driven company, a well-informed company, a bestin-class employer, a destination company; besides others. This wall all a part of our India Growth Plan, well known in our circles as IGP, the end goal of which to achieve a total turnover of 100 Million USD in 2016 from the current 35 Million USD in 2012. The sales force was to be quadrupled from the current 125 to around 400. Professionalism in all spheres of activities had to be beefed up. Investments were flowing in from the parent company, as India being part of the BRIC countries had demonstrated that, besides China, it could be the one of the engine of growth that the global company was looking for. The company was growing globally at around 4-5% and India had emerged the fastest growing country in the world clocking an impressive 28% growth in 2011. The only way to achieve the 100 million USD mark was by transforming into a lean and mean machine. In the last six months, the company had starting implementing many packages at the same time, which included, naming a few: DIS (Distributor Inventory System) CRM (Customer Relationships Management) HPMS (High Performance Management System) CBT (Computer Based Training Programs) SA2 (Sales Accelerator Tool)

With the exception of the HPMS, which was to be used by the management to assess each employee individually for Sales Force Efficiency, SFE), all others were to empower the sales force and the frontline managers, to keep them abreast with information and training, both for themselves and their customers. The motto of the company was all information at all times with you for an informed decision and rapid response time. As all these processes were highly technologically driven, it would have been ill sufficed if the sales representatives had no access to latest technology. As such, the company deliberated and funded high technology for the frontline sales personnel and managers with the latest technology gadgets i.e. an Apple iPAD each and a smartphone in the shape of a RIM Blackberry. The first lot of 50 iPADS and BB were distributed this week itself to around 27 new joiners, their 19 mentors and 4 product managers. Discussing yesterday with a few of the new joiners, one question that they asked got me thinking: How does the company expect us to do so many things simultaneously? We will drown in this glut of technology. This was precisely the point I was thinking of at this moment. I had decided to look for some options that could make their life a bit easy, automate some actions and make them feel comfortable with technology. I started jotting down the most common activities that a frontline sales personnel has to perform routinely. Some points that I had scribbled on my notepad read as: a) Sharing information with old and new customers on the companys offerings with the help of brochures, videos, references, Evidence based marketing tools. b) Undertaking other communication activities like emails with customers c) Keeping track of targets and achievements through a centralised database. Accessing the database on a daily basis.

d) Updating HPMS database on a daily basis e) Keeping track of distributor inventory; f) Besides others Yesterday, I had started looking for various options that could help the salesman leverage all the above without adding any more gadgets to his repertoire. After much search for options, I decided to make use of BARCODES as my research had let to some interesting findings. But, which one to use? Will any type of barcode serve my purpose? What are the different options available? How can I make use of them to the advantage of my company?

WHAT ARE BARCODES

A barcode is an optical machine-readable representation of data relating to the object to which it is attached. Originally barcodes represented data by varying the widths and spacing of parallel lines, and may be referred to as linear or one-dimensional (1D). Later they evolved into rectangles, dots, hexagons and other geometric patterns in two dimensions (2D). Although 2D systems use a variety of symbols, they are generally referred to as barcodes as well. Barcodes originally were scanned by special optical scanners called barcode readers; later, scanners and interpretive software became available on devices including desktop printers and smartphones. The first use of barcodes was to label railroad cars, but they were not commercially successful until they were used to automate supermarket checkout systems, a task for which they have become almost universal. Their use has spread to many other tasks that are generically referred to as automatic identification and data capture (AIDC). The very first scanning of the now ubiquitous Universal Product Code (UPC) barcode was on a (Fox, 2011) pack of Wrigley Company chewing gum in June 1974.

TYPES OF BARCODES
There are basically two types of barcodes, the linear ones, as we observe in our daily lives and popularly known as Barcodes; the QR Codes and the RFID codes. These are all systems for conveying large amounts of data in a small format. They offer speed, labor savings and cost savings, among other benefits. But there are distinct differences between all 3 and differences in the purposes they are best suited for. QR codes (pictured below) are similar in one sense to bar codes, in that they contain information which can be read by a QR code reader.

https://sites.google.com/site/csbaggafms/

QR codes can be scanned and read by a camera-equipped smartphone when youve downloaded a scanner app, such as i-nigma for the iPhone. What this means is that the average person can now de-code (read) a QR code, without special equipment. You could walk into a place of business, see a QR code on an item, scan it with your smartphone, and immediately have access to a lot of information electronically. QR codes have been around for years. But in the last 12 months Ive seen usage skyrocket among entrepreneurs as mobile usages has grown. QR Codes are well suited for marketing purposes, among other uses. For example, now it is becoming more common to receive business cards with QR Codes on them. That

way, you get access to a lot more information than can fit on a small card. For instance, you might hand out business cards at an event containing a QR code that leads people to a Web page with a special offer for attendees. Or the QR Code on a business card might contain a V-card (digital business card) that you can save without having to manually input the card information. Or you might give out schwag such as a coffee mug, imprinted with a QR code where someone can find out more information about your company. Or how about imprinting a QR Code on one of those pop-up banners when exhibiting at your next trade show? Attendees can scan your companys information by holding their smartphones up to the banner so you dont have to shell out for expensive printed materials and they dont (Campbell, 2011) have to lug that entire heavy paper home on the plane. So, as my salesmen could all work with QR codes after downloading a small QR Reader into their smartphones and iPADs, I decided to give it a try. But how do these QR codes work? How are they made up? How expensive will it be to implement the project? These were a few questions in my for which I set forth to get an answer.

BACKGROUND OF QR CODE DEVELOPMENT

In 1970, IBM developed UPC symbols consisting of 13 digits of numbers to enable automatic input into computers. These UPC symbols are still widely used for Point-Of-Sale (POS) system. In 1974, Code 39 which can encode (symbolise) approx. 30 digits of alphanumeric characters was developed. Then in the early 1980s, multistaged symbol codes where approx. 100 digits of characters can be stored such as Code 16K and Code 49 were developed. As informatisation rapidly developed in the recent years, requests had mounted for symbols which can store more information and represent languages other than English. To enable this, a symbol with even higher density than multistaged symbols was required. As a result, QR Code, which can contain 7,000 digits of characters at maximum including Kanji characters (Chinese characters used in Japan) was developed in 1994. The history until realising high-capacity and high-density symbols can be described as illustrated in Figure 1. when seeing them from the technologys aspect. Firstly, Interleaved 2 of 5 and Codabar which can encode (symbolise) numbers were developed, followed by the development of Code 39 which can encode alphanumerical characters. Along with the informatisation developments, it had become necessary to have full ASCII encoded, and this resulted in the development of Code 128. Then, multistaged symbols were developed where these linear symbols were arranged in several stages. Toyota Motors Kanban Code is the worlds first multistaged symbol. As computers became popular, these codes developed into multi-row symbols where multistaged codes were extended and into matrix symbols where data were arranged in matrix. The printing area for matrix symbols is the smallest among all, and is seen as highly prospective as the main symbol for the future. QR Code is a matrix symbol which has been developed as the one enabling all of high capacity PDF417, high density printing of data matrix, and high speed reading of maxi code based on the research made on their characteristics. Two-dimensional symbols generally contain much more data amount when compared with linear symbols (approx. 100 times more), and therefore require much longer data processing time and more complex process. Therefore, QR Code has had much consideration for its finder pattern to enable high-speed (Soon, 2008) reading.

Fig. 1 The History of Symbols

CHARACTERISTICS OF THE QR CODE

Additional to the characteristics for two-dimensional symbols such as large volume data (7,089 numerical characters at maximum), high-density recording (approx. 100 times higher in density than linear symbols), and high-speed reading, QR Code has other superiority in both performance and functionalities aspects.
A) ALL-D IRECTION (360) H IGH-SPEED READING

Reading matrix symbols will be implemented by using a CCD sensor (area sensor). The data of the scan line captured by the sensor will be stored into the memory. Then, by using the software, the details will be analysed, finder patterns identified, and the position/size/angle of the symbol detected, and the decoding process will be implemented. Traditional two-dimensional symbols used to take much time for detecting the position/angle/size of the symbol, and had a problem that their readings were less accurate when compared with those of linear symbols. QR Code has finder patterns for notifying the position of the symbol arranged in three of its corners to enable high-speed reading in all directions (360). The ratio between black and white among the scan line that runs through the finder patterns is always 1:1:3:1:1 when seen from any direction among the 360surrounding it. By detecting this specific ratio, the finder pattern can be detected from among the image captured by the CCD sensor to identify the position of the QR Code in a short period of time. Additionally, by identifying the positional relationships of the three finder patterns listed in Figure 5 from among the image field of the CCD sensor, the size (L), the angle (!), and the outer shape of the symbol can be simultaneously detected. By arranging the finder patterns into the three corners of the symbol, the decoding speed of the QR Code can be made 20 times faster than that of other matrix symbols. Additionally, detecting finder patterns can be easily implemented by the hardware, and can also be accelerated.

B) RESISTANT TO D ISTORTED SYMBOLS

Symbols often get distorted when attached onto a curved surface or by the reader being tilted (angled between the CCD sensor face and the symbol face). To correct this distortion, QR Code has alignment patterns arranged with a regular interval within the range of the symbol. The variance between the centre position of the alignment pattern estimated from the outer shape of the symbol and the actual centre position of the

alignment pattern will be calculated to have the mappings (for identifying the centre position of each cell) corrected. This will make the distorted linear/ non-linear symbols readable.

C) D ATA RESTORATION FUNCTIONALITY (RESISTANT TO SMUDGED OR D AMAGED SYMBOLS )

QR Code has four different error correction levels (7%, 15%, 25%, and 30% per symbol area). The error correction functionality is implemented according to each of the smudge/damage, and is utilising ReedSolomon code which is highly resistant to burst errors. Reed-Solomon codes are arranged in the QR Code data area. By this error correction functionality, the codes can be read correctly even when they are smudged or damaged up until the error correction level. The error correction level can be configured by the user when he/she creates the symbol. So if the code is highly likely to get smudged in the users usage environment, it is recommended to have 30% set for this correction level.

D ) LINKING FUNCTIONALITY OF THE SYMBOLS

QR Code has a linking functionality which will enable a single symbol to be represented in several symbols by dividing it . A single symbol can be divided into 16 symbols at maximum. The example shown in Figure 8 is one where a single QR Code is divided into four symbols, and each symbol has an indicator showing how many symbols the original symbol had been divided into and in which order that specific symbol would be among all divided ones. This will enable the entire data to be edited and submitted to the computer regardless of what order the symbols had been read by the reader. By this linking functionality, the QR Code will be able to be printed even if the printing space is not wide enough to have a single QR Code printed.

E ) M ASKING PROCESS

By having special patterns to process masking, QR Code is enabled to have black and white cells well arranged in a balanced order. To accurately binalize the data that had been read, it is necessary to arrange the white and black cells in a well-balanced manner. To enable this, EX-OR calculation will be implemented between the data area cell and the mask pattern (template) cell when encoding the stored data and arranging it into the data area. Then, the number of unique patterns existing and the balance between the white cells and the black cells will be assessed against the data area where the calculation had been implemented. There are eight mask patterns. Assessment will be made for each mask pattern, and the mask pattern with the highest assessment result together with the EX-OR calculation result will be stored into the data area.

F) THE C ONFIDENTIALITY OF THE CODE

By making the relationship between the character type and the stored data unique for a special usage, QR Code can be easily encrypted. Unless the conversion table between the character type and the stored data is deciphered, no one will be able to read the QR Code.
G) D IRECT M ARKING

QR Code exerts superior readability even for symbols which are directly marked using laser or dot pin markers. For directly marked symbols, the cell shape does not necessarily have to be square. It can also be circular shape. Even if the white part (with high reflectance) and the black part (with low reflectance) are inverted due to the angle of the illuminating ray, the code can still be read in an accurate manner. It is also possible to read from the back side of the symbol when it is marked upon a transparent material such as glass, etc.

THE QR CODE STRUCTURE

QR Code is a matrix type symbol with a cell structure arranged in a square. It consists of the functionality patterns for making reading easy and the data area where the data is stored. QR Code has finder patterns, alignment patterns, timing patterns, and a quiet zone.

A) FINDER PATTERN

A pattern for detecting the position of the QR Code. By arranging this pattern at the three corners of a symbol, the position, the size, and the angle of the symbol can be detected. This finder pattern consists of a structure which can be detected in all directions (360).
B) ALIGNMENT PATTERN

A pattern for correcting the distortion of the QR Code. It is highly effective for correcting nonlinear distortions. The central coordinate of the alignment pattern will be identified to correct the distortion of the symbol. For this purpose, a black isolated cell is placed in the alignment pattern to make it easier to detect the central coordinate of the alignment pattern.
C) TIMING PATTERN

A pattern for identifying the central coordinate of each cell in the QR Code with black and white patterns arranged alternately. It is used for correcting the central coordinate of the data cell when the symbol is distorted or when there is an error for the cell pitch. It is arranged in both vertical and horizontal directions.
D ) QUIET ZONE

A margin space necessary for reading the QR Code. This quiet zone makes it easier to have the symbol detected from among the image read by the CCD sensor. Four or more cells are necessary for the quiet zone.
E ) D ATA AREA

The QR Code data will be stored (encoded) into the data area. The grey part in the code represents the data area. The data will be encoded into the binary numbers of 0 and 1 based on the encoding rule. The binary numbers of 0 and 1 will be converted into black and white cells and then will be arranged. The data area will have Reed-Solomon codes incorporated for the stored data and the error correction functionality.

AVOID MISTAKES
QR (quick response) codes can be easily integrated into your traditional and online marketing practices and are a great way to leverage the real-time, always-on, anywhere aspects of smartphones to extend your brand and build your business. The fact is, QR codes continue to grow in popularity, spurred on by their ease of use, the rapid growth in smartphone usage, and their potential for solid ROI. However, there appear to be several common mistakes that marketers make, for both businesses and non-profits, when deploying QR codes for promotions. The following 6 mistakes should definitely be avoided, even though they are often times not! 1. Not testing the code Yes, this is obvious. Of course you tested your QR code. But with what devices, what apps, in what settings? Did you use the newest iPhone? An older Android device? The QR code was perfect on the flyer but there was a mistake in the direct mail piece. Did you know? 2. Hiding the QR code A QR code should stand out. Anyone should be able to focus their smartphone on the code, say, snap a picture, and get taken to a video, a website or be provided other information. Surrounding the QR code within lots of text, or including a hyperlink, even if well-meaning, often tends to lead to distracted, disinterested users. Of course, if you think your (likely) users simply wont know what a QR code is, or how to use it, you may wish to include a short URL, for example, as nearly everyone knows that is a link to a website. 3. Leaving them asking for more They saw your ad. Your QR code stands out. The person takes out their smartphones, points it at the QR codeand gets a bunch of generic information. They are disappointed, maybe forever. If you are going to run a QR code campaign, the QR code should be aligned with a promotion, say, or a special deal one that rewards the person taking the time and effort to engage with you. 4. Forgetting the smartphone screen This is an especially common mistake. You should make sure that your QR code links to a website, a video or some other material that is *optimized* for a mobile screen. If you send the user to a website, that website should display nicely within the smartphone. Remember, the user is almost certainly not seated in front of a large PC when they encounter your QR code. 5. Bad packaging Do not make the QR code too small. 1 inch x 1 inch is about the smallest it should appear. Similarly, the code should not be embedded on paper/material that creates glare. You certainly dont want to have your QR code displayed in an area known for lousy mobile web

service! If a passer-by snaps a picture of the QR code, say, and their smartphone cant access the embedded link, you have lost an opportunity to interact with them at the point of presence. 6. Lazy tracking You should work with a partner, such as Fanggle, that helps you understand the effectiveness of your QR code in real-time and by location. Who is seeing your QR code? When? Where? On what medium? What are they doing after visiting your (mobile optimized) website. These are crucial to the success of your campaign. QR codes, when part of a larger marketing strategy, that leverages a smartphone-optimized website, and that avoids many of the common mistakes, can prove a boon to your organization. Embrace them!

INTEGRATION OF QR CODES IN ROUTINE SALESMEN LIFE (I

beneficial:

MPLIX ,

2011)

After looking at the benefits of utilising the QR codes in our daily professional life, I felt that if I adopted the following ways of incorporating QR codes, it could turn out to be greatly

The most common uses of QR codes are for storing addresses and URLs in: Leaflets, brochures, press releases Signage at events, public access, and for sale sites Business cards, promotional items Invoices, receipts, quotes, order forms In-store materials like guest books, pizza boxes, menus, etc. Training materials, CD covers, packaging. any print materials on which you would typically promote your website.

And you dont need a magic decoder ring to unlock the data. Many smartphones come with QR readers today. If not (like Apple), you can download one of several available at the online app store. Here are some of the most popular: OptiScan Kayawa Reader I-nigma BeeTagg NeoReader QuickMark Tap Reader

So anyone with a camera phone equipped with a QR code reader app can scan to: display messages and ads get contact information connect to a wireless network register for a contest or newsletter add your signature or donate to a cause share a pre-composed text message or email open a web page in the phones browser play a YouTube video like a fan page on Facebook, share content on Facebook and Twitter add an event to your calendar and just about anything else you can think of

QR FOR LIST BUILDING

QR codes are a great way to build your subscriber list from sources other than your website and email campaigns. The benefit is that customers can respond immediately and conveniently to your request without having to type, change screens, scroll, or try to remember your website or landing page address. That improves your response rate.

QR CODES ON PRINTED SIGN UP FORMS

If you encode the link to your web form URL, you can put it on any printed promotional materials guest books, leaflets, posters, name tags, giveaways, and tradeshow booth signage. Visitors will be able to use their smartphones to scan the code with the web form URL and sign up on the spot or when its convenient.

Another tradeshow favorite is printing the codes on T-shirts for your team, customers and prospects, so they become walking sign-up forms

QR SIGN UPS VIA INCOMING MAIL

What you do is encode an email message with the address of your campaign and an appropriate subject. When the user scans the code, their mobile email client will open in their smartphone and, once they accept to send the message, they will automatically be added to your campaign. It combines the best of the old and new to make it easy for any skill level.

QR CODES ON DIGITAL SIGN UP FORMS

The code can also be placed on the web form itself (as an image), giving the user the choice of either filling in the fields manually or scanning the code and sending the message. Since this is still a novelty, it might be a good way to build customer engagement, certainly among tech-savvy users. The key is to know if most of your target audience is tech savvy, or still learning, or segment and experiment on trial groups. Capturing this level of QR data also makes it easy for you to send a special welcome email to anyone who signed up via this web form and create special campaigns targeting QR code subscribers.

QR FOR CAMPAIGNS
F OLLOW - UP CAMPAIGNS
Such a campaign could be a dedicated follow-up/autoresponder series available only to those who sign up via a QR code and offering, for example, additional educational content. This could constitute part of a multichannel engagement strategy, and offer another incentive to new subscribers to become customers.

O NLINE TO OFFLINE
You can add the QR code to your newsletters and ask the subscribers to print them out. The QR code may contain a special promo code or coupon which, when scanned in the store, will entitle your subscribers to a special QR discount. Once in the store, customers tend to browse, so QR code promotions are a great way to increase foot traffic and sales. Consumers can also snap a pic of the QR code directly from their mobile screen, store it in their phone, then display it to the person at the checkout counter (who will undoubtedly be impressed).

O FFLINE TO ONLINE
This could also work in reverse. Similar to the tradeshow example, QR coded materials in offline locations, e.g. store windows, checkout counters, can lead visitors to dedicated landing pages, which can have one purpose or change every day, like menus, sales, etc. This is a great way for restaurant owners who want passers-by to be able to see their menus or specials not once, but every day. When a person scans the code, theyll be able to visit the site anytime and check out the daily specials, using the same QR code. It sure beats shuffling through grungy menus in the junk drawer!

SMS AND CONTESTS

Encode a phone number with text or an email with subject and content, and encourage people to scan and send in to win a prize or receive a discount.

N ON - PROFIT FUNDRAISING
Use QR codes to direct people to a page where they can donate directly to your organization or a charity you sponsor. Even when you use it in your email, its much more appealing than a link and, especially with non-profits, engagement is essential! Imagine using it at an event and holding a virtual competition for donations. A good way to promote your CSR activities.

QR FOR INFORMATION S HARING

C USTOMER FEEDBACK
Use a QR code printed on a leaflet, receipt anything a customer gets from you and ask them to rate your products and services. Heres how: Create an online survey and encode the link in your QR code. Then ask the users to answer a couple of questions, rating their experience with your brand. While they fill in the survey, encourage them to sign up for your newsletter. By adding a couple of questions about their preferences or interests, youll be able to segment subscribers and create a customized newsletter for your QR customers.

Mobilize Email Marketing with QR Codes

E XCLUSIVE INFORMATIONAL CONTENT
Link QR codes to exclusive content such as case studies, white papers, or product demos to help drive response rates and sales. Increase the value by segmenting your subscribers by interest, demographics, and purchasing history, for example: Segment a list of high-value subscribers who make larger dollar purchases or buy more often, and reward them with a secret QR code offering an e-book, exclusive sale, or 2-for-1 discount on their favourite items.

QR FOR S ALES AND S ERVICE

A QR code can make it easier for subscribers, customers and prospects to contact your company, for a variety of reasons, some of which may be urgent. If you attach a QR code to the footer of your newsletter, your recipients will be able to add your contact information to their phonebook and call or visit your website without remembering the URL, scrolling or inputting numbers The same method can be used for sales inquiries or customer service, so

this acts as a mobile lead generation or retention tool. Simply encode an email Mobilize Email Marketing with QR Codes addressed directly to your sales department or customer support with an inquiry that will allow your company to reply quickly with answers, a proposal, or assistance. Again, by reducing the sales cycles by hours, or even days, youre increasing profits.

QR CODES FOR EMAIL MARKETERS: GETTING STARTED.

HOW TO CREATE QR CODES FOR YOUR CAMPAIGNS.
There are a number of QR code generators available, you can now also generate the code right within your account. You simply type in the required data and the code is generated automatically. You then save it to your account, so its ready to use it in your mobile marketing and lead gen campaigns. Text type in any text you want to be displayed on the subscribers smartphone after theyve scanned the code the skys the limit, but please make is short; URL paste your website address, landing page, sign up form page, Facebook fan page, online purchase page, request for estimate, or even a Google maps location whatever generates business; Phone number this will save the user typing the digits into their phone now theyll just click to scan and press a button to call you. Use for customer service numbers, sales contacts or any others theyll need they love this; SMS type in a phone number and a predefined text message the user will be able to send it to you with just a click. (If you provide an SMS service just make sure you obtain explicit permission to use the users phone number.) Email type in the address, subject and content of the email. One and done. Vcard Type in your details and the user will be able to add you to their phonebook instantly. Add it to your email signature to provide recipients with contact information for sales reps or support agents.

TIPS ON QR CODE CREATION.

There are virtually no limits to what your QR codes look like, but there are some factors that impact readability by most scanners and mobile devices and thats a major priority! To ensure readability: Use black-and-white codes. If the contrast is too low, the scanning device wont be able to detect the code. The contrast needs to be at least 55%. Leave some empty space around all four edges. Dont encode too many characters or the images will get too complicated for some camera phones to handle. Limit to 60 characters or less.

Always test the code, preferably with a few different applications, phones and light conditions. Pretend youre a customer how does it work for you?

Try these out, as advised above. Be sure the screen of your phone is wiped clean and there is enough light, then launch the application and scan the code then watch for the action the phone wants you to perform. Now you know how it works and can experience your QR campaigns as your audience should.

FIRMS BEST POSITIONED TO LEVERAGE QR CODES

So, the next question that come to my mind was: what has been the experience of other industries in adopting the QR codes? At this point in the Technology Adoption Life Cycle of QR codes, many firms have begun to leverage the technology across many different applications. (the list of massive brands using qr codes, 2008) It remains to be seen which companiesalong with their applicationsmonetize the technology in the best way, but there are several companies that have started to lead the charge in this area. Companies concerned with targeted mobile advertising have and will find QR codes particularly interesting. Starbucks is a prime example of a company that is leveraging QR codes in an innovative way and will benefit from proliferation of the technology. Starbucks had created a mobile application to enable iPhone-carrying coffee drinkers to pay for their favorite drink via an app.
(Kumparak, 2010)

Owners of Starbucks gift

cards enter their card number into the app and then when they are ready to pay the application generates a QR code that is scanned at the point of sale (POS). Users of this application will benefit from not having to carry around (or lose) gift cards and Starbucks will benefit from having more behavioural data about the user that they are bundling in their QR code. This behavioural data is a huge asset for a global company like Starbucks. They now have a mobile application that enables a dynamic way to interact with the consumer and gives them an additional channel to offer targeted advertising. For example, Starbucks has the ability to create customized offers and messages (e.g., time of day, favorite drink, favorite location, etc.) that aim to increase a customers loyalty to Starbucks and overall lifetime value (LTV). The pilot rollout of this project was initially to only 16 stores, but the program has been rolled out, more recently, to over 1,000 stores. And while this represents a very small percentage of their overall stores, the project will move Starbucks along the technology learning curve and put them in a strong position to further take advantage of QR codes as their usage and adoption increases. Also as more consumers become mobile users it offers Starbucks a targeted touch point for product advertising. Consulting companies represent another category of adopters who stand to benefit from the wide spread adoption of QR code technologies. In particular, Paperlinks, a company specializing in a turn-key platform for QR codes, has created an integrated solution for companies that do not wish to, or have, the capabilities to develop an integrated solution on their own.
(Sherman, 2011)

Paperlinks is a hosted solution for what it called context-sensitive

marketing. With this solution, businesses can design their own custom mobile landing page for users to decode their QR codes. Through a set of tools, businesses that use this solution can further add video, contact information, product photos, and even promotional offers to their customers. The QR codes produced with this solution are compatible with any existing QR code reader. Businesses can aggregate customer information and view their analytics in the Paperlinks portal. They offer several packages available for a business. Depending on the number of codes a company would like to generate, and the amount of interface customization a company wishes to pursue, businesses can choose from a set of product offerings that start at $24.95/month for the most basic package. This affordable rate lowers the barrier of entry for any company to begin to use and create QR codes for interacting with their customers and potential customers. A third company with potential to benefit from QR codes as that technology diffuses is a startup company called JumpScan. (Phil, 2011) JumpScan's idea is to link the virtual world to the physical world via QR codesby combining contact information and social media activity in a way that allows for on-the-go sharing. Users sign up and create a personal profile, which is encoded into a QR code. The code directs the QR reader to the person's personal page that contains contact information, social networking feeds (such as Facebook and Twitter), and business information. This page acts as a digitized resume and business card and social media vehicle to connect people with their friends and colleagues. JumpScan also recently announced a service to create custom QR code solution for companies to include on their website.18 JumpScan's custom QR codes and customized web pages are currently free however this QR code customize enterprise service is sure not to be. If JumpScan can create a sufficient installed base then they can surely monetize it with targeted advertising much like Amazon.com does. With enough people using the technology form JumpScan, the business model become a virtuous cycle that scales when more users use the technology and then share it with their friends; and if there are lots of users, companies become interested in advertising; and if the advertising can serve highly-targeted messages that provide more relevant advertising then more people will use the technology; and then more advertisers will advertise in the platform. In the meantime, customized enterprise services offer an interesting revenue opportunity for JumpScan while the virtuous cycle begins to take off. Global companies with brick-and-mortar stores, like Starbucks, who have the foresight to embrace QR codes and find creative ways to integrate the technology into the day-to-day operations of the business (e.g., gift card redemption, payment systems, and customized offers and promotions), will revolutionize the long-term effects of customer loyalty and improve the in-store/POS experience. Similarly, this enhanced customer engagement model can yield valuable returns for consulting companies or other companies who leverage an end-to-end, turn-key technology solution from a company like Paperlinks. And finally, yet another foreseeable wining business model in the QR code landscape is found in the approach JumpScan is taking, which is to embrace the power of the network effects of social interactions to quickly grow an install base and make a meaningful marketplace for advertisers. In each of these winning examples, the continued widespread adoption and use of QR codes becomes more and more of a reality as the adoption of smartphones increases.

WHEN QR CODES DO NOT MAKE SENSE

On the flip side of the analysis is an investigation of firms where the use of QR code technology does not make business sense. Generally speaking, these firms are likely to have customer install bases with low penetration of smartphone adoption. Without demand or need for smartphone mobile devices, these customer groups are prohibited from reading QR codes. Despite the fact that smartphone use is increasing, the reality for some businesses is that their U.S. consumers have not traditionally used technology as part of their everyday lives. Recently published research entitled The Naked Facts: QR Barcode Scanning in H2 2010 by Mobio Identity Systems, Inc., shows that firms that compete in industries that target older (55+), male dominated consumers would likely have a difficult time communicating to their user base through QR codes because of low technology usage penetration. One example of this is the automotive aftermarket, which is an industry that appeals to men, many of whom tend to have a low-income level. These males are likely to have low penetration of smartphone adoption and often look to in-person sources of technical information for advice (i.e., mechanics, friends with maintenance experience, etc.), rather than mobile sources of information. An aftermarket firm with brands like STP gasoline additives, for example, would have a difficult time reaching their consumers in a meaningful way through QR code communication. While there is a chance this could change as smartphone usage becomes more prevalent, todays aftermarket manufacturers are not well positioned to use the technology. Therefore, any firms targeting U.S. consumers that tend to be less reliant on accessing mobile information will not benefit from the advantages of QR codes. In the short- to medium-term, some consumer segments such as older males will be slower to utilize QR code advantages, while other segments with lower levels of smartphone penetration will find little to no benefit at all.

COMPETING STANDARDS LOSE OUT

As with any technology there will be winners and losers. There are many alternatives to QR codes in the marketplace that may become the losers in this space if QR emerges as the leading barcode technology standard. Figure 3 provides a side-by-side comparison of some of the competitors and variations of QR codes.

Figure 3: Competitors and Variations of QR Codes

This graphic paints a picture of the competitive landscape and highlights how QR codes are in the midst of a standards war in the U.S. marketsimilar to the days of the infamous

browser wars. Data Matrix, Microsoft Tag, and EZ Codes, which have received the most attention as technologies in the U.S., are examples of alternatives to QR codes that will be briefly explored here. Data Matrix was developed in 1989 just five years before QR codes. While Data Matrix codes initially developed some momentum, they have some serious shortcomings that QR codes have successfully overcome. First of all, Data Matrix codes can store roughly half the amount of data as QR codes (2,335 alphanumeric characters versus 4,296 for QR codes). Next, Data Matrix codes do not support Kanji (Japanese) character sets, which contributed to the rapid adoption of QR codes in Japan. And while Data Matrix codes are considered more secure due to their encryption standards, the lack of Japanese support early on was the major factors for why QR codes have leaped ahead. In short, these negatives add up to a losing situation for Data Matrix codes. Microsoft is offering their own 2D code to compete with QR codes, which they call Microsoft Tags.19 If QR codes end up as the next generation 2D code of choice then Microsoft will be a loser in this space. Microsoft Tags have advantages and disadvantages as compared to QR codes. One main advantage is that Microsoft Tags include code expiration, which is useful for time-based promotions or coupons. Additionally, the tags can include GPS position information about the scanner, which would send that data back to the publisher for analytics tracking. Furthermore, the tag ecosystem is supported by Microsoft's wide array of technology resources and product offerings related to the digital advertising industry. On the flip side, a major disadvantage of the Microsoft Tag technology is that the user must connect to a Microsoft server and offline usage is not possible with this system. Additionally, as Microsoft inserts a layer of technology tracking between the customer and the publisher, the tags themselves are harder for the readers to decode if they are viewed from an angle. Microsoft is also betting big on their business model and wants to create a multi-sided platform with their Tag technology. While this does offer them great benefits if they are successful, obtaining a sufficient installed base it does not bode well for them if QR codes become the standard. Many mobile phones now come pre-installed with QR codes, which will help accelerate adoption. And currently, a user must manually go to Microsofts site and download the reader to be able to use the Microsoft Tag technology. This dependency should place yet another challenge to increasing Tags installed base. Finally, EZ codes are yet another competing standard that are likely to lose out if QR codes become the standard. EZ codes are similar to Microsoft Tags in that they are proprietary and not in the public domain. QR codes are public and therefore have been put through a certain amount of scrutiny by the technology community. With proprietary codes, the user is held captive by the maker of the code. Only the owner of the code can provide codes and reader applications. This has slowed down the number and proliferation of the code readers, thereby, slowing the diffusion of EZ codes. Codes of this sort are seen only as black boxes as the details are hidden. This represents a business risk for a company who wants to

leverage the technology. For these reasons, EZ Codes will likely end up in the loser category of 2D barcodes.

CONCLUDING REMARKS
QR codes will provide value to firms in many different ways. For an investors point of view, the firms that have a strategic vision and take an innovative approach in using QR code technology will certainly benefit in the long-run. Marketing initiatives that support consumer interaction and the subsequent feedback loop (research and technology) represent a strong value proposition for firms looking to distinguish themselves from competitors. Starbucks is a great example of this approach through their application of QR code technology in overall in-store operations. It will enable them to be a winner in this space. In our context at Covidien Healthcare India Pvt. Ltd., I summarise that in our marketing department, QR codes can, at best, be looked at as a productivity enhancement tool rather than as a productivity tool in itself. However, not adopting a technology like QR code would be equal to losing to a great opportunity that can well provide the company with the first-movers advantage.

BIBLIOGRAPHY
the list of massive brands using qr codes. (2008, July). Retrieved August 25, 2012, from QRe8: http://www.qre8.com/blog/marketing/listmassive-brands-using-qr-codes Campbell, A. (2011, February 21). Tim Berry on business plans. Retrieved August 20, 2012, from smallbiztrends.com: http://smallbiztrends.com/2011/02/qr-codes-barcodes-rfid-difference.html Fox, M. (2011, June 15). Business Day. Retrieved August 19, http://www.nytimes.com/2011/06/16/business/16haberman.html?_r=2&hp 2012, from The Newyork Times:

Implix. (2011). Mobilize Email Marketing with QR Codes. Retrieved August 22, 2012, from Getresponse: www.getresponse.com Kumparak, G. (2010, March 30). Disrupt SF 2012. Retrieved August 25, 2012, from techcrunch.com: http://techcrunch.com/2010/03/30/starbucks-now-letting-you-pay-for-your-coffee-fix-via-iphone-in-1000-target-stores/

Phil. (2011, November 9). Jumpscan. Retrieved August 25, 2012, from CrunchBase: http://www.crunchbase.com/company/jumpscan Sherman, A. (2011, March 1). Gigaom. Retrieved August 25, 2012, from Gigaom: http://gigaom.com/collaboration/paperlinks-launchesbusiness-friendly-qr-code-service/ Soon, T. J. (2008). QR Code. Synthesis Journal 2008, Section Three.