With an eye toward boosting in-store sales, Canon is testing 2D bar code labels on its printers. Like other brands that have tested 2D or QR codes, Canon is hoping the ever-growing number of smartphone users will scan the codes while in retail stores to retrieve additional product information.
Following a small test, the promotion is running in North America in a number of retail stores, including Best Buy. Knotice, which provides digital marketing software and services, was hired to handle the program, including evaluating bar code format options and developing and rendering corresponding mobile microsites. The firm recommended Microsoft Tag, a free proprietary technology used to create two-dimensional bar codes. Knotice created the tags that were then printed by the Canon marketing group.
The labels are affixed to 13 individual demonstration printer models; when they are scanned by smartphones the codes open the miscrosites, which are rendered dynamically to be compatible with multiple device types.
“Currently, between 90% and 95% of all CE/digital imaging product purchases take place offline in a traditional brick-and-mortar storefront,” said Michael Duffett, ink jet printer marketing senior director, Printer Marketing, Consumer Imaging Group, Canon U.S.A, Inc. “By marrying the best of both the online and offline worlds for customers, we eliminate buyer confusion while ensuring a better fit between customer expectations and the benefits delivered by our Canon products.”
The labels were affixed to display models as opposed to exterior packaging as a way to expedite the promotion.
“Affixing the label to display models has two valuable assets, speed to market and getting that information in front of the shopper at the point of decision,” Bryce Marshall, director of strategic services at Knotice, said.
One hurdle considered is the fact that many people walking by the display won’t have the proper device type to scan the label or may not be familiar with the technology.
According to Nielsen, about 17% of the U.S. mobile population had smartphones in Q2 2009, the most recent statistic available. But Nielsen also projects that smartphones will make up 50% of the mobile market by the end of next year.
To scan the Canon code, a software application must be downloaded to the device. That was one of the reasons Microsoft Tag was selected, the Web site to download the application is very user friendly, Marshall said.
“Anecdotally we understand people who are more technologically savvy will get this process,” Marshall said. “Canon is investing in a long-term solution, somewhat cutting edge technology reinforces their brand position.”
2D bar codes have some measurability, another attraction for marketers. Retailers have largely been the link in the chain that hold all the consumer data—bar codes change the game a bit. Microsoft provides a report on how many tags were scanned and from where geographically. Knotice records page views so it can optimize the content.
“This system gives us a window into the shopping experience in-store that is currently unavailable,” Duffett said. “We can see what information shoppers are considering when making a buying decision”
“This unlocks a lot of capabilities for manufacturers,” Marshall added.
Marshall believes that Microsoft Tag is free because the company understands that brands are trying to gain adoption from both retailers and consumers. A fee would be a hurdle to adoption. But that may not last much longer. Reports are that Microsoft may put fee structures in place this year.
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