QR Codes Live!

In marketing, QR codes have been the butt of jokes for years. The funky little splotches that showed up in advertising on everything from magazines to transit buses were supposed to revolutionize the way people find out information about products and services.

Except that … QR codes never lived up to the hype.

While a few advertisers stuck with QR codes doggedly, for the most part we saw fewer and fewer of them after their first initial years of splash.

But now, QR codes are making a comeback. It turns out that they’ve become central to mobile marketing tactics.

We’re talking about QR couponing, which is exploding.  Newly published estimates by Juniper Research, a digital marketing consulting firm, show that nearly 1.3 billion coded coupons were redeemed via mobile devices in 2017.

Moreover, Juniper is forecasting that the number of coupons with QR codes being redeemed via mobile devices will continue strong at least through 2022.

A big reason for the sharp increase in use is built-in QR functionality on smartphones – led by Apple which has begun including QR reader functionality as part of the camera application on its new iPhones.

This action takes away a huge barrier that once confronted users. The lack of in-built readers meant that consumers had to download a separate QR code scanner app.

We know from experience that one more action step like that is often the difference between market adoption and market avoidance.

But with that hurdle out of the way, major retailers are starting to take advantage of the more favorable playing field by finding more uses of QR code technology. Target for one has announced a new Q code-based payments system to scan offers directly to their device-stored payment cards, which can be scanned at checkout for instant payment.

Expect similar activity in loyalty cards, making their redemption easier for everyone.

The newly revived fortunes of QR codes remind us that sometimes there are second acts for MarComm tactics and technology – and maybe it happens more often than we expect.

QR Codes Go Ghoulish

QR Code on HeadstoneIt’s no secret that QR (“quick response”) codes, the Japanese communications tech import, have had a difficult time taking off here in the United States. It’s a topic I’ve blogged about before. 

Indeed, it seems that marketing people are more attached to them than anyone else.

And why wouldn’t marketers be excited? It’s yet another way to engage audiences “in the moment” and enable them to head over to a landing page on impulse to take an immediate action … or at least to find out more information.

But a mix of things – lack of complete smartphone penetration, lack of QR-enabling software on mobile devices, ignorance of how QR codes operate, or just plain laziness – have conspired to keep QR engagement levels far below what marketers were hoping.

But hope springs eternal. And now we even see the QR spirit rising in the grave marker business.

That is correct: At least four monument companies in the United States are now offering QR code services as part of the grave markers they’re preparing for families of deceased loved ones.

And the QR codes look just like you’d expect: one of those square splotch-marks, affixed prominently to the headstone. So now gravesite visitors can point their smartphone at the headstone and immediately pull up a biography, pictures, or even videos of the dear, departed soul.

One of the companies offering QR service is Katzman Monument Company, a Minnesota-based company that conducts its business completely online.

“It’s a chance for future generations to make a connection with a loved one,” company head Norm Taple reported to the Minneapolis Star-Tribune newspaper. “There’s no emotional connection when all you can look at is a headstone – probably a dirty headstone at that.”

Part of the fun is the person who maintains the login code for the deceased’s online information. While anyone can access information on the deceased via a smartphone, only that one person can edit the information … and he or she can do so at any time.

Want to beef up Grandpa’s legacy by having him graduating from Harvard as opposed to Haverford? Done in a flash.

Looking to spice up Great Aunt Emma’s early dramatic career by having her being a burlesque showgirl in Chicago? Just a couple keystrokes and it’s now in her official biography.

Kidding aside, it’ll be interesting to see if this latest manifestation of QR code technology is more successful than the other attempts to force-feed them to the public.

My hunch tells me … it’s doubtful.

(Still) Seeking the Sweet Spot with QR Codes

QR codesI’ve blogged before about how QR codes – those splotchy icons at which someone can point their mobile device and be taken to a website for product information, a coupon or some other type of content – seem to be having difficulty becoming accepted by the mainstream of U.S. consumers.

And now we have yet more evidence to suggest that QR codes may never achieve the level of potential that marketers have hoped for them.

Youth marketing and esearch firm Archrival give us the latest clues as to the lack of adoption we’re seeing when it comes to QR codes. Here are two key findings from a survey it conducted among 500+ students at 24 American college campuses in late 2011:

 Although ~80% of respondents owned a smartphone and claimed to have come in contact with QR codes, only ~21% were actually able to successfully scan the QR code example that was presented in the Archrival’s survey.

 Three out of four respondents reported that they’d be “unlikely” to scan even one QR code in the future.

What’s the problem? Archrival uncovered a number of hurdles when it comes to QR codes. Several of them could be classified as “deal breakers” in the overall scope of things:

 Many survey respondents did not realize that a third-party app needs to be activated in order to scan a QR code. They mistakenly assume that it can be activated with their camera.

 Other respondents believe that the QR code-reading process is too lengthy and cumbersome.

And on a more fundamental level, doubts are being expressed about the value or usefulness of the web landing pages that are promoted via the QR codes.

What we may be witnessing is a dynamic that’s similar in some respects to what happened with CD-ROMs about a decade ago. There was once a boomlet of CD-ROMs being sent via mail to consumer and B-to-B customers. CDs were viewed as a great way to provide extensive rich content that was difficult to download and expensive to print traditionally.

But because the tool was “one step removed” (it needed to be loaded into a desktop computer in order to be viewed), the rate of interaction with these CDs turned out to be abysmal.

Similarly with QR codes, first there’s the need to possess a smartphone with a barcode scanning app installed. Once properly equipped, people then need to take the time to find and launch the app on their mobile device before pointing the camera at the QR code.

For many in today’s “instant gratification” world, taking those extra steps, however simple, may be a bridge too far.

What’s the Very Latest with Consumers and How They’re Using QR Codes?

Scanning a QR code with a smartphoneI’ve written before about QR (quick response) codes and how they’re viewed as a marketer’s dream.

What can be better than the ability for consumers to point-and-click their smartphones for instant access to product details, a coupon or other information … without them having to type in a web address?

But it’s been observed that U.S. consumers are a bit more reticent to use them compared to their Japanese counterparts (where QR codes got their start).

And a July 2011 survey of ~500 adult social media users conducted by research firm Lab42 (Chicago, IL) found that nearly 60% of the respondents were not familiar with QR codes. Furthermore, only ~13% of the respondents were able to use a QR code when prompted to do so in the research, suggesting that many of those saying they were familiar with QR codes may never have actually used them — or maybe only experimented with them once or twice.

But now that some time has elapsed since QR codes have made their debut in America, we have access to field research to help us understand how U.S. consumers are actually interacting with them.

The data comes in the form of a new MobiLens study by comScore, which has found that ~14 million mobile users in the U.S. scanned a QR code on their “smart” mobile device at least once during June 2011.

That figure represents ~6% of the total mobile audience over the age of 13. Not a big percentage, but considering that smartphones still represent only a minority of all mobile phones in circulation (just shy of 40%), it shows that use of QR codes is happening to some degree.

And what are the demographic characteristics of QR code users? According to comScore, they’re more likely to be male (~61% of the code scanning audience) … they definitely skew younger (~53% are between the ages of 18 and 34) … and they’re more likely to be upper-income folks (~36% have household incomes of $100,000+).

What are the most popular sources of scanned QR codes? The study shows that this skews more toward “traditional” media: magazines and newspapers:

 Printed magazines or newspapers: ~49% of the QR code audience
 Product packaging: ~35%
 Websites on a PC: ~27%
 Posters, flyers or kiosks: ~24%
 Business cards or sales brochures: ~13%
 Storefronts: ~13%
 Television: ~12%

I got a chuckle out of the fact that QR codes published on websites receive so many scans … it would seem to me that if someone is already sitting at a desktop or laptop computer, what’s the point of scanning a QR code into a smartphone? But I’m sure people have their reasons.

And where are people situated when they’re scanning a QR code? To hear many marketers tell it, they’re most excited about placing QR codes on billboards or in other public paces. But comScore has found out that most people are scanning QR codes not while “out and about” … but when sitting at home:

 Scanning QR codes at home: ~58% of the QR code audience
 … At a retail store: ~39%
 … At the grocery store: ~25%
 … At work: ~20%
 … Outside, or when using public transit: ~13%
 … In a restaurant: ~8%

If you’re interested in reviewing additional findings from the comScore MobiLens study, you can find them here. Because of the “newness and novelty” of QR codes in the American market, not doubt comScore will be returning to this research topic regularly to chart how consumer behaviors continue to evolve over time.