Feasibility Study

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‘Feasibility Study on QR Codes’

Sherin LeeJuly 22, 2011

TABLE OF CONTENTS

1 HISTORY OF QR CODES......................................................................................................1

2 APPLICATIONS...................................................................................................................1

3 USAGE OF QR CODES IN JAPAN.........................................................................................6

4 CASE STUDIES....................................................................................................................7

4.1 COCAL COLA JAPAN..........................................................................................................................74.2 KAO...............................................................................................................................................84.3 GOOGLE.....................................................................................................................................10

5 NEW DEVELOPMENTS......................................................................................................10

6 HISTORY OF QR/ZAPCODES IN SINGAPORE......................................................................12

7 CASE STUDIES-SINGAPORE..............................................................................................12

7.1 COKE..........................................................................................................................................137.2 G2000........................................................................................................................................31

8 COSTINGS........................................................................................................................29

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1 History of QR Codes

Quick Response Code (or QR code) was created in 1994 by Denso Wave, a subsidiary of Toyota,

to track parts across the manufacturing process. It is essentially a 2-D or 3-D barcode that can be

scan by a smart phone’s camera or QR reader loaded on the phone. Online Information is then

transferred to the user.

Driven by a range of innovative marketing campaigns that are utilizing QR codes, QR codes begin

to branch out to other commercial use in print/mobile platforms to transmit information online.

The QR code is especially popular in Asian countries such as Japan and Korea. A single QR code

can hold about the same information as 2 SMSes as long as it is ASCII. User can create a QR code

to share a website, email address, business card or a very long text message.

Most marketing campaigns uses QR codes to display mobile website URL’s, mobile newsletters,

promotions or simply to drive traffic to website. Besides marketing campaigns, there are also

various commercial uses of QR codes.

2 Application of QR Codes

There are various ways through which QR codes can be implemented. The following are some of

the ways QR codes are being applied:

1) Stationary Order System

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How it works:

A customer scans the QR quote on the catalogue and the order is send immediately to the

wholesaler.

Merit of using QR Code:

-Improve the efficiency of the ordering system

2) Commuter Bus Pass Renewal

How it works:

-When one needs to renew their bus pass, all they need to do is to present their old bus pass

where the QR code will store all their particulars. There is no need to re-filled in the

applications.

Merit of using QR Code

Prompt and efficient service for commuter pass renewal.

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3) Passenger Management System

How it works:

-Passenger hand over the tickets when they board the ship/plane. QR code on the ticket

stored all the particulars of the passenger. Queue time is shortened as crew did not check

passengers’ passports as QR quote on the ticket will match with the data in the system.

Airlines/cruise operator can also use QR quote (linking to system) to check instantly which

passenger has not checked in.

Merit of using QR Code

-Shorter Queuing time

-On time passenger management

4) Patient Identification in Hospitals

How it works:

-QR code containing patient’s name/ward number/bed number etc are printed on patient’s

wristband to ensure patient gets the right medication and treatment.

Merit of using QR Code

-Improve “accuracy” of service and medicine rendered.

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3 Usage of QR quotes in Japan

QR quotes are very commonly used in Japan. QR codes are very popular in Japan for the

following reasons:

- Several characteristics superior to linear bar codes: much higher data density, support Kanji/Chinese character, etc.

- It can be used by anybody free of charge as Denso has released the patent into the public domain.

- Data structure standard is not prerequisite for current usages.

- Most mobile phones in Japan are equipped with cameras that enable reading of QR

Codes can access Internet addresses automatically by simply reading a URL encoded in

the QR Code.

Some of the applications of QR quotes in Japan are the following:

- Large scale QR Codes on buildings to enable users to use mobile phone to scan the QR Code to retrieve information about the companies that are operating inside the buildings.

- Mobile phones are used to scan the QR Code on the packaging of fruits or vegetables to retrieve information about the name of the farm from which the fruits and vegetables are grown and harvested, fertilizers and insecticide used. The QR Codes on the food packages when scanned will also enable consumers to download information on cooking recipes.

- QR Codes for location based services on maps in the Tokyo subway and central bus stations. Passengers can use their mobile phones to scan the QR Code to find out the arrival time of the next bus.

- ePayment using mobile phone and QR Code printed on the bills.

- Mobile phone and QR Code for payment of tickets for Trains and Airlines services.

- QR Code for TV programme guides using mobile phone to view the programme captured

in QR Code.

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- QR Code for restaurants: The Japan Restaurant search site displays a QR Code for each

restaurant to indicate its location and its famous dishes when the QR Code is scanned by

a mobile phone

4 Case Studies

4.1 Coca Cola Japan

Coca Cola Japan ran a sampling Campaign in 2009 for their New Sokenbi Tea. Customers are

invited to scan and download the QR quote which will act as “coupon” for free redemption of

the new Sokenbi Tea. It is limited to 100,000 redemption.

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To redeem the free tea, all one need to do is to scan the QR code at any coca cola vending

machines. Vending machines in Japan comes with camera and you can pay at the vending

machines via mobile phones.

4.2 Kao

Kao uses QR quotes extensively in many areas:

1) Sampling-Information

QR codes are used on Kao sample packs to provide information of the particular sample.

2) Product Usage Information

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Customers can scan the QR code to get ingredients listing, usage, weight and many other

information on the pack.

3) Category information-Household tips/Sensitive Skin

A) Household Tips

B) Sensitive Skin Information

Kao expanded the usage to allow customers to access information like tips and strengthen their

position in the category by positioning themselves are the expert in the related industry.

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4.3 Google

Google ran a campaign in 2009 utilizing QR code. It is mainly to promote their local business

listings (tag to their famous google maps function). QR codes are printed as window stickers and

distributed to the most searched for 100,000 business. Visitors to the stores can access

information like reviews, promotion coupons, information, contact details etc of the particular

store. Apps like barcode scanner and quick mark would need to be downloaded to read the QR

code.

5 New Developments

QR Codes no longer just act as a functional role in providing online information for marketing

campaigns and other commercial use. The aesthetics of QR codes are also evaluated from a

branding aspect and call for a more “attractive” factor to draw attention and encourage scanning

of the QR code.

Some of the examples below:

a) Louis Vuitton

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b) Marc Jacobs

For its launch of Japan limited edition fashion line, Marc Jacobs placed a very visible QR

code in its seasonal magazine as a call to action to scan the QR code. Such magazines are

often packed together with a free bag (which add tremendous value to the magazine as it

is touted as a branded (in this case marc Jacobs) bag) to encourage pick up rate.

c) Times magazines

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d) On the cover of magazine

5 History of QR code/Zap code in Singapore

In 2007, SPH (Singapore Press Holdings) brings in Zap Code which is a technology that allows

mobile handsets to access information from the internet.

Zap code is a colourful looking code where users need only to point the camera on their mobile

phones at a zap code icon and click. ColourCam, a free award-winning software, would need to

be downloaded to read and deciphers the Zapcode in order to trigger the sending of data back

to the device.

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The Zap code can be zapped from more than 5 metres away and at low resolution. It can be

applied in many ways: news paper advertisements, t-shirts, name cards, posters, billboards,

lamp post, bus panels and even as a tattoo on the skin.

Zap code did not picked up despite all the awareness campaign. One possible reason is due to

the extra effort needed to download the zap code reader.

QR codes were not done in any marketing campaign in Singapore until very recently. The effect

is still yet to be seen.

5.1 SPH

To publicize the Zapcode technology, SPH as a leading news paper publisher runs a series of

teaser ads in 4 of their leading papers- Straits Times, Zaobao, New Paper and My Paper. Readers

who “zap” the code stands to win mobile phones which were given out weekly.

SPH also team up with Epson, Philips and Infocus to launch an interactive billboard in downtown

orchard road.

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5.2 Coca Cola Singapore-Zap Code

Coke ran a “zap for happiness” campaign in 2009. Zap code is printed on the cans and users can

access free wall paper, ring tones via that.

5.3 G2000-QR Code

G2000, a fashion retailer, launched very recently a promotion whereby users are invited to scan

the QR code for special promotion deals.

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6 Costings

QR code is literally free as it can be generated easily online. Some sites that one can generate QR

code are:

http://qrcode.kaywa.com/

http://www.terryburton.co.uk/barcodewriter/generator/

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The only cost that one will have to take into consideration is the cost to optimise website. As

information linked from the QR code will lead one to the web portal, it is good to ensure that

one’s website is viewed nicely on one’s mobile (ideally a mobile version of the website should be

generated). Moreover, various microsites or promotion pages will need to be created with the

different QR codes generated. For example if one wants to input product information for their

products, a product information page needs to be in place.

QR code is just a medium to direct users to the on line information intended. Hence it is

important to view QR code as a mean and not a way to drive successful marketing campaigns.