Monday 16 April 2012

Good ideas needed for NFC

Disappointing reports last week for NFC technology (see this post for more detail on what NFC is all about).

Even the slightly dubious sample group amassed by Clear channel wasn't taken by the technology, with competitors faring much better (amongst those that had actually used it). Of greater concern is the lack of broader awareness and new users due to very few initiatives utilising the technology.

Last winter saw a big push from Blippar in particular whose association with the Metro newspaper and a number of prominent retailers including the likes of Tesco increased the awareness of the technology. Results are thin on the ground highlighting the small numbers that are interacting through such platforms and as such, spending money educating consumers on what to do is not something brands are interested in. This lack of awareness is one of two key barriers for consumers in activating content and services through the likes of QR codes, and image recognition platforms such as Blippar, the second is the software download required in the first place.

As more and more handsets benefit from built in NFC technology and consumer confidence grows in regard to online and mobile transactions, it seems that NFC could break through into the mainstream. So why the delay? Legal issues of ownership of data have arisen in the states last year and the Google wallet trial has taken time to gain momentum as you'd expect with any new technology. Recently announced support from MIT may help to encourage that momentum with the introduction of their 'NFC app developer'.

 and with MIT making NFC app development easier for everyone, the momentum may begin to

In the UK, without Google wallet, the technology needs good ideas and brave brands to showcase it. The digital space has always provided a great user experience in which consumers can engage with a brand, but changing behaviour in the physical world can often be much harder to encourage due to these digital 'conversations' taking place a long way from the point of purchase - a gap that's now been bridged by smartphones (which in the UK are now nudging 50% penetration across all mobile users).

Similar to the approach of Blippar last year, we need some stand out examples that raise awareness of NFC amongst the primary audience, showcase the potential through a great idea and highlight the effectiveness through measurable performance over time. Only then will brands begin to consider an approach that works for them, particularly if that remit falls between a number of different departments from marketing to sales to product development.

So why not approach an airport retailer about delivering entertaining content to shoppers looking to fill time? Or partner with clubs or fanzines to deliver exclusive behind the scenes news to football fans when attending the match and buying their programmes in the ground? Or speed up daily routines such as buying a coffee at Costa, especially in a train staion? Or paying for the parking meter in Westminster? Developers or agencies that can showcase the technology in an inspiring manner will be the key to consumer uptake and an excited industry, so let's hope that in 2012 we can move on from 'free coupon at a bus stop' trials and give the consumer something that really improves their experience.



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