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Creative QR code uses that are transforming business


Johannesburg, 25 Nov 2020

When they first entered the scene in the mid-1990s, QR codes were viewed as a creative and quirky way to drive customer actions. QR codes are printed on paper, or displayed on screens, and can be scanned by anyone with a smartphone. However, their simplicity and their slow adoption in the West has led to them being viewed as relics of a bygone age.

Do QR codes still have valid business uses these days? It turns out they do, especially amid the social distancing standards of the pandemic. Here are four ways in which they're being used to enhance business operations, from supply chain tracking to personalised gift services.

Contactless payments

Contactless payment technology has made rapid strides in the developing world, and due to the COVID-19 pandemic, the need for smart payment solutions has increased. QR codes are at the forefront of the contactless payment revolution. In a 2019 report, Mckinsey & Company noted that the shift away from cash towards digital channels accelerated and that this trend will only gain momentum.

QR codes simplify payments in places where accessing cash is difficult. For example, the app MPesa in Kenya allows people to pay for goods and services by scanning a QR code. Retail stores that would have had to ordinarily deal with cash storage and point of sale management now simply display a QR code that their customers can scan.

Once the code is scanned, the payments app can identify the merchant’s user account, which is essentially asking for the payment, and the customer's account is debited as soon as the user confirms. Simultaneously, cash is credited to the merchant's account. To withdraw money, users connect their bank accounts to the app and can withdraw funds at any time.

Apps such as MPesa, Alipay in China, and PayTM in India allow people to pay for everyday expenses using QR codes. As a result, the local economy witnesses a higher proliferation of services, as well as the birth of creative ones.

For example, QR codes have now made it easy for hairdressers and spas to offer home services. In the past, payment would have posed problems. With QR codes tied to mobile wallets, anything can be delivered to a customer's doorstep.

Supply chain monitoring

Supply chain companies are a key driver of the global economy. Everything from food, medicine and toys passes through the supply chain. Some goods are more fragile than others and demand greater attention.

For example, healthcare products are extremely sensitive to temperature, light and vibration during transport. Cartridges of insulin need to be stored between 36F and 46F during transport, and the drug becomes ineffective if conditions deviate from this range. Transportation boxes typically have myriad number of sensors to monitor every aspect of the condition of goods within them.

Transmitting these data to control centres has always posed a challenge. However, Logmore, a Finnish start-up, has created a solution involving LCD screens that display dynamic QR codes mounted on loggers. At every step of the supply chain, all an employee needs to do is scan the code with a smartphone. Data is instantly transmitted to Logmore’s database, quality assurance is rendered transparent, and teams can react quickly to changes in the condition of their goods.

Compared to other ways of pulling data from logistics condition loggers, QR codes make a lot of sense. RFID requires expensive “black box” scanner systems, and USB devices are known to involve security risks. Best of all, QR codes are highly resistant to damage and can bear the wear and tear of international shipping. Customers can now track the progress of their goods throughout the entire supply chain, right from processing to doorstep delivery.

Recognising how easy they are to use, the European Union has passed laws that require the use of QR codes on medicinal packaging. Consumers can scan the code on their medicinal purchases and receive information on their origins. As a result, they're at no risk of consuming unsafe or fraudulent products.

Personalised gifts

The festive season towards the end of the year is the most profitable one for retailers. Gifts can be highly personal purchases, and gifters love customising their purchases and delivery methods. This poses a problem for retailers, however, since it's impossible to design on-demand gifting and delivery options for every one of their customers.

QR codes help simplify delivery customisation. JC Penney was one of the first retailers to offer this service. A gifter would purchase a "Santa Tag", which was a card containing a QR code. They'd scan the code and could leave a personalised greeting for the person they were buying the gift for.

The QR code would be stuck to the gift’s wrapping. On receiving the gift, the recipient could scan the QR code and receive the gifter's message. They could even respond to the message via text within the JC Penney's gift app.

The greeting card industry also uses QR codes for customisation. For example, you can create a mixtape playlist, save it as a QR code and paste it into an online greeting card. The recipient can scan the QR code and will be directed to your playlist instantly.

Digitising print media

In the rush of digital advertising, print media has been left behind. The biggest knock against print media is that results and consumer experiences can't be tracked. For example, if you post an ad in a newspaper, you can't know how many people have read your ad and how they responded to it. Digital platforms track every aspect of user behaviour, and marketers now consider analytics as standard.

QR codes have helped bring print advertising into the digital age. Companies can embed QR codes in their print ads. Viewers scan these codes, and once they're on a digital platform, their behaviour can be tracked.

This means print media is still a viable way of reaching customers and tracking their progress through a sales funnel.

Low-tech but elegant and futuristic.

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