Posts Tagged ‘Technology’

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The One and Only Question Facing Sears

Tuesday, January 3rd, 2012

By Doug Stephens

Amid the sounds of tearing gift wrap and popping champagne corks, ailing giant Sears Holdings Corp. announced over the holidays its intent to close as many as 120 stores.  This of course, came as little surprise to the industry that has witnessed the slow motion train wreck that Sears has become over the last several years.  The company has desperately been throwing a variety of ideas against the wall in the hope that something sticks.  So, far nothing has.

Yesterday Bloomberg news quoted Sears Chief Executive Officer Lou D’Ambrosio as saying that a combination of more technology and physical store improvements would help to put the retailer back on track and that Sears has to get better at delivering what its customers want across multiple platforms.  Mr. D’Ambrosio by the way, came to Sear’s by way of companies like Avaya and IBM, so he’s clearly no lightweight in discussions around technology.

Few would argue with the idea that Sears lags technologically or that its stores are dingy and dilapidated.   Even fewer would dispute the truth that Sears has to execute across multiple channels to be successful – that’s just table-stakes in today’s industry.

When tactics are mistaken for strategy

The problem I have with Lou D’Ambrosio’s thinking is that I believe Sears real problems are far more fundamental and critical.  In fact, I would argue that both the lagging technology and shoddy store conditions at Sears stores are symptoms of a far more deadly syndrome and one that goes to the very root of the company.  In my opinion what’s killing Sears is a complete and utter lack of clear and forward-looking vision.  No one has created a cogently articulated picture of what the Sears of the future looks like.  No one has made a promise to consumers about delivering something remarkable or uniquely valuable.

It’s a classic example of a business mistaking tactics for strategy.  Last year the “strategy” was licensing store space to Sear’s vendors.  This year it’s renovations and technology.  Who knows what will it be next week, month or year.   Certainly not the store staffer responsible for representing the brand to the consumer.  And therein lies the problem.  Sears has lost all sense of brand essence and purpose.

The one and only question

Frankly, there’s  only one question that the leadership at Sears needs to answer.  “What can Sears offer the world that the world can’t get somewhere else?”  The answer to that one question becomes the cornerstone for the entire strategy going forward. It becomes the prime occupation of every Sears employee – from Mr. D’Ambrosio down.  The answer to that question is all that matters.

If the answer is “nothing”, then there’s no technology or store renovation plan on earth that will save Sears.

 

 

 

 

 

 

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Posted in Marketing, Store Experience, Strategy, Technology, The Future

The Manufacture it Yourself Economy

Tuesday, November 8th, 2011

By Doug Stephens

Technology has given rise to a steady evolution whereby consumers are increasingly becoming producers. Music, publishing, printing, design, software development, and video are only a few of the areas that have been touched by this rapid transformation.   With it has come massive economic disruption as entire industries, like the printing industry for example, have felt the effects of the “pro-sumer” movement. But what if we could take it a step further and move from being mere producers of data, media and content to becoming manufacturers of actual physical products?

Imagine a world where we can quite effortlessly produce many of the household items we need on a daily basis, such as tools, household accessories, toys etc., What if many of these things could be manufactured in the comfort of our own home.  Imagine having the ability to create the things we need, as we need them, one at a time in any design we prefer.

Items created using 3D printing technology

Now, what if I told you that what I just described is not only possible, but that by 2020 it could be commonplace?

Welcome to the world of 3-D printing.

3D printers create objects by stacking layers of material – often metal or plastics – onto one another in the form of the desired object.  Designs are based on three dimensional digital models that can be created using simple and accessible software.

Originally used by manufacturers to build expensive prototypes, the technology is quickly scaling down in affordability with commercial grade 3D printers available on the market for as little as $15,000.00 and a low-end desktop unit for as little as $1,200.00.  And while that might still sound like a pretty steep price tag, consider that the first Sony Betamax retailed for well over $1,000.00 in 1975 dollars, a price seen as prohibitive by many consumers at the time.

While the widespread household use of 3D printing could take a while to catch on, it’s fascinating to consider the radical impact such a change could have on our economy and the manufacturing in general.  How many items that we rely on a supply chain of businesses to produce, could simply be made as needed by consumers themselves?

It’s also fascinating to think about how this technology could be used by children for play and education.  Could 3D printing be the 21st century version of the chemistry set or Lego kit?

Here’s a video with more on 3D printing technology and it’s potential to change our lives.

[youtube]http://www.youtube.com/watch?v=Q-uhoww_W_I[/youtube]

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Posted in Technology, The Future, Trends

How Not to Survive the Future

Wednesday, October 12th, 2011

By Doug Stephens

Today I came across this ad from the United States Postal Service.  They’ve adopted a self-preservation strategy that attempts to convince us that snail-mail’s low tech nature is actually preferable to digital communication because it offers protection from viruses and hackers. “An online virus has never attacked a cork board.” the voiceover says.  Isn’t that a little like saying  a horse would be better than a car because a horse never runs out of gas?

The ultimate goal of the campaign appears to be to convince rational adults who run real-world companies that sending paper statements to their customers makes more sense than digital billing and that customers actually prefer mail!

This is the best the USPS could come up with?  This is the strategy that will assure them their rightful place in the future?

[youtube]http://www.youtube.com/watch?v=oysFmSVzCnM[/youtube]

Unfortunately, this sort of reaction to imminent obsolescence isn’t unusual.  For example, instead of innovating, the record industry chose to simply sue individuals for downloading music.  Instead of innovating, Blockbuster merely tinkered with late fees on DVD’s. Instead of innovating, book publishers and sellers tried to convince digital readers that they were somehow betraying the sanctity of the written word by using a Kindle.  In the process, they all wasted precious time and energy that could have been dedicated to real innovation and reinvention – things that might have saved them.

Don’t get me wrong, I’m not suggesting that reinventing a company, a business model, or an entire industry, for that matter, is easy or even possible, in all cases.  There are some notably successful reinventions however; brands like Hyundai, Apple, HP and Gucci are just a few that come to mind.  Many more, of course, have faded into obscurity despite their best efforts.  There are no guarantees.

What is absolutely certain though, is that deception, scare tactics and tinkering don’t cut it when you’re being annihilated by devastatingly disruptive technology.  You have no choice but to innovate aggressively and radically to create a new and relevant proposition.  You have to find a remarkable reason for existing.

So, if your company ever finds itself behind the eight ball and someone at your agency suggests a campaign like this one from the USPS, fire them.  Then sit down and start the difficult but exhilarating work of innovating.

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Posted in Advertising, Strategy, Technology, The Future, Trends

The Declining Need for and Escalating Value of Human Service

Sunday, September 18th, 2011

By Doug Stephens

Technology has been steadily reducing the number of human service interactions we require in an average day. For at least the last decade, the list of what we as consumers can do for ourselves is growing rapidly.   Between kiosks, web based solutions and mobile apps, most routine customer service functions (product knowledge, price checks, inventory inquiries etc.) are now completely do-it-yourself.

With this “self-serve revolution” in place, it’s easy to regard human, person-to-person service as a somewhat archaic commodity for which the market value must be dropping.  I’ve actually heard retail executives say as much, inferring that customer service people have become merely low value cogs in the machine.  Not only do I completely disagree, but I’d go so far as to say that any company that adopts this attitude is making a colossal and potentially fatal mistake.

There’s no app for empathy

What technology has done is to automate the most routine and repetitive customer service tasks; the real mind numbing stuff that deserved to be mechanized.  What is hasn’t done (at least not yet) is automate advanced problem solving skills, empathy and likeability.  Hence, customer service as we know it, is evolving to become less about functional skills and more about cognitive reasoning and emotional intelligence – the really hard stuff!

Technology hasn’t lowered the value of personal service, it’s raised it.  As the need for personal, human service declines, its value in circumstances where it is required becomes exponentially higher!  It’s precisely because we can do so much ourselves that when we encounter something we can’t, it’s literally jarring.  Consequently, the stakes are immediately higher.  These are situations where the customer has already reviewed your frequently asked questions board, called your automated help line and read your user’s manual.  They’ve made every attempt to solve their own problem – all to no avail.  The only remaining option is to call an expert who can help.  The human being they call or visit at your business is the last and most vital stopping block between your customer and your competitor’s doorstep.

Moments of Truth

A great example of a company that gets this concept is Zappos. 75% of Zappos sales are transacted without any interference from a human being – all totally systematized.  Most businesses would invest proportionately in the side of the business that generates the majority of sales – the automated 75%.  And yet, Zappos puts incredible emphasis on the hiring, training and compensation of the people who respond to the 25% of sales that do require personal service.  The rationale is simple; the 25% personal sales are regarded as do-or-die moments of truth when the system won’t cut it and when the customer needs the brand to truly perform.  These are the sales that create memorable experiences and word of mouth.  To skimp on talent at these most pivotal circumstances discredits the entire brand.

The best analogy I’ve heard is that the role of the customer service person today is much like that of an airline pilot.  The pilot is not paid to fly the plane – that’s almost completely done by the autopilot system.  Rather, the pilot is paid to be there in the critical moment when the system fails.

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Posted in Customer Service, Strategy, Technology, The Future, Trends

Avoiding Your Napster Moment

Wednesday, June 29th, 2011

In a previous post I talked about how companies are often blind-sided by what I call Napster moments.  Napster moments are radical, game-changing innovations that can throw businesses and even entire industries, into oblivion.

I also promised a list of things, that from my experience and research, companies should do to reduce the odds of falling victim to these Napster moments.  Observe most highly successful contemporary companies and chances are you’ll spot some, if not all, of these behaviors.

Here they are, in no particular order:

1. Think radically

Successful companies unlock opportunities by questioning their industries’ most sacred paradigms and throwing conventional wisdom out the window. Apple stores for example, were engineered on the premise that store employees would not try to sell anything.  Rather, their goal was simply to help customers solve problems and relieve their computing pain.  The outcome of this non-selling approach was enormous trust on the part of customers who, in the process, felt more comfortable spending their money (and lots of it) with Apple.  In other words, while other retailers were pushing discounts, staff incentives and tired old selling-skills training, Apple was breaking the first cardinal rule of retail and encouraging their staff not to sell.   Apple’s radical approach to retail resulted in some of the highest sales per square foot statistics in retail history.

2. Innovate in a non-linear way

What made Napster so disruptive to the music industry was its non-linear nature.  It wasn’t simply an incremental and predictable improvement on the industry’s sales and distribution model.   It was a complete rethinking of the way music was packaged, sold and consumed.  Napster didn’t merely improve on current technology – it eradicated it completely.  Non-linear innovation often combines seemingly unrelated things to bring entirely new product and service alternatives to market.  They are more difficult to develop but can create enormous competitive distance if successful.  Vibram, for example, took a non-linear approach to innovation with their “five fingers” shoe design.  While other running shoe makers were focusing on incremental improvements in cushioning, support and design, Vibram conceived a shoe that instead fits like a glove, allowing for a unique barefoot running experience.This is not to imply that incremental improvement has no place in your plans.  What I am suggesting is that if you focus solely on linear product modifications and extensions, you will not last long.

3. Get your head out of your association

Most industry associations have a mandate to make their members stronger and smarter but often fall short because they’re inherently risk averse.  Ideally, they should be trolling the dark waters for the horrible, disruptive things their members might not like, but really need to confront.  However, in many cases they tend not to, for fear of upsetting their membership and losing revenue.  So, while they should be champions of breaking down the status quo, they often do just the opposite, because it’s the status quo that pays the dues. It’s vital that companies not rely on their industry associations as their sole source of perspective and insight.  Instead, create out-of-industry alliances to exchange ideas and attend unique non-industry conferences.  Do whatever is necessary to find out what’s happening beyond the walls of your own industry.

4. Stop listening to your customers

If you build only what your customers ask for, your products and services are certain to be mediocre and cheap.  As Henry Ford said, “If I’d asked my customers what they wanted, they’d have said “a faster horse”.”  Don’t focus effort on building what your customers say they want –they don’t have a clue.  Build what they need but don’t know yet that they need it.  This means confronting the real issues with your product, service or industry and then hiring really smart people to create brilliant and often unconventional solutions.  If you must, hold focus groups to see what consumers think of your new products – not to find out what they think your new products should be.

5. Aggressively pursue your own obsolescence

I know it sounds like suicide but bear with me for a minute.  All business models have a lifespan yet very few businesses actually plan for their demise – for the day when what they sell or do is no longer necessary.  Fewer still actually attempt to disrupt their own model.  But here’s the thing… If you control the obsolescence of your own product or service model, you are by definition the one best positioned to own the new model – at least for a while.   Blockbuster Video, for example, had a chance to eradicate the brick and mortar video distribution model on which the rental industry stood and in doing so, control the subscription model.  But even after being approached by Netflix to explore a potential partnership in 2000, Blockbuster chose instead to defend its dying model of distribution.  Like Blockbuster, the rest is history.

To avoid Napster moments, become Napster

In essence, what it comes down to is that the only sure way to avoid Napster moments is to be the player in your industry causing them to happen.  If you don’t define the terms of change in your industry, someone else will.  History shows that the choice is pretty simple  – disrupt or be disrupted.

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Posted in Marketing, Strategy, Technology, The Future, Trends

Mobile Reality Check Part 2: Mobile Payment

Monday, June 27th, 2011

In this segment, I’m once again joined by Gary Schwartz, CEO of Impact Mobile who offers an expert perspective on mobile payment technology.  We explore the players, the opportunity and some of the issues Gary believes could limit the pace of adoption in North America.

[youtube]http://www.youtube.com/watch?v=Wi2k1_aPut4[/youtube]

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Posted in Advertising, Branding, Marketing, Mobile Marketing, Podcasts, Technology, The Future, Trends

Is There a Viable Mobile Carrier Option Emerging?

Wednesday, June 22nd, 2011

By Michael P. Russell

With the increased transition to and adoption of smartphones, the mobile ecosystem remains to be a very interesting space, with new and exciting opportunities continuing to present themselves.  This evolution however still seems to an extent restrained in the US by what most consider the major players, the carriers.  The US carriers continue their attempt to control not only their customers with long term contracts, but also the introduction of devices, functionality, and access to certain content.  This model resembles the once overwhelming dominance of the landline networks, as customers really had no equivalent competitive option to turn to if cost or quality of service generated dissatisfaction.  The door may be re-opening for wifi to be an indirect competitor to carrier cell networks, offering a cost effective and accessible alternative to the mobile communications market. When Google first introduced the Nexus One, I thought they had an opportunity to be really bold.  They could have fired the first shot at breaking the carrier grip on mobile communication and device introduction to the market by increasing the awareness of how smartphones can leverage the VOIP functionality over wifi networks and demonstrate that there is a viable option to the carrier model.  Going back further, had Apple included a microphone on the iPod Touch, that device could have been a great introduction to utilizing a high function mobile device that you did not need a carrier connection to navigate the internet or make calls from.

Why WiFi is Poised to Be the Universal Carrier

People are increasingly making a significant amount of their mobile calls in an environment that has wifi accessibility. In June of 2010, Senator Olympia Snowe stated “Given that approximately 60 percent of mobile Internet use and 40 percent of cell phone calls are completed indoors, utilizing technologies such as wi-fi and femtocells will dramatically improve coverage.” This was in regards to the introduction of legislation to install femtocells and wifi base stations in all federal buldings.  In addition to this acknowledgement, JD Powers reported in March of this year that with the increased trend of people cutting their landlines for cell phones only, 56% of wireless calls will be made indoors in 2011.  That is up from 40% in 2003.  Nielsen reported that the number of households with a wireless network set up increased 8.2% from Q1 2010 to Q2 2010 and has seen a 24% increase over the previous eight quarters. The chart below demonstrates that public free wifi is increasingly becoming more available.  This offers easy access if not yet ubiquitous coverage of an available wifi network to carry calls and or general internet access.   More and more cities are also “lighting up” major metro areas and parks with wifi networks for people to utilize. The question is beginning to arise with more people, why pay for two access roads to the same destination when the vehicle you own can take either?  With carriers, customers are required to pay an additional monthly fee for each device that they connect to the network. Cell phone, ca-ching!  Tablet, ca-ching!  Laptop, ca-ching.  With wifi, the only requirement is that the device have WiFi connectivity ability and you are off and running with no additional fees.

A Market Ready for Dynamic Change

There is now speculation that Microsoft’s purchase of Skype could be a play to affect the existing market.  They fell behind in mobile and even though WM7 has received solid reviews, battling it out with the other prevailing OS’s within the carrier model may be a fruitless effort to reach significant market share.  Microsoft is a sizable enough player to make this kind of effort and drive market awareness.  Their WM7 devices may be the instrument to create a dynamic change.  It remains to be seen if this is the path that they are taking with the acquisition, but I am interested to see it play out.  In addition, Google is also still in a position to make moves in this area.  The Android market share is making great gains.  Google has relationships with hardware manufacturers and they continue to make moves to increase their involvement in the mobile space such as their mobile wallet partnerships.  It indicates their interest in becoming an increasingly significant player in mobile.

Lowering the Cost of Mobile Consumerism

The market trend toward smartphones and the emergence of the tablet market is increasing the consumers’ utilization and fondness for specific third party apps to achieve a myriad of objectives.  They are no longer limited to partnerships that the carriers engage in.  Add in the movement to having NFC (Near Field Communication) functionality in devices for transactional purposes, consumers will be introduced to even more benefits that do not require going through the carriers to obtain.  Need an app for shopping, many malls have wifi to enable the download and or price check to determine the best place to purchase.   Need to pay a bill, check a balance or make a purchase, the  home, office, library, or coffee shop most likely offers a wifi connection to do so. It takes time to reach a tipping point in the market, to get people to transition from one mode of operation to another.  Understanding the drivers of demand that motivate consumption will help companies in their efforts to potentially turn the ship  Bottom line costs, especially in our current environment could drive customers to a more cost effective mobile alternative.  Having a way to reduce costs associated with making mobile calls anywhere and having access to mobile data, could be a significant motivation at this time. Consumers will increasingly become aware that there is no need, based on their usage, for them to pay a gate keeper multiple times for access to a network.  The trend of more consumers cutting their landline home phones and transitioning from cable TV to watching programs online, demonstrates that consumers will recognize where they can save money yet still get the essential benefits they seek. The realm of possibilities in the mobile communication environment continues to keep this space very interesting and evolving.  The market itself will help determine what paths are viable and the revenues generated by participants.  The potential of wifi may yet demonstrate that it will impact the continuing evolution of the mobile communication marketplace.

Michael P. Russell is a Principal at Open Water Consulting LLC and Founder/CEO Hoorah Mobile Inc.

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Posted in Mobile Marketing, Technology, The Future, Trends

Mobile Reality Check

Monday, June 6th, 2011

Many of the headlines we read would have us believe that consumers are running rampant, begging for opportunities to browse, shop and even transact retail purchases on their mobile devices.  While there’s no question that mobile commerce and payment are coming fast, it’s often difficult to gauge precisely how fast.  The answer is critically important for marketers as they wade into mobile marketing initiatives and tactics.

In part 1 of Mobile Reality Check, I’m joined by Gary Schwartz, Founder and CEO of Impact Mobile.

Over the past nine years, Gary has played a leadership role in the mobile industry. He founded Impact Mobile in 2002 running the first cross-carrier short code campaign in North America.

In 2006, Gary founded the mobile committee for the Interactive Advertising Bureau (IAB) and sits as Chair of the Mobile Entertainment Foundation (MEF).

Gary has been involved in mobile marketing from virtually every conceivable angle and is the recipient of the Asia and Japan Foundation Fellowship as well as the Macromedia Peoples’ Choice Award and Dodge Foundation award for innovation. He is also the author of the upcoming book, Click2K’Ching: The Mobile Shopper & The Impulse Economy.

I had an excellent chat with Gary from his offices in Toronto in which he shed light on some of the truths and tall-tales with respect to mobile consumerism.

[youtube]http://www.youtube.com/watch?v=8Ee1DqPLCPQ[/youtube]

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Posted in Advertising, Behavioral Marketing, Marketing, Mobile Marketing, Shopper Marketing, social media, Technology, The Future, Trends

The New Media Marketer’s First Date

Thursday, June 2nd, 2011

Image credit: artofmanliness.com

We’ve all been on a first date and can relate to the awkward pauses in the conversation, the often-confusing body language and the painful uncertainty about how to end the night – should you kiss, hug or merely shake hands – who knows?

This, in many respects, sums up the current state of new-media marketing.  Marketers and consumers have embarked on their first date and neither is completely comfortable with the other just yet – particularly in the social and mobile spaces.

Some of the “research” that’s being conducted would lead us to believe that consumers are literally clamouring for the attention of mobile and social marketers.  These sometimes-questionable statistics suggest that consumers are virtually lining up for contact from brands on social networks and on their handheld devices.  Other studies provide a far more sobering view of a consumer who is worried about privacy and security.  It’s difficult to sort out truth from hyperbole.

Part of the current awkwardness comes from the fact that for close to a century, marketing has fundamentally lacked any intimacy.  Conversations with customers became industrialized.  The company with the biggest media machine typically won attention.  It wasn’t a date – it was an orgy!  The Marketer’s objective was simply to keep adding consumers to the wide-end of the marketing funnel. It was about “eye balls” and “feet through the door”.

New marketing, on the other hand, seeks to initiate an ongoing relationship.  The goal is not simply to buy new customers but to win the customers you have all over again, every day.  It’s a conversation in the truest sense and as close as a marketer can get to looking their customer in the eye.

In a recent interview with Guy Kawasaki, speaker and author of the new book Enchantment, he summed it up this way –   In order for a brand to “enchant” a consumer three things need to happen.  First, the brand needs to be genuinely likeable. Secondly, it needs to be trustworthy.  And finally, it needs to have a great product.  If these three conditions exist, consumers are likely to be willing to open themselves up to an ongoing relationship with a brand.  Although this sounds easy enough, Guy also acknowledges how few brands have mastered the equation.

In the digital world, getting “liked” is relatively quick and easy.  Research shows that consumers are quite open to “liking” retailers and brands online.  Where brands often fail is in building trust.

Trust is earned over time.  It comes with consistently demonstrating respect. It means putting the interests of the other party ahead of your own.  And this is where I feel many brands jump the gun.  The moment consumers express a willingness to interact, they’re all too often bombarded with irrelevant and sometimes intrusive messages. The result is often the systematic destruction of the very trust brands so desperately need to build.

New Media is NOT a Short Cut

The epiphany for new-media marketers is this – new media isn’t faster than mass media.  In fact, it’s slower because it’s based on real, human interaction. It’s not based on impulse but rather on meaningful interaction.  It takes time and it takes work.

Marketers have to build a new level of patience into their marketing plans when approaching their new media strategy.  They need to incorporate the time to build the trust of their admirers and only when the time is right, deliver remarkable value with great products and service.  This isn’t easy in a world that demands quarterly financial miracles and immediate results but it’s essential to reap the rewards of new media.

And for those who are currently questioning the ROI of new media, I would offer that despite having over 100 years of practice with mass media, many businesses are still screwing it up too.  The problem with new media has nothing to do with it’s inherent effectiveness, but more to do with our lack of understanding of how to skillfully employ and measure it.  It’s not up to social and mobile media to prove its value, it’s up to us as marketers to prove we’re capable of thinking differently about what marketing is in the first place.

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Posted in Advertising, Behavioral Marketing, Branding, Marketing, Mobile Marketing, Shopper Marketing, social media, Technology, The Future, Trends

Scan This! QR Codes Are History

Monday, April 18th, 2011

Google recently announced that it is ending both its development and support of QR (Quick Response) codes. QR or 2-D barcodes as they are sometimes called, were originated by a subsidiary of Toyota over 15 years ago and gained popularity in Japan. More recently, they have been employed by marketers to append additional content to print and digital media.  By scanning a QR code with a smart phone, consumers can access web-based video, documents and other forms of digital content. What makes Google’s announcement particularly interesting is that until now QR codes have been a cornerstone of their Places program.

Instead, Google has opted to pursue work on near field communication (NFC) technology.   Developed in 2002, near field communication uses low frequency signals to allow devices to communicate  once they come into a specific range of one another.  NFC is currently being tested by hundreds of companies globally.

QR was doomed from the beginning

In a world where two clicks is one click too many, QR codes seem conspicuously clunky.  First, marketers have to print a unique QR code for the content they wish to share.  Then, depending on the user’s hand held device, they may have to download an app to allow them to scan the QR code. It’s not uncommon to have to scan the code more than once to get a clear enough image to decode.  Also, the ability to navigate to the content is directly dependent on the strength of your handheld signal, which ruled out effective use of QR codes in certain locations (like subways).  Finally, QR codes often lead us to content that was hardly worth the effort or anticipation (which can’t be blamed on the technology itself) but nonetheless makes it seem even more a waste of time.

Although NFC applications may vary, it essentially involves bringing an “initiator” device and a “target” device into proximity to enable an exchange of information.  It’s not only easier to use than QR codes but you can expect most hand held devices to come “NFC ready” from the manufacturer by next year.

Follow the Dollars

The most compelling argument for NFC is its potential as a secure payment method.  Several banks and retailers are already experimenting with “tap to pay” programs.    Once consumers become comfortable using NFC as a payment method, it will tip its usage across all other potential applications as well.

I doubt that Google’s decision or the momentum around NFC will necessarily be the death of QR technology entirely, but I do think its potential as anything more than a promotional toy has been forever diminished by NFC.  I can’t help feeling that QR codes are a little like the 3-D TV of the marketing world – a cool thing that no one really cared about.

Above all else, what is particularly evident from the premature demise of QR codes, is that technology in general is now moving at far too fast a pace for companies to maintain a wait-and-see strategy.  Despite the inherent risks associated with jumping on new technology early, the cost of waiting may be missing the adoption curve entirely.

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Posted in Advertising, Marketing, Technology, The Future, Trends

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