2D Mobile Barcodes A Definitive Guide

Transcription

1 2D Mobile Barcodes A Definitive Guide White Paper December 2010 White Paper 2D Barcodes

2 has already proven to be a very exciting year for mobile barcodes. More and more major players such as Sony Ericsson, Google, Fox, HBO and others are announcing their participation in mobile barcode initiatives and have come to recognize, or are beginning to recognize, their potential. Mobile barcodes are rapidly becoming a necessary mobile media element for brands, agencies and publishers to use to integrate into their home, online, television and print cross media initiatives, as well as within their own logistical enterprise solutions. Throughout 2010, there have been many announcements for mobile barcode campaigns from cinemas, alcohol merchants, movie studios, the fashion industry, non-profits and print publishers. As the mobile barcode market continues to mature and grow both in the US and internationally, a number of different 2D barcode symbologies and methodologies have emerged. This white paper examines the mobile barcode options and recommends an approach for implementing into mobile initiatives.

3 3 About 2D Barcodes A barcode is an optical representation of data that is printed as a machine-readable pattern. Product barcodes, such as the UPC and EAN codes (see Figure 1.0) that are common in retail, are printed either directly on a product, a product label, the retail shelf or the product s packaging. Widely used linear barcodes, such as the UPC and EAN product codes, are comprised of a sequence of vertical lines and spaces designed to be read by a barcode reader programmed to extract (or decode ) the data that the barcode pattern contains for direct input into a Point of Sale (POS) register without the need for human keyed entry. Barcodes were first used to automate the tracking of railroad cars, but were then widely adopted for consumer products when they were first used to automate supermarket checkout systems to reduce the error associated with manual keying at checkout and to automate inventory management. Figure UPC Code Source: By the 1990s the value of product barcodes had been firmly established and they were increasingly used in a variety of new environments. Product barcodes were rapidly becoming a necessary competitive requirement in both retail and logistics. This first generation of linear barcodes, however, could only contain a limited amount of data and were almost exclusively used as a license plate to point to data associated with the coded product in computer databases. The codes were also subject to damage in that they could easily become unreadable if they were marked or distorted. During this period a new generation of 2D barcodes were invented that could both store more information and also be read even when damaged. A 2D barcode is a graphical image that stores unique information both horizontally - like 1D linear barcodes - as well as in the vertical dimension. The incorporation of this additional dimension allows 2D barcodes to store thousands of characters of data, substantially more than the ten to twenty character limit of their 1D predecessors. In addition to content, part of this extra capacity is usually used to store data correction information that can be used to reconstruct any data that is lost through unintentional or intentional damage to the barcode pattern itself. This is essentially the same technology that is used to restore damaged data on computer disks and digital broadcasts. Since the data contained in the barcode is digital the extra capacity of mobile barcodes allows them to use this same error correction technology as well. Today, most mobile devices come equipped with cameras. This allows the mobile device to be programmed (via an application) to scan and decode 2D (and sometimes 1D) barcodes by capturing and then analyzing and decoding a barcode image. 2D barcode can contain characters, and also URLs which, when entered into the browser of an internet enabled mobile phone, can be used to connect directly to the website identified by the 2D barcode as if that URL was typed into the browser by the user. To the untrained eye, all 2D barcodes may look similar, however upon closer inspection they actually vary significantly. There are a number of different 2D barcode symbologies in various degrees of deployment globally. A barcode symbology specification is a technical document that describes in great detail how a given barcode pattern looks, works and needs to be printed so that it can be accurately decoded (or read ) by software running either on a mobile device or, in some cases, on a remote server. The mobile barcode s specification

4 4 describes how to print and read the content of the message sent in a mobile code and unless it is rendered and decoded following these instructions, the mobile code simply cannot be read. Some standard 2D barcode symbologies are in the public domain, including QR (Quick Response), Data Matrix and Aztec Code. These public domain codes are free to use by anyone and are sometimes called non-proprietary symbologies. Their specifications are published subject to rigorous review and approval by members of appropriate technical groups. Because of their unrestricted availability, many mobile barcode reader applications (e.g. QR) are already widely available on a number of camera-equipped mobile handsets as pre-installed standard features. There are also other 2D barcodes that are specifically designed by private companies to serve as mobile codes with their own particular decoding software and services. These are sometimes called proprietary symbologies and include 2D barcodes such as EZcode, Microsoft Tag, BeeTagg, Upcode, Trillcode, Quickmark and many others. In contrast to non-proprietary symbologies, like QR code, proprietary symbologies can only be decoded by a software reader application provided or licensed by the company that developed it. They are also the technical property of that company and, although likely to be technically sound, they are often not subject to the rigor of technical peer review. Instead, the sponsoring company often provides black box mobile code generator and decoding software that incorporates the symbology s encoding and decoding specifications and which can be incorporated in another application. For both non-proprietary and proprietary symbologies alike, the number of users that can read a mobile barcode is determined by the number of mobile devices equipped with cameras as well as those running decoding software for a particular symbology. This is an important metric for brands and publishers since it determines the reach of their mobile barcode initiative. Decoding software must either be preinstalled and come with the handset or downloaded and installed later by the consumer. Because of the lack of interoperability of proprietary barcodes, a company promoting a p roprietary symbology must convince the handset manufacturer or a mobile carrier to preinstall their client application, or convince users to download and install it later. Barcode scanning software for reading non-proprietary symbologies, like QR for example, is increasingly being incorporated as a standard feature of camera-enabled mobile handsets, particularly smart phones. NeoMedia encourages the use of non-proprietary symbologies given their open access and ease of use. QR code versus Data Matrix Data Matrix and QR (Quick Response) 2D barcode symbologies were both developed around the same time. Figure Data Matrix Code Source: NeoMedia A Data Matrix (see Figure 1.1) barcode can hold up to about three thousand alphanumeric characters. The Data Matrix barcode symbol looks like a square containing a binary matrix of cells each of which contain a space or a dot. Although Data Matrix codes are usually square they can also be re ndered as rectangles in some limited configurations. The Data Matrix symbology was originally designed for all kinds of product marking, including non-printing technologies using etching and impact marks. Since it can easily contain URLs it is also widely used as a mobile barcode symbology.

5 5 Figure QR Code Source: NeoMedia A QR Code (see Figure 1.2) can hold up to about four thousand alphanumeric characters and was specifically designed for use with mobile camera phones as well as other machine vision applications. A QR code is also square and contains three smaller square landmarks that are used to find and orient the QR pattern for decoding on cameraequipped devices. As is the case with Data Matrix codes, since a QR code can easily contain URLs, they are widely used, especially in Asia, in mobile code applications. Regardless of the particular 2D barcode symbology used, all 2D barcodes can encode URLs and enter them, as if keyed, into web browsers or messaging applications on suitably equipped mobile devices. This means that they are ideally suited to serve as mobile codes. Direct versus Indirect The terms direct mobile codes and indirect mobile codes are frequently used when discussing mobile barcodes. What do these terms mean? A direct barcode simply contains the URL address of the content associated with that code. After scanning the barcode using a mobile device s camera, it is then decoded by software running on the mobile device which sends the extracted URL to the mobile device browser. The mobile device browser then displays the information from the site identified by the URL as if the URL had been keyed into the phone by a user. This is a simple mobile code method to deploy and direct codes are supported by many mobile devices and by virtually every reader application in the market, including NeoReader. Direct barcodes do have a few drawbacks, however. They may be larger than indirect barcodes since they need to contain all of the characters in a URL (e.g. ) where indirect barcodes only need to contain a few characters that point to the information in a database (an index). All things being equal, if you have more characters you need a larger code to represent them. With direct barcodes the reader merely decodes the URL and does no other processing. Although this may sound like a good idea at first, it also means that the barcode sponsor cannot easily measure them. You cannot count them, see where they came from, see when they were scanned or see where they were scanned. The key analytical information is not available. The direct barcodes are simply the machine readable equivalent of printed URLs that the receiving web server sees as if they were typed. In fact, the receiving web server cannot tell the difference between typed and scanned URLs without adopting some additional conventions. In contrast, indirect barcodes usually just contain an index to a database that contains information associated with that code. The mobile code is read in the same way as a direct barcode, by taking a picture of it with the mobile device s camera. It is then decoded by software running on the mobile device, e.g. NeoReader that creates a URL to a web address specified in the application that contains that index and then sends it on. When the URL arrives at that address, a process running on that server at the site extracts that URL, and any other information that the client sent, and then looks up either the information associated with the index or another URL to information associated with the index and returns it to the user s mobile device. The device

6 6 browser then displays this information or instead redirects to the site specified in the returned URL. Figure Direct Barcode Source: NeoMedia Figure Indirect Barcode Source: NeoMedia Indirect codes have several advantages including: They can be much smaller than direct codes since they only need to contain the index. Since they must pass through a server they can be managed. They can be turned off, directed to new content, and metrics can be compiled. They are also more difficult to spoof or hijack (i.e. the mobile code links to one site but actually link to another; e.g. Coke to Pepsi ) since they only contain an index and the server which processes it is determined by the software running on the mobile device and not by the code itself. The client application on the phone can be programmed to collect opt-in information, like phone and user ID, location and user demographic and psychographic (attributes relating to personality, values, attitudes, interests or lifestyles) preferences, and to incorporate this information into the URL that it creates and then sends to the server. These parameters can then be used by the server as both metrics and also to selectively route information tailored to a particular scan transaction. For example, particular information and offers can be targeted to a user based upon their location, the time of day, what item was scanned and even their demographic and psychographic opt-in information (e.g. send me the link to the college planning video instead of the link to the retirement planning video from the same mobile code in the same financial services ad based upon my age as supplied as an opt-in parameter).

7 7 Indirect codes do however have two limitations. First, they require that an enhanced reader client is installed on the phone capable of creating a new URL. This means that the reach of an advertiser is limited to those phones where the client has already been either preinstalled or downloaded by the user. Second, they depend on the reliability and performance of the code resolution network. This means they are harder to deploy because a process or system is needed to assign index values to URLs. Even if the client is installed on the phone, if there is no server at the URL address, then the index on the code cannot be resolved. Partial Indirect, often referred to as Managed Direct There is also a third kind of mobile barcode, sometimes called a partial indirect or managed direct barcode, that provides many of the best features (and some of the limitations) of both direct and indirect mobile codes. Referring to this type of mobile barcode as a version of direct is in fact a misnomer, in that any barcode that includes an index and thus requires a resolution server, is by definition indirect. Thus, the term partial indirect is the more accurate description. A partial indirect barcode contains a fully formatted URL so it can be read, like a direct code, by any mobile code reader that is capable of reading a mobile code s symbology (e.g. in the case of QR mobile codes, any QR reader), but it also contains an index, so that when it is sent to the site indicated by the URL it functions as an indirect code. Partial indirect mobile barcodes have the advantages of not requiring a specific preinstalled or downloaded client and of being intermediated by the server designated in the mobile code s URL, so they can be both monitored and managed. But they have the disadvantages of being larger, unless carefully designed (because they contain both the URL and the index more characters), and of not providing ancillary profiled routing information that is passed with the URL such as psychographics and demographics, if they are not processed by a client application on the mobile device, since this transaction-specific information is not contained in the code URL. One approach is to use partial indirect barcodes to provide universal reach (e.g. to phones equipped with any QR reader) but to invite the consumer to download the reader application in order to attract indirect barcode clients capable of collecting and passing transactional information to the server. Open versus Proprietary versus Standardized The terms open and proprietary can be confusing since they are often used to refer to the physical encoding of a mobile barcode (its symbology, e.g. QR), the content of a mobile barcode (its payload, e.g. an index value versus a URL) or both. In order for an ecosystem to be truly open, all participating codes must be capable of being decoded by all participating client applications. This means that each participating application must be able to read both the symbology of each participating mobile barcode and to determine from the payload if it should be processed by their service or another participating service, and then be appropriately forwarded to that service. For example, a mobile barcode could be rendered in a common open non proprietary symbology, such as QR, and be supported by all participating mobile clients. Or each participating client could include decoders

8 8 for all participating symbologies, including those that are proprietary. Similarly, the participating services would either all have to agree on an explicit syntax or a heuristic one so that the processing client could determine from the decoded payload which participating service was intended to process that particular code and then either process it themselves or forward it to another participating party. Finally, members of the consortium could also standardize on a syntax to communicate opt in transactional and user information, as well as the identity of the processing client for accounting and remuneration purposes. For someone wishing to use mobile barcodes to advertise or promote their business, however, it may just be all about reach. In order to effectively deploy mobile barcodes, mobile code sponsors (e.g. advertisers and publishers) need to know that their mobile codes can be read by their target audience. They often just want to know that any prospective customer can read their mobile code with whatever camera-equipped mobile device they happen to be using. From the perspective of reach it could be argued that a truly open approach would be to simply use QR direct codes that contain only a URL which can then be read by any mobile device equipped with a QR reader and a web browser, without requiring a proprietary reader at all. If a proprietary reader happens to read QR codes then that would work as well. This increases a mobile barcode sponsor s reach to the largest audience since most, if not all, mobile devices either come already equipped with a QR reader or can download a reader capable of reading direct codes. However, as already discussed, direct mobile codes may not be a sponsor s best implementation as they have the limitation of not being easily monitored, maintained or protected.. In contrast, a truly proprietary approach would require all mobile code sponsors to standardize on one proprietary symbology, such as EZcode or Tag. This could severely limit their reach to the number of mobile devices already running a given company s proprietary application. This means that sponsor reach will be limited unless the proprietary symbology that they select becomes a de-facto standard or they are fielding an enterprise application where they can dictate which reader is deployed and used. A compromise is a standardized approach where sponsors and proprietary vendors collaborate to allow all codes to be scanned by all suitably equipped mobile devices, thereby creating an open mobile barcode ecosystem with maximum functionality and maximum reach. One way to do this is to require all mobile barcodes in the ecosystem, including proprietary barcodes, to contain an interchange syntax that can be read by all participating proprietary applications in order to determine if it is theirs or not and, if not, to then send it to an identified routing service, so that it can be sent to the appropriate mobile code service provider for processing. This approach requires that all participating proprietary mobile barcode service operators issue codes with this interchange syntax and also modify their client applications to process it, so that all mobile codes can be appropriately routed. This kind of approach is currently being promoted by Neustar with their Mobile Barcode Clearinghouse Service. Another approach, and NeoMedia s recommendation, would be to standardize partial indirect barcodes, so that each contains both the URL address of the service designated to process that particular code and an index value to be used by that service. One advantage of this approach is that it does not require an intermediary service, and in fact, even works with mobile devices equipped with simple QR readers without proprietary clients. Proprietary clients could also be modified to append opt in transaction and user information to the forwarded URL in a defined syntax by participating mobile code services. The syntax could also be defined to include the identification of the originating client to facilitate payment for ecosystem consortiums.

9 9 Industry agreement on open standards and interoperability will be particularly important for the continued adoption of mobile barcodes. The majority of key players in the 2D barcode ecosystem are committed to working closely with standards bodies to help overcome the hurdles to broad scale market development. Brands are interested in scale and are not interested in proprietary solutions. An open and interoperable approach to the market to empower the mobile ecosystem will be required to drive the industry forward. NeoMedia is fully supportive of the work of the standards organizations and feels that a collaborative approach by industry is the only way to propel the market forward in a meaningful way. 2D barcode best practices As with any other form of marketing, brands and agencies must follow best practices in order to implement a successful barcode campaign to maximize the probability for success. In the case of mobile barcodes the best practices consist of six key elements, although there are others associated with specific media channels as well. Planning ahead Mobile barcodes should be an integral part of any overall mobile campaign and be incorporated into digital and traditional media as a key element of the campaign. This will help to ensure that interactivity is a seminal element of the campaign itself and not simply added as an afterthought. A plan for longer term consumer engagement should also be established as part of the overall campaign objectives. There is no point in establishing an interaction and then not following up and maintaining the dialogue with the consumer once direct communication has been established. What s in it for the customer? Consumers generally only opt in to receive communications from brands when they perceive that it will be of value to them, whether that be in financial terms, by means of giveaways or discounts or in the form of less tangible services based on entertainment and utility. Access to relevant content, discount coupons, or exclusive information can all help grab consumer attention and encourage interaction. This tried and tested marketing strategy is a great way to increase your user base and will promote user participation in your campaign, so be sure that your mobile barcodes marketing campaign brings value to the consumer in a form suitable for both your brand and campaign. Design & Placement The design of an advertisement is of paramount importance to ensure a strong response from targeted consumers. The incorporation of mobile barcodes in the overall design of an advertisement or publication should be given as much consideration and attention as other elements of the design. For example, the appropriate placement of a mobile barcode, so that its function is known and it is easy to identify and scan, is a key element of design. Mobile barcodes should be placed prominently on a page, on a flat surface and away from folds or other features that might hamper scanning. One should also allow ample white space around the mobile barcode to ensure ease of scanning. Mobile barcodes, with the exception of certain proprietary mobile barcodes that use color (e.g. Microsoft Tag), should also be printed in black and white to facilitate scanning by the majority of camera equipped mobile devices and

10 10 their mobile code readers. As the quality and resolution of mobile cameras varies by models, a 1 x1 print specification is recommended. Open Standards In order to ensure the optimal and repeat user experience that is the hallmark of a technology that just works instead of getting in the way, it is important that brands and agencies deploy their solutions using global, open standards as the use of proprietary solutions may curtail universal customer access and therefore thwart market penetration. Education Consumers are often willing to adopt new technologies but marketers must deploy these technologies in ways that make them as transparent and as easy to use as possible. Since mobile codes are new to the mass market, particularly in the West, this means that brands may need to place descriptive copy next to a mobile code in order to explain what the mobile code does. This may include information regarding how to download a reader, how to scan the code, and what the result of scanning the code will be. This will help to facilitate and encourage consumer participation. Test and Test again Consumers will be deterred from using mobile codes if they initially have an unsatisfactory experience. So-called dead links, where scanning a mobile code does not return any information or the wrong information can be damaging, not only to a given campaign, but to the adoption of mobile code marketing in general. In order to avoid this, mobile codes used in a promotional piece should be tested using a variety of mobile code applications running on a variety of camera equipped mobile devices. It is also important to make sure that the content linked to a given mobile code is optimized for display and presentation on the anticipated mobile devices that will be used during the campaign. Analytics Evaluate your campaign Appropriate analytics can provide vital insight into the effectiveness of a campaign, including important time and location usage metrics. This allows brands to make better advertising purchase decisions and optimize their messaging for mobile codes. The importance to marketers of being able to effectively track and measure mobile code campaigns cannot be overestimated. The ability to analyze and measure this data can be effectively used to increase the success and ROI of future campaigns and further ensure optimal customer engagement. Consumer Engagement Plan for it Once an initial interaction with your consumer has taken place, it is important to continue the dialogue, adding value throughout every interaction. Continued consumer engagement should be a key benchmark in determining the overall success of your campaign, so planning for it early on will only serve to bolster consumer satisfaction with your campaign.

11 11 The convenience and opportunities that mobile barcodes offer to brands, enterprises and consumers alike; answering the need for information on the go, interactivity, measurability and traceability; will ensure that the market for mobile barcodes will continue to grow. We are already seeing impressive adoption of mobile codes by brands, handset manufacturers and mobile service operators for use in mobile marketing and advertising campaigns. We expect that this will continue to grow as barriers to adoption, such as consumer awareness, education and handset integration, are increasingly overcome. As major players such as Google, Facebook and ebay begin to offer mobile barcode solutions to their customers, we expect that the adoption of mobile codes will accelerate in all aspects of everyday life.

12 12 Glossary 2D Barcode: a graphical image that stores information both horizontally, similar to 1D linear barcodes, as well as vertically. Incorporation of both dimensions allows for significantly more data to be stored within the code. Also known as a mobile barcode. Aztec Code: a commonly available 2D barcode type that is square in shape on a square grid with a square central bull s eye finder. Developed for ease of use in printing and decoding. 1 Client / Client Application: an application or system that accesses a remote service on another computer system, called a server, by way of a network. 2 Data Matrix Code: a commonly available 2D square-shaped barcode containing a binary matrix of cells, each of which contains a space or a dot. Can sometimes be rendered as rectangles. Originally designed for broad product marking use, including non-printing technologies using etching and impact marks. Direct Mobile Code: a code containing the URL address of the desired content. Once scanned by a user s mobile camera, it is then decoded by software running on the mobile device which sends the extracted URL to the mobile device browser. Indirect Mobile Codes: a code containing an index to a database that holds information associated with that code. The mobile code is read in the same way as direct barcodes, by taking a picture with the mobile device s camera. However, once read, it is then decoded by software running on the mobile device that then generates a URL to a web address specified in the application that contains that index and then routes accordingly. Mobile barcode: see 2D Barcode definition. NeoReader TM : developed by NeoMedia, it is a universal barcode scanning application that transforms the mobile phone into a barcode scanner that allows the user to access mobile web content by scanning codes from print ads, publication, packaging, billboards, retail display, broadcast media, or any other medium. Non Proprietary / Open Symbology: Participating applications that are able to read both the symbology of each participating mobile barcode and to determine from the payload if it should be processed by their service or another participating service, and then be appropriately forwarded to that service. Example: QR Codes. Partial Indirect / Managed Direct Codes: a code containing both a fully formatted URL so it can be read, like a direct code, by any mobile code reader that is capable of reading a mobile code s symbology and an index, so that when it is sent to the site indicated by the URL it functions in the manner of an indirect code. Proprietary Symbology: Barcodes specifically designed by private companies to serve as mobile codes with their own particular decoding software and services. These barcodes may only be decoded by a software client provided or licensed by the company that developed it. Example: EZCode, Microsoft Tag. 1 Source: and United States Patent 5,951,596 2 Source:

13 13 Quick Response (QR) Code: a square-shaped code containing three smaller square landmarks that are used to find and orient the QR pattern for decoding on camera-equipped devices. Able to house roughly four thousand alphanumeric characters and designed specifically for use with mobile camera phones as well as other machine vision applications. Symbology: a technical document that describes in great detail how a given barcode pattern looks, works, and should be printed so that it can be accurately decoded by software running either on a mobile device or, in some cases, on a remote server. UPC / EAN Code: a product code comprised of a sequence of vertical lines and spaces designed to be automatically scanned and read by a point of sale register. These codes have been widely used since the 1950s and are commonly printed directly on a product, a product label, the retail shelf, or the product s packaging. Also referred to as 1D barcodes.

14 About NeoMedia NeoMedia Technologies, Inc. is the global market leader in 2D mobile barcode technology and infrastructure solutions that enable the mobile barcode ecosystem world-wide. Its technology platform transforms mobile devices with cameras into barcode scanners, enabling a range of practical and engaging applications including consumer oriented advertising, mobile ticketing and couponing, and business-to-business commercial track and trace solutions. NeoMedia s suite of products, services and extensive IP portfolio means it is the only provider able to offer customers a comprehensive end-to-end mobile code solution. NeoMedia s current customers include handset manufacturers, platform providers, brands and agencies looking to offer pioneering mobile barcode solutions to their customer base. NeoMedia s product portfolio includes: mobile barcode management & infrastructure solutions, barcode reader solutions, Mobile Coupon & Affiliate Marketing, Mobile Ticketing & POS Integration and IP Licensing. Learn more at NeoMedia Technologies Inc. Two Concourse Parkway, Suite 500 Atlanta, GA T F NeoMedia Europe AG Jens-Otto-Krag-Straße Würselen Germany T F info@neom.com