Near Field Communication Tap and Fly

Transcription

1 Near Field Communication Tap and Fly By Simon Mitchell info@matchbyte.com Level 18, 101 Collins Street Melbourne, VIC Australia 3000

2 Near Field Communication According to the International Telecommunication Union there are around six billion mobile phone subscriptions in the world today, almost one subscription for every person. These devices are becoming more popular and useful every day, with constant enhancements adding to the vast array of functionality currently on offer. One of the most exciting developments is the introduction of Near Field Communication (NFC), which enables smartphones to quickly and securely communicate with other phones and unpowered devices. While wireless communication has been around for a long time in mobile phone terms, it is the ability for NFC enabled smartphones to communicate without power or manual authentication that opens a range of exciting opportunities. Instead of using a smartcards to prove your identify or pay for a product, you can now simply tap your smartphone. The tap and go concept is well established in the credit card industry today, with Visa s paywave and MasterCard s PayPass technology becoming commonplace in many countries. In the UK alone there are over 30 million contactless payment enabled devises, allowing consumes to simply tap their credit card to make a purchase. Contactless smartcards are also nothing new to the travel industry, with Octopus travel cards introduced by Hong Kong s Mass Transit Railway (MTR) in 1997 and similar cards rolled out around the world ever since. Now NFC enabled smartphones have the ability to replace these cards, increasing convenience for consumers and decreasing distribution costs for companies. Operation Smartphone reads a passive NFC device Practical example A customer places their smartphone near a promotional poster, triggering the phone to open a related website. An active NFC device reads a smartphone A customer uses their smartphone as a boarding pass or to provide payment. Smartphone exchanges data with another phone or device Two customers use their smartphones to exchange itineraries. NFC allows users to send data between active and passive NFC enabled devices, with at least one active devise required for communication to be initiated. Active devices require power and are able to both send and receive information. Passive devices simply provide information but do not require power to operate. Smartphones can act as passive devices, in performing the role of a smartcard for payment or verification, or they can be active devices by reading information from sources such as a tag in a promotional poster. Smartphones are also capable of exchanging information with other active devises, including another NFC enabled phone.

3 NFC vs Barcodes Many airlines today encourage customers to use their mobile phones as a boarding pass, by presenting a barcode on their phone screen. Such barcodes require scanners to optically decipher unique codes. A mobile phones screen must therefore be displayed correctly in order to enable communication. NFC provides a significant advancement as unlike barcodes, NFC enabled smartphones do not need to be turned on when being read by other devises. This is advantageous for airlines as customers are required to have their phones off when entering the tarmac and during takeoff. NFC also provides a faster and more secure method for transferring this information. Barcodes are also widely used to send promotional messages to smartphone users, most commonly using Quick Response (QR) codes. Smartphones read QR codes using a camera and purpose built applications in order to trigger a response. NFC is easier and quicker to use as customers can simply tap to initiate the communication. As the phone is communicating with a unique device rather than reading an image, advanced campaign tracking is also possible. Smartphone usage NFC Barcode (e.g. QR code) Communication Two-way One-way Hardware Dynamic chips Static images Activation Tap or hold in close proximity Scan with camera Proximity Around 4cm Approx. 30cm (varies) Campaign tracking Track individual chips Track codes via web analytics NFC does provide significant advantages for certain types of communication and the ability for NFC to replace QR codes is widely discussed. QR codes do provide a simple solution that may still prove useful in the short to medium term, however companies serious about offering customers advanced technical solutions should be looking at how they can utilize NFC.

4 NFC vs Bluetooth Bluetooth is another well-established form of communication that enables users to exchange information between two enabled devises. NFC is quicker and easier to use than Bluetooth and requires significantly less power to operate, while Bluetooth has significant range and capacity advantages. Bluetooth is therefore suited to sharing large files between two active devices, while NFC is more suitable for quick and simple interactions. Just like traditional barcodes, NFC will not replace Bluetooth, but offers an alternative form of communication that enhances the capabilities of smartphone users. Smartphone usage NFC Bluetooth Communication Two-way Two-way Activation Authentication optional User initialization & authentication required Proximity Around 4cm Up to 50m Power Minimal power from one device Both devices require power

5 Airlines and NFC Airlines operate in a highly competitive industry, one in which the swift and effective implementation of new technology is increasingly important. By utilising technological advances such as NFC, airlines can gain the edge over their competitors in customer experience, operational performance and cost. NFC has the ability to transform smartphones into boarding passes, frequent flyer cards, credit cards and a platform for marketing campaigns. Imagine allowing your customers to pass through the boarding gate, enter frequent flyer lounges, pay for products and receive targeted promotions on location, all with just a tap of their mobile phone. Today there are over 100 NFC enable smartphones available and many more are on their way. Researchers believer there will be over 285 million NFC enabled devises worldwide by the end of 2013 and close to a million devices by the end of More and more telecommunication companies are also coming to the party, meaning NFC is getting closer to reaching its potential every day. This provides a significant opportunity for airlines wanting to offer their customers and staff the best technology available. Contact MatchByte today to see how we can help you keep ahead of the game and enhance your business using NFC. Phone: info@matchbyte.com