By Peter Roßkamp, DeTeMa Gesellschaft für Verpacku
QR codes, which allow coding for a large array of information via a URL and enable the consumer to access additional product information, have established themselves worldwide. However, the technology has progressed in the meantime, and the barcodes are now invisible on the package. The US-based Digimarc Corporation is responsible for this technological development, with which all GTIN (global trade item numbers) of GS1 Germany customers can now be encoded invisibly.
In part 1, Peter Roßkamp explained the technological details of the new printing concept (sp 7-8/2018). Part 2 will highlight the theme of interactivity at the point of sale and in many phases of the customer journey. This is a challenge and an opportunity for marketing: communicating product benefits in such a way that they fit the orientation, purchasing decision, and confirmation phases. This can be communicated throughout the entire customer journey because the codes can be integrated into flyers, posters, ads or displays as well as on the individual packaging.
From a marketing perspective, it is very interesting because the shopper‘s interests and touches can be represented in data, regardless of purchase. Integration of other elements in the GS1 data barcodes, such as the integration of lot and series numbers, which can then communicate origin and best by dates, is technically possible, yet, the implementation is limited. In this context, packaging batches or lots – rather than product batches – are coded.
A significant argument for the digital code: sensor-based systems like NFC or RFID are complicated for distributors and shoppers/consumers, possibly requiring additional hardware on a smartphone. In contrast, the invisible digital code is low-threshold, and the effort is minimal in all areas – for manufacturers and retail as well as for the consumer. The message is simple: load an app and point the camera towards the product.
Although the Digimarc code can be used in all stages of the value-added chain through to inventory management, it will not replace sensor-based codes – just as sensor-based codes will not replace digital codes, especially with regard to customer communication.
There are considerable challenges and hurdles – best described as critical mass. The highest possible proportion of the product assortment must be involved for retailers interested in checkout optimisation. Only then, optimisation is possible. For the shopper, there must also be a minimum amount of items coded in this way before it is reasonably useful. The option and benefits remain unknown to the majority of shoppers and consumers and thus entail a strong need for explanation. The natural requirement and challenge is of course the preparation and organisation of product information systems – including landing pages with high customer benefits.
The Digimarc code offers significant benefits in product logistics and especially with customer communication and loyalty. The system is scalable, and the code can be implemented on all packaged goods. Companies have obviously perceived the invisible digital code through the aspect of checkout optimisation. The aspect of customer communication will also continue to garner attention – and this will make the system more interesting for both large private label and brand manufacturers.
