Imagine sitting at a bus stop and seeing an ad for a movie you have been meaning to see. With the application of NFC, that poster could offer you an easy way to connect and purchase tickets. In another scenario, you could be walking through the mall and see a nice pair of shoes on display. Tapping the display with your mobile device could lead you to the exact location of the shoes in store, or even alert a sales associate to grab a pair your size. These are just a few of the many possibilities that NFC can enable.
NFC, or near field communication, is a relatively untapped technology, or at the very least quite under-utilized when compared to its potential. While there may currently be a lack of mainstream awareness, acceptance of the technology appears imminent in the long term. NFC has the potential to seamlessly bridge physical and digital platforms.
The area where I have been particularly interested in implementing NFC is consumer engagement and mobile advertising. Connecting offline to online is an area of struggle for many companies and one where I think NFC can have a very strong presence. While completing my Masters in Digital Media I had the opportunity to create a branded NFC campaign with Corby Spirit and Wine to explore NFC and interactive advertising.
With the growth that is taking place in mobile commerce, there is a desire among advertisers to target this platform. An opportunity lies with the integration of mobile devices and traditional print advertisements. With traditional print advertisements it is difficult to capture consumers with engaging content. Current practices employ the use of laborious technologies such as QR codes, which require multiple touch points or use of other applications to engage with additional content. In many cases the customer’s interest is often lost somewhere along this process.
NFC offers a more streamlined interaction. The technology is already embedded in many mobile devices. With a simple tap to another NFC tag, the user is instantly brought to the additional content. It is here where the opportunity lies. NFC provides an efficient means of connecting the physical world to the digital world, through the basic interaction of tapping two tags together.
In this article, I define NFC technology and its current state. I also discuss some sample NFC campaigns as well as my findings from the project with Corby Spirit and Wine. This includes the development and launch as well as recommendations for creating a successful campaign.
An Introduction to NFC
In its simplest form, NFC can be described as a technology that allows for the exchange of information between two devices, at close range. In order for a NFC data exchange to occur, two NFC-enabled devices are required. One object requires an “active” NFC chip. An active chip is defined as one that is connected to a supplementary power source. This power source enables the chip to emit a radio frequency signal. In the most popular case of a mobile device, the power source would be the internal battery. The second object requires a NFC chip that is considered passive. A passive chip is not connected to a power source and therefore cannot emit radio signals on its own. The transfer of information is possible through a process known as inductive coupling. The active chip emits a radio frequency field which powers a passive chip when in proximity. This connection allows for the transfer of information.
NFC Devices operate in three different modes, the first being a Card Emulation mode. This mode allows the NFC-enabled device to emulate a smart card. This mode is popularly used for transactions, enabling the user to easily make payments or register ticket information. The second mode is a peer-to-peer mode. This mode allows two NFC-enabled devices to exchange information between each other. With a simple tap between the devices, information such as a word document can be shared back and forth. The last is a read/write mode. This mode allows the enabled device to read (or write to) a passive NFC tag. An example of this could be tapping an enabled poster for a promotional offer.
Current Status
Today we see NFC in essentially all current mobile devices. Where the limitation is, is within developer access. In Android, Windows and Blackberry devices we see open developer access. Within the devices’ SDK, developers have fairly open access to NFC. Contrasting this is Apple and their iPhones. Although the current devices (iPhone 6 and up) are NFC-enabled, there is very limited developer access which Apple limits usage strictly to Apple Pay: their mobile payment platform.
My hypothesis is that Apple is ensuring all the kinks are worked out with NFC before they go ahead and open up developer usage. By using Apple Pay, they can introduce the interaction and ensure their consumers are comfortable with the interaction. Tapping our mobile devices to make a payment or other interaction is relatively new. We are increasingly tapping our credit cards to make payments, but many still face apprehension with the act of tapping to make a payment due to a misconception on security. NFC inherently is a secure technology. It is impossible to make a connection unless two NFC tags are brought within close proximity (a few centimeters) of each other. Once information is written to an NFC tag, the tag itself can be locked, so no further information can be written to the tag. Any tampering with the tag would have to be done externally through another tag, in which case a mobile device could detect the presence of a second tag. Until consumers have adopted this interaction, we likely won’t see Apple opening up developer usage. We saw Apple take the same path with their fingerprint scanner which now has developer access, so perhaps it is only a matter of time with NFC.
Sample Campaigns
We are seeing larger companies expending some capital to experiment with this technology globally. Looking at innovation theory, if NFC (in a mobile advertising application) was to be placed on an adoption curve it would likely fall in the beginning stages of the Early Adopters. These larger companies can be considered leaders in technology adoption, serving as role models to those who are also seeking new technologies. Their use of NFC is indicative that NFC is growing out of the Innovator stage and into the Early Adopter stage. The popularity in mobile payment only helps the cause by further exposing the technology. Below are a few examples of how these technology leaders have used NFC in advertising.
In 2012, Lexus debuted an NFC-enabled print ad in Wired magazine. Users were directed to place their NFC-enabled phone on the page, and they were linked directly to a video demo of a vehicle media centre. The user’s phone simulated the Lexus media centre and after the video, users were able to push a button that further simulated the media centre. This is a prime example of how NFC can be used to link conventional print to the digital world.
The luxury watchmaker Swatch launched their Bellamy watch in Brazil for the 2016 Olympic games in Rio. This watch was created in partnership with Visa and was NFC-enabled to make easy payments. This is one of three partnerships Visa had made for the Olympics, with a goal of making it one of the most technologically advanced games to this day. Visa also provided a few select fans with a Visa wristband that enabled contactless payment. They also provided the athletes NFC-enabled rings to make contactless payments. The watch and ring were quick alternatives to cash payments. The watch and ring could be brought up close to a contactless payment terminal to complete a transaction, in the same way an NFC-enabled credit card or mobile device would make the payment.
Campaign Development
The advertising campaign I developed with Corby Spirit and Wine and Lamb’s Rum utilized NFC tags with the intention of interacting with consumers in a bar or restaurant setting. The NFC tags were placed in beverage coasters and encouraged simple interactions. How we got to this point was largely through the Design Process. The primary steps that I took to rapidly reach the final product are listed below:
Define: Identify the problem you are looking to solve or improve, or the goal you are trying to achieve and set the scope of the project. The goal in the case of this project was building the brand and driving traffic to a newly launched website.
Collect: Gather the information necessary to build out the project, list any potential limitations and acquire any quotes that may be required. Cost in this case was a primary limitation which led to the use of beverage coasters. Paperboard coasters on average can be used by about ten customers and carry a low unit cost, making them an ideal medium to host NFC tags. The campaign was to be launched in St. John’s, Newfoundland during a festival called George Street Festival, which defined the target audience and limited the scale of production.
Brainstorm: Ideate possible solutions or improvements to the problem identified.
Develop: Create sample prototypes.
Pitch: Present ideas to various stakeholders.
Feedback: Gather feedback to improve and repeat steps 3-6 until the idea is finalized.
Utilizing this process allowed for an organized, efficient and timely development of the campaign. Ultimately the developed campaign was multifaceted and targeted, social media engagement, increasing web traffic, building brand recognition, and selling premium products. Pictured below are the three coasters that were used towards achieving these goals.
The simple design was intended to invoke curiosity through use of a posed question and a clear call to action. From the left, the first coaster asks the question, “Friend leave you for the bathroom?” This coaster targets a one on one bar/restaurant situation in which case it is likely that one individual will likely leave the other to attend to the washroom. Often the remaining individual resorts to pulling out their mobile phone to pass the time. This coaster acts on that situation and provides an HTML-based puzzle game to occupy the time with a simple tap of the mobile phone to the coaster. Once the puzzle is completed the user is directed to the website to learn more about Lamb’s Rum.
The middle coaster utilizes a popular term in the St. John’s community, #Largetimes. This coaster targeted groups of people or people simply enjoying a night out and encouraged sharing a photo with Lamb’s Rum. This coaster directed users to twitter where they could engage with Lamb’s Rum.
The final coaster to the far right, targets those who may have difficulty selecting a beverage. Upon a tap to the coaster with a mobile device, the user is linked to a drink recommendation that utilizes Lamb’s Rum. The page features an image of the drink a description and the ingredients used to make it, the combination of the three present a compelling case to try the drink. The amalgamation of information and imagery is not typically found on traditional menus, which makes the product stand out.
Campaign Analysis
The campaign launched the first week of August, 2016 and I had the opportunity to be on site to conduct an ethnographic study, where I spent the week initially observing customers’ social interactions and behaviours while later interacting to gather further feedback for the purpose of product development.
The most interesting information I received, occurred when I began to interact with customers and staff to gather their feedback. The overall consensus was there was a lack of awareness of the technology and many people failed to realize their mobile phone was capable of making this connection. However when the interaction was demonstrated, many consumers were blown away with how simple the interaction was and how quickly they were provided with new information. The fascination with the technology alone provided evidence of the potential NFC has in advertising campaigns. Some highlights from the results I found include: 80% of those interviewed showed positive enthusiasm towards the campaign, indicating that they liked the idea or thought the application of NFC was interesting; 60% continued on to either try the campaign for themselves, or asked to see it on an NFC-enabled device. The results I received directly aligned with results done from a comparable study by out of home advertising giant JCDecaux. In this case, NFC-enabled advertisements were placed on bus shelters, and participants were interviewed. It was found that 78% of users cited positive results associated with the ease-of-use of the campaign. Positive interactions occurred through a combination of relevance, dynamic content and a strong call-to-action. 87% of people with NFC-enabled devices said they were likely to repeat the experience. Of those who didn’t have an enabled device, 80% said they would like to use it in the future.
According to innovation theory, these results indicate that consumers are on a positive path to adopting NFC. By showing interest in the technology they have passed a stage of awareness where they have been exposed to the technology but lack further knowledge. The second of five stages is the interest stage where the consumer has raised awareness and seeks additional information. Demonstrating this stage would be the interviewees who ask to see how the campaign works. There is apparent evidence that NFC is on the right path to becoming a popular advertising medium.
The results of this study supported the four pillars that I believe are required to create a successful NFC campaign:
Perceived Benefit – In this case the campaign was designed with the intent to benefit everyone involved: Lamb’s Rum, general consumers and bars/restaurants. Lamb’s Rum would ideally benefit from the exposure of the campaign and the unique interaction with their consumers. The consumers would benefit from the attempted solving of scenario based problems. In the case of the coaster that recommended beverages, the bars/restaurants would benefit from the sale of premium alcohol based beverages. If the benefit is recognized by all the parties involved there is an increased likelihood of the campaign being more successful.
Education – As with any new technology, people have to understand how to use it and determine whether or not it will benefit them. In this case, had the bar/restaurant staff understood that these coasters could have been used as a tool to promote sales; they may have demonstrated the interaction to their customers when common questions involving drinks arose. If instructions were included, or the staff was briefed on the technology, they may have been able to use it to their benefit.
Strong Call to Action – Any campaign that features an interactive component has to be made simple and easy to understand. Utilizing a minimal amount of steps maintains the users’ interest while the call to action hooks them in. In this case a question was used to invoke a response, while an image was used to give the user instruction. The image was clear, utilized contrasting colours to stand out and not only showed the user what to do but also told them how to do it through the message presented.
Environment – The location and surrounding environment also plays a crucial role into the success of an NFC campaign. In this campaign the coasters were designed to act as an extension to the bar/restaurant experience. However when environmental factors shift the focus of the experience, the campaign would also require necessary adjustment. In the example of the campaign I worked on, in bars/restaurants that featured live music there was a significant decrease in interactions, likely due to the shift in focus toward the music. Had the coasters provided a way for the audience to interact with the band, say through making song requests, the extension of the experience would remain intact.
To conclude, NFC could very well be the technology that shakes up the advertising industry in the years to come. Companies interested in pursuing NFC campaigns should consider the environment that the campaign will be present in, consider including an educational component prior to or during launch, include a strong call to action and consider the stakeholders involved and what aspects of the campaign will benefit them.