Mobile 2D code company, Scanbuy, announced yesterday that they reached an agreement with handset OEM Samsung to have their 2D code reader application pre-installed on Samsung’s cameraphones in select geo-markets. The Company also stated that Samsung would utilize Scanbuy’s 2D code format, called EZcodes, to promote the new application. There was no mention of how many handset models or the total number of handsets that would feature the application.
The press release also mentioned that Samsung would begin selling these phones in Spain, Italy, and Denmark starting as early as next month and that availability would quickly expand to other major markets including Mexico and the United States.
This is great news for Mobile marketers! One of the largest obstacles to consumer adoption of the 2D code tactic has been addressed in a huge way. Getting the application pre-installed will go a long way towards the goal of making 2D codes a mobile marketing tactic with some decent reach. Across the EU5 and the U.S., the average percentage of consumers downloading utility applications to their handsets was 3.9% according to a MMetrics/comScore’s Q1 Market Summary. MMetrics also calculated that these countries averaged approx 4% with regards to consumers accessing already downloaded applications.
POSITIVE POINTS:
- Samsung is the world’s second largest handset manufacturer and features a global market share of 15.4%. In the U.S. the company had a share of 20% after the second quarter of this year.
- The NYC-based Scanbuy had also run some trials with Sprint in the past, but there has been little word as to the success of that pilot and what Sprint’s plans are for future with regards to 2D codes.
- Scanbuy’s 2D reader is capable of reading multiple code formats such as QR and Datamatrix.
CONCERNS:
- The 2D vendors are still plagued by a lack of standardization in terms of code formats. Marketers and Consumers should not have to concern themselves as to which code format to use and if the reader will work or not.
- It is unclear which U.S. Carriers will adopt the Scanbuy reader - I am guessing Sprint due to previous history.
- Education is obviously another MAJOR hurdle to overcome with regards to consumer adoption - how will Samsung.. the Carriers, Brands (much like Ralph Lauren) and Scanbuy promote the application??? This is a BIG question.
- Using the reader application is still a PULL application that will invoke the web browser, SMS, etc.. Marketers are keen on sending 2D codes to the handset via MMS or WAP that could be scanned in retail environment at point of sale - think coupon redemption. This leads to the major issue of POS laser scanners vs. optical scanners (lasers can’t read 2D codes) and lack of standard code format.
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