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How QR Codes Can Unify Your Merchandising and Marketing

Merchketing? Markandising?

How QR Codes Can Unify Your Merchandising and Marketing

2 Easy2 Technologies - 1220 Huron Rd East, 7th Floor, Cleveland, Ohio 44115 - P: 216.812.3200 - www.easy2.com

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QR codes have been the subject of much optimism and skepticism recently. Optimism surrounds them because they are a great way to connect with shoppers everywhere, including in the store aisle; skepticism exists because many shoppers still aren’t sure what they are or how to use them. The fact is that the QR code is in a unique position to merge marketing and merchandising to educate shoppers and sell products.

For sake of simplicity, when we refer to QR codes, we mean any 2-dimensional codes, like MS Tags, Snap Tags, etc.

Marketing budgets are usually much larger than merchandising budgets. On one level this makes sense, because in a store, you have sales people and clerks who help answer questions and make the sale. So, getting people in the door is more important than merchandising products in the store. It takes A LOT of effort to leave a brick and mortar store, walk to your car, drive to another store, and repeat the process of looking for a product.

Online, all it takes is one click to find a competitor’s site. So, the merchandising has to be better! Online, there are no sales people or clerks, so merchandising has to take their place and create sales. This is why you should make a healthy investment in online merchandising.

For a brick and mortar retailer:

Marketing = getting people in the doorMerchandising = putting things on the shelvesSales = removing obstacles that prevent customers from buying them

For an online retailer:

Online marketing = driving traffic to the siteOnline merchandising = connecting shoppers to the product for which they are looking, educating them, answering their questions, and eliminating any obstacles that keep the shopper from adding the item to their shopping cart and completing the sale

Online merchandising is doing a lot, isn’t it? It should be upgraded and invested in, and one way to do that is to merge your marketing and merchandising budgets and use QR codes to drive shopper engagement.

Here are several easily implemented tactics for consumer product manufacturers and retailers to increase sales by engaging and educating shoppers with the help of QR codes.

1) Use QR codes in your print ads and direct mail to bring the product to life. Never before has it been possible to make a flat, lifeless print ad come alive with interactive product content. By placing a QR code in an ad or direct mail piece, shoppers can view a demo, videos, product specs and learn more about a product before they even leave their home. In fact, 58% of shoppers who scan QR codes do so while at home. (comScore, June 2011)

How QR Codes Can Unify Your Merchandising and Marketing

QR Code Suggestions for Manufacturers

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How QR Codes Can Unify Your Merchandising and Marketing

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2) Use QR codes on your packaging to answer product questions in the aisle.39.4% of shoppers who scanned QR codes did so while in a retail store and 35.3% scanned codes on product packaging. (comScore, June 2011)

A shopper in the aisle that is searching for product information is begging you to help them buy the product. Don’t let them down by just showing them the same product image that is on the package! Give them engaging and educational product content to ensure that they complete the purchase, because the only things separating you from your competitor are information and pricing!

3) Use QR codes in your email marketing.Smartphone shoppers take their phones with them everywhere. Even if shoppers use a desktop or laptop computer at home, chances are good that their phone is right next to them. Including QR codes in your email marketing allows shoppers to scan, learn about and purchase your product. As previously mentioned, almost 60% of QR code scanners do so while at home and 27% scanned codes displayed on their PC. (comScore, June 2011)

4) Use QR codes in your trade show marketing.Trade shows are ideal for introducing your new products and selling their benefits to retailers. By scanning a QR code in your booth, visitors can see how your products work, even when your booth staff is busy helping other clients.

Give booth visitors a good reason to scan your QR code, such as “See How it Works,” or “Take a Tour” and then link to great content that is optimized for mobile devices. And make sure your staff knows to approach anyone who is scanning your QR code and use it as an opportunity to engage them!

5) Use QR codes in all of your marketing collateral.Let QR codes link to your interactive product content and be your 24/7 salesperson. QR codes linked to quality mobile-optimized content allow a static sell sheet, catalog, white paper or brochure to come alive and be selling, all the time

1) Use QR codes in your FSIs Close to 50% of all shoppers in the US are using their mobile device to research and browse products. (Oracle/ATC Commerce, April 2011)

Including a QR code linked to quality interactive product content to engage shoppers has three major benefits:

QR Code Suggestions for Retailers

A QR code used in a print ad allows the shopper to launch a demo and interact with the product for several

minutes instead of seconds.

QR Codes on product packaging can help answer your shoppers’ questions in the store aisle.

QR codes in your email marketing can help increase shopper’s engagement with your brand and products.

How QR Codes Can Unify Your Merchandising and Marketing

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• Mobile connects physical products and stores to the online world. A shopper can decide whether to buy a product while having coffee at their kitchen table before visiting the store.

• Increase sales. There is a distinct link between relevant information provided to shoppers and purchase decisions. More information means more sales.

• Increase loyalty and satisfaction. Shoppers reward brands that meet their information needs with loyalty and positive word-of-mouth.

2) Use QR codes in shelf talkers or aisle violators to educate in-aisle shoppers.Using QR codes in-store allows manufacturers and retailers to always be “in the aisle,” helping shoppers choose the right product for their needs. QR codes that link to category buying guides, product selectors, mobile coupons, how-to videos, consumer reviews and product demos can help create or preserve a sale, and generate brand loyalty at the same time.

More than two-thirds of in-store mobile shoppers (69%) used their phones to visit a store’s own website, but nearly half (46%) also used their phones to access a competitor’s website. (Foresee, January 2011)

Here’s a frightening statistic: 73% of shoppers with smartphones prefer to use their mobile device in-store rather than ask a sales associate for help! (Accenture, 2010)

It is incredibly important to provide shoppers with engaging and educational interactive content that will remove any obstacles standing in the way of their purchase. Help them feel confident enough to buy!

3) Use QR codes in your email marketing.When interactive product content linked to QR codes is used in emails, content views typically increase tenfold. More views equals better educated shoppers, which equals more sales.

Yes, many people reading email are doing so on their computer, but they may access your product content on their smartphone, so include a QR code that allows them to do so.

4) Use QR codes to offer your shoppers mobile coupons. Give shoppers that extra push and offer instant coupons delivered to the smartphone via a QR code scan. All you need to do is place a QR code on a shelf talker and deliver a landing page with a coupon code that can be scanned at the register. Another way to do this is to offer coupons as part of your interactive product content. In 2011, 47% of online shoppers redeemed a digital coupon online or offline, and that number is expected to reach 50% in 2013. (eMarketer, July 2011) In addition, 43% of smartphone shoppers would be interested in scanning QR codes to gain access to discounts and coupons. (eMarketer, October 2011) Offering an incentive like an instant coupon can help preserve or create a sale.

Launching an interactive product demo from a QR code in an FSI can help shoppers decide before

they even leave home.

A QR code on a shelf talker can answer in-aisle questions.

Use QR codes to offer shoppers mobile coupons.

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5) Use QR codes to link to your product detail pages in all of your marketing vehicles.If you publish catalogs as part of your marketing strategy, or regularly use “featured products” in your communications, a QR code linked to a place the shopper can purchase the product is a no-brainer. It also allows potential buyers to learn more about the product and reduce any hesitation they may have.

Regardless of whether you are a manufacturer or a retailer, there are three things to keep in mind when using QR codes in your marketing and merchandising:

Make sure your content is relevant to your shoppers -- It’s not enough that your QR codes simply link to the product’s detail page on your website; make sure that the content you deliver shoppers is relevant to their needs. If the product is complex, show them how it works. If there is no in-store shelf sample to show, let them view a 360-degree image rotation. If the product needs to be installed, show them how to do it. Answering your shoppers’ questions will help ensure the sale.

Make sure your content is mobile optimized -- The last thing you want to do is make your shoppers squint and pinch and zoom to see content that isn’t smartphone-optimized. Also, make sure that all Flash content has been removed and that you are delivering HTML content to your smartphone shoppers so that everyone can see your content, regardless of device.

Explain to your shoppers how to use QR codes and tell them what they will see -- QR codes are still a mystery to a large number of shoppers, so let them know how to scan it, and what they can expect to see when the code scans.

Much like the growth of the Internet as a shopping channel in the 1990s, mobile is poised to be adopted even more rapidly. Shoppers are accustomed to researching and buying products online, and doing so with their mobile devices, whether at home or in-store is the logical next step. Offering QR codes linked to mobile-optimized content and tools that helps shoppers find what they need and make an educated decision makes perfect sense.

Let’s continue the conversation! Email us at: info@easy2.com / Call us at: 1.877.299.3366 / Visit us at: http://www.easy2.com

About Easy2: Easy2 Technologies is a leading interactive merchandising content and technology provider. We connect manufacturers, retailers and shoppers with engaging and educational content that helps remove obstacles between seller and buyer that stand in the way of making a confident purchase. We make it easy for shoppers to choose our clients’ products, for retailers to implement interactive merchandising content and for manufacturers to create engaging content and publish it on their retail partners’ websites.

To learn more about how Easy2 helps manufacturers and retailers increase conversions and sales, contact:

George Koenig / VP, Sales / george.koenig@easy2.com ------ Jerry Spelic / Director of Marketing / jerry.spelic@easy2.com

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For more information:

Easy2 Technologies 1220 Huron Rd East, 7th Floor

Cleveland, Ohio 44115 1.877.299.3366

w: easy2.com

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