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June 02, 2010

Subway Jumps on Mobile Barcode Bandwagon

By Erin Monda, TMCnet Contributor



Subway may be the first fast-food chain to utilize 2D barcode technology.

Its newest marketing scheme allows customers to use their mobile phones to collect redeemable loyalty points off of Subway products.
 
Subway's marketing scheme will rely on Java-based software provided by Transactor Technologies Ltd., a specialist software development company. Transactor Technologies Ltd. offers comprehensive end-to-end solutions for its clients by providing functions such as customer and transaction management systems.
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According to Transactor Technologies Ltd., the heart of its software suite is "Thor Transactor, which provides an open-platform processing engine that seamlessly interacts with traditional transaction capture and processing systems. This provides a bridge between older (legacy) installed systems and evolving or emerging transaction technologies."
 
Thor Transactor incorporates a powerful and flexible points management engine that enables very specific rules to be set for issuing and redemption of rewards. Transactor Technologies Ltd. offers a product relevant to this capability, called Loyalty+Plus. Loyalty+Plus is an application that allows the implementation of many types of functions, such as allowing cardholders to issue and redeem loyalty points. The software also tracks cardholder purchases.
 
Subway intends to follow-up on this campaign by releasing a more dynamic iPhone (News - Alert) application at a later date. It is a wise decision for the company, as iPhones now comprise over 14 percent of the smartphone market. This makes Apple (News - Alert) the third largest smartphone manufacturer in the United States. By developing a variation of this marketing technique specifically for Apple phones, Subway stands to reach a broader audience.
 
More and more companies are embracing mobile-scannable barcode technology, as barcodes can be placed on posters, product labels, or other media - allowing passersby to scan them with their phone to get to companies' websites. This can be especially useful when trying to participate in promotions, giveaways, or sweepstakes.
 
Heineken, the beer manufacturer, recently employed similar barcode technology in an ad campaign. Other companies, like the Pittsburgh Post-Gazette, Papa John's International Inc., are also hopping on the bandwagon, as mobile-scannable barcodes are proving adept at reaching consumers directly.
 
And there are benefits to this barcode technology for industries other than marketing. In the medical field, barcode technology is proving to reduce prescription and medication administration errors, making patient care safer. As pertains to education, Tele.ring, a VMNO with T-Mobile Austria (News - Alert), tapped into NeoMedia's 2D mobile barcode capabilities in order to introduce students to the concept of mobile barcode reading. Students had the opportunity to download the NeoReader for free and scan the QR codes that appeared on the posters, where they could access free mobile content such as ring tones and wallpapers.

Erin Monda is a TMCnet Contributing Editor. To read more of her articles, please visit her columnist page.

Edited by Michael Dinan



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