While the use of NFC (Near Field Communication) has recently emerged as an effective technology in Dubai, it has been embraced with open arms in other countries. There are more than 70 million NFC-enabled devices in Japan; which represents six out of 10 mobile devices there. People in metropolitan areas of Japan have the option of paying for commutes through NFC. A large number of restaurants, convenience items and newsstands in that country use NFC tags. Back home in Dubai, authorities are encouraging the use of NFC apps. Less than six months ago, the Roads and Transportation Authority (RTA), in collaboration with telecom providers, introduced the NFC ticketing system for the Dubai Metro.
Business and NFC
PosterScope and Clear Channel recently conducted a study involving 1,000 smartphone users from the UK and the US The people conducting the study concluded that around nine out of ten users (88 percent) were willing to use it. interact with smart posters if the content interested them. Smart signs are interactive signs. One big difference between old and smart posters is the latter’s use of NFC technology. Smart signs can be used to inform, educate and entertain consumers.
Eighty-five study participants said they would be interested in participating with the smart signs if they carried coupons and special offers. A large number of other respondents were equally willing to use NFC-integrated smart signs to find directions and for social interaction.
NFC for advertising
(d) Promotions
Vouchers and discounts are a quick and convenient way to entice and incentivize consumers to try a product or service. Research has shown that consumers are more likely to buy from a business if they are offered discounts. An NFC tag contains a small amount of information: a web link, a text or a command. Consumers can activate NFC tags embedded in smart signs to learn more about current promotions.
(e) Sales
The Internet market is worth several billion dollars. More and more people are shopping online. NFC can ease this transition. A company that sells Manga Science Fiction comics can insert a “buy now” link on their smart poster. Readers interested in Manga comics can touch the poster with their NFC-enabled device to complete the purchase. This makes buying and selling much easier.
(f) Integration with social networks
Social media plays an important role in the contemporary business environment. Businesses spend huge sums of money to maintain and improve their Facebook and Twitter profiles. NFC offers a cheaper alternative. Businesses can reach more consumers by allowing them to “like” or “share” their products on social media through one tap. It’s convenient, easier, and faster.
Challenges
NFC has a lot of potential. It can open up entirely new avenues for advertising and customer engagement. Businesses can use NFC to drive sales, disseminate information, and interact with consumers. However, not all phones on the market are NFC-enabled, and some big providers, including Apple, have yet to support NFC. It can be safely argued that it will be a few years before NFC becomes as widespread in Dubai as it is currently in Japan.