NFC applications in retailEmpowering the consumer since 2006

/ 2

Structure

Epilog

This presentations shows two applications we developed conceptually and to some extent also technically in the years from early 2006 to 2007. Take it as a source for your ideas.

The “Mobile Prosumer” is a mobile phone application for additional product information at the point of sale.

The “Mobile Sales Assistant” is a mobile phone application for sales assistants to quickly discover actual stock situations.

The Mobile Prosumer was conceptually driven by Stephan Karpischek and Florian Resatsch. Recently we conducted a focus group with TNS Infratest to test consumer responses to such concepts. In case you are interested in the results, pls contact Florian Resatsch.

Structure

The complete team

Project LeadStephan Karpischek - Strategy, Technology, ResearchFlorian Resatsch - Strategy, Business Development, Research

Research AssociatesDaniel Michelis – ResearchUwe Sandner – Research

StudentsBin Ge - MarketingStephan Hamacher - Strategy, Business, Project ManagementAnne Hoepfner - BusinessJan Michael Ihl - DesignMiriam Kallischnigg - BusinessJohannes Scholl - Technology, Design (Mobile Prosumer LOGO)

ConsultancyMark Butler - Cultural Scientist and VisionnairePeter Stulz - 3D Graphics

/ 4

Structure

Mobile Prosumer Structure

1. Problem2. The Mobile Prosumer3. Value Proposition4. Core of the application5. Exemplary use cases6. Market research 7. Supply chain tag benefits8. Technical overview

/ 5

Structure

Problem

Most available information

about products is

separate from them.

/ 6

Structure

Problem

(Bildquelle: www.trendwatching.com, 2006)

• For the customer• The consumer relies upon the sales assistant at the point of sale to

access relevant information concerning the product

• Independent decision making is difficult based on this information source

• This increases the customers subjective feeling of insecurity.

• Lack of time

• Lack of influence on the product development (feedback channel)

/ 7

Structure

Problem

(Bildquelle: www.trendwatching.com, 2006)

• For the retailer• The customers subjective feeling of insecurity leads to fewer spontaneous

purchases, and less customer loyalty.

• Consumer behaviour at the point of sale is difficult to measure (e.g. overlooked target group)

• There is no further information on a specific product and no communication channel for additional benefits

• The customer becomes more aware and more critical

/ 8

Structure

The Mobile Prosumer

• Display of relevant product information on the mobile phone.

• Modular and personalised information service at the point of sale

• Real-time monitoring of consumer behaviour

• Feedback channel producer and Retailer (CRM)

solution:

/ 9

Structure

Value Proposition

Value Proposition for the consumer • The Mobile Prosumer enables the buyer to recall relevant information at the

point of sale

Value Proposition for the retailer• The Mobile Prosumer enables the retailer to provide the customer with

information at the point of sale

/ 10

Structure

Core of the application

Service

Local data

3rd partyContent Sources

Easy interaction

Community Sources

Producer

Distributor

Retailer

Store (ERP)

Supply chaininformation

EPCIS

NFC taggedproduct

Feedback Channel

DB

Usageinfo

/ 11

Structure

Exemplary Use Case: LOHAS (Products)

Lookup

aggregation

modular

Content resources

personalization

personal profile

User preferences:regional productNo E726no cholesterolethical productionVegetarian

lookup

/ 12

Structure

no geneticly modified food nutfree

no cholesterolfair trade

suitable for vegans

product features :

no geneticly modified food nutfree no cholesterolfair tradesuitable for vegans

preferences:

Positive LookupUser preferences match with the features of the

product

probable: positive purches decision!

Exemplary Use Case: LOHAS

/ 13

Structure

Market research

Detailed basket of commodities

More accurate tracking of target group

Matching of preferences with product features

Ideal feedback channel for high quality research.

Precise product identification without media break

Structure

Supply Chain to Consumer: Tag Benefits

SerialisedGlobal TradeItem Number

(SGTIN)

Supplier Distributor Store Customer

Global ReturnableAsset Identification

(GRAI)

Serial Shipping

Container Code(SSCC)

Mobile inventory

taking

Shelf management

POScheck-out

Theftprotection

Everydayassistance

Realtimeinformation

services

Neutralinformation

sources

Pallets: Object monitoring

& counting

Shipping containers: Object monitoring& counting

Item Level

Information

Information

800/900 MHz - ? 13,56 MHz

A lot ofinformation can be

gathered

/ 15

Structure

Technical Overview / Underlying Magic

• SOA – Service Oriented Architecture• EPC / EPCIS – Electronic Product Code / Electronic Product Code

Information Service • ONS – Object Naming Service

• NFC – Near Field Communication

Structure

BUT: more important open questions!

Exemplary: Tag placement for users?

(Source: www.bayerische-papierverbaende.de)

Structure

Self-checkout?

(Source: http://en.wikipedia.org/wiki/Image:Wal-Mart_Self_Checkout.jpg)

Structure

Mobile Sales Assistant (MSA) Information at the Point of Sale

/ 19

Structure

Scenario at the Point of Sale

“Do you have these

jeans in size 28?”

Scenario

“Please wait here, i have to check..”

/ 20

Structure

Problems

• customer has to wait - even more frustrating if the wanted product finally isn’t available

h

• salesperson loses contact with the customer - who might leave the shop.

g

• checking for right size/color takes a lot of cost-intensive staff-time

/ 21

Structure

Solution: Mobile Sales Assistant

stockinformation

ServerApplication/ EPCIS

ERP system /stock of inventory

1 jeans„Prada“Size 28availablein store1 / 5x

salespersonsearching for the right size

EPC transfer

NFC tagged jeans

/ 22

Structure

MSA Benefits

• salesperson can stay with the customer h

• increased sales through information in the moment of customer service

h

• less staff for sales needed h

• can be used for cross-selling advice and for advertising h

• system relatively easy to implementg

• EPCIS integration possible

/ 23

Structure

Every great advance in science has issued from a new audacity of imagination. John Dewey

kpi - Stephan Karpischek - Internet TechnologistInternet Technologist, Software and Business Developer

Florian Resatsch - Researcher, Entrepreneur