Let’s go back to 2010, can you imagine a time when you had access to money without even actually having a credit card or cheque book ?

Digitalization has deeply integrated itself into our lives, people have now adapted to the habit of paying or simply buying various kinds of items through digital money either by adding accounts or scanning the QR codes.

Getting into the crux of this, QR codes are also known by the name of quick response code which proficiently reacts to the code that needs to be scanned. It usually consists of squares which are constituted in a square grid in front of a white background. Nowadays, many mobile phones are inbuilt with the features of scanning which makes them quite flexible. In other words, QR codes are simple barcodes that store enormous and complex data.

The Origin of QR

QR codes were basically created for tracking vehicles moving across the assembly line. It was brought into existence in 1994 by Masahiro Hara, chief engineer of Denso Wave.

It can be evidently seen that QR codes were generated a long time ago. However, its substantial growth was seen only after the emergence of smartphones. But if we pay keen attention, we would be able to see that even after the smartphones, QR codes couldn’t see a wide acceptance.

QR codes found a space for themselves and 2017 became the year of a major breakthrough when a top-tier company like Apple decided to integrate a QR reader into its phones after which various manufacturers followed.

Although QR codes were now brought into the public domain, users were still not able to adapt to them in a wholesome manner.

However, the year 2020 brought an era where social distancing had to be followed and people were made to get accustomed to the habit of not being in touch with anything. QR codes in these times acquired a different level of prominence and people decided to actively use them in every sector such as retail, hospitals, manufacturing, etc.

Now, as we commence further, we need to bring our attention to the two crucial types of QR codes that are usually found and have been in existence-

1- Static QR codes

This type of QR code usually doesn’t have the ability to be modified. This simply means any error in the added information will require you to repeat the process in order to create a brand new one, however, the thing we should keep in mind is the simple fact that static codes don’t expire

Such types of static QR codes can be utilized to store sensitive information and info.

2- Dynamic QR codes

Now, such types of QR codes have the ability to be changed anytime. This happens because the information isn’t deeply included in the code itself. It redirects users to a specific URL that can be changed anytime.

For a brief example, a cafe redirects you to the menu available on their sites.

One of the most integral benefits of dynamic QR codes is the ability to gather scanning metrics. However, the simple thing that needs to be addressed here is the simple fact that you can’t access personal information from the users, you can see the time, location, and device used for each scan.

Now, let’s keenly decipher how QR codes actually work?

QR codes work in alignment with barcodes found in the supermarket. Each QR code consists of black squares and dots that comprise different information. When a user chooses to scan, the unique code on the barcode translates or simply designs itself into the form of human readable data.

Furthermore, let’s take this opportunity and throw some beaming light onto a few advantages QR codes renders-

1. It has the capability of storing large data.
2. It can be scanned from a screen or a paper
3. It’s a safe option as the information can be encrypted
4. It provides readability even when part of the code is damaged or vague.
5. the spot payments eventually save a decent amount of time
6. Saves the additional cost as now merchants don’t have to invest in any other third party hardware

However, the thing we need to keep affirming ourselves here is that QR codes shouldn’t be overused, marketers need to realize the simple fact that using them everywhere can be overkill. Sometimes, as the scanning process connects two devices together, there is always a wide chance of security malfunction, the user who is scanning usually does not even know about the code and its possibility to take them to an undesignated space of information that they didn’t sign up for.

How do QR codes help in marketing?

QR codes have given a wide range of prospects to every marketer who is currently looking to diversify or simply find a solid ground to flourish their business.

There are many ways through which QR codes can be used in the sector of marketing and simply be utilized in such a way that it helps in the overall growth of a business. Some of them are mentioned in an elucidated manner below-

1. QR codes can make your business stand out : QR codes have the ability to generate curiosity among their users which can help a business stand out from its competitors. A business can include various offers in order to attract a larger audience.

2. Makes real life interactions possible : QR codes add an interactive component by turning static content into dynamic call-to-action buttons. From asking customers to leave a Google review to redirecting them to a branded Facebook page, you have a wide range of options to engage customers.

Let’s briefly see the sectors in which QR codes are utilized.

1. Advertising and marketing
2. Banking account statements
3. Mobile payments
4. HR and payroll
5. Insurance policy
6. Healthcare/lab reports and medical bills
7. Education/university degrees and transcripts

QR Code Payments

The fastest growing QR code payment system is Indian NPCI – National Payments Corporation of India based Bharat QR

# Ref: NPIC

TEN Steps of QR code Payment System consists of the following parties

– Acquirer – merchant on-boarding, merchant management, and merchant mobile app solutions
– Issuer – consumer on-boarding and consumer mobile app solutions
– Transaction processing Engine (NPCI) – end transaction routing engine
– Customer PSP – Payment Service Provider of whose mobile application customer is using
– Merchant PSP – Payment Service Provider where Merchant account is linked with for processing the transactions