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Auto code fuels business

Published:Sunday | August 28, 2011 | 12:00 AM

Brian Bonitto, Special Assignment Editor

It's the latest marketing rage: the square-shaped, black matrix of the Quick Response (QR) code. By using a smartphone to scan the 'mobile-friendly patch', consumers can access information on a product or service from a company's website, text, video or any other digital content.



A long way from its intended purpose, the QR code was created in 1994 by Toyota's subsidiary - Denso Wave - to track the manufacturing of its auto parts. Today, the use of the technology is commonplace in many organisations outside of the auto industry in Japan, South Korea, United Kingdom and North America.

"This shows how technologically advanced and how innovative a company Toyota is," said John Connell, general manager of the St Andrew-based Toyota Jamaica. "Toyota is driven by the Japanese philosophy of kaizen, which is the continuous improvement of their business processes," he continued.

Connell said the QR code is an essential tool used in his organisation's every day operations.


"We use the QR Code in our auto-parts department, as well as for our vehicle inventory and as a means of security," he said.

"We don't manually count the vehicles anymore. All information is stored electronically."

Denso Wave holds the patent rights on the QR code but has opted not to exercise them. Instead, companies can generate their own codes by visiting one of several paid and free code-generating sites or apps (applications).

Marketing-savvy telecom's provider Digicel Jamaica has been employing the QR code technology since November last year. According to Aileen Corrigan, acting head of marketing, it is used in all the company's press communications.

"The technology directs BlackBerry and smartphone customers to our website and our Facebook page. In fact, we continue to see steady increases in traffic to both sites, so we are constantly interacting with them. For example, today [Thursday], we have over 320,000 fans on our Facebook page. This level of interaction tells us that customers want to know more about our products and services," said Corrigan.

"As an innovative brand, we continue to find new ways to further engage and connect with our customers, and that is exactly what this technology has allowed us to do. With the use of the QR Code, customers have been able to get more information instantaneously about our products and services as they are automatically directed to our website," she continued.

Corrigan, who has advised that most of the QR code users are aged between 18 and 35, said the more information users receive on their offerings, the more likely they would become customers of that organisation.

"Customers want to be more informed about the products and services they are using. Importantly, customers want more convenient ways to get information while they are on the go," she added.

Introduced last year

Red Stripe, the local subsidiary of global alcohol company Diageo, introduced the technology to its Jamaican customers last year. She said the QR code can be seen in newspaper advertisements of the beer company's 'Mission Impawsible' campaign.

"We see this as a great way to make it easier for consumers to be engaged with our brands," said Erin Mitchell, Red Stripe brand manager.

"We knew the unveiling of our 'Mission Impawsible' series would have got everyone's attention, so we chose to interact with our fans via our Facebook page, using the QR code."

Mitchell said on her company's Jamaican Beer page on Facebook, she estimated 70 per cent of the fans are between 18 and 30 years old, and "those are who we are trying to reach."

"They use it because they're being engaged, it is easy to use and sometimes there is a reward. In fact, with the current Red Stripe campaign, fans of our Facebook page had first access to the advertisement," she pointed out.

As for Toyota, Connell told Automotives: "We at Toyota will continue to raise the bar, much to the benefit of our valued customers."

- brianbonitto@gleanerjm.com