One of the most exciting advancements in retail right now is Near-Field Communication (NFC) technology. This technology can potentially make retail smarter, more efficient, and more responsive to customer needs.
As the Chief Product Officer at TruRating, I have seen firsthand how technology can transform retail strategies. As TruRating approaches gathering one billion ratings through our feedback solutions, we are continually exploring ways to capture every moment of the retail journey to help our clients gain deeper insights into their own customers.
In this article, we will explore how NFC technology works and its potential to revolutionize customer engagement. I will also share how TruRating is integrating NFC into our suite of feedback solutions and how these developments can enhance your understanding of your customers.
What is NFC?
NFC, or Near-Field Communication, is a wireless technology that allows devices to exchange information when they’re just a few centimeters apart. It’s the magic behind contactless payment systems like tap-to-pay. But NFC is more than just a payment tool—it’s a gateway to personalized shopping, improved customer experiences, and operational efficiency in retail.
For retailers, NFC is about creating seamless interactions. It powers tools like digital wallets, NFC retail checkout systems, and even NFC-powered loyalty programs that eliminate the friction of traditional methods.
How does NFC work?
NFC works by enabling two devices (a reader and a tag or smartphone) to exchange data through a magnetic field. Unlike similar technologies like Bluetooth, NFC doesn’t require manual pairing or complicated setups. All it takes is a tap or close proximity, making it ideal for busy retail environments.
The process begins when an NFC-enabled device, such as a smartphone, comes into close proximity to another NFC device or tag. The NFC reader creates an electromagnetic field, which powers passive NFC tags (devices without their own power source). This energy transfer allows the tag to send data back to the reader. The data transmitted can be anything from payment credentials to URLs or product information.
For instance, when a shopper uses their smartphone for a contactless payment, the NFC reader at the checkout counter sends a signal to the phone. The phone, acting as the transmitter, processes the request and transmits encrypted payment data to complete the transaction. This process takes just a few seconds and includes robust security protocols to prevent unauthorized access.
What are NFC stickers?
NFC stickers are small, programmable tags embedded with NFC technology. They can be placed on surfaces like product packaging, promotional materials, or store shelves. When a customer taps their NFC-enabled device on the sticker, they can access digital content like product information, special offers, or interactive campaigns.
For retailers, NFC stickers are a cost-effective way to deliver rich, engaging experiences while gathering valuable data on customer behavior.
What can you do with NFC stickers?
NFC stickers have applications far beyond retail, offering many possibilities. Here are some examples of how NFC stickers can be used in various contexts:
- Smart home automation – you can program NFC stickers to control smart devices in your home. For instance, tap a sticker near your door to turn off the lights and lock the doors when leaving or tap one by your bed to switch on your morning alarm and start the coffee machine.
- Event management – use NFC stickers at events or conferences for fast check-ins, ticket validation, or sharing schedules and speaker information with a simple tap.
- Personal productivity – place NFC stickers at your workstation or around your home to automate daily tasks. For example, tapping a sticker at your desk can open a to-do list app or start your favorite work playlist.
- Education – teachers can use NFC stickers in classrooms to enhance learning. Students can tap stickers on educational materials to access videos, quizzes, or additional resources related to a subject.
NFC uses in retail
In retail, NFC opens the door to endless possibilities for both businesses and customers. Some of the most impactful NFC retail applications include:
Contactless payments
One of the most well-known applications of NFC in retail is enabling tap-to-pay technology. By integrating NFC readers at checkout, you can offer customers a fast and secure way to pay using their smartphones, smartwatches, or contactless cards. This eliminates the need for cash or physical swiping, creating a more efficient checkout experience that saves time for both customers and staff.
Instant customer feedback
NFC isn’t just about shopping, it’s about listening. With tools like TruRating’s Tap to Rate, retailers can gather real-time feedback from customers during their journey. By placing NFC-enabled feedback stands at key points in the store, you can collect insights and feedback that help improve every aspect of the customer experience.
Interactive product marketing
NFC tags can be used in retail marketing to provide shoppers with interactive experiences. For instance, Ralph Lauren integrated NFC technology into its product launches, allowing customers to tap their smartphones against NFC-enabled smart posters to gain immediate access to the latest collections and personalized shopping experiences.
NFC-powered loyalty programs
Gone are the days of carrying physical loyalty cards. NFC-powered loyalty programs allow customers to earn and redeem points with a simple tap of their phone. These programs can be seamlessly integrated with digital wallets and NFC technology, encouraging repeat visits and simplifying customer interactions with your brand.
Product Authentication and Anti-Counterfeiting
Luxury brands are utilizing NFC to combat counterfeit products. By embedding NFC tags into their merchandise, customers can verify the authenticity of a product with a simple tap. Bulgari, for example, implemented NFC tags into all of its leather goods, allowing customers to authenticate products and access detailed information, thereby enhancing trust and brand integrity.
Better customer engagement
NFC enables brands to engage customers in innovative ways. Adidas, for instance, launched a campaign leveraging NFC technology to drive consumers to their Originals store in Vancouver. Customers participated in a “tap to win” contest by interacting with NFC-enabled posters, enhancing brand engagement and foot traffic to the store.
NFC survey technology
Gathering customer feedback has never been easier (or more important) than it is today. With TruRating’s Tap to Rate solution, you can place NFC-enabled stickers or stands throughout your stores to collect instant, actionable insights. Here’s how it works:
A simple tap or scan
Customers tap their phone on a Tap to Rate sticker or stand, located anywhere from shelves to the exit.
One quick question and qualitative Feedback
A single question opens on their device, with the option to provide additional feedback if they choose.
Finally – a simple tool for non-purchaser feedback
No more need for expensive hardware like iPads or stands, or costly and time-consuming shopper panels. Simply place a sticker at the store exit to gather one quick response from a rotating set of questions. Asking shoppers if they purchased today followed by an opportunity for qualitative feedback allows for in-depth response analysis.
Many use other cases!
Our customers in retailers and hospitality are launching Tap to Rate to support many additional use cases:
- Gathering feedback on specific store experience such as changing rooms, bathrooms, or tasting areas.
- Gathering feedback from employees through a Voice of Employee rotating survey in break rooms and time clock locations.
- Gathering feedback at checkout areas to supplement quantitative feedback with qualitative responses.
- Feedback on communal areas for landlords such as food courts or entertainment areas.
- Feedback in hospitality at tables, in rooms, and while in line.
And new ideas are coming up all the time. The key to this system is its versatility. You can organize your feedback by specific outlets and locations. And each use case can have the optional ability to “close the loop” with the customer by directing the user to your CRM system.
All your data in TruHub
All feedback is sent to your TruHub dashboard, where it’s integrated with other TruRating data to give you a complete picture of the customer experience. Our qualitative AI analysis then mines the data for in-depth assessment of the topics and issues impacting customers the most.
At TruRating, we’re proud to lead the way with our Tap to Rate solution. Whether you want to collect feedback from shoppers as they browse, understand their journey from start to finish, or identify opportunities to improve the in-store experience, we can help support your strategy.
If you want to learn more about our NFC feedback technology, book a demo with our sales team today.