Mobile Payment…also Addressable Media

McDonald’s new cashless RFID system goes nationwide in Japan.

After nearly a year in development, McDonalds Japan has finally released it’s innovative new Kazasu Coupon (Contactless Coupon) loyalty and payment program, beginning with 175 stores and expanding gradually to its 3,800 nationwide stores by 2009.

Kazasu Coupon uses Felica RFID technology installed in most modern Japanese phones to create the first program of this type, allowing customers to choose their meals, redeem coupons, and pay for purchases all with their mobile phones. This is similar to CMode, the vending machine payment/coupon system from Coca-Cola, but with a far greater reach and selection.

To join, customers must download an application to their phones and register via mobile web, allowing them to choose the coupons they like. When making their purchase at McDonalds, the coupon is redeemed by placing the phone near the RFID reader at the register, instantly adding the item to the order. To complete the order, payment can also be done using NTT Docomo’s iD mobile wallet.

Kazasu Coupon has the potential to be a powerful CRM program for McDonalds, allowing them to target coupons and campaigns directly to customer’s mobile phones according to their preferences and purchase history. While this is still in a testing phase, Kazasu Coupon will likely include more interactive features and downloadable content once it becomes a full-fledged loyalty program, and will focus on CRM directly to the pockets and pocketbooks of their customers.

Quite interestingly, in my earlier stint in the middle-east 2 years back I came across this technology first where Armani was embedding passive tags into the collars and waistlines of it’s apparel for all premium customers. Tag teaders were placed outside the retail outlets so personnel could know when the esteemed customer was in vicinity ( alongwith his personal details & preferences) and act accordingly. Airlines have been using this in a rudimentary form to track FNB trolleys on aircrafts across the world for a long time now.

Expect these things to hit us and change the way we see addressable media in the near future.

What do you think….?

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~ by digivine on May 29, 2008.

One Response to “Mobile Payment…also Addressable Media”

  1. Very cool.. I think this will catch on very fast and other vendors will look at this as well.

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