Mobile boarding passes come to Canada

Air Canada and Lipso Inc.'s national launch this month of a commercial mobile barcode check-in service has put Canada ahead of many countries in embracing this latest technology. The move comes after a four-month trial the two companies undertook in Montreal in conjunction with the Aéroports de Montreal and the Canadian Air Transport Security Authority. The pilot, which ended on November 30, enabled passengers on all Air Canada flights out of Montreal to download their 2D barcode-embedded boarding pass to their mobile device. The barcode contains all the information found on traditional paper boarding passes and appears as either a WAP page, SMS or MMS message. As is the case with traditional boarding passes, the phones are scanned at security check-points and gates by airline agents. "The technology optimizes the delivery of the barcode on any phone. There were some compatibility issues, but we've resolved it with the patent-pending technology we developed," Sophie Hennion, Lipso's CEO tells Report on Wireless. She explains that customers check in online either through a traditional or mobile browser and then opt to receive a mobile pass. The barcodes "are given to them in the most consistent way possible. So if the customer's phone can support MMS, we will send MMS. If the phone doesn't support MMS, then we will send a WAP page or SMS," she adds.Mobile barcodes could be set for a major technological breakout in 2008. A study conducted earlier this year by World Forum Research notes that mobile hyperlinks using 2D barcodes, RFID and image recognition have already revolutionized the way consumers access mobile content in advanced mobile markets such as Japan and Korea. Other countries are expected to follow suit quickly, with the report forecasting that by 2009, 70% of US and European mobile phone users will regularly use 2D barcodes on their devices. And Hennion predicts Canadian consumers will ultimately lead the trend. "We're of Europe and most of the world in mobile barcodes. They're looking to us." But while Lipso's technology seems to have overcome one of the major technical obstacles to the widespread adoption of mobile barcodes, there is the question of whether major carriers will jump on board. Although Canadian carriers have worked with Lipso and other organizations, such as MyThum Interactive Inc., in the execution of these initiatives, few are willing to talk about their experiences or future plans regarding barcode applications. "While we are always interested in new technology, we do not conduct interviews on products/services we don't offer," wrote Rogers Wireless spokesperson' Odette Coleman in an email. Telus Corp. was equally unwilling to share any information regarding barcodes. Mobile virtual network operator Virgin Mobile Canada, however, is ready for limited launches of these types of services. "We're looking at it at the moment. We have a large youth demographic and they're open to these types of experiences," says Virgin spokesperson Chris Baines. "We're very excited about the prospects and expect to see something in 2008." Virgin has already announced a partnership with Ticketmaster for a new mobile ticket purchasing service for Virgin's V Festival, a music festival in Australia. Baines expects a similar launch for Toronto's V-Fest late next summer.Just as youth paved the way for mass SMS messages and mobile music and video downloads, they may also be propelling greater barcode availability. Michael Carter, present of Toronto-based MyThum is largely considered to be a leader in this space. In November 2006, MyThum orchestrated a barcode-ticketing event as part of the Molson Canadian Rocks concert lineup. Selected Molson Insiders, Molson's customer loyalty program, were sent WAP pages with barcode tickets to a Billy Talent concert. "We had an 86% redemption rate," gushes Carter. "If we wind the clock to 2008, we'll be distributing barcodes through MMS, which is far richer. Because the MMS capabilities have yet to be rolled out across all carriers, we've been sending barcodes to WAP pages," says Carter. While airplane boarding passes represent one of the first mass market applications for mobile barcodes, it seems like a no-brainer that they will find their way back into the retail space in the not-so-distant future. Just as paper coupons have a barcode, it's not unrealistic to believe that consumers will receive coupons on their handsets, or transfer them from the online flyer they receive from their local grocery store for example, and then deem them by having their handset scanned. Coupons, Carter says, will come later. "We have worked with , but not by leveraging the barcode systems. We're just now working on a number of programs that will integrate with that. I think the challenge has been on the retail side and the integrating with POS systems. You will see us roll out some of this in 2008. We're working with a partner to get this out there next year."Costs associated with handheld scanners able to read these barcodes have dropped dramatically over the past four years, says Carter, making it more attractive to retailers and agents. But there are a variety of other technical issues that need to be ironed out before mobile barcodes, and coupons in particular, can have any meaningful penetration in handsets. Backend PoS systems and retailers' networks need to be integrated to support such technology, across retail chains that can span the continent. "Tying all these things into the backend is absolutely doable, but there's a lot of work involved on that side and that's been one of the stumbling blocks; if you were really rolling this out on a mass scale. It's becoming more efficient and you'll see more of it next year."

Mobile boarding passes come to Canada

News | December 11, 2007

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