Andrew Davis was sick of typing unwieldy URL’s into his mobile phone and wanted a more direct way of engaging with the brands he was interested in. Yet it wasn’t until he attended a Google event on mobile marketing that he realised the technology existed to convert his idea into a valid business model. After meeting Jamie Conynham and David Kainer at the conference he decided, along with business partner James D'arcy, to start Tapit.

The company launched in early 2011 and uses a technology developed by Nokia called Near Field Communication (NFC), which lets users access media rich content on their smartphones by tapping them on designated tags.

For example, a billboard will be embedded with a microchip that when tapped with a NFC-enabled phone will offer the user targeted content, such as movie trailers or special deals.

Starting up and breaking ground

Davis is now Tapit’s Agency Director and responsible for developing relationships with media and creative agencies. He talks about getting the start up off the ground. “We always believed in the idea and concept, but the watershed moment was when we received a government grant. It was then that we thought ‘OK, it’s not just an idea now. This is real and could be something really big” he says.

Since receiving a State Government grant, Tapit has partnered with JC Decaux as a key client and the NFC technology is used on their out of home billboards.

Connecting consumers to content

Davis sees the potential of NFC technology as huge, as it gives brands the option of customising the content they offer users in an engaging, easy-to-use experience.

He explains Tapit’s role as, “connecting consumers to content, whether it's a video or a coupon. That's up to the client. When users tap, they’ll get information about what they’re about to receive, and that action is like the opt-in. We think it’s a powerful medium.”

Tech teething problems

Like all emerging technologies, the roll out of NFC in Australia has not been without its challenges. While many Android phones are NFC-enabled, Apple’s iPhone is not, though the next iPhone model is expected to be NFC-enabled.

Other obstacles Tapit has faced are the numbers of parties involved in making innovations like mobile payments possible. While the Commonwealth Bank is soon to release Kaching, its wireless mobile payment app, Davis sees blanket mobile payments still “18 – 24 months away. If you imagine a big tidal wave coming, we're surfing the front of it.  So we're at the head, but we still need the wave behind us.”

Channelling Retail

As major brands like Visa and Telstra invest heavily in the technology, the reach of NFC in Australia is expanding. Tapit has recently launched a new campaign with South Australian Lotteries where users can win $5,000 by tapping their smartphones on display advertisements.

But Davis sees retail as the biggest potential market for NFC. He sees point of sale ‘hotspots’ complimenting above the line campaigns, in much the same way that social media now supplies more interactive elements to campaigns. Retailers could also use NFC as a way of attracting customers with special offers that can only be redeemed in-store.

Educating and expanding

Tapit continues to focus on educating the market on the benefits of NFC technology and how it can be applied to brands and products. Davis describes the process as, “planting seeds, because we know that will take time. If we can educate and show benefits, I think that puts us in a good position, rather than just hard selling, because the technology the category is so new.”

With Australians now owning the largest number of smartphones per capita of any country in the world, Tapit is at the front of the approaching mobile marketing wave.

www.tapit.com.au