What Is Connected Packaging?

11th October 2023

In short, connected packaging utilises technology to transform a traditional packet into a digital experience. As a sales promotion technique, connected packaging can help brands stand out in shops for numerous reasons, from personalised engagement to product authentication. 

Technology has come a long way in the past few decades and is now being leveraged by brands to bolster packaging and increase sales.

Using connected packaging therefore provides brands with a unique opportunity to deliver their brand message with less copy whilst delivering maximum impact. 

Types Of Connected Packaging

The different types of connected packaging include:

  1. Scannable QR codes
  2. Near-field Communication (NFC) tags
  3. Augmented reality (AR)

Let’s take a deeper look into each type in more detail below.

1. Scannable QR Codes 

The first type of connected packaging is scannable QR codes.

These QR codes are quick and easy for customers to scan and allow brands to target anyone with a smartphone.

Considering that in 2023, ‘the number of smartphone users in the world is 6.92 billion, meaning 85.95% of the world’s population owns a smartphone’, it’s easy to see why scannable QR codes are so popular. 

QR codes can act as a gateway for customers to engage with competitions, questionnaires, discount codes and free samples. 

QR codes also provide businesses with measurable results and valuable consumer insight, allowing brands to use customer-led data to improve future packaging. 

2. Near-Field Communication (NFC) Tags

A type of connected packaging is near-field communication (NFC) tags.

Similarly to QR codes, NFC tags can drive engagement by offering customers an interactive and valuable experience. 

Including NFC tags on your packaging offers you the perfect opportunity to deliver engaging content whilst also incentivising your customers to get involved.

Provided that you’re using a clear call-to-action, utilising NFC tags provides businesses with an interactive way to inform consumers whilst simultaneously supporting brands to develop a deeper connection with their customers.

Considering NFC chips can work without Wi-Fi and cellular data, they’re highly accessible to anyone with a smartphone and can be a very affordable option for brands.

3. Augmented Reality (AR)

Last, but not least, a type of connected packaging is augmented reality (AR).

Augmented reality is an ‘interactive experience in which a real world environment is enhanced with computer-generated visual elements, sounds, and other stimuli’.

This type of connected packaging enables customers to see and hear content whilst removing the need to download anything.

Whereas technophobes would typically be excluded in this circumstance, AR is inclusive, in turn improving accessibility and customer engagement.

This is emphasised by the marketing agency Grand Central Creative, who created a Spin to Win promotion strategy that allowed customers to scan and spin from their smartphone to win a range of prizes.

The interactive element paired with the incentive it offered highlighted the impact AR can have on generating in-store engagement and instant shopper gratification that keeps customers coming back. 

With AR, you can create highly engaging experiences that offer real value and continuously entice your customers.

At Lime, we’ve been offering a range of brand activation services for 24 years, with over 2,500 campaigns under our belt. Discover our sales promotion case studies here. 

The Benefits Of Connected Packaging

The benefits of businesses using connected packaging are vast. These benefits include, but are not limited to:

  1. Connected packaging allows you to gather customer data
  2. It offers personalised engagement with customers
  3. Delivering real-time information

1. Connected Packaging Allows You To Gather Customer Data

Connected packaging allows you to learn and gather more information about the customer.

Through connected packaging, brands are given the opportunity to track customers’ gender, age, and location, as well as the duration of engagement and purchase location.  

Armed with this data, businesses can gain a better understanding of their customers, and what they resonate with, and use it to better their future packaging and drive sales. 

Additionally, this enables brands to focus their efforts on retargeting customers who have previously engaged with their brand

2. It Offers Personalised Engagement With Customers

Connected packaging also offers a personal way for brands to engage with their customers. 

You can reward customers with valuable information, coupons, and promotions on your website that they wouldn’t otherwise have if they hadn’t engaged with the connected packaging. 

This also provides an incentive for customers to engage in the future and inform others about it, improving customer loyalty and brand awareness. 

3. Delivering Real-Time Information

Last but not least, connected packaging delivers real-time information. 

Advantages of Real-Time Information

There are numerous advantages of real time information, including increased business efficiency, improved decision-making, and enhanced customer experiences.

If a compromised batch needs to be recalled, for instance, serialised QR codes make it easier to identify which product batch has been impacted.

This allows businesses to communicate with their customers directly, in turn ensuring that the batch impacted can be recalled as quickly and efficiently as possible. 

How We Can Help

At Lime, our sales promotion team work with FMCG brands to create smart promotional campaigns, helping our clients to create on-pack promotions that achieve incremental space and stand out in store.

Get in touch with a member of our team today at 02073179280 or email Charlie@wearelime.co.uk to find out how our experienced team can help.

We are Lime, an independent partnership and sales promotion agency based in London

If you’re interested in learning more about the brand activation services that we offer, please get in touch. And for more sales promotion updates and insights, check out our other articles, such as ‘Top Promotions We Love Right Now‘ and ‘What Role Will AI Play In The Future of Sales Promotion?‘.