This morning, it was reported that Augme purchased JAGTAG for approximately $5.25 million. Over the past several months, there has been some speculation about whether or not the 2D barcode industry will start to see some consolidation of providers/platforms, is this the opening salvo?
One item to note or question about the purchase. The press release states that "Following its acquisition of the business of JAGTAG, Augme expects that its complete account list will include over 150 brands that are either currently running active mobile marketing campaigns or have recently purchased such services." Question for the viewers at home, what constitutes a client in the 2D barcode marketplace? Technically, I suppose a consumer (business or individual) only has to purchase a company's product or service once to be considered a client or customer. In my mind, however, I see this differently with respect to the 2D barcode industry. Sure a code provider can claim to have a dozen, two dozen or a hundred plus client accounts but, how often are those clients coming back after the initial purchase of product or service (i.e., how many clients are doing multiple campaigns versus a stand alone or one-time only campaign)? From what I see and hear, not very often. What we typically see in the 2D space are companies that launch one 2D-based campaign, big or small, and that's it, with nothing more to follow. Why is that? I certainly have my ideas and opinions on the subject, but would love to hear about it from the code providers. Perhaps at Mobile Monday's presentation next week on the "State of the Mobile Barcode" that question can be asked and/or answered.