QR Codes: What Are They and How to Generate One

QR Codes: What Are They and How to Generate One
Find out how QR codes can be used for business. Square allows you to generate QR codes to be used for ordering, contactless payments & product information.
by Stephanie Vozza Mar 29, 2025 — 4 min read
QR Codes: What Are They and How to Generate One

The popularity of QR (Quick Response) codes has grown in recent years. Widely used during COVID in both retail and restaurant settings, this image-based internet shortcut has become a valuable tool for enhancing customer experiences, from ordering to contactless payments and product information. Research by Deloitte found that 4% of consumer transactions globally used QR codes in 2022, equating to US$2.4 trillion in global spending — a figure predicted to increase at a Compound Annual Growth Rate (CAGR) of 16.1% in 2030 and up to US$3 trillion in global spending in 2025.

What is a QR code?

The QR code has been around since 1994, when Japanese company Denso Wave created it. The company was looking to improve barcodes with an informative 2D design. Initially, QR codes were primarily used to track production in manufacturing.

Decades later, brands trotted QR codes as a marketing tool that were readable with an app on a smartphone by simply scanning an image. They never really took off because they were cumbersome for consumers and business cards were still popular.

Things changed in 2017 when Apple enabled the iPhone camera to read QR codes without a third-party app. Android quickly followed suit. Faster wireless networks made the codes more effective for instant information sharing. In 2020, QR codes became an integral way for business owners to serve customers while social distancing during COVID-19. Fast forward and businesses are embracing QR codes in new and creative ways to enhance customer service, share information and market themselves.

How to use QR codes at your business

How to best use QR codes will likely depend on your industry. Restaurants, for example, can create them to improve ordering for customers, while retail stores can generate codes to support a contactless checkout for purchases.

Here are eight ideas for getting started with QR codes:

Facilitate faster payments

QR codes offer a quick and convenient contactless way for customers to pay for goods, services or bills without having to hand over cash or cards. Customers scan a QR code and pay directly from their mobile devices, allowing businesses to focus on delivering excellent service and minimising wait times. Customers can also utilise QR codes to leave tips using the same method.

Provide touch-free menus

Give customers the option to self-order while reducing wait times and eliminating single-use menu waste with QR codes. They can direct customers to a contactless online menu where they can order directly from their phone. QR codes also allow restaurants to instantly update menu items based on availability and pricing.

Create interactive ad campaigns

In addition to contactless payments and ordering, QR codes can assist with marketing efforts. For example, adding a custom QR code to print campaigns can help further their effectiveness by giving consumers access to additional information, such as videos or a map of the retailer’s location.

Encourage customer feedback

Want people to share their experience of your business? Place a QR code near your point of sale (POS) to prompt customers to leave Google Reviews. By scanning the code, customers are instantly directed to your Google Business page, making the process quick and easy. Positive reviews can help attract new customers, boost your reputation and improve local search rankings.

Simplify bookings 

From your shopfront and countertop to your social media, QR codes make it quick and easy for customers to book a table or appointment. They simply scan the QR code, which takes them to your booking site, where they can choose a date and time that suits them best.

Enhance the customer experience

QR codes can also improve a shopper’s in-store experience. According to the Deloitte Mobile Nation 2019 Report, nine out of ten Australians now own a smartphone, and there’s no doubt many of them take their phones shopping with them.

By placing a QR code in your shop window, customers can learn more about your business, story and offerings, even when you’re closed. Additionally, QR codes on a product or shelf can provide customers with additional information about the item, allow them to see it in use, view a slideshow of colour or design options, and direct shoppers to websites that explain the story behind the product — such as its history or details about the creator or founder.

Grow your email list

With Square Marketing you can collect customers’ email consent in person with a QR code. Tip: Try displaying your QR code at checkout, at the counter, around the store at key touch points or even where your customers wait to collect their coffee.

Build a following

Businesses can also leverage QR codes as a way to build customer relationships. Codes can direct customers to their social media profiles that prompt a follow. Facebook, X, Snapchat, TikTok and Instagram have QR codes that allow users to follow retailers’ accounts when they’re scanned. Store owners can also set up QR codes that direct consumers to sign up for their loyalty program or newsletter.

How to generate a QR code for payments

The Square QR code generator can help you accept payments quickly and easily. Here’s how to get started.

1. Provide contactless payment in person via Square POS

What it does: Allows customers to pay at your Square POS using their phone for a touch-free payment method.

Who can use it: Any type of business conducting sales in person.

How it works:

  1. Open the Square Point of Sale app.
  2. Add item(s) to cart or key in any amount and hit checkout.
  3. Select the Pay with QR code option and a QR code will pop up on your screen.
  4. Customer scans QR code and is directed to a simple checkout page where they can enter their own credit card details.
  5. If fitting, customers can even leave a tip directly from their phone, no need to touch the POS.

2. Provide contactless Self-Serve Ordering via Square Online

What it does: Allows customers to order and pay by QR code in restaurants.

Who can use it: Full and quick service restaurants.

How it works:

  1. Create or log into your online store.
  2. Update menu offerings, then generate and print QR codes for signs, tables, or anywhere you want diners to place their order.
  3. Diners scan the QR code to bring up your menu. Then they can:
    • Select items and modifiers
    • Add special requests
    • Place their order
    • Pay directly from their device with all major credit cards.
  4. Orders are automatically sent to your POS or KDS.
  5. Service staff deliver food to diners using a ticket with guest name and table number.

3. Provide contactless payment in person via Square Online Checkout

What it does: Allows customers to use a printed QR code to purchase an item from their phone.

Who can use it: Anyone selling a few items, offering a specific service, or taking donations.

How it works:

  1. Create a checkout link from your online dashboard or in the SPOS app for one item.
  2. Print QR code.
  3. Place QR code anywhere you want customers to access it.
  4. Customer scans QR code and is taken to a simple checkout page to pay with all major credit cards.

 

The QR code is an important part of today’s business operations, providing active ways for customers to connect and engage with brands of all kinds. QR codes can also help you deliver the types of experiences customers want. In other words, QR codes make it effortless for shoppers to engage with your brand by simply opening the camera app on their smartphone.

Stephanie Vozza
Stephanie Vozza is an experienced writer who specializes in small business and retail. She has been a regular columnist for FastCompany.com for five years, and her byline has appeared in Inc., Entrepreneur, and Parade.

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