Check out what Google are up to with Google Mobile App
How to Encourage Mobile App Discovery and Usage
JUNE 15, 2011
Marketers must ensure their apps are not only found and downloaded but kept, too
Mobile apps are used as marketing tools by many brands, but they need to be marketed themselves in order for app users to find and then download them. Mobile app users depend heavily on word-of-mouth and social media to choose which apps to download—and the price must be right.
May 2011 research from MTV Networks found that recommendations from people they know and user reviews or recommendations were nearly tied as the top factor in discovering a new entertainment app for purchase or free download.
When deciding to download a free entertainment app, mobile app users said the app store ratings were most important (50%), followed by personal recommendations from a trusted friend (43%). For paid apps, price was the leading factor (63%), with the availability of a lite version to try for free enticing 49% to download.
Once an app is discovered and downloaded, the question turns to whether users will keep that app loaded on their smartphones. Nearly eight in 10 respondents to the MTV Networks survey said they “often” swapped out old apps when they found new ones that better served the same purpose, so apps are always in danger of being replaced.
Even favorite apps, some used frequently, are often abandoned after a few months. Just 11% of users kept their favorite TV or movie app for at least a year, and only 17% kept their favorite gaming app that long. It was more likely in both categories for apps to wear out their welcomes in less than a month.
The survey indicated that ease of use, updated content and a pleasant look and feel were in demand for TV and movie apps, while gamers wanted a challenge and good gameplay.
Marketers must push out their apps to potential users, not rely on simple presence in an app store—even in a “featured” area—to bring in downloads. App users trust other app users, and building up a satisfied base of downloaders can boost app success. That means the app experience must be solid and its function valuable to the consumer, which will also benefit the brand by keeping downloaders interested and engaged longer.
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NOVEMBER 22, 2010
Three-quarters of mobile app users expect major brands to have an app
The trendiness of mobile apps has made them a popular tactic among some marketers who want the latest, coolest thing—even if it doesn’t always make sense for their brand. In some sense, they may be right.
Consumers do consider apps a must, according to an October 2010 survey from interface design agency EffectiveUI conducted by Harris Interactive.
More than three-quarters of mobile app users said they expected all brand name companies to have a mobile application, and nearly as many said they expected the app to be easier to use than the company’s website.
Marketers must keep ease of use and also utility in mind when designing apps. The application must be a natural fit for the brand and offer a genuine value to users, or they could be actively turned off from the brand.
Paddy Power becomes first bookmaker with iPad and iPhone app
Paddy Power has launched a new iPad app, making it the world’s first betting operator to have both iPad and iPhone apps in the App Store, as well as an Android app.
The iPad App is now in the App Store and available for download.
Paddy Power last week launched an Android app for its mobile customers. The iPad app is the third downloadable mobile application that Paddy Power has launched this year.
The app is designed to work on iPad, iPhone and iPod touch devices, and will present the user with an optimised display suitable for the device on which it is installed. When searching the App Store, the app will appear in both iPhone and iPad search results.
Through the iPad app, just like the iPhone app, customers can manage their entire online Paddy Power accounts.
1,000 different sports markets
The range of Paddy Power specials available on the app includes money back specials, fallers insurance and early payouts, among others. Clients can also open a new account, deposit and withdraw money. They can bet on the entire range of Paddy Power markets including racing, football and more than 1,000 different sports markets.
Corona Sees Strong Results From Interactive iPhone ads
Getting access to accurate campaign results information is usually very difficult - most brands prefer to guard this information as a competitive edge.
However, recently Crown Imports (importer of Corona beer), mobile ad network Greystripe and market research firm ComScore have joined together to announce the results of Corona’s recent “Win a Beach Getaway” campaign which ran across Greystripe’s mobile advertising network.
The numbers show the campaign was very effective at increasing in both brand awareness as well as purchase intent.
The Campaign
The campaign was designed by Greystripe along with Horizon Media, Corona’s ad agency. It used Greystripe’s Immersion ad format (somewhat similar to Apple’s iAd Format) which is designed to allow advertisers to fully engage customers with sight, sound and motion.
In this campaign, consumers were presented with a full screen invitation to “get a glimpse of your beach getaway.” Then, a blank Polaroid style photograph appeared, and they were asked to shake their phone in order to develop the picture. There were also further options to watch a video about the vacation, and of course to enter the contest.
An invitation to glimpse your vacation by developing a photo
The picture develops and you have the chance to see more photos, watch a spot, or enter the contest.
Lots of Interaction
Although the campaign mechanic is relatively simple, consumers enjoyed the interactivity. The campaign was targeted 21 to 29 year old males and had the following results:
Users spent an average of 21 seconds interacting with the ad,
18% of those who interacted with the ad signed up for the contest.
Another important factor is that the ad is inserted seamlessly into the consumer experience. For example, in the video below the ad runs in-between levels of a mobile game. As you can see, the consumer finishes one level, interacts with the ad, and then goes straight back to their game with no interruption.
Wealthy smartphone owners use an average of seven apps on a regular basis
More than one-third of wealthy Americans have downloaded apps to their smartphones and another 11% plan to do so in the near future, according to the Luxury Institute’s September 2010 “Wealth Report.”
The Institute polled smartphone owners earning at least $150,000 per year (the average income was $247,000) and found that 61% of them paid for at least some of their apps. Similarly to average smartphone owners, affluent users polled downloaded weather-related, news and gaming apps the most.
The survey found that 40% of affluents downloaded travel apps and 39% business-related apps. The findings suggest that there are plenty of opportunities for luxury marketers to do in-app advertising and content sponsorships within apps. Interestingly, the majority of affluents were willing to pay for apps and spent an average of $84 in the past year on downloads. Further, the survey found 24% the affluents polled are willing to pay between $2.00 and $4.99 for an app.
Downloading apps is only part of the equation—wealthy smartphone users report using an average of seven apps on a regular basis, with 57% using five or fewer apps at several points during the day. Repeat usage is the key for luxury brands looking to get into the palm of their customers’ hands.
The survey noted that nearly one-third of affluents who have downloaded apps have downloaded consumer brand apps for shopping and for product and store location information. Affluents are using mobile comparison shopping sites as well, Milton Pedraza, CEO and founder of the Luxury Institute, told eMarketer.
High-end brands such as BMW, Mercedes-Benz, Ralph Lauren, Louis Vuitton, Chanel and iLuxury were the top branded apps downloaded by affluents. The top three functions performed with these mobile apps, each cited by 63% of those who had downloaded them, are clicking through to a website, communicating with others and locating a store. More than half (53%) of users look up product or service information and 30% actually make purchases via an application.
Retailers and brands that have mobile apps create favorable impressions with affluents—
56% of wealthy respondents said they view brands with mobile apps as “innovative” and “cutting-edge,” according to the survey.
As an example of an iPhone app, check out what Pizza Hut have done
Mobile apps are the hot thing to have—among marketers and device users alike. The rush to smartphones and the desire for more apps at an increasing price will lead to an explosion in application store revenues by 2014, according to the Yankee Group.
The research firm previously forecast $537 million in US app store revenues but now expects the stores to pull in $1.6 billion this year. Revenues will be nearly six times as high in 2014, at $11 billion.
Yankee Group revised its forecast based on several factors, including the increase in use of paid apps. Nearly one-third of apps downloaded are purchased, up from 18% a year ago. Further, individual app prices have risen. The average paid app costs $2.85, compared with $1.99 last year. Increased smartphone shipments also fuel the rise in app store spending.
The iPhone remains a darling, with users downloading three times as many apps a year on average, but other smartphones and carriers are gaining ground.
"Apple's innovative one-click technology and AT&T's exclusive deal for the iPhone put them ahead for now," said Carl Howe, director at Yankee Group, in a statement. "But strong results from T-Mobile suggest that Android will be the next breakout smartphone app platform."
Worldwide, Gartner predicted in January that app store revenues would reach nearly $6.8 billion in 2010, increasing to nearly $30 billion by 2013.
Ed Kaczmarek
Director of Innovation, Consumer Experiences
Kraft Foods
Kraft Foods launched the iFood Assistant in late November 2008 and released the upgraded iFood Assistant 2.0 a year later. The $0.99 app offers access to more than 7,000 recipes, cooking tips, a shopping list builder and how-to videos commingled with ads for Kraft brands. Ed Kaczmarek, director of innovation, consumer experience, discusses the branding goals of the iFood Assistant and insights into consumers’ app usage.
eMarketer: What is the goal of the app?
Ed Kaczmarek: Ultimately, our goal is to engage the consumer in a meaningful and relevant way. We want to make their life easier and to get closer to them during the point of purchase.
eMarketer: How does the app work?
Mr. Kaczmarek: The iFood Assistant provides a Recipe of the Day idea for seven days, as well as Dinner Tonight suggestions. It allows users to search our database of over 7,000 tested recipes, all with photos. We have a What’s on Hand search where they can type in up to three items they have and the app will offer recipe suggestions for those three items.
There’s a full-functioning shopping list that’s been refined a bit so that users can now check off items as they shop.
eMarketer: How do you promote the app to consumers?
Mr. Kaczmarek: We promote it across all of our Kraft channels, so it’s promoted on KraftFoods.com, KraftCanada.com. We have a recipe by e-mail that goes out on a weekly basis so we have periodic promotion there.
“We’ve concentrated on the mobile ad network and it’s very beneficial.”
We’ve concentrated on the mobile ad network and it’s very beneficial because we’re able to track actual conversion. We’ve added code into the app for the different ad networks. These have been efficient media buys that have driven a good amount of downloads for us.
eMarketer: How does the app interact with the online channel?
Mr. Kaczmarek: Users can sign in to iFood Assistant and their recipe box and shopping list will also be saved online. So if they’re at the computer, they can go to KraftFoods.com and access that recipe or shopping list. At any point, they can e-mail a recipe or shopping list to themselves or a friend.
eMarketer: What are the social hooks that are built into the iFood Assistant? For example, can users upload their own recipes?
Mr. Kaczmarek: We have that capability on the Website, but we have not yet activated it on the iFood platform. The social media hook right now is being able to send the different items to themselves or someone else. They can e-mail any recipe or their entire shopping list. We activated push notification where they can choose any day of the week and a time to be reminded of the Recipe of the Day or Dinner Tonight, even if the app is off. We also added a promotions and announcements section where we can notify users if something special is happening.
eMarketer: Since the iFood Assistant’s launch, how many downloads have you had?
“Six months after people download the app, we are experiencing over 60% of continued user engagement, which we feel is phenomenal.”
Mr. Kaczmarek: We do not share our download information, but what we’ve noticed is that six months after people download the app, we are experiencing over 60% of continued user engagement, which we feel is phenomenal. If you look at any of the stats out there, it’s more like 5% continued engagement two months after download.
eMarketer: Can you share any insights about consumer interactions with the app that were surprising or unusual?
Mr. Kaczmarek: We have 25% men using the platform, which was surprising to us. Also, over 90% of the people signing in to the iFood Assistant are new to the Kraft Foods environment so it has really been a great acquisition vehicle for us. Another observation is that when people share recipes, they definitely e-mail them more than they send them via text message.
eMarketer: How does the app promote the Kraft brand overall?
“The most important thing is we’re providing utility above branding.”
Mr. Kaczmarek:It’s a halo of innovation and helps position Kraft as contemporary. It really has connected us to the consumer closer to the point of purchase in a relevant way. The most important thing is we’re providing utility above branding. It enables all of our brands to connect with consumers because they are being included as a recipe ingredient. We also have advertising within different places in the app.
Getting access to accurate campaign results information is usually very difficult - most brands prefer to guard this information as a competitive edge.
