Posted by Kim Luegers, Director of Media Innovations, Draftfcb Chicago's MC Media
Many of our clients today are asking about iPhone applications. And because the space is evolving so rapidly, I thought I’d put some thoughts together to help everyone better understand the foundation of the application landscape and the various options clients have today.
So, let’s start with the overall picture.
- There are around 7 million iPhone’s in the U.S. today and 5 million iTouch devices.
- As of Monday, 3/21 there were 27,131 applications in the App Store.
- Premium apps (those that cost $) now comprise 77.3% of all downloads.
- Games lead in all app categories with 23.1% of App Store downloads.
- Entertainment apps follow at 13.6% trailed by books 9%, utilities 8.5% and education 7%.
- The least popular category: travel apps, which make up just 3.9% of the app store inventory. Though, look for this to change, as we know of one app that is slated to enter the market that has some really slick functions such as storing all of your travel details and going so far as to syncing up with all of your frequent flyer/loyalty rewards information.
There are very few consumer branded apps in the market today. In fact, at a quick glance, I could only identify 11 total branded apps: Audi A4, Carling iPint, Chanel, GAP, Hooters Slider, Kraft iFood, Oakley Surf Report, Zippo, Coca Cola’s Magic Bottle & Spin the Bottle, and lastly REI’s Snow Report.
There is an opportunity for us to help our clients get in the game. But there are some basic elements that need to be vetted before jumping into the space.
- Make sure your consumers actually have/use iPhone/iTouch applications. You may want to broaden your reach and develop apps for other mobile device platforms such as Blackberry and Android
- It is critical for the consumer to feel that your app is a dynamic messenger who holds up your end of the conversation by consistently feeding in fresh relevant content into the experience. This will ensure your app maintains its sense of cool and usefulness long after that initial download.
- Know where your brands consumer’s interest lies and focus your app around this desired content
- Ensure there is a balance among utility and brand marketing. Don’t do an app as an ad.
So, you think you’re ready to jump in?
There are three different routes you can take—build your own, buy outright or integrate (lease) into an existing app. The obvious benefit to building your own is you control every aspect of the app, from start to finish—expect this to take 4-8 weeks to develop once a concept is nailed down.
The other options, buying an app outright or integrating into an existing app., allows you to dip your toes in the water with out diving right into the deep end of the pool. Testing the space with a well-timed integration tactic could be the right way to accomplish a short-term marketing goal of engagement and awareness. This allows your brand to keep an ongoing marketing program fresh and well-supported, even if only for a short while.
So whether you choose to build, buy or lease, be sure to carve out dollars to run media to promote downloads. Because we all know, consumers can not download and engage with an app that they don’t know exists.