TakeAway: Are apps the next best thing to a Web site? Some say yes!
With consumers becoming more and more reliant on their cellphones as an information resource, apps are positioned to be a key tool to drive trial, loyalty, and cross-sales.
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Excerpted from NY Times, “What Do All These Phone Apps Do? Mostly Marketing,” By Roy Furchgott, October 4, 2009
Useful applications are seen as a gold mine for building brands.
Stanley Works, the hand tool maker, iPhone App turns the phone into a level …The company does not know if the iPhone app drove a single sale or fostered any brand loyalty. But based on the 400,000 downloads, Stanley declared the iPhone level a resounding success and is now looking for other tool apps … Other companies are experimenting as well …
Behind the land rush to apps is a belief that they may be some of the cleverest advertising devised. They are advertisements that people voluntarily choose to watch and share with friends. Some apps are even consulted in store aisles when customers decide what to buy. “Apps have a huge advantage,” said a mobile market analyst … “You had to take a step to get it; you are already half sold.”
When people open an app, they give it full attention, which helped drive MasterCard’s decision to follow its A.T.M. locator app with one that would show shoppers nearby stores that offer discounts to MasterCard users.
Apps also give the company a chance to sell cardholders on more services. “It allows consumers to engage with the brand every day,” said SVP for mobile digital marketing at MasterCard …
Novelty apps have had the most downloads, research shows, use of them fades quickly …
Current thinking is that utilities that people use repeatedly are the most effective …
Edit by TJS
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Full Article
http://www.nytimes.com/2009/10/05/technology/05apps.html?ref=media
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