In
a study ‘Mobile Marketing Economic Impact Study’ Commissioned by the Mobile
Marketing Association’ it is observed that in 2012, USD 6.7 billion was spent on Mobile Marketing by client side
marketers and retailers across industries in the US. This is likely to reach
almost USD 20 million by 2015(1).
For an industry which is still in its nascent stage, this growth is phenomenal.
The
consumer side uptake for Mobile Apps has been astounding too. In July 2014, Google Play had a total of 1.3 million apps
and the Apple App Store had nearly 1.2 million apps. Most significantly, the
Appstore by Amazon, the world’s largest online retailer had over 240,000 apps
available (2).
Creating
mobile moments for their customers is definitely the new fad for marketers. One
look at the television adverts by leading retailers including Amazon, Flipkart
and Snapdeal reveals that each retailer has one common theme. The ads urge
consumers to download the Mobile app and interact with the retailers services
through the app.
There
is merit behind the concept. Amazon, Flipkart, SnapDeal and other similar
retailers have realized the subliminal power mobile phones and the apps
residing in them have. Apps are the most powerful tools available today to
create ‘Brand Resonance’ (3). They are instrumental in driving the
customer mind share for a brand. Most importantly, besides communicating the
brand value, mobile phones provide the opportunity to procure goods or services
in real time.
It
is a proven fact that mobile customers are more likely to be ready to take
action.
Mobile
apps are an excellent way to create recall for a brand. Apps are built around a
solution to a problem or a specific procurement need. So individuals using a
specific app are more likely to pass it on to help their friends and family.
The
allure of relying on mobile apps germinates from the fact that these apps like
a mobile device are always present, always on and always connected. Smart
telephony has played a major role here, creating opportunities for unrivaled,
ubiquitous one to one, personalized communication.
The
interesting thing to consider here is that for consumers all this is absolutely
subliminal. Smartphones have become tool-kits to solve everyday problems. The
nexus between Smart Phones and apps these days is seamless. Leading retailers
are tying up with smartphone providers to inculcate pre-built apps in their
devices. Need to buy a dress, just open
the Amazon app and order. Need to remember to drink water; there is an App that
will remind you. Someone posted on a social media site how a training app from
Adidas was helping them slim down.
In
each of these cases, the association with the parent brand is ingrained in the
consumer’s head without even a conscious effort. This has a remarkable impact
on the consumer preference and engagement!
- Mobile Marketing Economic Impact Study; Peter A. Johnson (PhD) and Joseph Plummer (PhD)
- http://www.statista.com/statistics/276623/number-of-apps-available-in-leading-app-stores/
- Brand Equity Model by Kevin Lane Keller
