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Branded apps may not be everyone?s cup of tea

The proliferation of smartphones has sent a mob of brands and retailers into the applications space. But do all brands really need a mobile application?

Mobile applications are quite sexy right now with many marketers making their entry into mobile with the launch of one. But industry experts agree that mobile applications are not for everyone.

?The decision tree for most marketers is really about where they are with their mobile strategy,? said Scott Michaels, vice president at Atimi Software, Vancouver, BC, Canada. ?Is your idea for an application more than just a Web site?

?End users and Apple are not interested in applications that replicate the Web,? he said. ?Remember I can get there already from my phone.?

Reasons for an app
Applications let marketers incorporate the native features of a device, making the application experience more immersive than the Web.

With a lot of applications, users are not required to be connected to the network for them to be used, unlike mobile Web, which needs to be connected or else it does not render.

Applications provide a richer, deeper and more engaging experience than mobile Web and far more functionality.

Additionally, applications can still leverage unique device APIs that the mobile Web cannot ? not even using HTML5.

The unique tap-and-scroll experience makes applications addictive and fun to use. This experience is not offered on the mobile Web either.

 ?Quality is where most brands make mistakes when having an app developed,? Mr. Michaels said. ?Too low of a budget, or racing to the bottom in terms of features in order to hit a date will not just give you a bad application, it will hurt your brand.

?This is a very personal device, and you have to earn your spot on the user's phone,? he said. ?The idea of quickly launching something is long over, your app should have staying power and quality development or you will get nothing but bad reviews.?

Roy Chomko, president of Adage Technologies, Chicago, said that making the decision to develop an application for one or all mobile devices is a big and expensive step.

So before marketers decide to dive in the application world, they should make sure to have investigated cheaper and easier ways to make their message accessible to the mobile user.

This all starts with the brand?s Web site.

?Making your Web site mobile friendly allow your website to be viewable on mobile devices and avoid random images and links throughout the users screen,? Mr. Chomko said. ?The next step is a mobile-specific browser, which creates a Web site tailored specifically to mobile screens.

?This is easier to navigate and information is styled specifically for the smaller screen of a mobile phone,? he said. ?Marketers should consider covering these bases before developing an application.

?However if the capital is available and they are looking to connect to mobile users on the deepest level, perhaps an application is the right course.?

Questions to ask before developing an app
1. Where am I at with mobile Web?

2. Is my idea more than the Web site?

3. What are the goals for the application?

4. How long will I want to keep this application alive?

There is ongoing cost to applications, as brands must keep pace with OS updates as well as improve the application if they intend for it to meet their success metrics.

Most brands rush in because of the opportunity for personal interaction with the end user, but cost should also be taken into account. Can the brand afford this?

?Overall brands should look to surprise and delight,? Mr. Michaels said. ?That can be achieved in millions of ways, but if in your planning the application seems boring ? well it is boring.

?What are you doing that will make me open this app at least once a month,? he said.

Applications are not easy to execute but when done correctly, they certainly can pay off for everyone involved, per Mr. Chomko.

Rather than simply having a Web site among millions of others in the mobile world, applications offer marketers a direct connection to their audience.

It is becoming more likely that mobile Internet usage will take over traditional desktop activity. And the application world is growing at incredible rates, with Apple having more than 250,000 and Android with about 70,000 and growing.

Like any other technological advancement, being left out of a growing trend could give competitors a leg up.

Not only does an application give customers quick and easy ways to access a brand?s information, buy products and offer feedback, but having a company as part of the phone menu can breed incredible brand loyalty, Mr. Chomko said.

?The biggest question you will face when deciding to develop an app is simply which devices you will choose to develop for,? Mr. Chomko said.

The top smartphone platforms include Apple iPhone, RIM BlackBerry, Google Android, Microsoft and Palm.

While it may seem that everybody has an iPhone, that only represents about 25 percent of the mobile Market, per Mr. Chomko.

?In fact, BlackBerry devices would be a marketer's best bet, as they represent about 40 percent of the market,? Mr. Chomko said. ?But developing for RIM is notoriously difficult and expensive and the Android market is also quickly catching up to the others.

?Of course, you could develop for every device, but that will likely include huge start-up costs,? he said. ?Like anything, there are a number of variables to consider and your situation will be unique from others.?

Develop and win
Brands should look to win in their category with the applications they launch.

Consider who the competitors are in the App Store. It is important to develop something better than what is already there.

There is no room for "me-too" applications anymore, according to Mr. Michaels.

Finally, remember to look at applications already developed by the developer.

?There are many newbies to the space calling themselves application developers when really all they are is a Web developer in the basement,? Mr. Michaels said.

Apps complementing multichannel mix
Applications should always be part of a larger strategy.

While they can play the role of a star in that mix, left alone many applications fail.

With the number of applications hitting the store each week, consumers need advertising that is going to let them know about a specific brand?s application.

?Games are always a big hit during the holidays, as are applications that really show off the hardware, so you can show your family your new toy,? Mr. Michaels said. ?We see a huge spike at Christmas, as everyone whom received app store gift certificates as gifts starts spending those dollars.

?There is no better captive market than someone stuck at a boring family gathering to get them to make a large amount of app and in-app purchases,? he said.

The developer should be aware of a brand?s other marketing efforts and the application should be in sync with other campaigns, including the Web site, advertisements, emails or direct marketing, per Mr. Chomko.

There are certainly many examples of both huge successes and massive failures in the application world.

The best applications offer the user personalization options, an interactive interface and are easy to use on the go.

With their ability to spend on state-of-the-art applications, many big box retailers have led the way in mobile application development.

Amazon is a great example as their iPhone application offers a quick, simple user experience.

Customers have access to millions of products right in the palm of their hand, literally.

Retail apps
Retailers such as Best Buy, JCPenney, Wet Seal, Target and The Home Depot rushed to the application space.

Their applications are commerce-enabled, letting consumers not only shop, but buy directly from the application as well.

Applications are now acting as an additional source of revenue for some retailers. For example, eBay is on track to do $1.5 billion in mobile revenue this year, with 30 percent of that via the mobile Web and the rest via applications.

So, does this mean that all retailers must have a mobile application for the holidays?

?I would say if you are not already in production then the answer is no, as there is not enough time to produce a quality application and have it in the store before the holidays,? Mr. Michaels said. ?Remember to leave 3-4 calendar months of production time in your planning.?

Applications are a growing trend but they certainly are not a must, Mr. Chomko said.

With such high start-up costs and the necessity to develop for several devices, an application is certainly not the most efficient and cost-effective solution for every company.

But with the explosion of Internet usage, it is essential for users to be able to access a brand?s products through a mobile device.

?One of the most popular mobile applications for shoppers is a bar code scanner,? Mr. Chomko said. ?These applications allow users to scan in a products bar code and compare the price among nearby stores.

?With the holidays comes a huge increase in shopping and an emphasis on getting the best deals,? he said. ?These bar code scanners were very popular last holiday season and with even more people converting to smartphones in 2010, expect the numbers downloading applications like this to skyrocket.

?Good examples of these bar code scanners are ShopSavvy, Where to Shop and RedLaser.?

Final take
Giselle Tsirulnik is senior editor of Mobile Marketer
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