When devising a strategy for the mobile space, marketers are faced with many questions but one of the questions on the tip of marketers tongues is should I invest in an iPhone application? With iPhone popularity at all time high in Australia, building an iPhone application seems to be a no brainer however before you jump into the app space here is some food for thought on the app market.
The facts about applications
Over the past few years iPhone developers have been busy developing iPhone applications and as a result more than 140,000 iPhone applications are now available from the Apple apps store and these have been downloaded over 3 billion times. In 2010 the onslaught of iPhone application development is only set to accelerate with more than 300,000 applications to be in the apps store by years end. And whilst application supply is high so is demand. In December 2009, app store users downloaded an average of 4.8 applications – ¼ of which are paid.
Considerations for app marketing
1. Not all apps are created equal
With this level of interest and activity it would seem at first glance that an iPhone application can be a very lucrative opportunity. Building an iPhone application however can be an expensive exercise therefore brands need to ensure that investment in the channel will deliver results . Similar to video not all applications are created equal, and with over 140,000 applications in the app store how is your branded app going to stand out from the crowd?
The BigOven application is one example of a successful app which received over 2 million downloads globally, however many struggle to get a few hundred downloads. Thus if you are considering to invest in an application there is a lot more to it than simply replicating your website to ensure you gain value from your investment. Consider how your app is going to get people talking, how app functionality can add value / augment the brand experience and how to leverage technology such as GPS to deliver a unique offering.
2. Consumers APPetite
Whilst cut through is difficult for any marketer, it doesn’t mean that application marketing cannot produce value. One of the key reasons organisations should consider investment in an application is that a portion of your audience will prefer to interact with your brand via an app whilst others prefer access via a mobile site. By failing to invest in an application, even if you have a mobile site, you maybe failing to appeal to a portion of your audience and this could be impact your mobile reach. Thus to make an informed decision brands need to understand their audience behaviour and mobile usage before making crucial mobile development decisions.
How new smartphones could revolutionise the application market.
iPhone’s popularity in Australia is hard to ignore but what many marketers may be unaware of is the battle brewing between iPhone and Android. Globally (according to AdMob), Google’s Android operating system has overtaken iPhones share in the smartphone market for the 1st time but will this occur locally? A recent survey I performed indicated users next mobile phone decision is strongly swayed towards iPhone, however there are other factors that could make the outcome of the next handset choice very different.
Android is working with a lot of the major carriers / handset manufacturers in Australia and globally to secure marketshare. Telstra is one that is launching its HTC desire, and to ensure a successful launch they have crowdsourced 26 social reviewers to blog on its launch. Also sitting on the android platform is Sony Ericsson’s Xperia X10, which arrived on the Vodafone and Three networks in May, whilst last month saw the launch of Motorola Dext on the Android platform as well.
So not only do marketers need to toss up the value of iPhone applications, they need to be consider if the application will be accessible via multiple app stores.

What are your thoughts on application marketing? Have you had success with an iPhone strategy? If so share it below.
Paid search innovation for Google is increasing at a rapid pace as Facebook is set to nab $2 billion in advertising revenue from the search giant in the next 2 years. This combined with keyword inflation which is diminishing advertiser value is testing Google’s ability to continue to grow ad revenue. One way Google is attempting to drive innovation is through Google’s Innovations Lab. The lab provides a sneak peak into some of the new formats Google is offering, along with the ability to provide Google with feedback on the new formats. In particular one interesting new format is the Google remarketing tool – which allows advertisers to remarket to consumers by delivering tailored messages based on user onsite interaction.
Google Search Funnels;
3. Local Query Searches; As is widely published, mobile searches will often contain location based queries, however it is also important to note that users are not only searching for this content via search engines. Mobile applications have to date achieved much success, which is partly due to the effective presentation of information within these applications. Thus it is important to understand that optimisation for location based queries may not be enough. Consider how key applications related to your industry are gathering results from search engines and how your mobile site can deliver content in the format required to be featured within these applications.
4) Mobile Internet Usage; Mobile broadband subscribers equalled 2 million users at the end of 2008. This is estimated to grow to over 5 million mobile broadband users by 2013 – Telyste
Social Media
The market in detail
Mobile Advertising
Nokia Australian “Comes With Music Announcement”
Everybody will want an app store in 2009. The iPhone App Store has had more than 300 million downloads globally, with more than 10k apps available as of early December 08.
Users + Content = Advertising.
1. Google Phone Goes Onsale – From the middle of February, the new Google powered HTC’s Dream phone will go on-sale. The phone will initially be sold only on Optus with 4 plans available – offering up to 3GB download. This will boost Australian’s already strong appetite for internet access on the move.
3. Battle of the Social Networks – It seems Facebook has continued to increase its popularity in the Australian marketplace. According to web traffic monitor Nielsen Online, Facebook had over 4.5 million unique visitors whilst MySpace only registered 2.3 million in December 2008. Businesses looking to benefit from friendvertising may start to re-think directing efforts towards MySpace over the coming months particularly those in SME’s where resources are limited and decisions are made based on placing effort into areas with the highest potential for return & exposure.