In brief
Travel, retail and media are major areas of opportunity for mobile apps. The article highlights booking features, interactive in-store experiences and fan engagement, with intelligence, location awareness and smooth interactions supporting successful apps.
Since 2007, when the app market officially emerged, apps have come a long way. There are now more than 5 million apps available for users to choose from.
Many factors have contributed to this growth. One important factor is undoubtedly the ability to put products in front of users worldwide with a relatively small initial investment. The remarkable growth of app stores lies not only in the number of apps, but also in their variety: there is an app for almost every conceivable task. The market has at least 20 categories of apps.
However, app categories have not all evolved at the same pace. Gaming and social apps have outpaced other apps. In fact, in terms of revenue and downloads, most of the top ten apps on Google and Apple Store consistently belong to the categories of gaming apps or social apps. In addition, social and gaming apps also lead by a wide margin in downloads and engagement. These apps pioneered monetisation strategies that rapidly transformed the app market into the multibillion-dollar economy it is today.
Travel
With mobile sales expected by 2015 to account for a quarter of US online travel sales, equivalent to nearly US$40 billion in travel revenue, mobile apps are attracting investment from many sources. Mobile apps are a natural fit for travel, connecting travellers with hotels and other services to meet their needs.
As more participants enter the industry, travel aggregator apps occupy the top ten positions among travel and transport apps. These aggregator apps have added new features beyond booking services to maintain their competitive position.
Retail
Retail apps, when used effectively, can influence the shopping experience. A research firm predicts that smartphone revenue will rise from 2013's US$16 billion to 2018's US$46 billion. With the rise of “showrooming”—where consumers browse products in stores and later buy them online at lower prices—successful physical retailers are using retail apps to bring consumers back into their stores.
Research indicates that using mobile apps to create interactive in-store experiences can increase customer engagement 5 fold, raising both loyalty and sales.
Media and Entertainment
By the end of 2017, the digital television audience will reach 145 million. The entertainment industry is also turning to mobile apps to interact with fans and expand their viewing experience. Activities across devices make it easier to find your favourite programmes and become immersed in them.
Fans can access everything from film trailers to games and take part in interactive online chats through mobile apps created by studios. Television and film studios will work with content providers and developers to offer exclusive promotions and content.
As more people interact with major brands on mobile devices, the question we need to consider is no longer whether apps will become a key channel for reaching consumers, but when. Popular apps are intelligent, location-aware and interactive, and offer a seamless experience. The most successful companies will emulate these apps and build on them through innovation.