In brief
Travel, retail and media businesses can use mobile apps to connect with consumers through booking services, interactive shopping experiences and exclusive entertainment content. This 2014 article highlights smart, location-aware features and seamless interaction as characteristics of successful apps.
Since 2007, when the app market first emerged, apps have come a long way. There are now more than 5 million apps on the market for users to choose from.
Many factors have contributed to this growth. One important factor is undoubtedly the ability to bring products to users worldwide with a relatively small upfront investment. The remarkable growth of app stores is about more than numbers: it also reflects the wide variety of apps available, with an app for almost every conceivable task. There are at least 20 app categories on the market.
Nevertheless, not all app categories have evolved at the same pace. Gaming and social apps have advanced ahead of other categories. In fact, most of the top ten apps on Google and the Apple Store, ranked by revenue and downloads, have consistently been gaming or social apps. Social and gaming apps also lead by a wide margin in downloads and engagement. These apps pioneered monetization strategies that rapidly transformed the app market into the multibillion-dollar economy it is today.
Travel
With mobile sales expected to account for a quarter of US online travel sales by 2015—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 travelers with hotels and other services that meet their needs.
As more participants enter the industry, travel aggregator apps occupy the top ten positions among travel and transportation apps. These aggregator apps have added new features beyond booking services, helping them maintain their leading positions.
Retail
Retail apps, when used effectively, can influence the shopping experience. A research firm predicts that revenue from smartphones will rise from US$16 billion in 2013 to US$46 billion in 2018. As “showrooming” becomes more common—where consumers browse products in stores and later buy them online at lower prices—successful brick-and-mortar retailers are using retail apps to bring shoppers back into physical stores.
Research shows that using mobile apps to create interactive in-store experiences can increase customer engagement fivefold, boosting both loyalty and sales.
Media and Entertainment
By the end of 2017, the number of digital television viewers will reach 145 million. The entertainment industry is also turning to mobile apps to engage with fan communities and expand their viewing experiences. Activities across devices make it easier for you to find your favorite shows and become immersed in them.
Fans can access everything from movie 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 is when apps will become a key channel for marketers to reach consumers. Popular apps are smart, location-aware and interactive, and provide a seamless experience. The most successful companies will emulate these apps and build on them through innovation.