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Apps For Business . . . If You Build It Will They Come?

 “By 2016, mobile app use will surpass the use of Internet domain names, making apps the Number 1 way of engaging with brands” – Brian Blau, Gartner, Inc. 

In addition, the future for brands using apps to engage with customers looks exceedingly bright according to these bold predictions: The number of apps downloaded in 2013 will double to 81 billion.

  • By 2016 this figure will have reached 310 billion.
  • By 2014, mobile apps will generate $35 billion in revenue.
  • By 2016, apps-driven revenue will increase to $74 billion.

That’s the good news for businesses (and app developers) everywhere. Those impressive figures alone may be enough to have you reaching for your local marketing consultant’s number, but hang on just one sec.
The flipside is, that the number of app downloads does not equate to repeat users. In fact a recent study reported that a quarter of all downloaded apps are only used once, and then abandoned.
The aim with app marketing, as with any form of marketing, is not to go for the quick fix, but rather to strive to build a loyal customer base that will continue to use your products on a regular basis. Better still, is that these loyal users become advocates for your brand and recommend your app to their friends and associates. 


Setting your marketing goals


Successful app marketing amounts to a slightly unique proposition, as there are several variables you will need to consider, for example your:

  1. Target rank within app stores
  2. Target cost per new user acquired
  3. Target cost per installation

Finding an appropriate way to measure and evaluate these costs will be key to determining your overall ROI. 


How will people learn about your app?  

The two major players in the app-selling industry are Apple (App Store) and Google Play. So will your app marketing strategy be predominantly ad-driven, or organically-driven? Arguably, the most successful promotional strategies involve a combination of these two elements, with organic users generally regarded as the more loyal customer base to target. In addition, there’s a process termed ‘organic lift.’ This is where your app achieves significant downloads (usually ad-driven), which automatically results in higher rankings, which in turn means that your app is more likely to be discovered (and downloaded) by more organic-led searchers. 

The perfect scenario really.

How much will you spend on marketing your app?  

The Mobile Marketing Association (MMA) says that the average marketing department allocates less than 1% of its annual marketing budget to mobile. Indeed, based on recent research, the MMA concluded that the average dedicated budget for mobile should be around 7% – and 9% – for businesses and brands “with higher app involvement.” For the success and longevity appeal of your app, it’s vital that your marketing strategy is ongoing, rather than ‘a short, sharp burst.’ Rather like with Search Engine Optimisation, a continued promotional ‘push’ and tweaking of marketing elements is required for long-term achievement.