Wednesday, June 29, 2011

Branded Mobile Apps: Entertainment vs. Utility

From Adgeek:

by jinalshah

What makes a branded application worth downloading and interacting? Here are some top-level thoughts that I will continue to build upon in the coming weeks. My goal is to provide you with a framework for thinking about a branded apps. While the final build and concept will vary from brand to brand, here are some principles and tools to consider so that you can make the most of your investment in the mobile app space.

My research has led me to believe that applications usually fall under two value propositions: Entertainment or utility. Below is an amazing chart, compiled by Geoff Northcott, Client Partner at AKQA, of publicly available download data for branded applications. (Geoff, too, categorized the applications as Entertainment or Utilitarian.) Although these download numbers are circa 2010, I re-shuffled this data a little bit to make a point. I divided them into two separate charts: Entertainment vs. Utility and picked the best five branded applications in both sections with the highest download numbers.

Screen shot 2011-03-07 at 4.31.19 PM

The point of doing this was to illustrate the pros and cons of entertainment vs. utility in branded applications. Here is the breakdown:

Entertainment:

  • PROS: A one-off promotion based approach to mobile applications usually delivers huge spikes in customer engagement and often shows significantly higher download numbers.
  • CONS: Brand recall – a large number of entertainment based mobile applications are game-based and as such, it is difficult to ascertain whether users are even aware of the brand when interacting with these applications. Another major con is sustaining on-going interaction with the brand. Interest wanes as the novelty wears off and often, there is little to no re-usage. In fact, 95% of downloaded applications are not used after 30 days. Under-utilized asset of x many customers that have downloaded the application.

Utility:

  • PRO: Evergreen application; perhaps not very sexy. Has a slower build initially but evolves and grows with the brand and its audiences. Usually also reflects the general brand direction
  • CONS: The biggest challenge with such an application is to continuously evolve the offering and keep it interesting and valuable to the consumers. It needs to strike the perfect balance of entertainment, content and utility

Most brands have taken an either/or approach. While I think it depends on the direction and the strategic needs of the brand, it is worthwhile to consider that it doesn’t always need to be an either/or approach. Entertainment based applications have demonstrated the ability to drive high downloads. Why not consider an “Entertainment” based feature as part of your Launch strategy for your branded application ? Ongoing updates can work on evolving the brand and adding newer features and offerings into the application.

Another point-of-view to consider is simply creating diverse applications for diverse audiences. Lets face it. A deal-hunter will not download a branded application for a highly engaging game. And a gamer will not be very interested in a content-based application. In such cases, it is smart for brands to consider which audiences they want to target and build experiences specifically for those niche audiences. My only caveat is that even as brands build niche experiences, it is crucial to think long-term instead of immediate short-tern return.

Kraft’s iFood Assistant is one of the best branded application case-study that I can think of that has nailed the program vs. platform concept. The application offers up to 2000 recipes, many of them using Kraft products. The application has also in-built shopping lists and deals/ coupon features that incentivize users. It is one of the few applications that has continued to keep its users engaged: It launched in 2008 and to date, about 60% of users that downloaded the application continue to use it. In fact, Kraft charged a cool 99cents per download as well, ensuring an alternative revenue stream and solidifying its value with the users.

Regardless of the route you choose, here are some best practices to keep in mind when designing and building the application:

Best Practices:

Marketing Support: Every successful branded application has had strong marketing support in form of paid media, mobile ads and even online PR. This support gives the initial boost to the application but mostly focuses on generating enough downloads to have the application listed in Apple’s Top 100 applications. Applications featured in the list have a 40% higher chance of being downloaded by other users. Additionally, Star Ratings and Reviews also incredibly important tools towards increasing a brand’s chances towards making it into the Top 100 list. Although this is specifically for iTunes, it is fair to expect similar marketing levers to emerge for the Android Marketplace as well. (Consiering Android is now the number one Smartphone in the word)

Intuitive User Experience: If you are not going to invest the necessary time and resources into building an intuitive and highly capable user experience, you are better off not making a mobile application at all. In a recent study, 13% of users said that a bad experience with a branded application avoided them from downloading other applications from the brand. Also, users just expect an application to be fun and easy to use. Don’t just try to replicate an existing marketing promotion, elements of your website or an ad campaign on your mobile app. Build for its audience and its eco-system.

Social Sharing: Maximize the capabilities offered by a mobile application. Several applications can “speak” to each other. Also there is no point in reinventing the wheel. So where and when possible; make sure your application is connected to Twitter, Facebook, Foursquare or whatever eco-system your brand lives in.

Customization: Depending on the brand, I believe that simple customization not only helps make an application more interesting but also increases the opportunity for re-use. It’s also highly beneficial for brands from a data-collection perspective to have more granular information about your customers.

I’m sure you’ll want to look at case-studies to build your own argument/case. I didn’t see any point in re-writing the best ones there are. So here are the links to the best resources on the web. I hope this helps.

Additional Resources:

  1. Mashable’s Top 13 Branded Applications
  2. Best Practices: Mobile Marketing & App. Strategies for Food Brands
  3. Best Practices: Branded Application Design
  4. Geoff Northcott: Branded Apps: Strategies for Success

No comments:

Post a Comment