It’s a common phrase these days that “there’s an app for everything.” When it comes to business strategies, there are good reasons why the saying is pretty much true. Mobile apps have transformed the ways in which we access information and perform basic tasks, and because of this they’ve become invaluable tools for businesses. But the fun part is, the emergence and growth of the app market happened so rapidly that many businesses are still catching up! So if you’re part of a company that’s considering developing an app, or you’re just curious about the idea, here are four of the main ways in which such a tool can help a business.
Building an app for your business immediately opens the door to almost limitless marketing and brand exposure. BiznessApps makes the interesting observation that even the presence of your name or logo on the cover of an app can serve to strengthen your brand. For example, someone with the Delta app downloaded on his or her phone sees the name and logo virtually every time the phone is used, and this will naturally have Delta in mind the next time he or she plans to fly. And really, this isn’t even the primary method of brand exposure that an app allows! The bigger benefit may simply be in allowing user activity on an app to be shared or streamed. Many apps strategically connect with various social networks so that every time a user undertakes an action on the app, his or her networks will see a notificati
on of that action!
Basically, this is the idea that your app can offer promotions and incentives to customers in a natural manner. Posting such offerings on an ordinary website means that the customers have to come to you to begin with. However, putting them in an app means that after just a single download of said app, a customer is more likely to engage with the various promotions it offers. Entrepreneur calls this simply “Customer engagement,” and uses the iFood Assistant by KRAFT app as a nice example. This app provides recipes using KRAFT ingredients, and in the process offers coupons and prepared shopping lists to users, thus incentivizing KRAFT purchases in a natural and constructive fashion.
This benefit is difficult to overstate. To some extent, it walks hand in hand with the idea of offering a direct line to customers. However, think of it from the perspective of gaming or shopping companies. The Betfair company is one that’s made extensive use of app markets in this regard, providing essentially the same services one finds online, in app form. The concept is simple: a user may log onto the website to play bingo (and thus generate profits for the company) whenever he or she specifically feels like this activity. But with an app available at the touch of a screen, the games therein become more valuable and, usually, more frequently used. The games are played on a whim, as a solution to boredom or a method of fleeting entertainment. In this way, a business that involves direct customer purchases or deposits can benefit enormously simply by being readily available through an app.
Finally, a company can also profit through the generation of entirely new revenue streams through an app. This goes beyond brand exposure bringing in more customers, or direct availability making the use of services more frequent, and actually gets at the idea of entirely new ways to profit. Naturally, one aspect of this idea is simply in placing a small fee on the app download. However, many businesses ultimately find that the best way to generate additional income is by allowing advertisements to be placed within the apps. As The Guardian wrote last year, some popular mobile games made upwards of $1 billion, and most are using this sort of profit plan.
Ultimately, most successful businesses operating today should have app platforms simply because we’ve reached the point where it’s expected. But when you consider these additional benefits, it’s clear that an app is an absolute necessity for businesses looking to maximize potential.
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