Growing Influence Of Mobile Apps – 2016
Mobile applications have changed the way people use mobiles forever. Using downloadable software and a good internet connection, smartphone and tablet users can access services across the globe at the touch of a screen. Early mobile apps mainly consisted of simple games and basic mobile tools – such as calculators, alarm clocks, schedulers and currency converters. However, development of mobile apps caught on quickly and now there are millions of different programs available.
“Mobile app development can be done in-house at relatively low cost,” says tech guru and software consultant Alan Dennis. “Many companies shy away from setting up apps, believing it will be expensive and time-consuming: but the reality is very different.” Online fashion retailer Amy Barker agrees. “Our boutique has seen a big increase in customer engagement through our app’s ‘deposit and reserve’ feature. Our IT team developed it using free online tools, and it only took them around a week to get it just right.”
Free Vs Paid-For Apps and Content
90% of the 3,000,000 available mobile apps are free to download. Paid for apps are more commonly downloaded in the US than anywhere else – just 1.2% of UK mobile users have paid for applications. However, the majority of mobile apps are known as ‘freemium’ content. The initial download may be free, but payments must be made within the app to unlock full membership status, or to reveal an additional content. This model works particularly well for gaming apps. A lot of revenue can be generated by allowing pop-up advertising within apps as well, with some programs offering users the chance to remove ads by paying the premium fees.
App Types and Categories
Games are by far the largest demand on the app market. 23.3% of the most popular apps are from the Games sector, while Business programs are second at 10.22%. Other popular categories are Education, Lifestyle and Entertainment. Perhaps surprisingly, navigation apps only account for 1.1% of all popular content. Games are also the most produced kind of web application, accounting for 37% of the entire Play Store catalogue.
However, no game features in the top 15 downloaded apps of 2016 – almost all of these belong to the lifestyle category. Facebook is the top downloaded mobile application, with a market reach of 78% and over 800 million active users. Its live chat service Messenger also takes second place with 62.5% sector saturation. Google services fill places 3-7, including Gmail and YouTube. Retail also gets a mention here, with Amazon claiming a 38% reach across app downloads. The average app user today will access around 23 programs each day, according to SimilarWeb’s recent research – many of these are lifestyle apps.
Top Applications By Category and Downloads
Voucher provider apps are being downloaded with increasing frequency as shoppers turn to the internet to help them save the pennies. Wowcher, Groupon and VoucherBin are all great places to visit if you want to pick up money-off coupons and amazing deals. One fifth of consumers use voucher apps every day and over half use them at least once a month.
Retail marketplace apps tend to perform better than individual retailers. Users choose apps because they are fast and straightforward: using a service like eBay or Amazon means they can access any product from one or two apps, rather than needing to download each store’s individual service. Of course, many consumers will pick their favourite services. Takeaways such as Dominos and Pizza Hut, and coffee houses such as Starbucks and Costa, see many customers using their apps to get specific discounts and deals.
Fashion and homeware retailers do make the list of top sales apps, however. H&M, Ikea, Lush and Urban Outfitters have all seen over a million downloads of their mobile applications. Another sector which has grown rapidly is the transport category, especially thanks to ride-hailing services like Uber and Lyft. Along with traditional taxi services, these ride share apps allow licensed drivers to pick you up and take you to your destination – all at the touch of a screen.
The Future Of Mobile Apps
Mobile web developers are looking at bringing web browsing and application use together in one simple format. Current beta testing focuses on streaming functional apps directly through mobile browsers, although cross-app permissions have also been cited as a possible direction. Teaching apps to talk to each other could open whole new directions for consumer and retailer interactions.
With app usage rising steadily each year and following a 58% increase in 2015, it seems certain that mobile development will remain a key area for businesses to focus on. User demand for better apps and more services is growing. With over 3,000,000 apps already in the marketplace, developers will have to be even more innovative and create some exciting new content if they want to stand out from the rest.