From 2010 to 2012, revenue for Pandora, the popular music streaming service that utilizes a mobile app, went from $55 million to $274 million. During the same period, the number of registered users more than doubled from 45 million to 125 million, with 70% of usage coming from their mobile app. In 2014, Pandora reported that revenues had increased to $732.4 million.
More and more, even small businesses are making the decision of using mobile app for business, and there is plenty of evidence to justify that decision. In today’s competitive business environment, those that most effectively utilize technology to the fullest have a definite advantage. Using mobile app for your business can help build a brand image. They can also provide measurable data that can easily be used for inventory maintenance, sales reports, and customer satisfaction ratings.
1) Research and Development
Investing some time in researching your potential customer base as well as your competition can help you build brand loyalty even before your app is developed. For example, you can conduct a customer survey asking what features would be most useful when using a mobile app platform to research product information or place an order. Customers want to know that your business is interested in making their shopping experience as convenient and enjoyable as possible.
Once you have researched what kinds of features are already being offered on mobile apps by competitors in the field, you can be the first to offer a few of those being most requested. You could even create a contest for the graphics your customers would most like to see on a mobile app. If you have a great idea for an app, it’s best to develop it fully before making the idea public to avoid potential competitors putting the extra bells and whistles on it. When developing an app, a few things to consider are convenience, ease of use, tight coding and attractive graphics.
2) Customer and Employee Satisfaction
Ideally, your app should benefit your employees as much as your customers by streamlining the business process as much as possible. A good mobile app should be easy to download and install. That usually means working with recognized and trusted marketplaces such as iTunes, Google, or Amazon. Customers trust these servers to prevent corruption of downloadable files. The app should also provide direct communication between your business and your customers.
In addition to increasing visibility through social media, a mobile app should also increase the speed and efficiency of customer orders. Most customers now want the convenience of being able to order online or having mobile payment options. Because of the personal nature of the data stored on the internet, it is also important to assure your customers that their information is stored safely. After launching a new app, it’s also advisable to provide a customer evaluation of the app.
3) Return on Investment
According to one article, 89 percent of online shopping is done through mobile apps. They are also the biggest source of online retail information. That means that in-store business as well as online purchases can be increased with the use of a mobile app. Sales can also be advertised with the use of banner ads and notifications. Mobile apps can also be developed in multiple languages, allowing you to increase your customer base by attracting international buyers.
Statistics show that using mobile app in conjunction with a mobile website allows a business to reach an additional 6.7% customers. However, if you’ve done your research and included your current customers in the development of your mobile app, the new customers you reach are more likely to become regular customers.
According to an article in Forbes, you can reduce the initial investment cost by using an app-builder to create your own app. The benefits of constant contact with your customers include being able to notify them of current sales and promotions. You also have the opportunity to provide personalized rewards for loyal customers. Research shows that the average American spends an average of two hours per day on their mobile phones. That fact provides businesses with the opportunity to present themselves and their products in the most consumer-friendly and intimate way possible, which benefits everyone.
Philip Piletic – Originally from Europe, currently situated in Brisbane, AUS where I work & live. My primary focus is fusion of technology, small business and marketing. I love to share my experience with others by contributing to several blogs and helping others achieve success.