How brands create value from apps by @MWJ
-
Upload
mark-watts-jones -
Category
Technology
-
view
3.541 -
download
2
description
Transcript of How brands create value from apps by @MWJ
![Page 1: How brands create value from apps by @MWJ](https://reader034.fdocuments.net/reader034/viewer/2022051610/5483dc3c5806b5bd588b4571/html5/thumbnails/1.jpg)
how brands can create value from apps
and the role of the mobile operator
Mark Watts-Jones@MWJOpenMIC, OxfordDecember 2010
and the role of the mobile operator
![Page 2: How brands create value from apps by @MWJ](https://reader034.fdocuments.net/reader034/viewer/2022051610/5483dc3c5806b5bd588b4571/html5/thumbnails/2.jpg)
This is what I’m going to say…
1Who are your users?
and why we should develop for specific customer needs
2Operators are brands
and how brands can create value from their apps
3Operators and apps
as carriers/operators rather than brandsand apps
4 Devicesand why mobiles are not yet all smartphones but might end up that way
5 A final thought Is London 2012 the next tipping point?
![Page 3: How brands create value from apps by @MWJ](https://reader034.fdocuments.net/reader034/viewer/2022051610/5483dc3c5806b5bd588b4571/html5/thumbnails/3.jpg)
Who are your users?1 Who are your users?and why we should develop for specific customer needs
![Page 4: How brands create value from apps by @MWJ](https://reader034.fdocuments.net/reader034/viewer/2022051610/5483dc3c5806b5bd588b4571/html5/thumbnails/4.jpg)
In the UK there’s 60 million mobile consumers – it’s fair to say that they’re not all the same
1
![Page 5: How brands create value from apps by @MWJ](https://reader034.fdocuments.net/reader034/viewer/2022051610/5483dc3c5806b5bd588b4571/html5/thumbnails/5.jpg)
They have different life stages, expectations, experience, capability and importantly money
1
Average monthly spend:
PAYM: about £45PAYG: about £12
So the simple point is to target your apps at specific customer
groups
![Page 6: How brands create value from apps by @MWJ](https://reader034.fdocuments.net/reader034/viewer/2022051610/5483dc3c5806b5bd588b4571/html5/thumbnails/6.jpg)
Operators are brands2 Operators are brandsand how brands can create value from their apps
![Page 7: How brands create value from apps by @MWJ](https://reader034.fdocuments.net/reader034/viewer/2022051610/5483dc3c5806b5bd588b4571/html5/thumbnails/7.jpg)
Selling direct is tough – some apps succeed but there’s a lot of competition for consumers 59p’s
2
…so lets have a think about other ways that apps can create value
for brandsfor brands
![Page 8: How brands create value from apps by @MWJ](https://reader034.fdocuments.net/reader034/viewer/2022051610/5483dc3c5806b5bd588b4571/html5/thumbnails/8.jpg)
‘Value’ can be created in different ways…2
One overriding principle:
Apps should directly benefit how brands
1. Raise revenue
2. Stimulate mobile commerce
3. Save cost
4. Extend reach
5. Improve brand perception benefit how brands create value from their day–to-day
business
5. Improve brand perception
6. Improve customer engagement
7. Advertising/brand extention
8. Differentiate product
9. Lock in customers
![Page 9: How brands create value from apps by @MWJ](https://reader034.fdocuments.net/reader034/viewer/2022051610/5483dc3c5806b5bd588b4571/html5/thumbnails/9.jpg)
1. Raise revenue - charge for app/in-app purchases2
1. Free app with In App recipe purchases
2. Revenue oriented
3. Extends Jamie Oliver’s reach into new content
4. Supports book sales?4. Supports book sales?
Jamie OliverJamie’s Recipes
Free
![Page 10: How brands create value from apps by @MWJ](https://reader034.fdocuments.net/reader034/viewer/2022051610/5483dc3c5806b5bd588b4571/html5/thumbnails/10.jpg)
2
1. Stimulates new revenue opportunities
2. Highly integrated with online
3. Focuses on convenience for customer
2. Stimulate mobile commerce
4. Extends Tesco’s reach
Tesco Tesco Grocery
Free
![Page 11: How brands create value from apps by @MWJ](https://reader034.fdocuments.net/reader034/viewer/2022051610/5483dc3c5806b5bd588b4571/html5/thumbnails/11.jpg)
2
1. Reduces calls/emails to expensive call centres
2. Convenient and immediate for the customer
3. Encourages regular interaction with brand
3. Save cost
with brand
4. Opportunities for cross promotion
O2 My O2Free
![Page 12: How brands create value from apps by @MWJ](https://reader034.fdocuments.net/reader034/viewer/2022051610/5483dc3c5806b5bd588b4571/html5/thumbnails/12.jpg)
2
1. Extends Rightmove reach into new channel
2. More convenient and immediate for the customer
3. Obvious consumer benefits e.g. search for property when mobile,
4. Extend reach
search for property when mobile, uses location
RightmoveFree
![Page 13: How brands create value from apps by @MWJ](https://reader034.fdocuments.net/reader034/viewer/2022051610/5483dc3c5806b5bd588b4571/html5/thumbnails/13.jpg)
2
1. Is really about customer engagement
2. Adds richness and extends customers experience
3. Encourages regular interaction with brand
5. Improve brand perception – give customers something they value
with brand
4. Reminds the customer about the benefits of Orange
OrangeOrange Wednesdays
Free
![Page 14: How brands create value from apps by @MWJ](https://reader034.fdocuments.net/reader034/viewer/2022051610/5483dc3c5806b5bd588b4571/html5/thumbnails/14.jpg)
2
1. Positioned as a useful utility
2. Encourages regular interaction with brand
3. Extends Starbucks reach
4. Trojan horse for future Starbucks
6. Improve customer engagement – help the brand get and keep in touch
payment card/reward points features?
StarbucksMy Starbucks
Free
![Page 15: How brands create value from apps by @MWJ](https://reader034.fdocuments.net/reader034/viewer/2022051610/5483dc3c5806b5bd588b4571/html5/thumbnails/15.jpg)
2 7. Advertising/Brand extention – support a campaign or extend brand
1. Supports the Waitrose Christmas advertising
2. Adds richness and extends customer experience
3. Extends Waitrose reach
WaitroseWaitrose Christmas
Free
4. Encourages interaction with brand
![Page 16: How brands create value from apps by @MWJ](https://reader034.fdocuments.net/reader034/viewer/2022051610/5483dc3c5806b5bd588b4571/html5/thumbnails/16.jpg)
2 8. Product differentiation
1. Strong innovation in core Nike business of training shoes
2. Delivers great feature differentiation
3. Significant addition to Nike customer experience
Nike Nike+£1.99
customer experience
4. Encourages regular interaction with brand
5. Huge PR benefits
![Page 17: How brands create value from apps by @MWJ](https://reader034.fdocuments.net/reader034/viewer/2022051610/5483dc3c5806b5bd588b4571/html5/thumbnails/17.jpg)
2 9. Customer lock-in
1. Customers can only use the app if they continue as a Sky customer
2. Adds richness and extends customers experience
3. App is the ‘face’ of strong product
Sky Sky+/Sky Mobile TV
Free
3. App is the ‘face’ of strong product differentiation
4. Reminds the customer about the benefits of Sky
![Page 18: How brands create value from apps by @MWJ](https://reader034.fdocuments.net/reader034/viewer/2022051610/5483dc3c5806b5bd588b4571/html5/thumbnails/18.jpg)
…but then there can be too much of a good thing!2
![Page 19: How brands create value from apps by @MWJ](https://reader034.fdocuments.net/reader034/viewer/2022051610/5483dc3c5806b5bd588b4571/html5/thumbnails/19.jpg)
Operators and apps3 Operators and appsas carriers/operators rather than brands
![Page 20: How brands create value from apps by @MWJ](https://reader034.fdocuments.net/reader034/viewer/2022051610/5483dc3c5806b5bd588b4571/html5/thumbnails/20.jpg)
Operators will continue to customise and brand devices and apps
3
• This is the £99.99 Orange San Francisco Android on PAYG
• Shipped with Android 2.1
• Great hardware spec
Takeaway:
Android prices will fall, market share will soar in Q4
2010+ andAndroid strongly perform in
mainstream customer groups
![Page 21: How brands create value from apps by @MWJ](https://reader034.fdocuments.net/reader034/viewer/2022051610/5483dc3c5806b5bd588b4571/html5/thumbnails/21.jpg)
Operators App Stores of one kind or other will continue to emerge
3
![Page 22: How brands create value from apps by @MWJ](https://reader034.fdocuments.net/reader034/viewer/2022051610/5483dc3c5806b5bd588b4571/html5/thumbnails/22.jpg)
As will loads and loads and loads of others3
![Page 23: How brands create value from apps by @MWJ](https://reader034.fdocuments.net/reader034/viewer/2022051610/5483dc3c5806b5bd588b4571/html5/thumbnails/23.jpg)
Some will be bigger than others… Don’t ignore Nokia3
• Symbian may be resurgent or on it’s last legs depending on who you believe but…
• Nokia have a massive worldwide installed base worldwide installed base
• the Qt framework seems better
• They have loads of cash to invest
• And decent operator relations
![Page 24: How brands create value from apps by @MWJ](https://reader034.fdocuments.net/reader034/viewer/2022051610/5483dc3c5806b5bd588b4571/html5/thumbnails/24.jpg)
Devices4 Devicesand why mobiles are not yet all smartphones but might end up that way
![Page 25: How brands create value from apps by @MWJ](https://reader034.fdocuments.net/reader034/viewer/2022051610/5483dc3c5806b5bd588b4571/html5/thumbnails/25.jpg)
Total market share by manufacturer (in UK)4
Still dominated by Nokia, SE, Samsung
![Page 26: How brands create value from apps by @MWJ](https://reader034.fdocuments.net/reader034/viewer/2022051610/5483dc3c5806b5bd588b4571/html5/thumbnails/26.jpg)
Sales of new mobiles by OS (in Western Europe)4
High growth in smartphones, still lots of Symbian
![Page 27: How brands create value from apps by @MWJ](https://reader034.fdocuments.net/reader034/viewer/2022051610/5483dc3c5806b5bd588b4571/html5/thumbnails/27.jpg)
Forecast sales of smartphones (in USA and Canada)4
Smartphones soon dominate the whole market
Source: Morgan Stanley
![Page 28: How brands create value from apps by @MWJ](https://reader034.fdocuments.net/reader034/viewer/2022051610/5483dc3c5806b5bd588b4571/html5/thumbnails/28.jpg)
And why is this important?4
Much higher use of data for smartphones
![Page 29: How brands create value from apps by @MWJ](https://reader034.fdocuments.net/reader034/viewer/2022051610/5483dc3c5806b5bd588b4571/html5/thumbnails/29.jpg)
A final thought5 A final thoughtIs London 2012 the next tipping point?
![Page 30: How brands create value from apps by @MWJ](https://reader034.fdocuments.net/reader034/viewer/2022051610/5483dc3c5806b5bd588b4571/html5/thumbnails/30.jpg)
London 2012
Ubiqiuitous Wifi?
High levels of smartphone and tablet use
Mobile coverage on the Underground?
7 There’s a few things coming together around 2012
Contactless ticketing and payments for all events
Live content streaming