Should your business invest in a Mobile Application ?

In the midst of a pandemic, with still ongoing closures in half the world: the arguments for a mobile application are not difficult for your brand, but what are the figures behind it? Are there pitfalls for your brand along the way ?

Time spent on the phone:

According to Think with Google, the total time spent on phones in 2020 was 1.6 trillion hours, or 182 million years, or the entire population of Dubai spending every hour without sleep since reunification in 1971.

Key app categories:

The most popular app categories in 2020 were food distribution, games, online learning, entertainment, and shopping. The way we used to live has fundamentally changed, and that's why the big companies that don't change won't be around in a few years.

Brand affinity:

Downloading a brand app is in itself an indication of affinity for the brand. Further app discounts could only be granted to customers in order to create incentives for downloading the application.

Progressive personality formation:

With the right app and privacy rules in place, brands can gather a lot of data around their customers by using the right platforms in the backend and ensuring that segmentation is automated.

Dynamic content and use of push notifications:

With the right customer data, app users can see personalized dynamic data, which will help increase basket size and overall sales. According to a report by Accenture, 91% of customers are more likely to buy from companies that remember them.

App-based retailers:

According to Think with Google, app users spend three times more than other mobile users. This is probably why every time you go to Amazon, there is an incentive to buy from their mobile app.

Special caveat:

Mobile applications work when the content is significant. Whether it's the number of SKUs or just premium content for mobile devices. If you represent a brand with less SKUs and don't have a regular replenishment date like soap, bread, etc., a mobile app will most likely never deliver you ROI. The costs associated with creating, managing, and marketing a mobile app are considerable and should be taken with significant budget commitments. Use the 80/20 rule; 20% for the build and 80% for the marketing.