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BizReport : Mobile Marketing : September 20, 2010

Report: Mobile apps engaging in short term

Although mobile is a hot topic among advertisers, it seems that consumers may be disconnecting with apps. New research from Borrell Associates finds that, although 500,000 apps are downloaded per hour, most of those apps are quickly discarded by consumers. Because of the quick discard, much of the ad spend within apps may be wasted.

by Kristina Knight

According to Mobile Applications: Preparing for the App-ocalypse, consumers are currently downloading a half-million apps every hour with the average smartphone consumer having about 22 apps on their mobile units. The problem? Of the 22 apps on a consumer's phone right now, in six months only 1 of them will still be used by that consumer.

The future does look bright for mobile, but that is in the 'mobile' category of advertising, not the 'app' category. According to the Borrell report about 66% of the online advertising spend will be served by a mobile device by 2015. That is a mobile device, not necessarily an app. As mobile browsers become more sophisticated, apps may or may not become obsolete.

How should apps be used from a marketer perspective? Perhaps as a way to impart more content to the consumer, much like widgets have been used in the online space. Utilizing an app to help consumers find product information, access forms or even make purchases are three ways to engage via mobile devices. When this is done from a branded mobile app, for example the State Farm apps which allow consumers to access claim forms, the ad is part of the site rather than the ad being a simple sponsor of a game.

Only time will tell what will happen with apps. In the mean time, although apps are a hot commodity, brands should be careful how their app dollars are spent.

Tags: app-vertising, Borrell Associates, mobile apps, mobile consumers, mobile forecast, mobile marketing

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