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BizReport : Mobile Marketing : July 16, 2015

Expert: The pros and cons of aggregated apps

Apps are the future of business according to many experts in the field, but according to one expert if brands don't know how to properly use app aggregation services, they may not get the most benefit.

by Kristina Knight

Pro 1 for aggregators: Reach.

"Google Now promises to help brands get their content in front of more people through aggregation and a personalized, relevant experience. When using an aggregator, one could argue that brands will be less likely to focus on building direct relationships with consumers through their own apps because people will increasingly access the content/functionality they want/need through intelligent app based aggregation tools as opposed to visiting the brand's app directly. With these services gaining traction and offering better experiences to consumers, brands have to determine how they will divide their efforts between optimizing content functionality for aggregators and engaging customers with their own native apps. For some apps and brands, this path may make great sense," said Myles Kleeger, CRO, Appboy.

Con 1 for aggregators: Brands will be at the mercy of the app.

"[Brands] may be forced to pay premiums to have content seen by the right audiences, and possibly sacrifice some functionality or depth of customer experience in the process," said Kleeger. "Consumers may also never form as strong of a relationship with your brand when interacting with it via aggregators as they would through your own native app. Because of this, it may be better for some brands to build direct relationships with consumers through their own branded first party app. Within the app and communications, brands can expose customers to content, offers and products in your own environment, which mitigates the risk of not being seen by your most important customers. The negative here, of course, is that fewer people find your first-party app, and brands may have to pay increasingly high premiums over time to secure initial installs."

Should brands stay away, then? There is no black-and-white answer, but Kleeger points out brands have an option in first party apps rather than aggregators.

"Brands can segment and target customers in a variety of ways, as well as provide content, like promotions or location-based info such as connecting to the weather in the area, exactly at the time they are shopping or searching for products or services. Campaigns can also be very personalized within brand's owned apps - we know from our platform that personalized emails achieve 25 percent higher open rates and 51 percent higher click rates (via Evigo)," said Kleeger.

Image via Shutterstock

Tags: Appboy, appvertising, branded apps, mobile device trends, mobile marketing

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