One Thing Pokemon Go Did Prove – It’s ALL About The App

One Thing Pokemon Go Did Prove – It’s ALL About The App
SHARE
THIS



Pokemon Go only launched this month and yet it will soon have more daily users than 10 year old Twitter.  Web analytics tool SimilarWeb says downloads of the app have already outstripped dating app Tinder – so at least we know what people really want to get up to on a Friday night.

These are just three of the two million or so apps available on Apple’s App Store with Android users able to access a similar number on Google Play. Together all of these apps make up the “app economy” which is expected to be worth more than $US100 billion by 2020.

The “app economy” simply refers to the economic activity surrounding native mobile applications.

Jason Juma-Ross (pictured below), Facebook Australia’s head of tech (entertainment and comms) said: “80 to 85 per cent of the total time that’s spent on mobile is spent in apps. Ten years ago, there was diffusion of attention across hundreds of thousands of different websites. Today there’s a lot of concentration of attention, certainly in mobile, within a much more limited number of apps.”

Facebook is obviously one of the major players in the app space with a range of apps including Facebook, Facebook Messenger and the photo app Moments. But even it misread the early signs, betting initially on HTML mobile web apps and only recognising its mistake after others had stolen an early lead.

Jason Juma

It caught up quickly though.

“We have a strong portfolio and have worked hard to position ourselves around mobile over the last five or six years,” says Juma-Ross. “The bulk of our revenue now comes from mobile.”

One of the most crowded app categories is messenger apps. In addition to Facebook Messenger, WhatsApp, Snapchat and iMessage are already integrated into people’s everyday lives. Off the back of this, Sydney advertising agency The Works has launched a messenger-based social media company, On Message.

Douglas Nicol, partner in On Message says: “What we know is people tend to adopt several of these chat platforms. There is a repertoire of use in different occasions. You might have a group with your family on WhatsApp. Then you might have social conversations with your friends on Snapchat.”

On Message aims to help marketers catch up with consumers who have already adopted messaging platforms as their main form of communication. Instead of implementing an ad network across these platforms, the start-up will help brands to work with bots, chat and even custom keyboards within messaging apps.

This is a growing area for Facebook as well. Juma-Ross says: “From a commercial perspective, a lot of companies are starting to use these platforms to connect with their customers. We recently worked with Domain to launch a messenger box that gives people access to listings and property information over messenger. Then we’ve worked with KLM globally to enable you to see your flight details, check in information and where the gate’s moved to, all within a single messenger thread.”

The scope for consumers and brands alike within messenger apps is vast. Nicol says: “There is evidence of these different platforms being used in different ways. What that means is there is an opportunity for other entrants into the market.”

There is a problem though. Less than a quarter if consumers  go back to an app again after they’ve initially downloaded it.

This leads some to warn early of market saturation. However saturation implies a state where there is no room for new entrants and that is highly unlikely any time soon.

A better analogy is evolution where survival of the fittest plays out at the speed of web and laggards are fed back into the food chain.

Rebekah Campbell, co-founder and executive director of Hey You, an app that lets you to skip the ordering and payment queue at your local cafe, says there’s still plenty of room other apps. “The key is finding something people will find useful everyday,” says Campbell. “The great apps are not so much engaging. They are either utilities or they are addictive.”

First, they hook you

For Hey You, the addiction factor comes from coffee, the gateway drug to the app. “Once you use it for coffee, we then encourage you to use it for other things like lunch, dinner with the family,” says Campbell. Users are already hooked enough for Hey You to be processing around 14,000 paid transactions each day.

With the rise and rise of apps, the question of what happens to the mobile web is an interesting one. Facebook’s Juma-Ross doesn’t see it going away any time soon. He says: “There are different areas of the mobile web that are still important and also provide good experiences for people. There’s more options for people to be able to select where they want to go to do the things that they want to do.”

On Message’s Nicol agrees saying: “The mobile web will live on arguably longer than apps, because of their accessibility. All of those things will continue, but I think you will see aspect of mobile web integrated into mainstream platforms.”

From a brand perspective, Nicol says apps are currently helping many businesses solve problems presented by their legacy technology infrastructures. He says: “For a lot of brands, apps are making up for the shortcomings on their websites and their backend integration. For example, if you look at Qantas, if you want to put two bookings together based on your Frequent Flyer profile, you can’t do that on the web version of their site, but you can do it on their app.”

Campbell sees the app economy encourages people be nicer to one another.

She says, “Think about Airbnb. When you use Stayz or one of those other sites to book holiday houses, it is very disconnected from where you are staying. You go and pick up keys from a real estate agent. You don’t know who owned the house and you don’t really care. With Airbnb, when you are booking, you see the person’s face, their name and you find out a bit of their story.”

This personal interaction, Campbell believes, makes you a part of the community. The same theory applies to Uber and she believes there are still multiple markets ripe for app developers to explore. While she’s not personally looking into branching in this direction, the recent experience of buying a house has left her with the impression real estate could benefit from app-ification.

“Somebody is going to disrupt real estate in a huge way and make a lot of money,” she says.

“That’s not going to be me because it’s not my passion. But that’s something we can easily see that in 10 years time, we will not be having real estate agents who are paid $50,000 for essentially listing a house. That’s not sustainable in the new world.”

In the longer term, we may well see consolidation of apps. Nicol says: “Overtime, I don’t believe you will have apps in the way we have them. You will have them for transient use when you are going on a trip, but I think your day-to-day functional stuff, that’s much more likely to be integrated into a single natural interface which would be a couple of apps. It becomes part of one stream of conversation with your friends and brands and is much more convenient rather than jumping between apps.”

In this brave new app world, you might soon be doing your banking via Facebook Messenger or WhatsApp. After all Snapchat lets you send money to your contacts along with all those terribly appropriate and sensible selfies.  Snapcash – who’d a thunk it?

Never rule anything out.

This article originally appeared on B&T’s sister business site www.which-50.com

Latest News

Women In Media Profile: Danni Wright
  • Media

Women In Media Profile: Danni Wright

We'd be headlining Danni Wright's Women in Media profile the "Wright stuff" if wasn't utterly predictable and naff.

by B&T Magazine

B&T Magazine
Pulse Wins KitchenAid, RACV & Halo Top Accounts
  • Media

Pulse Wins KitchenAid, RACV & Halo Top Accounts

Pulse Communications has been appointed as the brand marketing agency of record for newly-launched Halo Top, the low-calorie frozen dessert brand with a cult following that hails from the US, and KitchenAid, the premium kitchen appliance brand, after competitive pitches. Pulse’s Melbourne team has also been appointed by RACV (Roadside Assist, Car Loans, Insurance and […]

Industry Generates A Record $10.5m For Social Impact
  • Media

Industry Generates A Record $10.5m For Social Impact

UnLtd, the media, marketing and creative industry’s social purpose organisation has announced a total industry contribution of $10.5m to social impact in FY18. The total value of funds, services, inventory and time donated by the media, marketing and creative industry increased by 21per cent compared to the previous financial year due to a growth in […]

Posterscope Promotes Two
  • Media

Posterscope Promotes Two

Posterscope, Dentsu Aegis Network’s specialist out-of-home agency, has promoted Ryan Hedditch to the newly created position of national head of strategy and Samantha Summers to Sydney Group Business Director. In his new role, Hedditch is charged with driving the continual improvement and transformation of the Posterscope offering to clients and partners. Summers’ promotion will see her lead […]

Outbrain Accelerates Growth With APAC Promotions
  • Media

Outbrain Accelerates Growth With APAC Promotions

Native discovery platformOutbrain has announced several movements in its regional leadership team, with plans to make more new hires. This comes on the heels of two senior appointments it made in February, after closing a record year in the region with expansion into new markets. Yoav Tourel has been promoted to head of sales for […]

Starcom’s Elizabeth Vaz Celebrates 30 Years With The Agency
  • Media

Starcom’s Elizabeth Vaz Celebrates 30 Years With The Agency

Starcom client business director Elizabeth Vaz clocked up a rare milestone in the advertising industry – celebrating 30 years with Starcom this week. Liz began her media industry career with Masius Advertising before she joined what was then Total Media in 1988 as personal assistant to the managing director. In 2001, Starcom and Total Media merged […]

The Trade Desk Founder Talks Connected TV, Netflix’s “Inevitable” Ad Future & More
  • Advertising
  • Technology

The Trade Desk Founder Talks Connected TV, Netflix’s “Inevitable” Ad Future & More

You may have seen him grace the stage earlier this month at Advertising Week in Sydney, and while he was Down Under, Jeff Green was kind enough to chew the fat with B&T. He’s the founder, CEO, and chairman of programmatic behemoth The Trade Desk (TTD), which in its latest earnings update revealed a 57 […]

by B&T Magazine

B&T Magazine
Clems Syd & Extra GUM Unveil YouTube Digital Stage
  • Media

Clems Syd & Extra GUM Unveil YouTube Digital Stage

YouTube EXTRA Gum has launched EXTRA Support Acts, a program created to support Australia’s up and coming musicians by transforming pre-roll ads on YouTube into a digital support stage. It has been created in partnership with Clemenger BBDO Sydney as creative lead, Universal Music Australia and BRING for talent and music strategy and content, MediaCom and YouTube. The […]

Damien Terakes Joins Havas Media As Client Services Director
  • Advertising
  • Media

Damien Terakes Joins Havas Media As Client Services Director

Havas Media Group has appointed Damien Terakes as client services director. Following multiple new business wins and continued agency growth, the position will see Terakes take on a senior management role across all Havas Media clients in Australia as well as several global accounts. Terakes has built an impressive media career, with more than 30 years’ experience as […]

OMD Australia Tops 2018 RECMA Rankings
  • Media

OMD Australia Tops 2018 RECMA Rankings

OMD Australia has taken the top spot for Australia’s Number 1 media agency in size, according to RECMA’s 2018 ‘Overall Activity Volume Rankings’ report released last week. Additionally, the company was named first in profile classification with a dominant profile for the 3rd consecutive year, along with vitality ranking and structure ranking. Furthermore, OMD Australia was also named […]

Former Google Exec Joins HubSpot As APAC Managing Director
  • Technology

Former Google Exec Joins HubSpot As APAC Managing Director

HubSpot has appointed Ex-Googler Shahid Nizami as MD of the Asia Pacific region. In his new role, Shahid will be responsible for HubSpot’s performance across Australia, New Zealand, Southeast Asia, and India and will be based in HubSpot’s Singapore office, working closely with the teams based in both Singapore and Sydney. Before joining HubSpot, Nizami led the […]

Red Agency Bolsters Sydney Team
  • Media

Red Agency Bolsters Sydney Team

Judging by the image, it seems Red Agency may have had no staff whatsoever prior to this hiring spree.

Nine Appoints Editor For 9Honey
  • Media

Nine Appoints Editor For 9Honey

B&T's editor coincidentally spilled honey on his shirt while typing this. And by typing, we mean copy and pasting.

Y&R Sydney Scores Best&Less   
  • Advertising
  • Media

Y&R Sydney Scores Best&Less  

Y&R wins Best&Less amid rumours the clothing shop its changing name to 'Somewhat OK&Reasonably cheap'.

Women In Media Profile: Judy Sahay
  • Media

Women In Media Profile: Judy Sahay

B&T's Women in Media profiles are like a wave washing over you. Even more so if an actual wave washes over you.

by B&T Magazine

B&T Magazine
How B2B Companies Can Use Their Customer Data More Effectively (And Why They Need To)
  • Marketing
  • Opinion

How B2B Companies Can Use Their Customer Data More Effectively (And Why They Need To)

In this opinion piece, SalesPreso co-founder and CMO Joel Thomson (pictured below) explains how B2B companies can use their data more effectively and deliver a personalised customer experience that matches their B2C counterparts. From the Cambridge Analytica scandal to the EU’s recent GDPR legislation, this year has prompted individuals all over the world to consider […]

Opinion

by B&T Magazine

B&T Magazine
M&C Saatchi Launches THIS Film Studio
  • Advertising
  • Marketing
  • Media

M&C Saatchi Launches THIS Film Studio

Not one to rest on its laurels, M&C Saatchi unveils new production studio it hasn't called 'Not One To Rest On Laurels'.

Creative Agency Launches Project Management Tool ‘Hassl’
  • Advertising
  • Technology

Creative Agency Launches Project Management Tool ‘Hassl’

Yesterday at TedX Melbourne the team behind award-winning, Melbourne-based agency Your Creative launched their new tech venture Hassl, the project management platform taking on Trello and the likes. With the belief there was a better design solution to project management, the platform has been developed over the last two years in collaboration with their clients. […]

ABC Axes Tom Ballard’s Tonightly
  • Media

ABC Axes Tom Ballard’s Tonightly

It's one of the ABC's edgier, controversial shows, but Tom Ballard's proven too edgy and controversial for ABC chiefs.

Taboola Strengthens APAC Programmatic Offering With New Partnership
  • Advertising
  • Media

Taboola Strengthens APAC Programmatic Offering With New Partnership

Global discovery platform Taboola has announced a strategic partnership with Wider Planet, Korea’s largest demand-side and data management platform. The partnership builds on Taboola’s programmatic efforts in Asia-Pacific, and will bring together Korea’s largest demand platform for agencies and brands to provide access to Taboola’s global audience through premium publisher placements. The partnership means advertisers […]

The Haus Picks Up Two New Clients
  • Marketing

The Haus Picks Up Two New Clients

The Haus announces two new client wins. Admittedly, not as good as winning three, but far better than losing four.

businessman using tablet PC and information communication technology concept. IoT(Internet of Things). GUI(graphical user interface). paperless office.
  • Marketing
  • Technology

Smartly: The Future Of Martech Is Automated

Automated ad buying platform, Smartly was at the centre of the tech innovation stage at the Online Retailer conference 2018. Smartly head of ANZ Marta Bonzanini (pictured below) discussed the integral role automation plays in the future of marketers and creatives. “If an ad is not performing as well as planned, you probably have some […]