Like them or loath them - Smartphones are here to stay - 2nd June 2011
Posted by Kevin Kent on June 02, 2011 in Innovation, Marketing with 0 CommentsSmartphones and Apps are everyday words these days. This blog identifies the figures, benefits, trends and warnings.
Smartphones are everywhere. In May 2010 there were 250,000 iPhones in circulation in Ireland. This figure has been on the increase ever since. Apple, Google and Microsoft have all created operating systems for smartphones hoping to capitalize on this huge trend. Consumers now have many choices regarding what smartphone they want depending on their favored operating system-Apple, Android or Microsoft being the most popular.
Home & Work
Consumers are now using their smartphone not only for their home life but they are also using the same device for the workplace. There is a huge market opportunity here for companies to exploit this rise in the 'app' (application) market. Many 'apps' have been created which provide a large number of services such as checking bills, booking tickets or checking the weather/news etc. The majority of 'apps' are free (companies who develop these apps then make their revenue from advertising on these apps).
Shopping Benefits
Another benefit of 'apps' is that brand awareness is raised through apps and the brand is kept in the mind of the consumer. Google stated that 74% of smartphone users make a purchase as a result of using their phones to help with shopping. This demonstrates the extent of influence smartphones have on consumers and their spending patterns.
Advertising Benefits
The companies who don't feel ready to create an 'app' can benefit from smartphone technology in other ways such as mobile advertising. Google Adwords now offer companies the opportunity to advertise on mobile. Companies can also advertise within various applications. The main benefit of smartphone advertising is that the advertisements reach consumers who are on the move so they can be targeted whenever and wherever they are. According to Google, 82% of smartphone users notice mobile advertisements.
Many factors facilitate the growth of smartphones such as:
1. The growth in cloud computing-where more and more people are using apps to access critical data at their fingertips.
2. The consumerisation of I.T.-the new buzzwords in technology which describe consumers using the same technology such as their smartphone at home and in work. Consumers now want a single device for both their personal life and their work life.
3. The rise of social networking-consumers want to increased access to their social networks such as Facebook and Twitter.
Pro's & Con's
There are pro's and con's to the rise in this popularity of smartphones. On one hand they allow people to be much more efficient in their lives by paying bills while commuting to work on the train, or booking tickets to the cinema while they queue in the bank.
The side effects are that smartphones are an extension of your work place. Back in the good old days, when computers were a work fixture only, the employee would clock out at 5 and not be able to continue working until the next day. That's not the case these days, now, those of us that have smartphones have 24 access to our emails and internet, and so you find people working while they commute on the train, work while they queue in the bank, and work on the weekend. And we are all guilty of that!
Kevin Kent 's focus is on brand management, with extensive experience across numerous industries. He is interested in the role of new media in marketing and the development of the marketing function within companies.Find out more at Kevin's Profile. Don't forget to subscribe if you'd like to hear more!
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