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Mobile Applications as a Marketing Tool
Anant Tailor, anant.tailor@donriver.com  
Date Posted: Thursday, October 08, 2009

Beyond mobile web advertisements and in-application advertising, how can brand owners engage customers through the mobile channel?  Many brands have opted to build mobile phone applications as a means for marketing their products.
 
Various brand applications that I have played around in the past week include: 
1) Zippo - a virtual lighter on the phone screen

2) BMW Z4– an application that allows users to customize a BMW Z4 and then test drive it on the screen, while at the same time creating artwork that can be saved to the phone

3) Lipton Brisk Artwist – an application allows users to discover their inner artist.  The application provides different sized and coloured brushes, various backgrounds, and stencils that allow users to create artwork that can be saved on their phone.  It also allows users to upload their art creations to Brisk, or to use the art as an e-greeting

4) Zipcar – this application allows customers to find a nearby Zipcar, to make a reservation, and to use the application to actually unlock the car they have reserved as well as sound the car’s horn

5) MasterCard ATM Hunter – this application allows users to find the ATM’s within the vicinity of their current location or a specific address. It allows the user to filter the search results based on various criteria as well, and also displays the various features available for each ATM

Some of the applications out there are ‘Novelty’ applications (eg. Zippo).  Users will download them and use them a few times before the novelty wears off.  These apps tend to have a lot of downloads, but may not be as effective as ‘Utility’ applications since users will likely not open them as many times over the duration of ownership.  Applications that act as a utility to the user will be opened each time that a certain situation arises.  For example, the MasterCard ATM Hunter provides users with the ability to find the nearest ATM.  Each time a user needs to find an ATM, they’ll open up this application and all of a sudden MasterCard’s brand is in front of them. 
 
Regardless of whether the application is a novelty type application or a utility application, there are some distinct benefits to using a mobile phone application as part of an overall marketing strategy:

1) Direct attention of the consumer.  Once an application is opened by a user, it has their full attention for a period of time

2) Ability to interact with the consumer (in some cases, as it depends on the app).  For example, the Zipcar application mentioned above allows the users that are not current customers to use the application to sound the horn of a nearby Zipcar.  For customers, it allows them to make find nearby cars and make reservations.  This application therefore engages the consumer and acts as part of the overall Zipcar experience.  

3) Popularity of the application can grow virally.  By literally putting your brand in the hands of consumers, you provide them with a means for becoming brand advocates.  If there is something that is novel or very useful about the application, they will show it to friends and family or rave about it in their social networks.

With the benefits, there are also detractions for building a phone application:

1) It can be difficult to achieve a desired ROI or to even measure it.  The Zippo, BMW Z4, Brisk Artwist, and MasterCard ATM Hunter applications mentioned above don’t provide their brand owners with a means for directly tracking ROI.  There’s no way to tell if Zippo lighter purchases occurred as a result of a user downloading the application.  However with that being said, it’s important to keep in mind what the objectives are for the phone application that is being created.  If it’s to raise brand awareness, or to engage potential customers through a game or creativity, then each of the above-mentioned apps have succeeded. 

2) With the tens of thousands of applications out there, it’s challenging to get your application noticed.  For example, did you know that Ralph Lauren had an application that allows you to design and purchase your own rugby shirt?  With the ever-growing number of applications out there, it is increasingly important to ensure that your mobile marketing efforts are one part of the overall marketing strategy.  If your mobile application is referenced from your online or traditional print channels, it has a greater chance for success. 

In conclusion, mobile phone applications are a great way for brands to engage with consumers.  Many brands have already created one or more phone applications that are being used in varying ways.  It’s important to set the objectives for your mobile application and to make it one part of your overall marketing strategy.  Your competitors are doing it, why aren’t you?

Name: Anant Tailor
Title: Mobile Financial Services Delivery Lead
Company: DonRiver Inc.
View Anant Tailor's Blog

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