Mobile apps have become integral to people’s lives and are used for everything from listening to music, booking a taxi, or buying groceries. Considering there are more than 6.3 billion smartphone users worldwide, it’s not surprising that the mobile app industry is booming, with its global revenue predicted to reach $935 billion by 2023. As businesses of all sizes are saturating the market with apps aiming to increase brand visibility and attract new customers, it is crucial to weigh the pros and cons of releasing a mobile app for your business before investing the time and resources into creating one.
Let’s take a detailed look at the benefits and drawbacks of creating a mobile app for your company.
Increases Brand Awareness
A mobile application that distinguishes itself from the rest can help your business connect with customers, provide them with tailored experiences, and ultimately increase brand loyalty in today’s competitive digital market. After using your company’s app, customers will feel a greater commitment to your business because it raises their cognition of the available products and services. French cosmetics giant, L’Oréal, released its Makeup Genius app in 2014. The application uses augmented reality to let customers “virtually” apply L’Oréal products in real-time. Instantly upon release, the app was a massive success with users, racking up millions of downloads and giving a significant boost to L’Oréal sales globally.
Offers Customers More Freedom And Flexibility
Customers favor apps because they can be used anywhere, not just at home or in front of a computer. Ask yourself – when was the last time you wanted to check your favorite team’s score while queueing for a Starbucks coffee? Did it ever occur to you to make the most of your commute time by reviewing the latest news? Brands like BetRivers have found great success after introducing a mobile app, thanks to its convenience and versatility. The gaming company’s app offers users several significant benefits, one of which is the ability to place bets while on the move. 24/7 access to services and a streamlined deposits and withdrawal process have made it one of the best mobile sports betting apps in the US.
Improves Customer Engagement
A mobile app for your business provides accessibility, instant communication, and deeper engagement with customers. Customers can constantly engage with your company through channels such as push notifications, feedback options, and direct messaging. For example, Uber uses features such as real-time location tracking, feedback and rating systems, and round-the-clock customer support to keep its customers actively engaged with the brand.
Now that we’ve discussed the benefits of having a mobile app for your company, let’s look at some of the drawbacks:
Developing And Maintaining An App Is Expensive.
There are several ingredients to developing a booming app, including a great design and a user-friendly interface. As a result, you might have to hire professional app developers to ensure your mobile app suits platforms such as Android and iOS systems. Additionally, app stores require regular software updates and can also face app store rejections due to factors like privacy policies, requirements, and regulations. Thus, developing and maintaining an app is an expensive process. Vine, once a popular social media app, was forced to shut down due to declining market share and unsustainable costs.
Additional Marketing Demands
You still need to nurture your brand via your website, even if investing in a mobile app proves profitable for your company. Promoting two distinct mediums – a website and an app – can add excessive pressure to a company’s marketing efforts. Businesses must therefore commit valuable resources toward generating interest in both their website and the application besides traditional marketing campaigns. Take the example of Rdio, which became one of the first music streaming services in 2010. Rdio, however, could not compete with industry heavy-weights like Spotify, which entered the market with massive advertising budgets.
Apps Are Not Seo-Driven
The fact that search engines can’t index the content of mobile apps is probably one of the most significant drawbacks of these platforms. Because of this, users won’t be able to discover your app via search engines like Google. Promotion of the app’s link and listings in app stores are the only mediums to generate downloads and installs. Google Wave, a collaboration and instant messaging platform, failed to gain traction and shut down after a year due to poor visibility.