Posts Tagged ‘Apple iPhone’

What will smartphone users want when they shop in 2013?

Tuesday, January 1st, 2013

Retailers and manufacturers have used advertising, in-store signage, the web and emails to build sales. However as iPhone and Android and Windows smartphone ownership rapidly increases, US consumers are relying on a new medium to determine where to shop and which products to buy,

According to a recent Perception Research Services International study, 76% of smartphone subscribers use their phones for shopping. The survey found

  • 53% of smartphone owners use their devices to compare prices,
  • 49% to read customer reviews,
  • 48% to search for product information,
  • 48% to check for sales or coupons,
  • 37% to get product information from a manufacturer’s site,
  • 34% to get a friend or family member’s opinion,
  • 31% to make a purchase,
  • 31% to enter a contest, and
  • 17% to view a product demonstration

80% of smartphone owners want shopping information more optimized for their device, according to a study conducted by ad agency Moosylvania. These consumers want to be able to access this information quickly and conveniently.

In 2013, Retailers and Manufacturers need to focus on how to close the sale by more effectively reaching smartphone users while they are shopping.  What changes will this mean for your retail or consumer products marketing strategy in 2013?

Apple iPhone 5 vs Samsung Galaxy S III: How do they Stack Up?

Thursday, December 27th, 2012

Are you in the market for a new smartphone? Well I am and it is not an easy choice. I have been a loyal Apple customer for the past several years. I not only own the iPhone 4 and 4S but several Macs, iPads, and iPods. Despite my Apple loyalty, Samsung’s Galaxy S III is catching my interest.

Despite the competition from Samsung, Apple for the first time owns over 50% of the US smartphone market, receiving a boost in sales from the iPhone 5. Android continues to own 61% of the smartphone market in Europe with Samsung the leading smartphone manufacturer owning 44.3% of the market (Kantar Report).

A Holiday Price War is now occurring in the US between Samsung’s Galaxy SIII and the iPhone 5. With a two-year contract, consumers can purchase a Verizon 16GB Samsung Galaxy SIII in white for $59.99, a Sprint 16GB version in white for $0.01, and an AT&T 16GB phone for $79.99 from Amazon

The iPhone 5 is still more expensive but bargains can be found. The iPhone can be purchased for $50 below retail price ($149.99) with a two-year contract across all the major carriers at BestBuy Mobile. A couple of weeks ago, Walmart offered the iPhone 5 for $127 with a 2-year contract.

When you stack these phones up against each other it is hard to find a major difference. Here is a comparison, compiled by Staples.

iTunes and the Apple Store help set the iPhone 5 slightly ahead of Samsung Galaxy S III. However recent decisions to block Google APPs on the iPhone APP store have created dissatisfaction across customers. In the past couple of weeks the new Google Map application is now being offered.

Overall there is no clear winner between the iPhone 5 and Samsung Galaxy s III. Perhaps the only thing to do is wait for the Samsung Galaxy S IV, which may be displayed at the CES event in January and released as early as March 2013.

Mobile websites used more than APPs by Shoppers!

Saturday, March 17th, 2012

The top retailer mobile websites and apps reached 60% of the smartphone owners during the 2011 holiday period according to a recent study by Nielsen. Today there are almost 100 million smartphones in the US.  Adoption of smartphones are expected to continue to rapidly increase.

Nielsen included Amazon, Best Buy, e-Bay, Target and Walmart mobile websites and APPs in their study. The study also found that more consumers use mobile websites rather than APPs.

Mobile Shoppers

Men were more likely to download the retailer’s mobile APPs than women. Shoppers who used mobile APPs  generally spent more time viewing the mobile content.  The implication is retailers should find ways to encourage consumers to download their APP to create a deeper relationship.

For more information, please refer to the Nielsen study.

Amazon Admits Selling Millions of Kindles

Thursday, December 16th, 2010

What’s happening with the Kindle in the e-Reader Market?

This week Amazon let us know it is selling millions of Kindle e-readers.  The 2010 holiday quarter has already surpassed the total of all sales for 2009.  The various estimates for Kindle sales for all of 2010 range from 4 to 7 million units will be sold.  What’s the real number?  Hopefully Amazon will tell us early next year. 

A recent report by ChangeWave has the Amazon Kindle at a 47% share of the e-reader market based on their survey of consumers.  The Apple iPad is next with 32% and that is if you consider the the iPad just an e-reader.   The iPad certainly impacts this market and will continue to do so. 

It should be no surprise the Kindle is at the top right now as a true eReader.  The Kindle is relatively cheap, priced at between $139 and $149.  You can find cheaper devices such as the Aluratek Libre and Kobo eReader which cost between $99 and $129.

What about functionality?  Not all avid readers feel the need for over-the-top functionality.  The Kindle’s black and white display is fine for reading.  It is neat to have wifi that enables an online dictionary to look up those occasional new words.  But this is not critical.

A revolution is starting as publishers are now beginning to convert their vast inventory of illustrated books into e-books. This is all possible due to Barnes and Noble’s new Nook Color and the Apple iPad color displays which will help them showcase their color illustrations and photographs.  On Wednesday, Apple introduced 100 illustrated book titles in the iBookstore, a collection of cookbooks, children’s books, and photography books. Some of the most popular children’s books will be available with illustrations. Barnes & Noble’s Nook had announced publishing famous children’s books last month.

The Kindle and eReader market will continue to grow.   According to Gartner, the market for eReaders is expected to grow by 68% in 2011 despite competition from the iPad and Galaxy Tablet.   The Kindle is projected to sell 11 million devices in 2011 and will continue to be the market leader holding on to a 45% share.  A key will be holding the price to a point where it can continue to be an affordable alternative.

It will be interesting to see if the Kindle continues on the predicted path or if the new entry in the market, Barnes and Noble’s Nook and the iPad will impact this trend.  It will also be interesting to see how publishers will embrace this new technology to reach this new age consumer.   

So how are eReaders impacting how you publish your content in the digital world?

Fighting for Mobile Platform Market Share

Friday, November 12th, 2010

What Business Model Will Win?

The recent release by comScore of its mobile subscriber report continues to show Google Android (promoted as Droid by Verizon) closing the market share gap with Apple for mobile platforms.

Google’s market share is up 6.5% from June to 21.4% and now only 2.9% behind second place Apple which has 24.3% of the market. Apple’s share is the same as reported in June. RIM continues to lead the pack with 37.3% share slipping 2.8% from what was reported in June.

The Google / Apple competition for market share presents two very different business models. Google’s Android or Droid contains an open source operating system. The code is available to manufacturers to add their own features and functionalities. They can listen to their market and shape the product. Apple owns their operating system and keeps their code proprietary. Apple allows developers to build applications on top of their operating system. These applications are then sold through retail or on the web where Apple controls distribution of iPhones and iPads.

It will be interesting to see how these competing business models evolve over time.

Apple’s recent announcement that iPhones will now be available at Target stores through the Target Mobile Centers, located in 846 stores, might be the start of a change in strategy to sell more phones. In the third quarter of 2010, Apple sold 14.1 million iPhones, up 91.4% from the prior year and beat the top competitor, RIM, which sold 12.1 Blackberry’s in the same quarter. Apple is already selling a lot of phones.

Regarding the Google / Apple business model differences, during a conference call with analysts, Steve Jobs was quoted as saying “It’s worth remembering,” he said. “that open systems don’t always win.” “In reality, we think the open versus closed argument is just a smokescreen,” he concluded. The real issue he said is integrated versus fragmented. “We think integrated will trump fragmented every time.”
We will continue to watch how the story unfolds…
So how are the actions of, Apple and Google, influencing how you will reach your customers in the digital world?

Mobile Advertising Is Growing

Tuesday, August 10th, 2010

Take a look at some of the recent trends in this growing media

We have been writing a lot about mobile lately since we are deep in the planning process for a mobile retail mobile advertising project.

Last year, advertisers spent $218 million on mobile advertising according to research firm IDC. This year the total is expected to be $418 million and reach $1.8 billion by 2014. Recently, Apple announced iAd, its own ad network for iPhones and iPads. And, Google now owns mobile ad networks Ad Mob and Quattro. The market makers are certainly banking on the enormous potential of mobile advertising. Supporting the growth in mobile advertising is the growth in mobile search. Google is reporting a 500% increase in mobile search with 1/3 of the searches seeking local content.

Nielson sees the mobile ad market splitting into two main segments, premium ads and mass market ads. Premium ads are commanding premium prices from advertisers. According to Medialets, cost per thousand impressions ranges from $15 to $50 for a rich media ad. Banner ad costs are ranging from $8 to $15 cost per thousand impressions. Advertisers are willing to pay the premium prices for media rich ads since they are effective in holding a consumer’s attention and brand recall.

So what is working from the consumer’s perspective?

According to a recent Harris Interactive poll, consumers are willing to tolerate mobile ads if they are unobtrusive, targeted toward their taste and offer something unique. Interestingly, 56% of the teenagers surveyed said they would be interested in ads with incentives with 37% of adults surveyed saying the same. The number one incentive named by all polled was cash. This was followed by entertainment downloads, free mobile minutes and discounts.

Mobile advertising will continue to grow and evolve. For mobile advertising service providers and ad agencies, the revenue and profit opportunity for mobile campaigns still lags far behind the traditional and online media channels.

Okay. So how will the recent trends in mobile advertising impact how you manage your business in the digital world?

Mobile to Measure Media Consumption

Tuesday, July 27th, 2010

Will the iPhone become the new “viewer diary”?

Measuring media consumption in the multi-media world we live in is a difficult problem to solve.  In the old world, Nielsen recruits viewers who keep diaries and have set meters to track their television viewing.  In the new world, it is the iPhone that is poised to be the anchor of a new initiative to measure media consumption that covers the landscape-from TV to digital media delivered through mobile phones and computers.

The Coalition for Innovative Media Measurement (CIMM), a group made up of the media and advertising agencies, is planning to give away free iPhones to consumers who agree to log their media consumption into a special application.  The plan calls for 1,000 participants and a budget of just under $1 million.  The Wall Street Journal has a good article on this subject, “Tallying Up Viewers” by Suzanne Vranica that outlines the details of the CIMM’s plans.

Nielsen has been at the media measurement business for nearly a century and has been relied upon as the source for TV viewership.  They started in the 1920s measuring brand advertising, advancing to radio in the 1930s and television in the 1950s.  Here in 2010, they plan to install internet measurement devices and offering data later this year.  It will be interesting to see how the use of the iPhone for multi-media measurement will impact their business.  Yet again, the iPhone could be the catalyst for change and in the media measurement market…not media delivery!

From a practical point of view, it will be interesting to see how accurate data collection will be. Expecting a person to accurately track media coming at you from many sources, in many ways and at a rapid pace sounds challenging.  Nielsen’s television measurement metrics are focused on a single medium and in most cases with meters attached to the device…a television.  Their data is often challenged.  Using mobile, specifically the iPhone, to track media will take some time to mature.

Yet again, the iPhone is playing a part in blazing the trail for measuring media in the digital world.

Okay.  So how will innovations in measuring media consumption impact how you manage your business in the digital world?