Waikato Business News January/February 2020
Waikato Business News has for a quarter of a century been the voice of the region’s business community, a business community with a very real commitment to innovation and an ethos of co-operation.
Waikato Business News has for a quarter of a century been the voice of the region’s business community, a business community with a very real commitment to innovation and an ethos of co-operation.
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26 WAIKATO BUSINESS NEWS <strong>January</strong>/<strong>February</strong> <strong>2020</strong><br />
Should my business get its own app?<br />
Since Apple launched the AppStore in<br />
2008, smartphones and apps have literally<br />
changed the way we interact with the world.<br />
So, should your business get its own app?<br />
From reading the news<br />
to paying bills, from<br />
connecting with friends<br />
and family to ordering our<br />
takeaways, from watching TV<br />
shows to learning the road<br />
rules – we live our life through<br />
apps.<br />
Recently at a food court I<br />
noticed a group of six friends<br />
having lunch together, but not<br />
one of them was talking – they<br />
were all glued to their phones,<br />
stuck in the world of infinite<br />
scroll. (How often are we<br />
guilty of that?)<br />
Since apps have taken over<br />
the world, and are consuming<br />
people’s attention, does it<br />
make sense for your business<br />
to get its own app?<br />
The answer to that question<br />
very much depends on the<br />
nature of your business.<br />
Whole businesses have<br />
been built on apps – social<br />
media companies for example,<br />
plus the likes of Uber Eats,<br />
Lime scooters and more.<br />
Closer to home, the list<br />
of New Zealand’s top downloaded<br />
paid iPhone apps of<br />
2019 featured several NZ-specific<br />
apps.<br />
According to Apple, the top<br />
five downloaded paid apps in<br />
New Zealand last year were:<br />
1. New Zealand Driving<br />
Theory Test<br />
2. Coastguard New Zealand<br />
3. The Wonder Weeks<br />
4. Road Code Learners<br />
Test New Zealand<br />
5. Te Reo Māori<br />
So, four of the top five paid<br />
apps were New Zealand-specific.<br />
Whereas in the list of top<br />
free apps for New Zealand, the<br />
highest ranking New Zealand<br />
app was TVNZ at number 20.<br />
The only other New Zealand<br />
apps in the top 30 belonged to<br />
Vodafone NZ, Spark, Air NZ<br />
and ANZ.<br />
Seeing that these New<br />
Zealand household names<br />
only just scraped into the top<br />
30 is a good reality check. If<br />
you’re thinking about getting<br />
an app built for your business,<br />
it is important to realise that a<br />
“build it and they will come”<br />
mindset does not work in the<br />
world of apps.<br />
Secondly, even when you<br />
manage to get users to download<br />
your app, studies by<br />
Quettra found that 77 percent<br />
of apps stop being used within<br />
just three days. After 30 days<br />
that figure jumps to 90 percent!<br />
If that surprises you, just<br />
pause and think about how<br />
many apps you have installed<br />
on your phone, and which<br />
apps you actually use most<br />
weeks. The number of apps<br />
that we regularly use is tiny<br />
compared with the vast number<br />
of apps available.<br />
But apps can still be beneficial<br />
for some businesses.<br />
Firstly, if an app is part of<br />
your core product offering,<br />
then of course you need to<br />
invest in the app.<br />
But for businesses where<br />
an app is completely optional,<br />
here are two key questions that<br />
can help you decide whether<br />
an app will help your business.<br />
How big and engaged is<br />
your customer-base?<br />
The New Zealand companies<br />
that made it onto the top<br />
30 downloaded apps in New<br />
Zealand are big household<br />
names with hundreds of thousands<br />
of customers each and<br />
they already have customer<br />
portals for their customers to<br />
login to. So, it makes sense for<br />
these businesses to have their<br />
own apps.<br />
While your business might<br />
not be as large, if you have a<br />
sizeable customer-base that is<br />
highly engaged, with highly<br />
THE DIGITAL WORLD<br />
> BY JOSH MOORE<br />
Josh Moore is the head marketing fanatic at Duoplus, a<br />
Hamilton-based digital marketing agency that helps clients<br />
across NZ grow faster. www.duoplus.nz<br />
regular touch points, it could<br />
make sense to have an app.<br />
For example, do you have a<br />
customer login portal and your<br />
Analytics shows that many<br />
customers are logging in on<br />
their mobiles? This could be a<br />
good indicator of potential for<br />
an app.<br />
In this situation an app’s<br />
purpose would be to serve<br />
your existing customer-base.<br />
What doesn’t work is thinking,<br />
“I want more customers in<br />
my XYZ business so I’ll get<br />
an app. Potential customers<br />
will download it and then use<br />
it to contact me”. This type of<br />
strategy never works. If your<br />
aim is to get found by more<br />
customers, it would be far better<br />
to invest in Google Ads or<br />
Facebook and Instagram ads<br />
instead.<br />
What unique usefulness<br />
will the app provide?<br />
Since 77 percent of apps<br />
stop being used within three<br />
days, this second questions<br />
requires that you identify what<br />
your app will provide that is<br />
uniquely useful and will cause<br />
your customers to use it again,<br />
and again, and again.<br />
If your website is mainly<br />
information and marketing<br />
material, then having<br />
that information in an app is<br />
not useful enough to get the<br />
user to open your app again.<br />
They’ll just visit your website<br />
in their mobile browser.<br />
Whereas, do your customers<br />
need to upload images or<br />
forms to you regularly? An<br />
app could give them a much<br />
more user-friendly mobile<br />
experience.<br />
Perhaps you have some<br />
specific tests or reporting that<br />
your customers need to do<br />
while out and about - offering<br />
an app could make it much<br />
easier for them.<br />
If you can define a clear<br />
unique useful purpose, that<br />
can’t be easily satisfied on<br />
your website, it could be a<br />
good reason to look at developing<br />
an app.<br />
But if instead you were<br />
wondering if an app will<br />
help you get found by more<br />
customers, the answer is a<br />
very definitive “no”. We find<br />
the best way to get found by<br />
more customers is to use digital<br />
advertising to get your<br />
ads inside of those apps that<br />
people are already glued to.<br />
I recommend ads in Google,<br />
YouTube, Facebook and Instagram<br />
as powerful ways for<br />
getting found.