The Mobile App Market Industry is witnessing a meteoric rise. It is experiencing unprecedented growth and is predicted to touch sky heights within the next two years. Companies in every sector are taking advantage of the growing market. They are investing heavily in this fast growing market to tap into a huge source of revenue. Let us find out why companies are investing so much money in apps and why they are experiencing such a great surge in their sales.
The first reason for the investment in these apps is because they are a means of advertisement. Every app has a small ad unit right in the centre or the side which draws attention to the app. When a user taps the app, it opens up and the user is prompted to take some action either for more information or for purchasing the product/service. Ads that pop up while users are using these apps serve as advertisements. In a way, these ads influence the buying decision of the users.
Secondly, these apps provide immediate results. They do not require any sort of registration process or complex downloads. Users just need to go through the easy-to-use interface and start using the app. The result would be visible almost immediately. The user does not have to wait for a long time for something to happen when he wants an immediate response. So he would be encouraged to purchase the app more quickly.
Thirdly, the cost factor is a big factor for companies in the app industry. Since these mobile apps are being offered by third parties, it is a common practice to add up the cost of development of the app to its price. This makes it difficult for smaller companies in emerging markets like India and China to compete with established names in developed markets like the US, UK and Europe. Since the apps are sold at a high price, there is no way that they can afford to launch their app at a lower price.
Fourthly, the app market is dominated by a few names. The dominant players include companies like Apple and Google. The others include smaller players such as the Amazon and Foursquare.
Fifthly, the app market lacks innovation. Innovation in the app makers’ field is becoming a much-needed ingredient. The presence of several well-established companies in the app market proves this point quite clearly. If you look at the history of the app industry, you will find a significant number of new entrants coming into the market every year. The recent slowdown is mainly because of the fact that many of these companies concentrated on developing products that were not related to their core business models.
The bottom line is that the mobile market is growing faster than the traditional markets. As a result, the competition in the app industry has also increased. The rise of the mobile app market industry is going to bring new opportunities to the companies involved in it and also to the users of the apps.
The app makers are moving from creating applications for personal use to developing businesses that are more in line with their business interests. This change will help them cater to more users and also increase their reach to the users of the apps. It is expected that the developers of the apps will be able to convince more users to download their applications. The users will be able to access the information and the content they need from their mobile phones wherever they go. The apps will also allow users to share their experiences with their friends using the social media platform on their smartphones.