My Mobile Mind Shift (MMS) happened this year! What’s interesting about this revelation is that I’ve been working in the smartphone industry for more than 10 years now. If that’s how long it took me, and I work in the industry, how long is it going to take the rest of the world? Not much longer, I expect.
I used to work for BlackBerry, so I was involved with early smartphones. At the time, a smartphone was a phone that did ‘more’; it had a browser, email, PIM, and you could make apps for it that allowed you to do pretty much anything you wanted. The definition has changed a bit, and nowadays most of the world thinks that Apple created the smartphone, but experience tells me otherwise.
Anyway, for all these years, I’ve loved having a smartphone – Just having a phone, email and a browser was enough for me. I helped a lot of people write apps for smartphones, and used a few apps myself (Facebook, Fandango, Twitter and Flipboard for example) but my phone wasn’t such an important part of my life that it replaced other things. Actually, having worked for BlackBerry, and being connected all the time, drove me to want to disconnect from access at the end of my day. If I was on the road, you could reach me any time, but while at home. I’d leave my phone in my office at the end of the day. Friends or coworkers would call or email me after hours and not hear back from me until the next morning.
So, what happened? Well, mobile just got easier, that’s what happened. I don’t know how to explain it any other way.
Today, consumers spend most of their time on smartphones using apps - and just five apps account for 88% of the time they spend using downloaded apps. For the average US smartphone owner, those apps are Facebook, YouTube, Instagram, Gmail, and FB Messenger. And although smartphone owners use about 24 unique apps in a given month, the remaining 19 command just a small slice of users' time.
What role does mobile play in customer obsession, and how can businesses leapfrog their competition to deliver superior customer experiences? Here are three ways Forrester predicts mobile will change the ways business leaders operate in 2016.
Time spent on mobile is skyrocketing. Since about 80% of that time is spent on apps, many marketing leaders have quickly jumped to the conclusion that the only way to reach and engage their customers is through their own branded apps. Wrong! Here are five — often ignored — good reasons for marketing leaders to broaden their mobile approach beyond their own apps:
1. Branded apps are relevant. Yes, some of them (Starbucks, Nike, and many others) are success stories. But more often than not, branded apps don’t deliver real mobile benefits and engage only a small subset of customers. It's about time marketers connect their apps to their marketing and CRM systems to personalize and contextualize the brand experience. Marketers should launch fewer but smarter apps.
2. Apps offer real engagement opportunities. Yes, but only for a minority of apps, according to Forrester’s App Engagement Index. Several of the most engaging apps — Instagram, Pinterest, Snapchat, Twitter, and WhatsApp — either don’t have or only recently introduced mobile advertising offerings. Marketers must identify the overlap between the most engaging apps and the most popular apps among their brand’s customer base. Then they have to mix content and context to tell a story that is relevant to customers in their mobile moments. It will not be about ads but about sparking a conversation instead of broadcasting a marketing message. Marketers should select the most promising partners evolving their apps as marketing platforms.
What is the secret recipe for creating an app that users open day after day? We used our Technographics® 360 methodology, which combines data sourced from the same group of individuals via behavioral tracking, online surveys, and our market research online community to answer this frequently asked question.
What did we do?
First, we asked participants questions about a randomly selected app they use, including how they discovered the app and how strongly they agreed with statements regarding specific app attributes, such as whether it was easy to navigate. Next, we took the responses for each participant and merged them with their behavior on that particular app. Finally, we engaged our participants in a qualitative project to expose the reasons behind our results.
This powerful approach allowed us to align a single participant’s behavior, personal characteristics, and attitudes to uncover the key attributes that lead to increased app usage. Perhaps not surprisingly, we found that apps generate varying levels of engagement simply due to the type of app they are: Consumers access gaming apps more frequently than they access travel apps, for example. So we quantified and removed the effects of app type and other static characteristics that influence usage. This allowed us to isolate the relationship between users’ opinions of app features and their engagement with that app.
While Malaysia's tech services market is mature compared with other fast growing ASEAN markets like Indonesia, it remains very fragmented. Some vendors also tout capabilities in technology services that fall outside of their core competencies and for which they have not yet developed a strong track record. The fast-rising digital expectations of business stakeholders are making it increasingly difficult for client organizations to find the right partner for their requirements. In a new report, my colleague Zhi Ying Ng and I provide a detailed analysis of the leading consulting and technology service providers in Malaysia. Here are a few high-level recommendations when choosing a service provider in Malaysia:
Reset your expectations when engaging with local service providers. Organizations looking to expand in Malaysia will find it beneficial to tap into these providers' local knowledge and experience. However, companies looking for sophisticated skills — like those related to enterprise applications — should be aware that providers might lack experience even though they claim otherwise. As such, it is crucial that enterprises set a clear strategy based on the goals and objectives that they want to achieve, together with a road map that aligns services sourcing with internal capabilities before beginning such engagements.
Mobile reached a tipping point in 2014 as it solidified its position as one of the most disruptive technologies for businesses in decades. Not since the advent of the Internet, has a technology forced businesses to rethink completely how they win, serve and retain customers. Mobile has completely shifted consumer expectations. Today, consumers expect to get anything they need immediately, in context. Forrester refers to this as the mobile mind shift.
Forrester believes that, in 2015, the gap will increase between leaders and laggards. Leaders will use mobile to transform both their customer experience and their business. They will anticipate the needs of their customers and engage them at exactly the right moment with the right content and services. Forrester refers to these moments as mobile moments. Doing so will require massive spending in the tens if not hundreds of millions of dollars to put the infrastructure, technology, processes and organization in place to engage consumers in their mobile moments.
Most companies will fall short. They have a myopic view of mobile. Why?
Treat mobile has a squeezed down version of a PC experience or a portion of their digital strategy. Why? That is how they are organized and goaled. As a result, they fail to optimize the use of mobile for their overall business. Second, they fail to serve the needs of customers.
Do you measure the success of your app? And if so, how do you define success?
App success depends on both the type of app and the purpose of an app; in general, we can't measure success just by counting the number of downloads or looking at the time spent with the app. But for certain apps, such as communication, dating, games, movies, music, news/media, social networking, and sports, it's easier to define success: The more engaged a user is, the better.
To help marketing leaders and app providers evaluate and benchmark these apps as consumers embrace the mobile mind shift, Forrester has created the App Engagement Index. We use actual smartphone behavior collected from more than 3,000 US and UK smartphone owners who have agreed to supply their data — permitting precise usage analysis at a detailed level.* The Index analyzes every app used by more than 2% of the panelists and rates its user engagement and relative performance across four metrics:
The Index combines these metrics, scores each app from zero (not engaging at all) to 1,000 (the maximum possible engagement), and places it on a spectrum of four segments: addicting, engaging, enticing, and intriguing.
Behavior tracking data is the new black. It is a type of big data that can help you better understand your target consumers — everything from the amount of time they spend on each social media outlet to their most popular time of day to visit shopping websites. Compared with other data sources, it allows you to capture actions at a very detailed level with precision, eliminating measurement errors by analyzing usage of what consumers do, not what they say they do.
In our recent publication, Mobile Behavioral Data: UK, we analyzed Forrester's UK Consumer Technographics® Behavioral Study, November 2013 to March 2014, and found that:
WhatsAppkeeps UK smartphone owners engaged the longest. Forty-one percent of UK adults use the app for just over 8 hours per month (or about 2 hours per week). That is longer user engagement than for any of the other top 10 most popular apps that UK consumers use on their smartphone; this includes Facebook, the most popular app, which keeps smartphone users engaged for a little over 90 minutes per week.
Young UK smartphone owners are most likely to use finance/banking apps. More than half of 18- to 24-year-old UK smartphone owners use finance/banking apps, like the Lloyds Bank app and the NatWest app. These youngsters show the highest adoption of finance/banking apps in the UK, and rates decline with age; about 40% of 25- to 44-year-olds and 34% of 45- to 54-year-olds use finance/banking apps.
I recently “overheard” a member of our market research online community (MROC) say, “I treat my smartphone like my child and carry it everywhere I go.” It’s official: Smartphones have replaced children. Not really, but the statement speaks to the way that consumers have changed their thinking and behavior because of mobile devices. The rapid adoption and dominant presence of mobile devices speaks to their importance in consumers' daily lives.
As part of our effort to develop forward-thinking research using innovative approaches, Forrester is collecting behavioral data by tracking consumers' activities on smartphones and tablets. By using a passive tracking technology, we now have a detailed, inside look into what consumers are doing on their smartphones and tablets and when they're doing it. Preliminary results have shown some surprising (and not so surprising) data insights.