Often the secret to success is asking the right question in the first place. Most retailers have their iPhone question backwards. We hear: “How many of our customers have iPhones?” That is a relatively easy question to answer, but it won’t tell you the value of an iPhone app and in many ways it is the wrong question. There are at least two much more useful questions.
1. How many of the 50 million iPhone/touch users would become customers?
This gets to the heart of the incremental value provided to your business from adding an iPhone app. Adding new customers is more valuable than moving existing customers from the web to the iPhone. It may be a harder question, but the answer will be the only way to project the return for your investment.
2. What is the marketing/PR value of having an iPhone app?
This depends greatly on your target audience and it’s highly time dependent. The marketing value of announcing your iPhone app will never be higher than it is right now. Next year the value will be significantly lower. At some point in the future the question will even transform into: “How embarrassing is it not to have an iPhone app” (Remember the late web adopters).
In order to remain competitive, retailers need to make sure that they are on the cutting edge of this expanding market while offering multiple ways to meet consumer needs. Smart retailers have long recognized that multi-channel customers are their best and most loyal shoppers.
Retailers have the opportunity to deliver a richer experience for customers via an iPhone app. A well-made application can benefit both the retailer and consumer by providing marketing buzz, entertainment and practical value.
What a retail app can provide for your customer
- Convenience- Today’s society is always on the go; why not provide them with constant access to what your business has to offer.
- Rich Customer Experience- Engage the user while simplifying their shopping experience.
- Strong Customer Relationship- Form a relationship with your customer by keeping them updated on the latest news and events.
“There’s no question m-commerce has arrived,” says Steve Yankovich, vice president of platform business solutions and mobile at eBay. “We’re changing the way people participate in commerce. If you are a retailer today and you’re not offering the customer the ability to participate in commerce whenever and wherever they want and another retailer does, you’re going to have a problem.”
