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Universal appeal

The rise and rise of the mobile phone app as a business tool for use in areas like innovation, branding and revenue-raising is a story worth following - and a market worth tapping.
By · 22 Dec 2009
By ·
22 Dec 2009
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Businesses seem to have finally grasped the benefits that a well-built app can bring and are channelling their efforts accordingly, resulting in a wave of more creative, innovative and technologically advanced mobile tools and games.

After a sneak peak at some top secret apps soon to be released by Apple, it very apparent that those currently on the market have only scratched the surface in terms of sophistication. In a special presentation to Business Spectator by visiting experts from Apple's US headquarters, yet-to-be released apps, and some that are already available, were showcased and their usage explained.

The advancement in application of the Apple technology – for instance the motion sensor accelerometer, multi-touch facility, 3G and Bluetooth – is strong and helping fuel a real evolution in the tools being offered.

Some of the most interesting companies to embrace the "appiverse" are the luxury brands. Gucci, Hugo Boss, Coach, Ralph Lauren, Victoria's Secret and D&G have all released apps. Among the most interesting, the Gucci app has streaming music and encourages users to pop into a store to download exclusive musical treats, while the Hugo Boss app allows you to photograph the colour of an item of clothing, then it tells you what items in its current range would match the item you've photographed. Exclusive watchmaker Jaeger-LeCoultre has an app that allows you to take an up-close tour of one its watches and even play a game taking one apart and putting it back together again.

From a business perspective, the creation of apps gives luxury brands an innovative and low-cost marketing channel, the opportunity to give discounts, to engage with a younger age group, to drive traffic to their retail stores and to showcase their product lines – benefits that could apply to many other business models.

Movie studios are also realising the benefits apps can bring them in creating a cult following for film franchises. Among the apps demonstrated was Harry Potter: Spells, which demonstrates an extremely creative use of the accelerometer – to use plain English, you wave your phone around in various ways to cast different spells and if you sync in another player you actually see the spell hit their phone. Much ado has been made about the new film Avatar – the studio has now released an app game version of the film and we were given a sneak peak. The sophistication of the graphics and storytelling give a glimpse into the real possibilities offered by the platform. It was so engaging that the Apple guys had to politely ask that we desist playing and turn our attentions to the rest of the presentation.

Another significant development is the degree to which traditional game developers – such as EA – are now devoting time and energy to developing games apps that can seriously compete with consoles like Nintendo DS, Playstation Portable and N-Gage. N.O.V.A. (Near Orbit Vanguard Alliance) by Gameloft displays some extremely advanced graphics, depth of field and detail. And one of EA's most successful games, Need For Speed has even migrated across to iPhone and iPod Touch, now with manual gears. Again, the detail is phenomenal – from cracking windscreens to light glinting off office blocks. At around $10 or less for most of these games, it's a far cry from the $30-$50 you might pay for a game for a traditional console and creates a whole new product set for a more price-sensitive demographic.

Even Australia's big four banks are joining the club. Commbank with its own iPhone app and NAB, ANZ and Westpac with iPhone banking platforms (I'm leaving Westpac's app off the list because it's terrible). There are now rumours that the banks are working on an app that would turn an iPhone into a mobile EFTPOS machine.

Firemint is one of Australia's great success stories in the world of apps. While they don't design exclusively for Apple, the growth in that side of the business has been phenomenal and has led to them being honoured as one of the country's most successful exporters at the Australian Export Awards for 2009. The company, which employs 37 people at its Melbourne headquarters, saw its initial export revenue from USA and Europe, but through the App Store growth has now seen strong revenues from Japan and Canada.

So, while we might snicker at apps to find public toilets or bake Christmas treat, these tools are becoming serious money-makers and branding tools across a range of industries. Along with setting up a website, we are well on the way to seeing apps become an essential part of any business or branding strategy.

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Isabelle Oderberg
Isabelle Oderberg
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