Mobile Application Downloads to Reach Five Billion by 2014

New York based research firm ABI Research says that the number of mobile applications downloaded by mobile phone users is expected to reach five billion by 2014. It says that the surge in smart phone sales and the increase in the number of mobile app stores are the reasons why there has been a sharp increase in the number of apps downloaded in the last few years.

The iPhone, according to ABI Research, is still the major player in the mobile app market. However, its market share is expected to reduce considerably over the next few years due to the rise of Google Android. Android currently has an 11% market share. Due to its increasing popularity and Apple’s shrinking market share, Android’s market share is expected to increase from 11% to 23% by 2014.

The reason behind Android’s growth in the mobile application market is not hard to fathom. As of now, 14 phones run the Android OS and the number is expected to increase sharply this year due to the introduction of new Android based phones. Also, the response for free mobile apps from Google, Google Maps being a fine example, has been great so far. Since Google is expected to come up with more such free apps and ad-funded apps, it is safe to assume that the number of mobile apps downloaded by consumers will increase in the coming years.

ABI Research has also made another observation. It says that even though the number of mobile apps downloaded by consumers is expected to rise sharply, it may not reflect positively on the revenue chart. It says that the proliferation of free ad-funded apps might make people reluctant to buy paid mobile apps. It is quite a bold prediction given the fact that the idea of ad-funded apps is still in its nascent stage.

What I believe is that there is enough space for both ad-funded apps and paid apps. While the demand for free ad-funded apps is likely to increase significantly, the demand for paid apps, particularly business centric mobile apps, will not disappear completely, as there are quite a few people who do not like the idea of a mobile app loaded with ads. So, I predict a mobile ecosystem where ad-funded apps and paid apps can coexist without any problems. What do you think? I am interested in hearing different opinions.

Categories: Cell Phone Advertising, All things mobile phones.

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Facebook Mobile Reaches a New Milestone - 65 Million Active Users

Facebook Mobile has reached a new milestone folks. It now has over 65 million active users from different parts of the world, making it one of the most popular mobile social networking sites in the world today. What makes this news even more incredible is that it has happened in an incredibly short span of time. About eight months back, the number of active users was only around 20 million. Now, it is well over 65 million. In other words, the site has attracted more than 40 million new users in a span of eight months – eight months. Incredible is the only word that comes to my mind.

Let us dissect this achievement a little. There are a number of mobile social networking sites available today. What makes Facebook Mobile so popular among mobile users? From what I have seen so far, I can think of the following reasons.

• It is available in a number of different languages. So, no matter what language you speak, you are likely to find a version of Facebook Mobile in that language.

• There are a large number of Facebook Mobile applications available for different types of handsets including iPhone, Nokia, Sony Ericsson, Motorola, Palm, Samsung, HTC, Windows Mobile, and Blackberry. So, no matter what handset you use, you can access it easily.

• It has come up with innovative features like Facebook SMS which lets you set your status, receive notifications, and send and receive messages via SMS. It is very convenient for people who are not able to log into the mobile site all the time.

• It is available in two formats – an ordinary version which works on any mobile phone and a special version which is meant only for touch screen phones.

Not hard to understand why the website has attracted so many people, isn’t it? In fact, experts say that the site will have more than 100 million users in 2010. Considering its growth in the past few months, it is not hard to believe.

Finally, here’s something for the hardcore Facebook users among you. People on Facebook Blog have announced that Facebook Connect, starting from today, will be available on a number of mobile sites and applications. Well; you knew they had something up their sleeve, didn’t you?

PS: To know more about mobile social networking, you can check out this post.

Categories: All things mobile phones, Mobile Social Networking.

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Future of Mobile Advertising - Notes from Cannes Lions Ad Festival 2009

Mobile advertising was one of the important topics which were discussed at the 56th International Cannes Lions Advertising Festival. A number of executives representing big advertising and marketing firms around the world discussed the future of mobile marketing.

A lot of people who discussed the future of mobile phone advertising were of the opinion that it could become really big in the next two or three years. There are two reasons why they believe so.

1. The large number of mobile applications designed exclusively for smart phones which allow users to access multimedia content right from their mobile phones.

2. The ever-growing popularity of social networks like MySpace and Facebook which can be accessed right from the mobile phone thanks to mobile social networking.

Statistics show that mobile advertising has grown at an average of 45% in the last five years, which is incredible to say the least. In other words, what used to be a $3 billion industry has now become a whopping $30 billion industry in just about five years.

Let us now take a look at some of the most important points discussed.

1. A lot of executives said that they have launched a lot of mobile advertising campaigns in the recent past and the response so far has been pretty good.

2. Almost everyone was of the opinion that advertisers need to be more creative to generate interest among users. They were very clear that run of the mill ads which interrupt users every two minutes will definitely not work.

3. It was predicted that in the next three to five years, mobile marketing will account for nearly 10% of global media ad spending.

4. Highly targeted local mobile advertising campaigns will generate enormous amount of interest among small retailers. (Incidentally, this is something that I have repeatedly said in this blog. You can take a look at it here, here, here, and here.)

5. Emerging markets like Africa and Latin America hold a lot of promise as the number of mobile users has increased steadily in the past few years.

6. One of the biggest hurdles for advertisers around the world is the lack of compatibility between 3G networks in Asia and Europe.

7. 4G – the fourth generation high speed mobile technology – is something that advertising firms around the world are waiting for with bated breath. It is expected to hit the market in another ten years or so.

Categories: Cell Phone Advertising, All things mobile phones.

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MSNBC’s New Mobile Application for Apple iPhone Users

Here’s an important piece of information for Apple users.

MSNBC has come up with a mobile application for Apple iPhone and iTouch users. It has joined hands with a mobile media company called Zumobi to develop this application. Zumobi is famous for developing unique mobile applications for various smart phones like Apple iPhone, Google Android, and Palm Pre.

The application brings all the latest news from around the world to the mobile screen. The developers have integrated Twitter into this application which makes it even more useful for the end user.

With this application, you will be able to check out all the latest headlines any time you want right from your mobile phone. From world news to business, sports, weather, or entertainment, this app brings you pretty much anything you need right to your mobile screen. You will also be able to track Twitter feeds, or Tweets as they are called by many, from msnbc.com and share your favorite news items with your friends. The best part about this application, as far as I am concerned, is that it is totally free. You can download it directly from Zumobi’s website.

MSNBC has said that the interactive features in this application will offer a thoroughly engaging experience for mobile users. It has also said that this application offers a great chance for advertisers in the form of premium brand sponsorships.

In my opinion, this app could become pretty popular with iPhone users. If you remember, Associated Press launched its own mobile news network some time back. Considering how popular it became in a very short period of time, I think my prediction might come true very quickly.

Categories: Apple iPhone, All things mobile phones.

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DialPlus wins the 2008 Smaato Mobile Advertising Award

Mobile advertising solutions provider Smaato announced the winner of the Smaato Mobile Advertising Award for this year a couple of days back. The award went to DialPlus, a San Diego based mobile advertising firm, for its mobile application which fetches data relevant to the phone calls you make.

The application from DialPlus works this way – when you make a call, it will fetch whatever data available related to the phone call and show it to you. The information could be anything – restaurant menus, directions, and even profiles from social networking sites. The application won the appreciation of almost all the jury members.

The mobile publishers and developers who participated were allowed to upload a video sales pitch to a website and provide more information through a PDF file. The jury, on seeing the sales pitch and the PDF file, judged the quality and ease of use of various applications and made the final decision.

There were more than a hundred entrants and Smaato was very happy about the fact that its award has garnered so much attention. Also, it indicates an important fact – the healthy competition among mobile advertising companies and the rising number of innovative mobile applications. Both of which are very good for the mobile ecosystem.

Lisa LeVasseur, the CEO of DialPlus, was very happy about her company winning the award and stated that DialPlus has made huge progress in a very short period of time. As the winner of the Smaato Mobile Advertising Award, DialPlus will be able to participate at the 2009 Mobile World Congress free of cost and will get to meet four first class venture capitalists from Europe and the U.S. as well.

Categories: Cell Phone Advertising.

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