Madison Ave.'s Next Killer App May Be, Well, An App

As the ad industry waits with anticipation for Apple to unleash a new era in applications-based advertising with its new iAds, new consume research indicates app users are prone to use them when making purchase decisions, and are much more likely to be influenced by them than by other emerging platforms, including social media. The study, "Smartphone Apps: General and TV-Related Usage," which is being released today by Knowledge Networks, also finds marked differences among users of various smartphone technologies, including iPhone, Android and Blackberry operating systems.

 

"The portability of apps means that they can travel with people as they shop, and the proportion of smartphone users - particularly iPhone users - already using them while shopping is eye-opening," stated David Tice, vice president and group account director at Knowledge Networks. "We also found that, even before [the] iAd has launched, advertising in an app is an effective way to take advantage of this symbiosis. Taking the opportunity further by creating a custom app is another, potentially more powerful approach."

Specifically, the study shows that 40% of smartphone users turn to them when making shopping decisions, and nearly a third say they are more likely to purchase products from companies that use apps, twice as many as those who said the same for companies that utilize social media (see table below).

The findings, which are based on an online survey conducted in April among 1,004 smartphone owners ages 13-54, also indicate that smartphone owners are generally receptive to advertising in apps, but that iPhone owners appear to be more receptive than owners of other smartphones.

The study also found that iPhone users are about three times more likely to have paid apps, and average about 29 apps on their phones vs. 19 for Android users and only four for Blackberry users.

Inclination To Purchase From Advertisers In Emerging Media

 

Smartphones

HDTV

Social Media

I am more inclined to purchase from companies advertising on...

32%

19%

16%

 

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