Smart Phone App Market Booms

Proving that smart phones are devices which inform, connect, and entertain their owners, the statistics on Apple's App Store reveal excitingsmartphone opportunities for both retailers and other application developers. Whether consumers are shopping via their mobile phones, checking the weather, or listening to music, those who use iPhones or iPod Touch devices have found 1 billion excuses to download a mobile application. While Apple is the largest player in this industry to date with 75,000 apps available, Research in Motion and Google are also in the market.

Here are the top categories of consumer downloads:

  • Games 37%
  • Music 28%
  • Entertainment 24%

Here's how many applications are consumers downloading:

  • 1–5 44%
  • 6–10 14%
  • 11–15 5%

Here's how consumers decide which application to download:

  • Looking through what's available 60%
  • Consulting friends/​family 30%
  • Determining which applications seem popular 30%

At least one quarter of smart phone users have not downloaded applications leading some industry experts, including Rob Pegoraro, to complain that the process is still too cumbersome. It's a safe bet that industry operators will fix that problem. For now, game developers and other application providers who charge for their products may need help marketing to their target audiences as competition increases.

[Source: Press release, PitchEngine, April 2009; Pegoraro, Rob. Fast Forward, Washington Post, 5.10.09]
Kathy Crosett
Kathy is the Vice President of Research for SalesFuel. She holds a Masters in Business Administration from the University of Vermont and oversees a staff of researchers, writers and content providers for SalesFuel. Previously, she was co-​owner of several small businesses in the health care services sector.