The Mobile Developer Journey

I have not abandoned this blog. I have in fact been helping a local company here with their product development. I’ll write further about them in the future, but for now, let’s just say I’m on what Vision Mobile would call the Mobile Developer Journey. The graphic summary of this journey was good enough for me to share.  I wish they had spent a bit more time discussing the monetization challenges, but maybe that’s just my fault for not yet reading their report.

I’ll be back soon with more about my work. In the meantime, enjoy the pretty pictures.

The Mobile Developer Journey

The Real Customer

I enjoyed reading Steve Johnson’s post on who the real customer is over on his Product Marketing blog. I’m not sure if Steve has a Telco background or not, but his comment regarding the person who uses your device being your customer, is spot on for this industry. The  manufacturers who maintain direct contact with their end users tend to be the most successful. There are some who attempt to make their living catering to operator (distributor) wishes like LG and ZTE, but none ever seem to really garner significant mindshare.

Let’s review those that do.

Apple

I think we all know this story already. They are the poster child for making operators look like “dumb pipes”. Having completely flanked operators with their retail stores, music and app business, and line of personal devices, they’ve been able over the years to develop strong ties with their consumers. Globally, they’ve never been market share leaders, but those they served were passionate users. Their message rarely has been distorted by middle-men. What is the result? Operators bending over backwards to access that user base, breaking their internal rules and giving up revenue streams.

RIM/Blackberry

For years has been the de-facto choice for business users, offering services that other manufacturers either avoided or refused to compete on. So while they are struggling now, they built their success around “Crackberry” addicts. Operators couldn’t help but stock their products for fear of user revolts at their enterprise accounts. Even in the midst of their current troubles, the press and consumers still follow them without fail.

Google/Android

Obviously this story has not finished, but they do seem to be gaining traction at a rapid pace. Whether they continue to do that is still up for debate, however, their recent success is built once again on having a dedicated user base dependent on services that were not developed on the operator level. A “semi-open”approach  versus the walled gardens that operators are famous for have served them well recently.

Nokia

I hesitate to put them here due to their recent issues with delivering a compelling smartphone. However, they still command close to 40% of the global market. And in markets with less operator control, Nokia is still the standard. Their broad portfolio, targeted to multiple income levels and consumer segments, still has them as a force to be recognized. While not obvious in the US, there are still Nokia fanatics in plenty of other countries.

Manufacturer success is never guaranteed, but there doesn’t seem to be any reason to believe that devotion to end-users will be any less successful in the future. It’s sad to think how many operators consider themselves the most important person in the value chain. Obviously they have their own roadmaps to manage, but more often than not, it appears as though they forget who they actually while frustrating their manufacturing partners in the process.

Will Mobile App Subscriptions Affect App Revenues?

I was reading a Wall Street Journal article last night about how the New Yorker is attempting to publish paid apps on Apple’s app store. In it’s current form, visitors to the store must download each issue separately, incurring a $4.95 charge each time. Obviously this will be annoying to many consumers, especially in this age of content delivery. As such, the New Yorker is pressuring Apple to create a subscription like feature. And at that point, a really weird thought popped into my head.

Would the introduction of subscription apps affect the ability for single-pay applications?

Give me a second, let me walk through my thinking:

  1. Consumer “Joe” is an active iPad user and spends about $10/month on applications, music, etc. He’s grown accustomed to seeing bills of this size from Apple.
  2. Joe now sees two of his favorite magazines are now offered via a subscription online for $4.95/month and decides to sign-up thinking, “This is great, more stuff for my iPad. And it’s such a great deal, as this is usually too expensive in print.”
  3. Now, his monthly spending at the iTunes store has doubled, making Joe worry he’s spending too much for this device. He now thinks he should cut back a bit.
  4. Not wanting to give up his magazines, Joe cuts back on other “silly” or “frivolous” games for his iPad, bringing his monthly spend back to it’s pre-subscription norm.

So I guess my question is this? Do users who fit under this or similar scenarios already unofficially pre-budget how much they’ll spend on downloads per month? And if so, will subscriptions quickly eat into the share of pocket that consumers like Joe would be willing to spend?

Obviously the content would have to be compelling enough, but subscription-based content has a long history and may seem “easy” for some consumers to quickly sign-up for on some platforms. Whether  these subscriptions will make it just as easy to opt-out remains to be seen.  If consumers get locked into long-term commitments like we see today in print versions, we might see an interesting blip on the radar of other application providers.

God Bless You, Mr. Elop!

This is Stephen Elop.

He’s been appointed as the new CEO of Nokia.

I liked Olli-Pekka, but he seemed to have a vision he couldn’t execute. Whether the failure was his fault or just due to nature of the Nokia beast doesn’t matter anymore. I hope Mr. Elop can bring necessary change to Nokia and renew their promise of Connecting People.

Is Apple Letting Android Live?

In short, no. Android lives on regardless of Apple.

Earlier today, I actually deleted a potential post about what would have happened if there been a CDMA version of the iPhone. After messing around with it for a while I came to the conclusion it doesn’t really matter, the past is past and who knows what would have really happened.

And then TechCrunch runs the article, “Is Android Only Surging Because Apple Is Letting It?

Head-smacking ensued.

They don’t take the revisionist history approach I was going for, but they did lightly touch upon some of the areas I wanted to cover. Namely, why do people choose Android and what would have happened had Verizon been able to get their own iPhone? There were more areas for sure, but since I couldn’t get the post to be anywhere near coherent, I gave it a swift death. In retrospect, maybe I should have just slimmed it down like TechCrunch did.

But if you enjoy thinking about these things, here are some of the areas I was thinking about:

  1. How does one explain the growth of Android in non-U.S. markets like China?
  2. Also, if Apple really wanted to win China, should they do a TD-SCDMA version?
  3. Did people really choose Apple over Android or did the strength of each operator’s channel determine the majority of the choices?
  4. If a CDMA version had existed and therefore no exclusivity with ATT, would Android have been used as a pawn by both ATT and Verizon to gain concessions from Apple? You have to admit, their hardware IS expensive. And I’m sure they’ve been eye-balling the App store of Apple for some time…
  5. Apple famously attempts to defend it’s consumer experience, so could they have effectively supported both a VZW and ATT platform? And if not, how would they prioritize without aggravating the other partner?
  6. With CDMA typically being a more expensive technology, would Apple have accepted the margin hit on their hardware?
  7. Is Apple just sticking around at ATT until LTE comes to Verizon?

Obviously, I have my opinion on these questions, but there is no point in going through them. In the end of my now-deleted piece, I couldn’t think of a compelling reason for why Apple would have ever gone to (or will go to) Verizon before LTE. I just wasn’t comfortable enough to say it with confidence. So what am I getting at with all this? Basically…there is a lot at play, especially in the U.S. market and it wouldn’t be wise to try and simplify Android’s growth around only one or two factors.

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