SOURCE: Pontiflex

December 13, 2011 10:00 ET

Survey Finds App Usage Is Poor Among People Who Download Incentivized Apps

Only 3 Percent of Smartphone Owners Who Install Apps for Incentives Say That They Use the App Often

BROOKLYN, NY--(Marketwire - Dec 13, 2011) - According to a new survey conducted online by Harris Interactive on behalf of Pontiflex in November 2011, among more than 2,800 U.S. adults, only 3 percent of smartphone owners who have downloaded an app for unrelated incentives, such as free social or game points, say that they use the app often.

Additional data points reflect lack of continued user engagement with incentivized apps among smartphone owners:

  • Of the smartphone owners who have downloaded an app for an incentive, only 3 percent of people use the app very often. Of the remaining 97 percent:
    • 62 percent of smartphone users download the app to redeem the incentive and uninstall the app or never use the app again
      • 37 percent downloaded an app to receive the incentive and then uninstalled it.
      • 25 percent only used an app once to redeem the incentive, then never used the app again
    • In addition to the 62 percent who uninstall the app or never use the app to redeem an incentive, a further 17 percent say they hardly ever use the app.

The survey also found only 12 percent of U.S. smartphone owners and 24 percent of tablet owners prefer to pay for apps and not see any advertisements. The overwhelming preference for free apps across all demographics points to the importance of mobile advertising in driving the growth of the app economy. Today, it's notable that sixteen of the top twenty-five grossing apps on the iTunes store are free and depend on advertising for their revenue.

However, also notable is that the user experience of in app advertising is critical to success. This survey found that 57 percent of smartphone owners and 50 percent of tablet owners prefer free apps with ads that keep them within the app, rather than a disruptive experience that pulls them to a mobile browser.

In addition, the survey also found that a large number of people are not receptive to mobile video advertising as a way to keep apps free. Only 7 percent of smartphone users who have downloaded free apps and 15 percent of tablet users who have downloaded free apps said that they prefer to see commercial/video ads that take over your screen and force you to watch a video. What's more, 35 percent of smartphone who download free apps and 34 percent of tablet owners who download free apps are concerned that mobile video ads will increase the cost of their service plan.

"These findings highlight the importance of providing mobile app advertising solutions that are native to mobile environments," said Zephrin Lasker, co-founder and CEO, Pontiflex. "First, they clearly show how incentivized app solutions might not be conducive to brands and developers looking to build long term relationships with consumers. Secondly, the results demonstrate that consumers value free apps and express a preference to non-intrusive mobile app advertising solutions."

With Pontiflex AppLeads, app developers and advertisers can run mobile signup ads. Mobile signup ads enable people to sign up to hear from the developers and advertisers they like without leaving an app.

For downloadable images and background material related to this survey, please visit: http://blog.pontiflex.com/2011/12/05/harrisinteractivesurveyresults

About Pontiflex
Pontiflex powers a new kind of mobile advertising platform: signup ads.

With signup ads, people can opt in to hear from the brands they like without leaving a mobile app or website where they are engaged. Advertisers pay only for valid signups -- never for wasted clicks or impressions.

Whether it's moms who join Kimberly-Clark's HUGGIES loyalty program, pet lovers who want to help animals with the ASPCA or people who want personalized books from small businesses like Paper Hat Press, millions of people use signup ads every day to connect with their favorite brands and organizations.

Survey Methodology
This survey was conducted online within the United States by Harris Interactive via its QuickQuery omnibus product on behalf of Pontiflex from November 10-14, 2011 among 2,810 adults ages 18 and older, among which 958 are smartphone owners and 257 are tablet owners. This online survey is not based on a probability sample and therefore no estimate of theoretical sampling error can be calculated. For complete survey methodology, including weighting variables, please contact Tiffany Sumner, Director of Marketing, Pontiflex, at tiffanys@pontiflex.com.

Contact Information

  • Media Contact:
    Aaron Wessels
    {point-bl_nk communications for pontiflex}
    415.378.8090
    Email Contact