Conclusion
The findings of this report suggest that Branded Reader Apps are proving to be a successful channel for publishers and brand owners. Particularly illustrative of this is the finding that an average of 40 percent of reader app users are opting to share personal information with the publisher when asked. The importance of this cannot be overstated. Publisher’s main fear (and one of the main reasons they have been holding back on selling magazine subscriptions in the iTunes Store) was that Apple’s policies would mean they could not get the all-important subscriber data that is often the life blood of every publishing house. The significant marketing opportunity this data represents may go some way to offset Apple’s 30% fees, especially given the additional reach that the App Store opens up to Publishers. Brand owners benefit from the creation of an opt-in database of prospective customers that can be used for future marketing.
Other findings show that app interaction levels with reader apps are high; an average return rate of 67 percent to iPad magazine editions is a notable finding showing that readers are engaging and interacting with the magazines multiple times. In addition, with over a third of app downloads taking the form of software updates by existing app users, it is clear users continue to engage with their apps well after the initial download as they are keen to download the latest technology.
These findings point to the sustainability of branded reader apps as a viable business model for publishers looking to sell on the App Store and other companies who wish to share branded content. What’s more, the recent release of the iPad 2 is likely to fuel the popularity of branded reader apps and continue to close the gap between print and digital readership.
We will review the results of this in the next YUDU Report. 15
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