Why your business needs a mobile app

Today’s consumers demand effortless digital experiences. Once you build a successful app, it’s like being invited into your customer’s daily moments – morning strolls, coffee breaks, meditation minutes, and more.

This article explores the multiple benefits of having an app – and why investing in one could be the smartest move your business makes this year.

Benefits of an app

1. Great user experience and customer engagement

An app puts your business in your customer’s pocket – literally. It’s always on hand with instant access to your services.

With tools like push notifications, location-aware features, and personalization, apps outperform any other digital channel in engagement. They boost retention and deepen customer relationships.

Apps create an engagement loop and a level of convenience that’s hard to beat.

Just picture this: a fashion retailer sends a push notification to a loyal customer passing by – “Welcome back to Aleksanterinkatu! Stop by our flagship store in the next hour for 20% off your favorite styles – just show this message at checkout.”

Smart interactions don’t just engage – they spark action.

2. Apps make the customer relationship personal

Customers are used to personalization in their Instagram feeds, Netflix recommendations, and music apps. When they interact with your brand on the same device, they expect you to know them, too.

Apps are built for personalization. They are unmatched in collecting rich, real-time data that lets you serve up personal content, offers, and experiences for each individual.

Consider your app the digital equivalent of that trusted shopkeeper of 30 years who knows every customer by name. Just like that clerk, personalization builds loyalty and boosts conversion.

3. New depths of data for developing your business

The unmatched level of data you get from an app is a powerful tool for business growth – helping you enhance products, optimize operations and refine marketing strategies.

Take this example: A car maintenance app notices users mostly book appointments after 7pm. The business launches an “Evening Express” service with extended hours – and fills 65% of those slots within a week.

While a website heatmap shows where users click, an app provides deep insights. Every tap, scroll, and purchase reveals more. An app can track which button a user tapped first among those five CTA’s – and, if they hesitated.

Consider a food delivery app that analyzes order frequency by neighborhood and time of day using background location data. A browser simply can’t provide this level of detail.

Moreover, apps are often tied to a logged-in user, meaning more accurate customer profiles. You can also easily prompt users for additional feedback, ratings, or data to continually improve their experience.

4. Scalable revenue opportunities

Apps aren’t just mobile versions of your existing business – they open up new, scalable revenue streams. While traditional e-commerce focuses on product sales, apps provide multiple ways to generate income.

With apps, you can leverage in-app purchases (IAPs – learn more about them in our guide), subscriptions and targeted ads for monetization. IAPs allow you to offer upgrades or digital goods, while subscriptions provide ongoing value through exclusive services or tiered plans.

Qvik helped Suunto create a new premium subscription model for its Sports Tracker app, resulting in 6-figures in revenue during only the first three months, and 70% premium user retention on both iOS and Android.

Beyond additional income streams, mobile commerce consistently outperforms “regular”, web-based shopping. Why?

Frictionless checkout options are one key reason. Apps allow saved payment methods, Apple Pay, Google Wallet, and even one-tap checkout.

Did you know? Qvik was St1’s strategic partner in launching the first Nordic Apple Pay service.

They also feature persistent carts and wishlists. Unlike browser tabs that close, app sessions are more “sticky” – users come back and complete purchases.

And, like mentioned before, personalization in apps is on another level. Personalized push notifications and recommendations drive app users toward purchases tailored to their preferences. For instance, a beauty brand’s app might detect when a customer’s favorite product is running low, and send a timely reminder to their phone – with a one-tap reorder option.

5. Enhanced brand loyalty

If your competitors have apps, you’re falling behind. If they don’t, it’s your chance to lead.

A mobile app signals a commitment to an exceptional user experience – alongside innovation and modernity. In industries where digital experience is becoming a key differentiator, like finance, retail, and travel, having a great app can be the deciding factor.

In a fast-paced world where attention spans are short, websites are often left in forgotten browser sessions. Your app lives on your customers’ home screens, so it becomes part of their daily routine, creating a deeper emotional connection to your brand over time. With a successful app, you’ll be able to create a lasting presence in your customers’ everyday lives.

6. Tapping into future technology

A mobile app opens the door for plenty of new and future technology. Thanks to apps integrating with smartphone features like GPS and the camera, you’ll make the most of powerful tools like AI, augmented reality, and machine learning.

7. Streamlining internal operations

Finally, apps aren’t just for customers – they can improve your internal operations. From automating tasks, streamlining logistics and improving team communication, an app can remove friction across the board.

Tip: Design features that serve both customers and your operations. That’s how you unlock ROI from all sides.

Is your business ready to develop an app?

Despite the benefits, there are times when we don’t advise you to develop your own app – at least not yet. Some of these instances include:

• A limited budget – Building and maintaining an app requires investment. If your budget is very limited, it could be smarter for your business to invest elsewhere first.
• A very small user base – If your business doesn’t have a large or engaged audience yet, it could be better to focus on growing your brand before launching an app.
• A lack of clear purpose – Apps need to solve a real problem and provide unique value. If there’s no real reason why your customers would need an app instead of a mobile website, it can turn into a waste.
• Missing maintenance commitment – Apps need regular updates for new iOS and Android versions, fixing bugs, responding to user feedback, evolving your product, and staying relevant. If your business isn’t ready for that ongoing work yet, your investment will not be worth it.
• Good, existing alternatives – If there are platforms (like Shopify, Etsy, or Amazon) that already serve your business model very well, it might not be necessary to reinvent the wheel.

Exploring your options

Creating a successful app starts with planning. Ask yourself these strategic questions:

1. What core problem will my app solve?
2. Who are our users, and what do they need?
3. How will we scale and maintain our app long term?
4. What is the best business model for my app?
5. What is the best technology for my app?