Apple’s famous “There’s an App for that” does not seem to have penetrated the Indian mindset. In spite of the great strides India has made in mobile penetration, both rural and otherwise, the concept of the mobile as a one-stop solution for all your needs is yet to pervade the Indian mentality (I’ve seen instances where people with business phones hunt for pen and paper to take down details). The reasons why Apps (mobile applications) aren’t that popular are several. The fact that unlike iOS and Android, other operating systems like Symbian (which comes installed on Nokia, Ericsson and other brands) lack an official app store contributes. Add the fact that the higher-end phones have just started getting popular, and that most Apps out there are either not written with the Indian user in mind (especially those nice ones with GPS and visual search) or are too expensive, and you have a decent (though not comprehensive) explanation for why apps are yet to take off in India. One more important point is that most of these apps are online, and a surprising amount of people who have mobiles don’t use GPRS (this is true especially of those of the older generations who still go around calling it a mobile phone).
An Indian company, Onward Mobility sees a lot of potential in this untapped market. An offline App store is the result. An article in the Business Standard mentions that Onward Mobility has sold over 300,000 apps so far and has 10,000 retail points in 186 cities.
How does it work? The application is transferred via USB or Bluetooth at a retail outlet.
The company follows a direct-to-consumer model, a retail approach to selling apps, a rather unique business model. The company (the article above reports) is evaluation selling its apps through operators, bundling it with handsets.
A quick look at the products the company seems to offer. The company currently sells MobiCOP (security software) and MobiSECRET (protects mobile phone data – with ability to hide and unhide personal data). Priced at 399 and 199 respectively (a premium version of MobiSECRET which is apparently quite popular sells at 299). Other apps in the pipeline included a DND application, a call recorder, an app that allows hands-free application, discreet SMS ability, a mobile nanny, a surveillance app, and a tracking software that helps you trace your phone.
While each of the above apps (except the last one which Onward Mobility claims is one of its kind – “first in the world” is displayed quite prominently) has some sort of free / paid version available online, there are few that come with a brand / name attached. Most are by unknown developers scatter across the world. An actual retailer (who has a listed contact address, and a face – if you decide to not choose the online option available) has some sort of accountability. Unlike the iPhone app store where every application undergoes scrutiny, there is no analogous forum for Symbian – which is possibly the most widespread OS in India. This has led to several irritating incidents where I’ve downloaded an App and it refuses to run, or has other functionality issues.
They also have support for Lava, Micromax and the other new Indian handset makers.
What is unique is the business model – interesting and appealing (especially to those who dread mobile download charges or the anonymity and apparent lack of security on the Internet). I however was hoping to find a full fledged app store compared to three products.
On a personal note, I’m not quite sure whether this will be immensely successful. For one, the applications aren’t all that unique or interesting that one might be tempted to purchase them. Secondly, I have a feeling that the next generation of phones (in the next 5-7 years) will feature operating systems like Android which have a huge ecosystem and extremely high growth rates.
But will Indian buyers go for apps that have a price targeted at an American market? What do you think?
This is a good alternative to the conventional appstores. Sounds very practical in growing markets such as India/China/Africa. With the internet penetration so low, 1% credit card holders and negligible number of tech savvy mobile users, this seems an excellent idea.
I have heard of such initiatives being taken up in some parts of africa and have found lots of takers. Imagine reaching out to 600 million consumers, even mega brands have not dared to reach here.
As long as the apps are value for buck, there will be consumers for them. Major portion of India still needs the basic stuff for consumption to reach them – whether food, clothing or mobiles. Innovations need are minimal as the basic is still missing out.
My vote goes to this company for having forayed into this FMCG kinda business model. Wish them all the success!!
Bill Andrews