Gym owners beware – technology is taking over! With the proliferation of fitness apps available no need for a gym membership any more. With 70% of Irish people owning a smartphone (Eir Connected Living Survey, 2015) and 1.91m people globally using smartphones (Emarketer, 2014) the opportunity for businesses launching fitness apps is huge!
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The popularity of health and fitness apps
Health and fitness apps enjoy huge popularity with 15% of global internet users using them on a monthly basis (www.statista.com, 2016). While for other sectors downloads may be high, usage can be an issue, but with health and fitness apps consumers are either following a programme or tracking their progress so repeat usage is high. There has been a 52% increase in app sessions for health and apps (www.statista.com, 2016).
There are many different types of health and fitness apps in the market and each business has employed a different strategy.
Health and fitness apps enjoy huge popularity with 15% of global internet users using them on a monthly basis (www.statista.com, 2016). While for other sectors downloads may be high, usage can be an issue, but with health and fitness apps consumers are either following a programme or tracking their progress so repeat usage is high. There has been a 52% increase in app sessions for health and apps (www.statista.com, 2016).
There are many different types of health and fitness apps in the market and each business has employed a different strategy.
Couch to 5k
C25k (Couch to 5k) is one of the most popular free apps which aims to turn couch potatoes into joggers in 9 weeks. Users can then upgrade to the Couch to 10k generally at a small cost if they want a bigger challenge. The C25k programme works on a very simple premise – consumers simply download the app on their phones, plug in their earphones and head out the door. The app’s voice feature means that consumers don’t need to look at their phone screens. Over the course of 9 weeks learners switch from short walks of 1.5 mins to running 5km in around 30 mins. For businesses running the free C25k apps the benefit is upgrades and also advertising as the target market is very attractive to many advertisers.
Distance Trackers
So now that runners are off the couch they want to start to improve their running using apps such as Runtastic, Runkeeper, Map my run, Nike+Running or Strava which help plan routes, distance covered, speed and calorie burn so they can keep on top of their fitness goals. Users can share their activities with their social network for motivation or to compete with friends. For some businesses the objective of providing these free apps can be to drive in-app purchases or engagement. Runkeeper try to upgrade users from the free version to Runkeeper Go with a free trial of this offered initially to encourage sign up. Nike has built engagement with consumers by creating a Nike + Running app which is subtly branded. This app allows Nike to position itself as an authority in running so consumers are building the association between Nike and running which helps in its marketing efforts and drives conversions for its product range. Nike also benefit from the customer insights gleaned to help tailor future campaigns and product range.
Diet Tracking Apps
With waistlines growing around the world fitness and weight loss have become huge topics. According to WHO 52% of adults aged 18 years and over were overweight or obese worldwide and in Ireland 60% of the Irish population overweight or obese (Ipsos MRBI Healthy Ireland Survey, 2015). Consumers who are mindful of their weight need to track their diet and now there are lots of clever apps to help them do this. These apps allow users to log in their height, weight and fitness goals and then track progress by inputting all exercise and food diary details every day. They can then track their progress against their goals every week. This makes it easy for users to keep on top of their weight and to see the bigger picture of breakdown of what they are eating. They also allow the option of tracking against friends for some healthy competition! With over 40million users My Fitness Pal is one of the most popular apps for consumers trying to lose weight. Starting in the US this app is now setting up different versions in different languages to expand further.
My Fitness pal along with popular distance tracking apps Map My Fitness and Endomondo were acquired by sports clothing retailer Under Armour who could see the broad reach of these apps and the ability to use them to drive sales of their sportswear clothing. Under Armour have now set up "Under Armour Connected Fitness" - the world's largest health and digital community. “One thing we emphatically know is that the more they work out, the more apparel and footwear they’re going to ultimately buy,” said Under Armour Chief Executive Kevin Plank of the company’s customers (Wall Street Journal, 2015). He also reported that the company will use insights gleaned from consumers sharing data across its platforms to help make marketing decisions for its brand and their tactics are clearly working with both share and revenue growth.
My Fitness pal along with popular distance tracking apps Map My Fitness and Endomondo were acquired by sports clothing retailer Under Armour who could see the broad reach of these apps and the ability to use them to drive sales of their sportswear clothing. Under Armour have now set up "Under Armour Connected Fitness" - the world's largest health and digital community. “One thing we emphatically know is that the more they work out, the more apparel and footwear they’re going to ultimately buy,” said Under Armour Chief Executive Kevin Plank of the company’s customers (Wall Street Journal, 2015). He also reported that the company will use insights gleaned from consumers sharing data across its platforms to help make marketing decisions for its brand and their tactics are clearly working with both share and revenue growth.
The benefit of health and fitness apps for businesses
The benefits for businesses in developing health and fitness apps depends on their goals. For many manufacturers the key target is to upgrade users from the free versions to the premium paid versions with additional features. Others have in-app advertising and in-app purchase options. Many have gotten sponsors or advertisers on board to generate revenue. For sportswear brands the benefit is establishing themselves as an authority in fitness, accessing customer insights and driving conversions. What’s clear is that with the huge growth in smartphones and smart devices there is a huge opportunity to tap into a booming market.
Sources: Eir, 2015, Eir Connected Living Survey, Ireland, published online by Eir, Pg 5. EMarketer, 11.12.2014, 2 Billion Consumers Worldwide to Get Smart(phones) by 2016, published online. Statista, 22.01.2016, The fastest-growing app categories in 2015, Sourced from Flurry Analytics, published online. Statista, 2016, Share of internet users who use health and fitness apps every month as of 3rd quarter 2015, Statista, published online. IPSOS MRBI Survey, 2015, Healthy Ireland Survey, Ireland, Government Publications, Pg . Sara Germano, Wall Street Journal, 04.02.2015, Under Armour Acquires MyFitnessPal for $475 Million, Dow Jones & Company, Published online