The Brutal Truth About Manufacturer App Success

Over the last 14 years, manufacturers have strived to add digital capabilities to their products through apps and digital platforms.

They want to appeal to smartphone-wielding consumers who increasingly expect more convenient ways to interact with appliances and devices.

There is enthusiasm, but what about the results? They are often disappointing.

Here's a sobering fact: 70% of users abandon apps within three days of downloading them.

For manufacturers, the quality of digital offerings means the difference between glowing reviews and one-star ratings.

So why do so many manufacturer apps fail to hit the spot? It's not for lack of ideas.

In our experience, manufacturers know their industry and customers well and come to us with 10-20 features they want to include in their apps.

But here's the thing: more features rarely equate to a better app—quite the opposite.

The feature prioritisation puzzle

The first hurdle manufacturers face when creating genuinely appealing apps is feature prioritisation. You need to cull those ideas down to the essentials ruthlessly. 

I recently worked with a home appliance manufacturer that did this brilliantly. They brought together people from different departments, clearly outlined their goals and ideas, and then—here's the crucial part—asked for an outside perspective. 

To provide this, we helped them validate their ideas through user research and prototyping. 

The result? A prioritised set of features that customers told us they would download and use.

But getting people to download your app is just the beginning. The real challenge is keeping them engaged past the critical three-day mark.

Many manufacturers stumble at this point. They focus so much on the features that they forget the user experience.

The activation game

To get the experience right, one strategy that's worked well revolves around "activation"—getting users to that "aha" moment where they realise the app will work for them. Typically, you want to do this in the first three minutes after someone launches your app for the first time.

For example, we worked on a nutritional app where 60% of users bounced before looking at the nutritional values of any food. They were being scared away because many foods were locked behind a paywall.

To improve our retention, we tried giving them free access to the first portion size of all foods. This simple change boosted our activation rate from 40% to 54%, eventually increasing our annual revenue. It's not about giving everything away for free; it's about letting users experience the value upfront as fast as possible.

The cost conundrum

Now, let's talk about something every manufacturer cares about: costs.

When product and engineering directors are new to digital and need to budget for an app, it's common to overlook the less obvious expenses. It's not just about development.

There's user support, maintenance, updates—the list goes on. I've seen projects derailed because these costs weren't factored in from the start.

One area that consistently trips manufacturers up is connectivity.

It might not be as exciting as flashy features, but it's critical. Most smart hardware products require users to connect via Bluetooth or cloud services.

This seemingly simple task can become a major headache if not done right. I always advise allocating more of the budget to connectivity than you think you'll need.

Another often-overlooked cost is dealing with bad reviews.

Yes, you need to budget for that. Even the best apps get negative feedback, and how you handle it can make or break your reputation.

You can start by having a support team ready to address issues quickly. Even better, reserve some of your budget to improve your app based on feedback.

This helps you turn a potential disaster into a customer service win.

The momentum challenge

However, manufacturers' most significant challenge is maintaining momentum throughout development.

I recently worked with a product director who was frustrated by how long it took to get through the initial stage gates.

The project would move forward, stall, then move again—each time, they had to reorient themselves, losing valuable time and motivation.

The solution? Could you batch the work?

When we developed apps for electronic medicine bottle labels, we spent three intensive days pulling out everything we needed for the first 6-12 months of research and development.

Then, we set an autonomous team to work, checking in only when necessary.

This approach keeps the ball rolling and prevents the stop-start cycle that kills so many projects.

The vision imperative

Finally, let's discuss vision.

Without a clear, consistent vision, your app is doomed before it launches.

Not only do you need a vision for your app or digital platform, but you also need one that aligns with the overall business strategy. 

We use a framework borrowed from Roger Martin's "Playing to Win" to help manufacturers clarify their apps' purpose. 

What problem are you solving? Who's your primary customer? How will you measure success? These aren't just abstract questions—they're the foundation of every successful app.

The most helpful part of this exercise is identifying risks and conducting activities to resolve them. In one recent project, the product director was concerned users might not want the solution they were planning.

To overcome that barrier, we tested five prototypes before hitting the right note with users.

Each iteration taught us something new about what users wanted from a smart appliance app. It was a process of continuous refinement guided by somewhat brutal user feedback.

The path to success

The mobile app landscape is challenging, especially for manufacturers who are used to dealing with physical products.

However, success is possible with the right approach—prioritising features, focusing on user retention, understanding true costs, and maintaining development momentum.

It's not about creating the app with the most features; it's about creating an app that solves real problems for your users.

Do that, and you'll be in the 30% of apps users keep returning to daily.

And in the fast-paced world of mobile apps, that's the difference between spectacular failure and lasting success.

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