In contrast, mobile Web apps are written in HTML, they exist online, and can be accessed and used from any kind of phone or tablet.

In the newest report from BI Intelligence, Business Insider’s paid research service, we explore why consumers still seem to overwhelmingly prefer native apps.

Native apps dominate mobile usage, account for the lion’s share of developer revenue, and perhaps not surprisingly, spark the most interest among those same mobile developers.

Is it too late for HTML5? Will the native app tidal wave overwhelm it and relegate HTML5 mobile Web apps to permanent second-class status?

In this report, we state our case for why HTML5 —  the latest mobile-friendly version of the Web’s publishing language — is in better shape than it appears to be.

HTML5’s advocates see its current stasis as a temporary speed bump, before mobile audiences and developers see the light and embrace apps on the more universal and less closed-off mobile Web.

Another advantage: Native apps are written in the difficult programming languages used for specific operating systems, while mobile Web apps are built around HTML5 and related Web technologies, which are more widely known.

Of course, it doesn’t help that consumers, and even many app publishers, remain confused about what a mobile Web app is, and how it differs from a native app and a mobile website. (A mobile Web app offers app-like interactive experiences, while a mobile website just serves up content and has a thin user interface.)

In contrast, mobile Web apps are written in HTML, they exist online, and can be accessed and used from any kind of phone or tablet.

In the newest report from BI Intelligence, Business Insider’s paid research service, we explore why consumers still seem to overwhelmingly prefer native apps.

Native apps dominate mobile usage, account for the lion’s share of developer revenue, and perhaps not surprisingly, spark the most interest among those same mobile developers.

Is it too late for HTML5? Will the native app tidal wave overwhelm it and relegate HTML5 mobile Web apps to permanent second-class status?

In this report, we state our case for why HTML5 —  the latest mobile-friendly version of the Web’s publishing language — is in better shape than it appears to be.

Access The Full Report And Data By Signing Up For A Free Trial Today >>

• As device types and operating systems proliferate, the case for universal mobile Web apps becomes more and more pressing.
• Feature gaps are being closed, and performance wrinkles being ironed out.
• In terms of mobile developer interest, HTML5 has seen an uptick recently and ranks well ahead of other contenders for third-place status in the mobile platform wars, such as Windows Phone and BlackBerry 10. We put hard numbers to developer trends.
• While monetization of downloads is far more straightforward in the app stores, there are successful examples of mobile Web app monetization, including subscriptions and advertising.

Our report includes downloadable charts and spreadsheets and over a dozen datasets from our ongoing coverage of HTML5 and mobile.

HTML5’s advocates see its current stasis as a temporary speed bump, before mobile audiences and developers see the light and embrace apps on the more universal and less closed-off mobile Web.

Another advantage: Native apps are written in the difficult programming languages used for specific operating systems, while mobile Web apps are built around HTML5 and related Web technologies, which are more widely known.

Of course, it doesn’t help that consumers, and even many app publishers, remain confused about what a mobile Web app is, and how it differs from a native app and a mobile website. (A mobile Web app offers app-like interactive experiences, while a mobile website just serves up content and has a thin user interface.)

Carl asks: Is it worth it for me to have a mobile app (or should I just have a responsive site)? How do I know whether I’m getting bang for my buck?

If Carl had asked this question back in 2009 or 2010, it would have been phrased, “Do I need a native app or is a mobile-optimized website enough?” In 2011 and 2012, the question again would have shifted to “native app or mobile web app?” Today, “responsive” is the buzzword du jour.

As a result, it’s an increasingly popular option for companies that are looking to move into mobile, but that lack the budgets to support separate apps for each mobile platform and without the needs of something more complex such as a mobile web app.

The first thing you need to do is forget about buzzwords and lingo and focus on the actual needs of your business.

The first thing you need to do is forget about buzzwords and lingo and focus on the actual needs of your business.

App or Website

The basic question any business owner needs to ask himself is, “Do I need an app at all?” If you’re a law firm who primarily interacts via in-person consultations or over the phone, then no, you probably do not need a mobile app. The same is true for a restaurant owner with one or two locations.

Conversely, if you offer an existing web service for users logins and account management, a native mobile app is probably going to be a worthwhile investment, as it will provide tremendous performance benefits over using the mobile web.

Mobile Commerce as an Edge Case

There are, however, some edge cases in the app-versus-website debate. The most common to my mind is the area of commerce. Mobile commerce (mcommerce) is absolutely exploding, with more and more transactions taking place on tablets and smartphones every single day. In April, eMarketer predicted that by 2017, 25% of online retail transactions will take place on mobile.

Commerce is a tricky area for the mobile versus app debate

Commerce is a tricky area for the mobile versus app debate because the answer can really vary depending on the type of products being sold and the audience for the products.

I explored the mobile versus native debate in regards to ecommerce apps back in 2011. Although the shift to mobile shopping has greatly increased, the considerations for choosing mobile web (or in today’s parlance, “responsive”) over a native app are largely still the same.

I wrote then:

It isn’t just about choosing native apps or choosing the mobile web — it’s also about looking at who your customers are and what devices they use. For retailers that have lots of iPhone users, the fact that 50% of users can come from a native app and the conversion rate can be 30% higher makes a strong argument for creating a native app. Meanwhile, if conversion rates for native BlackBerry apps are subpar, it might make more sense to focus on optimizing the mobile commerce site to work with the BlackBerry browser.

This is all still true. Mcommerce companies should look at who their users are — what platforms they use, the average transaction price (studies continue to show that users feel more comfortable making large dollar purchases using a native app rather than the mobile web) and how well their current web solutions work with features such as shopping carts, time outs and more.

For mcommerce, you should absolutely start with a mobile friendly site and make sure that it is frequently updated to be fast, efficient and work well on multiple devices. Then, factor out how many sales will need to take place each month through a native app to pay for its development. If that seems feasible, building a native app to offer alongside the responsive experience is a great idea.

Responsive Is Not a Shortcut

On the surface, it’s easy to say that creating a responsive site will be less expensive than developing an app. Still, it’s important to consider the costs, especially if your existing site is not responsive.

These costs include not just the design itself, but also any upgrades that need to take place with your existing websites backend or infrastructure.

Responsive design is not just about fitting on a mobile screen

Responsive design is not just about fitting on a mobile screen, it’s also about making sure that functionality works in contexts and scenarios ideal for mobile.

That means that if you are a restaurant, your responsive site can hook into geolocation APIs to offer easy access to directions. It means that phone numbers are dial-able. It means that buttons and text entry fields are touch-friendly.

It’s true: In many cases, HTML5 can work just as well as a native approach. But it is not the silver bullet it is often made out to be, for several reasons.

So where are we in the HTML5 vs. native apps debate?

In a recent report, BI Intelligence breaks down this question, doing a head-to-head comparison of the two and looking at the current state of the performance gap between HTML5 and native apps.

Access The Full Report And Data By Signing Up For A Free Trial Today >>

Take look at this table from our report: 

BI Intelligence

As the chart illustrates, native apps still reign supreme over HTML5 in a few areas, including:

• Rich user experience and performance: HTML5 still faces challenges in accessing device-native features across all mobile browsers, and in rendering graphically-rich user interfaces and data presentations.
• Monetization: The native app stores — Apple’s App Store and Google Play — win this one. There hasn’t been a convincing model for HTML5 monetization beyond individual vendors selling their apps online.