Mobile is quickly replacing the PC as the preferred means of connecting to the Internet, and the variety and convenience of mobile apps have created a new way of living—anything, anywhere, anytime. The smartphone has played in a huge role in enabling this lifestyle. Parks Associates research shows that smartphone penetration is reaching saturation levels in the United States, and trends in other mature markets such as Western Europe and parts of Asia and Pacific are similar. While the growth in smartphone sales may be slowing, the emerging markets of Asia, Africa, and Latin America represent a new wave of consumers who are ready to embrace the convenience and connectivity offered by smartphones. Parks Associates forecasts that global smartphone users will climb from 1.7 billion in 2013 to 3.9 billion in 2018, an annual growth rate of 18%. This growth represents a huge opportunity for smartphone vendors, mobile carriers, app developers, mobile marketers and advertisers, and a whole range of service providers whose business models are built around mobile devices such as smartphones and tablets.

As smartphones move to the centre of consumers' digital life, they are not only disrupting the personal computing space but are also serving as a digital bridge for a host of technological innovations that can leverage the device's mobility and ubiquitous connectivity to deliver an ever-increasing range of services to the consumer.

The smartphone is also opening up new ways for businesses to reach and interact with their consumers and potentially increase revenues. Technologies such as proximity marketing allow businesses and marketers to sense the location of consumers for the purpose of sending special offers, coupons, product information, and navigation information. Proximity marketing is valuable because it allows engagement with consumers at meaningful points in the purchase process, such as near store entrances, next to target product lines, or close to checkout stations. In this context, the smartphone becomes an integral element of the digital marketing strategy of any business. Most smartphones sold in the past two years are Bluetooth Smart ready - and nearly 50% of U.S. smartphone owners began using one for the first time within the last two years - so the majority of devices in use today are equipped to deliver on this significant revenue-generating potential.

The combination of market saturation and ongoing innovations in mobile technologies has locked smartphone manufacturers in a race to offer the most appealing features in their latest models. They are adding sensors and processing power to their phones in order to gain any edge on their competitors. It is vital for these features to be designed in a way that they provide a truly unique and enhanced experience to the users. Otherwise, consumers will dismiss these features as mere marketing gimmicks.

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