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NEW TECHNOLOGY APPLICATIONS, DESIGN
AND BUSINESS MODELS
(NTADBM)
IIM-NID Joint course
Final Project Report
Submitted to
Prof. Rakesh Basant
Prof. Jignesh Khakhar
Prof. Bhavin Kothari
Group 1:
Aditya Singh - IIMA
Anil Kumar Vishwanadhula - IIMA
Deepanjana - NID
Vineet Sharma - NID
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1 APPLICATION CONCEPT AND BACKGROUND
We named our app as Muzzikand in one sentence its a personalized radio with additional capabilities
such as search and crowd-sourced playlists.
1.1 BACKGROUNDMusic is integral part of everyones life and as Steve Jobs said, Everyone loves music. We also wanted
to build a product that has an emotional connect with the customer and finalized on the music app idea.
For this idea, we are dealing only with the Indian market.
Before finalizing on the features of the idea, we did analysis on the existing apps that are available in the
Indian market. The apps we looked at include Saavn, Hungama, Gaana and Raaga. All these apps are
global which means they have a single app for all the 18 different languages and the major stream of
revenue is advertising. This poses certain challenges because of which these apps are not doing well
financially in the market.
The first one is the film industry that creates this music is local and the potential customer base for
these music apps are movie lovers. Because of the global nature of these apps, the film producers are
not interested in this advertising space. After talking to industry expert, Abhishek Jain ( Director of first
Gujarati multiplex movie, Kevi Rite Jaish) we also found that the knowledge of the customers about film
industry is different in different languages. For example in film industries like Telugu and Tamil,
customers know the director, music director and sometimes even the cinematographer of the film and
would like to search by any of the fields. The same is not the case with Gujarati industry. In short, the
customer needs of each film industry are different, so we cant have an app that caters to all the
different languages. SO THE APP WE ARE BUILDING IS TARGETING NICHE MARKET AND OFFERS SONGS
IN A SINGLE LANGUAGE.
The second major challenge working with Indian languages is people write different spellings for the
same word when they convert it from native language to English. One of the best ways to solve this
problem is to give auto-suggestions. The existing apps are doing a sloppy job with auto-suggestions and
search. One more limitation is search is restricted to only a limited set of fields.SO THE SECOND MAJOR
FOCUS OF OUR APP IS ON BUILDING THE BEST SEARCH ENGINE AND A PERFECT AUTO-SUGGEST WITH
IT.
The third major area where would like to make difference is with DATA. We had extracted a lot of meta
information about songs from different websites including Wikipedia. The meta information include
artist information, album information and the image for the album. The data is useful to enrich user
experience and provide the user with more search options. The other powerful advantage data gives is
customer usage patterns. Using the customer usage patterns we can recommend songs that are
personalized for the user. SO THE THIRD MAJOR DIFFERENTIATOR IS DATA AND PERSONALIZATION OF
EXPERIENCE USING DATA.
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1.2 GOALSSo the major goals of creating this app is to do following things,
1. To create an app for each language separately focusing on niche market
2. To build the best vertical search engine for songs within the app
3. To gather data for the songs and create a personalized experience using the customer usagepatterns
2 ONLINEMUSICINDUSTRY(SUPPLY-SIDEVIEW)
Mobile music streaming apps have been on an rise for bollywood and local music in India. Established
players like Saavn, Gaana, Dhingana, Raaga are operating in this space.
On the content side, most apps from major players have started proving a localized music catalogue.
Some apps like Gaana.com also provide music of international artists. Apart from providing a playlist
form of music content, which has to be created by the user himself, some apps like Saavn, Gaana have
started radio streaming services as well from where users can access playlist from radio stations like
Radio Mirchi.
Over a period of time these apps have tried to become platform agnosticso that they can be played
across various versions of smartphones. They have also included features of social integration wherein
user can share playlist on Facebook, Twitter or through email.
Revenue modelof all these apps till now have been solely based on advertisements and the app was
provided free to the users. However, recently Saavn has come up with a paid subscription feature also
which allows users to skip ads and cache songs for offline listening. It wont allow users to download the
songs; instead it will cache the users playlist thatcan be played without having to connect to the Internet.
3 CUSTOMERNEEDS(DEMANDSIDEVIEW)
We did customer research for this app building the web-version of the product which can accessed here
- cccapps.iimahd.ernet.in/epaata (accessible only within IIMA). This is currently built for Telugu industry.
One more reason we built the web version first is that one of the group members have expertise in it.
3.1.1 CURRENT BEHAVIOR OF CUSTOMERS
1. The customers have certain old songs on the laptops and they maintain playlists to listen to
music every day.
With this customer is listening to same set of songs and over a period of time they get bored.
2. For listening to new songs, customers are using YouTube since downloading songs now a days
has become difficult. YouTube also gives them a set of playlists for listening to songs
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Listening to songs on YouTube is very costly in terms of band-width and YouTube is not built for
providing rich online music listening experience.
3. Customers are not interested in new songs, but on older ones which are all-time hits.
All the existing music apps offers playlists with Weekly top 10 which a lot of customers are not
interested in.
4. Nostalgia is one of the important factor that explains the customer usage or the songs they are
interested in.
3.1.2 REACTION TO THE WEB APPLICATION
Although the web version of the app is built focused on customer needs, the customer usage patterns
are not impressive ( this data is obtained through Google analytics). One of the main reasons later found
out was that the application was not giving users the pre-populated list which customers are used to.
Although a brilliant search engine is present, it couldnt attract and retain the customer.This can be
seen in the figure below where there is huge drop in the usage after the first use.
3.1.3 CHANGES MADE TO THE PRODUCT WHICH MADE IT WORK
The following changes to the product worked out really well.
1. Creation of playlist for users based on the usage
2. Recommended songs to the user based on the usage
3. Making the app a continuous music stream which means customer wants a product which
continues to play music until they stop.
We used all the feedback we got to design the Mobile App which branded asMuzzik.
Results that we obtained from Google analytics in a test market with size90 can be seen below
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4 COMPETITOR ANALYSIS
4.1 COMPETITORSThe major competitors for this app in Indian market are
1. Saavn2. Hungama
3. Gaana
4. Raaga
5. Dhingana
4.2 COMPETITOR ANALYSISFollowing table gives an overview of the differences between some of the online music portals available
Saavn Dhingana Gaana
Content a.Bollywood as well as
regional music
streaming services.
b.Library of 1 million
tracks.
c.Doesnt have its English
assortment on the
mobile app.
a. Library of 1 million
tracks.
b. Not all the assortment
that it has on the
website is available on
mobile site.
Library of 1 million
tracks
Languages
Offered
Hindi, tamil, telegu,
punjabi, marathi, bengali,
kannada, gujarati,malayalam, bhojpuri
Hindi, tamil, telegu,
punjabi, marathi,
malayalam, Relaxation,Meditation, Ghazals
Hindi, english tamil,
telegu, bengali,
punjabi, marathi
Market Share
(as of March 2013)
2 million users on mobile
platform.
3.5 million mobile users. 0.5 million users.
Search Saavn provides song
suggestions in its search
option.
Dhinagana search is not
very convenient as at
times its suggestions have
no relation to what one is
searching for.
Gaana has a static
wallpaper under the
search option which
offers no assistance
whatsoever while
searching.User Experience Integrated with
Facebooks open graph
and have their apps on
Facebook.
Not the best music
experience. The app does
Integrated with
Facebooks open graph
and have their apps on
Facebook. Music
experience not better than
Gaana but does not crash.
Have the best music
experience and feels
like a stand-alone
player but bad app
experience as the app
crashes frequently.
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Table Source: yourstory.in
not crash often.
Listening
experience
Saavn has a steady bitrate
policy for all kind of
connection, and on a
mobile network, the
sound quality is great. But
sometimes the song just
abruptly stops and starts
buffering.
Dhingana has an adaptive
bitrate feature, where it
alters the quality of the
song to match the
bandwidth is great. The
app tries sensing network
speeds and moderating bit
rates accordingly.
Gaana provides the
best listening
experience over a
stable connection, but
at the first sign of
network flakiness, it
crashes the app.
Revenue Model
Ad-supported
Pays upfront fee and 30%
revenue to record labels.
Advertising is the main
revenue model.The app is free for
users, advertising is
the model used to
bring in revenue.
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5 KEYFEATUREOFFERINGS
The key features of the Muzzik include,
1. Personalized music based on customers interests
2. State-of-the-art search with auto-suggest. It gives real-time results !!!!
3. Ability to create playlists and share it with others
4. Featured playlists by the industry experts such as Party songsand 90s goldies
5. Playlists that gets created automatically based on mood, genre and other search criteria
6. Ability to find related songs for a given song
The app requires login using Facebook or Google account for personalization.
6 INTERACTIONSWITHECOSYSTEM
MUZZIK
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7 ASSETS
7.1 TECHNOLOGYASSETS1. Meta-data collected from various different websites using extraction algorithms
2. Enriched information about songs after processing of data collected from various sources andthe processing algorithms itself.
3. Search algorithm with excellent ranking system and auto-suggestion.
4. Search engine optimization logic
5. Optimization based on band-width of the customers
6. Customer usage patterns
7. The algorithm that recommends songs to customers based on their usage
7.2 DESIGNASSETS1. Radical change from album view to song view
2. Simple and clean interface with a limited set of features3. Better and most relevant ad space given to advertisers
4. Ease of use icons
Note : All existing apps focus too much on showing albums and not songs. The primary research on
customers show that they are not interested in albums but on songs.
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8 RISKS
8.1 SONGCOPYRIGHTSWithout copyrights of songs, this app cannot be built. But from our research we found out that there is
Creative Commons license ( CCL) available with which revenue sharing models with the copyrightowners can be worked out.
8.2 MARKETRISKThere is a huge market risk with this app especially the competitors have backed by huge companies, for
example gaana.com is owned by Times group. Although competitors can copy the features quite quickly
and offer them in their apps, with technology and data significant barriers could be created.
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9 BUSINESS MODEL CANVAS
Green indicates the information related to customers who will be using the product
Dark Blue shows the information related to advertisers
Red indicates the information related to music labels and content aggreagators
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10APPLICATIONDESIGN
Keeping in mind, the value proposition to the customer, we built following screens of the application
based on the design orientation class we had in NID,
10.1SCREENSHOTS
10.1.1 APP STARTING SCREENSHOT
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10.1.2 APP HOME SCREEN
10.1.3 SCREEN SHOWING ADS
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10.1.4 SCREEN SHOWING LATEST HITS PLAYLIST
11EXHIBITS
11.1SCREENSHOTOFWEBAPP