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Why can’t apple use its big database?

March 23, 2010

Could Apple be sitting on a gold mine of purchase data that it can’t be mined?

The incredible volume of purchase on the iTunes store for music, applications, movies and television shows must give Apple an incredible insight into taste patterns and trends.

It should be able to use its own data to know exactly the right music to use for it’s iPhone, iPod and coming iPad ads.

It should know the likelehood of liking a certain kind of music based on movie preferences.

All in, Apple should have an amazing tool that can allow it to predict behaviors and understand upcoming cultural trends.

However, it’s got to find a way to monetize this data and get people to buy more of the software and hopefully the hardware it sells. As we all know, it’s pretty tough to reach people these days especially with 84% of email is spam.

This could be the once reluctant social marketer is now teaming up with Facebook to build fan pages. It seems strange that a brand with such a cult following would need to advertize for fans, but that’s exactly what they are doing. It’s big push is to get fans for the Application store, so it can use Facebook to bombard them with info about new releases etc.

This points us at a problem, unless Apple is especially smart, it has no way of tying it’s fan data to transaction data for the iTunes store, so Apple’s just going to use Facebook to deliver a shotgun blast of messaging, rather than the one-to-one rifle shot.

Maybe they shouldn’t give up on email just yet, I know I’ve purchased a ton of applications can got receipts for everyone- surely there’s a newsletter and recommedation opportunity in here? I know there’s no a Genius function in the App Store, but perhaps people need more pushing.

Posted by Ed Cotton

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