Global side of android @ O'Reilly Android Open


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Lessions learned analyzing 70000 apps go-to market strategies in 120 countries all over the globe.

Actionable patterns for making your Android app launch sucessfull on different markets.

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  • Our App usages across the world: 51% US 22% Europe 11% LATAM 5% RUSSIA 9% China NOTE: South Korea is biggest within Others category (although relatively small population but almost 90% smartphones in Korea are android)
  • Fact2)  On average consumers have about 60 apps downloaded on each android device. When someone downloads the app made with appsgeyser chances are high that his next app will be appsgeyser as well. This could be attributed to the promotion of one app within another app. Average number of apps installed per device by region:    US: 67    China: 30    Russia: 21    Latam: 37 KEY FINDINGS: Lower number of apps installed in the countries other than US could be attributed to low # of apps available localized in those markets. That is why people do not have many choises and regional app markets are still a place to be discovered cause there is relatively low competition still. From this perspective we can predict that the growth potentiial for localized apps is 2 times in China, more than 2 times in russia and almost 1,5 in Latam RULE OF THUMB: Are you creating localized versions of your APP?
  • Fact1) App usage patterns and time of the day.    - What is important about apps in general is that the App usage patterns are very differnt from the WEB usages patters. ( WEB usage has a definitive peak in the evening) while app usage is growing hour after hour to reach   it's peak around 6pm local time so it is much smoother overall (as people are using their phones at work, during way back home, during lunch and so on)    - What is important there that usage patterns are varying by country as well: China tends to have a very specific peaks in usages one in the morning 8am and one in the evening after 5pm mostly due to the fact that all china shares the same time zone    - Russian stats on Contrary are very uniform mostly due to the fact that Russia itself occupies 7 time zones so that it seems that usage is really uniform.    - LatAM stats have more solid peak at the end of the day and relatively low usage in the morning and quite high daily usage numbers that could probably be attributed to the multitasking ability of those people   In general what is important to understand:     App usages represents significantly different patterns than web usage haveing more smooth and uniform usage pattern during the day time. Also App usage patterns are totally different from TV, Radio that are known to have a very specific prime-time periods. KEY FINDING: You can target people by time of the day and spread the message across multiple exposures in the day time RULE OF THUMB: KEEP Time zones in mind.... Some regions have relatively different household incomes in different time zones (like Russia for example)
  • Fact3)  Apps are being used by hiugher educated and people with higher household income. By doing anonymous surveying of our app publishers we have found out the following: Average US household income is 44K but app users in US have 70K in household income on average. So that it is 60% more!!! This situation is getting drastical in other markets.  In Russia that is 3X times, in China it is 5X times and in LatAm it is X3.5 times. RULE OF THUMB: Advertising in mobile apps targets hi-income households. And that is specifically true in developing countries.
  • Fact 4) Each market is at different stage -- plan wise what to launch. In general it is known that if you launch something within Games, Entertainment or Social network categories your RISKS are high but Outcome could be good. When you are doing something more business-oriented your Risks are lower but expect to get lower number of downloads or sales. Just few month ago Andorid market in US represented a huge opportunity for your app to become very popular and attract 50000 downloads was relatively easier. Now it is no more the case. Currently you only have 1% probability that your app will ever go above 50000 downloads.  BUT on the other hand now US market represents a huge possibility to generate 1000 downloads for your app cause the probability that your app will get this specific number of downloads actually increased (due to increased number of andorid devices activated each day and selective approach of new users when selecting the app) Situation like this is not yet happening in Russia, China and Latam. You still have high chances to get a lot of downloads for a single app you launch. KEY FINDING: the apps that form a top on US market remain relatively unchanged. It is really hard to get into top now. RULE OF THUMB: When launching for US market consider launching several small niche apps. Chances are high that they will generate together higher number of downloads. When Launching in China, Russia or Latam concentrate on single app. In the beginning of this year Andorid market in US represented a huge opportunity for your app to become very popular and attract 50000 downloads in few month was relatively easier. Now it is no more the case. Currently you only have 4% probability that your app will ever go above 50000 downloads in 3 months.  BUT on the other hand now US market represents a huge possibility to generate 1000 downloads in 3 month for your app cause the probability that your app will get this specific number of downloads actually increased (due to increased number of andorid devices activated each day and selective approach of new users when selecting the app)
  • It was discovered that on average even the worst app is being run 4 times. :) That proabably happens bcause it is run first time to see what it does, Then it is runt one more time to see if it was indeed launched, then it is runt one more time to admire that such stupid thing made it to existence, and last you show it to your friend to make him laugh :) BUT on average loyalty parameters are different by different groups of apps and countries.  For example in US average app with social networking capabilities is being used around 100 times. while in Latam this reaches almost 300, that could actually be attributed to the fact that Latin Americans spend on average more time in social network than US citizens. Also it is worth to note that Social features are not bringing much usages in China. RULE OF THUMB: When planning your next app take a look at the Social aspect of it -- that is something that increases app loyalty a lot. But not in China, where you better spend your time adding gamnification aspect to your app.
  • Global side of android @ O'Reilly Android Open

    1. 1. The Global Side of Android <ul><li>Lessons Learned while pushing Android in Russia, China, the U.S. and Latin America </li></ul><ul><li>Vasily Salomatov (@vsalomatov) </li></ul><ul><li>Estuardo Robles (@tatarobles) </li></ul>
    2. 2. Agenda <ul><li>Is Global Relevant? </li></ul><ul><li>Lessons Learned </li></ul><ul><li>Suggested Path </li></ul>
    3. 3. <ul><li>70,000 apps </li></ul><ul><li>9 mln app downloads </li></ul><ul><li>120 countries making apps </li></ul><ul><li>Our business has grown with the general android market </li></ul><ul><ul><li>We are not offering too niche nor too basic </li></ul></ul><ul><ul><li>We are a good spotlight on the market </li></ul></ul><ul><ul><li>A real business, bootstrapped until now, growing organically </li></ul></ul>AppsGeyser Background Is Global Relevant? We offer a good barometer of Android in General
    4. 4. <ul><li>We started with US, UK, Europe </li></ul><ul><li>Quickly gained traction in China, Latin America </li></ul>Why Pay Attention to Global? 6 Months Ago Today Is Global Relevant? Conclusion: Rest of the World is growing, should be taken into consideration
    5. 5. <ul><li>51% US 22% Europe 11% LATAM 5% RUSSIA 9% CHINA </li></ul><ul><li>LARCH + US = 76% of total usage </li></ul>US Market vs LARCH? No matter what, US is still King Is Global Relevant?
    6. 6. Fact: US is Still King <ul><li>US Continues to lead app creations, by far </li></ul><ul><ul><li>Top 5 Cities, NYC and LA </li></ul></ul><ul><ul><li>60 of top 100 cities worldwide </li></ul></ul><ul><li>US generates largest number of app downloads </li></ul><ul><li>US has highest App Revenue </li></ul>Is Global Relevant? Conclusion: The great promise for all of us in the Android Space is to be able to export and reapply US-based innovation to the Rest of the World.
    7. 7. Lessons Learned in Rest of the World Lessons Learned #1 Appcrowding #2 App Usage #3 Income Gap #4 Fishing #5 App Loyalty
    8. 8. Lesson Learned #1 – AppCrowding <ul><li>App Overstuffing </li></ul><ul><ul><li>US is twice as crowded </li></ul></ul><ul><ul><li>Primary Factor: Do you speak English? </li></ul></ul>Lessons Learned Conclusion: Localize your Apps…
    9. 9. Lesson Learned #2 - App Usage <ul><li>Usage varies, is targeted at different Peaks </li></ul><ul><ul><li>China: specific peaks </li></ul></ul><ul><ul><li>Russia: very uniform </li></ul></ul><ul><ul><li>US and Latam: low in the mornings </li></ul></ul>Conclusion: Use the “Prime Time” in each target market and make money Lessons Learned
    10. 10. Lesson Learned #3 – Income Gap in Users <ul><li>Apps are being used by elite segments: Higher education & Higher income </li></ul><ul><li>US has the smallest gap </li></ul><ul><ul><li>$44K vs $70K </li></ul></ul><ul><ul><li>Still a 60% difference! </li></ul></ul><ul><li>Russia: 3X </li></ul><ul><li>Latam: 3.5X </li></ul><ul><li>China: the strongest of all </li></ul><ul><ul><li>5X average income </li></ul></ul>Consider this: Even today, you will be reaching high-income households, especially in LARCH Lessons Learned
    11. 11. Lesson Learned #4 – Fishing for Users <ul><li>Long Tail vs Short Tail = Casting a Net vs Rod Fishing </li></ul><ul><li>US: really hard to break into the Top </li></ul><ul><ul><li>1% chance of getting 50K+ downloads </li></ul></ul><ul><ul><li>Risks are higher, but also the Rewards </li></ul></ul><ul><li>LARCH is different story </li></ul><ul><ul><li>Like US, but several months behind </li></ul></ul><ul><ul><li>Chances for 1 hit wonders still high </li></ul></ul>Lessons Learned Conclusion: Cast a Net in US, but Fish with a Rod in LARCH
    12. 12. Lesson Learned #5 – App loyalty <ul><li>App Loyalty factor varies by country and type of app </li></ul><ul><li>Average Usage for Social Networked apps: </li></ul><ul><ul><li>US: 100 times </li></ul></ul><ul><ul><li>Latam: 300 times </li></ul></ul>Lessons Learned Conclusion: Invest in Social Aspects everywhere except China. * Source ComScore and BNamericas Hours Rank Russia 6.6 2 Brazil 6.3 3 Argentina 10.2 1 UK 4.7 6 US 4.2 9 World 3.7
    13. 13. So US is Still King… but Competition is Fierce <ul><li>Red Ocean vs Blue Ocean: How do you want to compete? </li></ul>Suggested Path
    14. 14. Entering LARCH: Where do I start? <ul><li>We Recommend you enter LARCH </li></ul><ul><ul><li>We ourselves are revisiting the region with more force, join us! </li></ul></ul><ul><li>Suggested Path </li></ul><ul><ul><li>Begin with Latam , then Russia, finally China </li></ul></ul><ul><li>Latam: On your mark… </li></ul><ul><ul><li>The perfect storm for first expansion </li></ul></ul><ul><li>Russia: Get set… </li></ul><ul><ul><li>Launchpad into Eurasia </li></ul></ul><ul><li>China: Go! </li></ul><ul><ul><li>Hit the ground running </li></ul></ul>Suggested Path
    15. 15. Entering Latam <ul><li>Latam: The perfect storm, combines everything: </li></ul><ul><ul><li>Low competition, </li></ul></ul><ul><ul><li>Easy(ier) to localize </li></ul></ul><ul><ul><ul><li>Same alphabet! </li></ul></ul></ul><ul><ul><ul><li>One language hits many markets </li></ul></ul></ul><ul><ul><li>Cultural affinity </li></ul></ul><ul><ul><li>Multiple countries – small & large </li></ul></ul><ul><ul><ul><li>Replicate your success easily </li></ul></ul></ul><ul><li>Apply lessons to US Hispanic Market </li></ul><ul><li>Tidbit: Android is 3rd wave of Latin Love </li></ul>Suggested Path
    16. 16. Entering Latam <ul><li>The Big 2 in Latam: Brazil and Mexico </li></ul><ul><li>The Medium 5: Colombia, Venezuela, Peru, Argentina, Chile, Guatemala </li></ul><ul><li>The Small Hot markets: Dominican Republic , Costa Rica, Panama, Uruguay </li></ul>Suggested Path
    17. 17. Entering Russia <ul><li>Russia: Launchpad into Eurasia </li></ul><ul><ul><li>Western mentality with Asian market Obstacles </li></ul></ul><ul><li>Account for “Search & Social” nuances </li></ul><ul><ul><li>Use Vkontakte (Facebook not very popular) </li></ul></ul><ul><ul><li>Search Engine Yandex (Used way more than Google) </li></ul></ul><ul><ul><li>While at it, you can Test drive what it is like to enter China </li></ul></ul><ul><li>Tidbit: Android is highly accepted in Russia </li></ul>Suggested Path
    18. 18. <ul><li>Entering China – publish to android market, then a few of the Big 5 chinese markets </li></ul><ul><ul><li>HIAPK </li></ul></ul><ul><ul><li>GOAPK </li></ul></ul><ul><ul><li>Gfan </li></ul></ul><ul><ul><li>Yingyonghui </li></ul></ul><ul><ul><li>Ndoo </li></ul></ul><ul><li>China will be there for you… </li></ul><ul><li>Tidbit: Android is not popular </li></ul><ul><ul><li>China has a passion for iPhone </li></ul></ul>Entering China Suggested Path
    19. 19. The Global Side of Android <ul><li>THANK YOU!!! </li></ul><ul><li>Vasily Salomatov (@vsalomatov) </li></ul><ul><li>[email_address] </li></ul><ul><li>Estuardo Robles (@tatarobles) </li></ul><ul><li>[email_address] </li></ul>