Using Market Data to Make Strategic Decisions (Priori Data presentation at the APS)
•Download as PPTX, PDF•
3 likes•1,052 views
Mobile apps are being heavily used by consumers and have become the catalysts of mobile growth. But as the app market gets more crowded it becomes more difficult to navigate it for all stakeholders of the app economy. Since the beginning of 2014, we have seen a relatively steady growth in the number of available apps, generally in the 2 to 3 percent range (net of attrition) on a monthly basis. Meanwhile monthly global demand growth for mobile apps has slowed significantly on Google Play, and outright declined on iOS, as compared to the prior year period (BUT a. The scale is still in billions of downloads per month on each platform (Google nearly 2x Apple), and b. there is a qualitative difference between the slowing market growth and a fading interest in mobile apps.) So assuming that demand is flat and supply is increasing month-to-month, the data suggests that app downloads are spread more thinly against the same active user base, or that more apps never get downloaded. However, it does not necessarily need to be the case. In the presentation we showed how to leverage app store data to make strategic decisions in the app market.
Recommended
Recommended
More Related Content
What's hot
What's hot (18)
Viewers also liked
Similar to Using Market Data to Make Strategic Decisions (Priori Data presentation at the APS)
Similar to Using Market Data to Make Strategic Decisions (Priori Data presentation at the APS) (20)
Recently uploaded
Recently uploaded (20)
Using Market Data to Make Strategic Decisions (Priori Data presentation at the APS)
- 1. USING MARKET DATA TO MAKE STRATEGIC MARKETING DECISIONS
- 2. WIR SIND EIN BERLINER.
- 3. WHAT WE DO Market Intelligence for Mobile Apps •Founded June, 2013 (App Store Analytics) •Launched First Platform March, 2014 •Launched Dev. Program July, 2014 •Launch of Next Platform Today!
- 4. DEV. EARLY ADOPTER PROGRAM Data exchange program for iOS and Android app developers. Partners get free access to our premium intelligence product PRIORI DATA PRO Some of our Clients, Partners & Mentions
- 5. ATOgDenAYd’aS AGENDA 1. App market trends in 2014 2. How to leverage market data to make strategic marketing decisions with your app
- 6. APP MARKET IN 2014: Global Demand 250% 200% 150% 100% 50% 0% -50% Year-over-year growth in global downloads (2014 vs. 2013) January February March April May June July August Android iOS
- 7. AApPPp MmAaRrKkeEtT iInN 22001144: Global Supply 7% 6% 5% 4% 3% 2% 1% 0% Month-over-month growth in # of apps (2014 vs. 2013) January February March April May June July August Android iOS
- 8. Agenda APPS AREN’T GOING AWAY THEY’RE GOING ELSEWHERE
- 9. APP MARKET IN 2014: Country Trends 250 200 150 100 50 0 -50 Country month-over-month growth, %, iOS, July - September August September U.S. U.K. Germany Russia Brazil India 250 200 150 100 50 0 -50 Country month-over-month growth, % Android, July - September 1 2 U.S. U.K. Germany Russia Brazil India
- 10. APP MARKET IN 2014: Top Charts Top Global Free Apps on iOS (in-month downloads, October 2013) Top Global Free Apps on iOS (in-month downloads, October 2014) # App Publisher Category 1 Song Yang Action Games 2 Clash of Clans Supercell Strat. Games 3 Despicable Me: Minion Rush Gameloft Action Games 4 GungHo RPG Games 5 Deer Hunter 2014 Glu Sim. Games 6 Lei Qiao Puzzle Games 7 Flight Through – Hardest.. Zhou Qiao Arcade Games 8 Hay Day Supercell Sim. Games 9 LINE Pokopang Naver Action Games 10 Song Yang RPG Games # App Publisher Category 1 Facebook Facebook Social Netw. 2 Facebook Messenger Facebook Social Netw. 3 Instagram Instagram Photo & Video 4 WhatsApp WhatsApp Social Netw. 5 AliPay Alipay.com Finance 6 YouTube Google Photo & Vid 7 Snapchat Snapchat Photo & Vid 8 腾讯视频-电视剧，综艺.. Tencent Entertainment 9 Taobao for iPhone Taobao Lifestyle 10 Musify – Free Music Dow Alfadevs Music
- 11. APP MARKET IN 2014: Top Charts Top Global Free Apps on iOS (in-month downloads, October 2013) Top Global Free Apps on iOS (in-month downloads, October 2014) Category Action Games Strat. Games Action Games RPG Games Sim. Games Puzzle Games Arcade Games Sim. Games Action Games RPG Games Category Social Netw. Social Netw. Photo & Video Social Netw. Finance Photo & Vid Photo & Vid Entertainment Lifestyle Music 10 out of 10 Games 0 out of 10 Games
- 12. HOW TO LEVERAGE MARKET DATA TO MAKE STRATEGIC DECISIONS WITH YOUR APPS
- 13. MARKETS ARTEr eMeUmLTaIpDIMENSIONAL Geography x Category Size of box = size of category Color of box = growth (green) / decline (red) illustrative “I’m interested in the US Mobile Market”
- 14. MARKETS ARTEr eMeUmLTaIpDIMENSIONAL Category x Geography “I’m interested in the Music Category globally” Size of box = size of country Color of box = growth (green) / decline (red) illustrative
- 15. LETS TAKE A LOOK AT THE TRAVEL CATEGORY
- 16. 30,000,000 25,000,000 20,000,000 15,000,000 10,000,000 5,000,000 0 TRAVEL CATEGORY Monthly Downloads iOS Monthly Downloads, October 2014 China USA United Kingdom Japan Russia France Germany Thailand Spain Brazil All Others
- 17. TRAVEL CATEGORY Month-over-Month Growth in Downloads 20% 10% 0% -10% -20% -30% -40% -50% -60% China USA United Kingdom iOS, month-over-month growth (October vs. September) Japan Russia France Germany Thailand Spain Brazil All Others
- 18. TRAVEL CATEGORY Market Concentration South Korea Hungary Turkey India China Brazil Norway Poland Russia USA Austria Canada UAE Germany United… 0% 20% 40% 60% 80% 100% Australia Kenya Travel category, iOS, September 2014 Tier 1 (%) Tier 2 (%) Tier 3 (%) Other #1-#3 #4-#10 #11-#25
- 19. 800,000 700,000 600,000 500,000 400,000 300,000 200,000 100,000 0 TRAVEL CATEGORY Market Structure Avg. Monthly Downloads by Tier iOS, October 2014 U.S. U.K. Germany Russia India Brazil Tier 1(apps #1-#3) Tier 2 (apps #4-#10) Tier 3 (apps #11-#25)
- 20. 800,000 700,000 600,000 500,000 400,000 300,000 200,000 100,000 0 TRAVEL CATEGORY Market Structure Avg. Monthly Downloads by Tier iOS, October 2014 Tier 1 vs. Tier 3 (Ratio) U.S. U.K. Germany Russia India Brazil Tier 1(apps #1-#3) Tier 2 (apps #4-#10) Tier 3 (apps #11-#25) 5x 5x 3x 4x 6x 4x
- 21. TRAVEL CATEGORY Market Players (Example: Airlines) Who has established themselves in the Top 10? #3, #7 #4 #1 #10 #8 #9
- 22. TRAVEL CATEGORY Market Players (Example: Airlines) Who has established themselves in the Top 10? NO ONE YET
- 23. THE APP ECONOMY IS AS RICH, DIVERSE, AND LAYERED AS THE APPS THEMSELVES
- 24. THANK YOU! Patrick Kane CEO & FOUNDER Priori Data GmbH Strelitzer Str. 61 10115 Berlin, Germany EMAIL: patrick@prioridata.com Twitter: @pdkane
Editor's Notes
- Company intro – 1 – 2 mins
- There’s a really good reason why we work with apps. They are being heavily used by consumers and have become the catalysts of mobile growth.
- Since the beginning of the year, monthly global demand growth for mobile apps has slowed significantly on Google Play, and outright declined on iOS, as compared to the prior year period. BUT a. The scale is still in billions of downloads per month on each platform (Google nearly 2x Apple), and b. there is a qualitative difference between the slowing market growth and a fading interest in mobile apps.
- NOTES: On the supply side, we have seen a relatively steady growth in the number of available apps, generally in the 2 to 3 percent range (net of attrition) on a monthly basis. BAD NEWS: - Assuming that demand is flat and supply is increasing month-to-month, the data suggests that app downloads are spread more thinly against the same active user base, or that more apps never get downloaded. GOOD NEWS: - Localytics pointed out that the amount of time people spend using apps has soared by a fifth over the past year. According to ComScore the mobile app usage now exceeds time spent with desktop internet access. So apps are not going anywhere, but app developers face greater Slowing demand seen in previous slides Equitable distribution, meanwhile, has long been out of reach for most smaller developers, with top charts densely populated by large web companies and the leading names in mobile Monetisation: in September a Deloitte study showed that nearly 9 in 10 users in the U.K. had not paid for app content since the beginning of the year.
- The above trends – aggregated at a global level – do not necessarily hold at a country level. With industry leaders going deeper into emerging markets, growing interest in these countries is hardly surprising as developing countries a gigantic and largely untapped customer base.
- A year ago top 10 free apps on iOS - all games. The first non-gaming app – Instagram – was ranked 16 This year XXXXX
- A year ago top 10 free apps on iOS - all games. The first non-gaming app – Instagram – was ranked 16 This year XXXXX
- Although the global landscape is growing to be absurdly competitive, many app developers rely on in-app analytics (if that) to define a strategy and set goals. Without having on overview of the market that their apps compete in, they are likely to miss low hanging market opportunities or to get pushed out of the market From the data that we showed earlier one can conclude that apps (or games?!) in BRIC countries is where true market opportunities rest. However, the app market is a lot more complex. Today I will talk about the importance of using app market data for better strategic decisions.
- Is there sufficient consumer interest in the category you are looking to publish your app in? And what it has been like historically? How has it been performing compared to the rest of the market? To other related categories? Example 1: Last month we saw a 26.7% drop in the Books category on iOS (-1.1% on Android). In July the category grew at -0.9% and in September at -8.8%. So it it is possible that it has been a long-brewing trend. Example 2: On the contrary, in June, Sports category grew by 40% on iOS and by 65% on Android. It was a one-off spike set by FIFA and other football apps. While the size and behavior of your chosen category give you some idea of the market you are about to enter, it also varies across different countries
- Is there sufficient consumer interest in the category you are looking to publish your app in? And what it has been like historically? How has it been performing compared to the rest of the market? To other related categories? Example 1: Last month we saw a 26.7% drop in the Books category on iOS (-1.1% on Android). In July the category grew at -0.9% and in September at -8.8%. So it it is possible that it has been a long-brewing trend. Example 2: On the contrary, in June, Sports category grew by 40% on iOS and by 65% on Android. It was a one-off spike set by FIFA and other football apps. While the size and behavior of your chosen category give you some idea of the market you are about to enter, it also varies across different countries
- - What countries are the largest markets on each platforms? Vs. What countries are the fastest growing? - Emphasize the difference between traditional and emerging markets. Largest markets are: China, the U.S., U.K., Japan and Russia
- - What countries are the largest markets on each platforms? Vs. What countries are the fastest growing? - Emphasize the difference between traditional and emerging markets. Largest markets are: China, the U.S., U.K., Japan and Russia
- How saturated are markets in those countries: How many downloads do you need to get into top tiers across different countries Even in the most competitive (established) markets, category-level saturation can be very different: In the US, Tier 1 apps command 8.7% of all downloads in the Lifestyle category vs. 36.7% in Music vs. 40.5% in Navigation. Last month we saw saturation of as high as 82% of monthly downloads for top 3 apps (Weather in Hungary or Catalogs in Brazil) to as low as 0.7% (Business in Kenya) Category-level saturation can be fairly evenly distributed across countries, but also vary greatly (Business – 82.3% for tier 1 apps in Brazil and 1.2% in Kenya)
- Getting into, say tier 2 means different things in different countries and different categories: in the U.S. – avg. 742,391 monthly downloads in Music; and 16,618 in Catalogs In Lifestyle –the U.S. is the second least saturated market , but to get into tier 2 a developer should has to budget close to 308,317 monthly downloads; as compared to 8,476 in Austria, which is the most saturated market in this category. Understanding, for example, how many downloads tier 2 apps in your category claim in your targeted market would help you set a benchmark for your own app.
- Getting into, say tier 2 means different things in different countries and different categories: in the U.S. – avg. 742,391 monthly downloads in Music; and 16,618 in Catalogs In Lifestyle –the U.S. is the second least saturated market , but to get into tier 2 a developer should has to budget close to 308,317 monthly downloads; as compared to 8,476 in Austria, which is the most saturated market in this category. Understanding, for example, how many downloads tier 2 apps in your category claim in your targeted market would help you set a benchmark for your own app.
- - Overall leaderboard charts – as well as category leaderboard – charts have changed compared to last year, reflecting changing consumer preferences.
- - Overall leaderboard charts – as well as category leaderboard – charts have changed compared to last year, reflecting changing consumer preferences.
- Although the global landscape is growing to be absurdly competitive, many app developers rely on in-app analytics (if that) to define a strategy and set goals. Without having on overview of the market that their apps compete in, they are likely to miss low hanging market opportunities or to get pushed out of the market From the data that we showed earlier one can conclude that apps (or games?!) in BRIC countries is where true market opportunities rest. However, the app market is a lot more complex. Today I will talk about the importance of using app market data for better strategic decisions.