app stores - analytics and trends

NMDS, November 7th, 2013

APP STORES - ANALYTICS AND TRENDS

@anders_lykke / @prioridata

WWW.PRIORIDATA.COM

AGENDA

ABOUT APP STORE ANALYTICS   Who am I?   Who is Priori Data?   What is App Store Analytics?   App Economy – Size, Growth and Characteristics   The Challenge   App Architecture – breaking the app store down to relevant markets   Case-Study: Sudoku Games   Invitation to participate in BETA

APPENDIX   Fastest Growing Consumer Trends in the App Stores

  Globally   For Sweden

  Size of the Scandinavian App Markets

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WHO AM I? Anders, Sales and a lot of other stuff…

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APPS MAKE MY LIFE EASIER

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  Consumers download apps to solve problems and/or to enrich their lives

  We are monitoring consumer trends in the app economy

WHAT IS PRIORI DATA?

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  Priori is a Berlin based app store analytics provider

  Formally launched in June 2013 by acquiring the rights to a historical database and on-going data feed

  Access to ~80% of all global apps, as well as 2.5 years of historical data

  We leverage this data in two ways:   We publish a series of Market Intelligence Reports

(pdf – most are free)   Do consulting work on Custom Data Projects

ABOUT PRIORI

SOME BIG PLAYERS IN THE INUSTRY

WHAT IS APP STORE ANALYTICS?

Collection

Structuring & Processing

Enrichment

Delivery

We retrieve and store publicly available

information

We estimate download and revenue for

every app (regression model + data

exchange with developers)

We convert this data into information

and insights on consumer trends

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OUR PROCESS

MONITORING MEASURING

Maintaining app information for:

2,000,000+ apps every app, every price change, every version

250,000 publishers from hobby developers to public

companies

100,000 new apps per month

6bn downloads per month

15mm user comments per month

30 countries local content, local monetization, local leaders

3 platforms Google Play, iOS (iPhone, iPad),

Windows Phone

50 categories

550 app sub-categories

120 game sub-categories

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OUR DATABASE

APP ECONOMY SIZE AND GROWTH

The App Store:

  258.081 publishers (about 7k new each month)

  3.8 apps per publisher on avg.

  7.171 downloads/month per publisher on avg.

Google Play:

  269.803 publishers (about 11k new each month)

  3.7 apps per publisher on avg.

  13.574 downloads/month per publisher on avg.

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PUBLISHER LEVEL INFORMATION (as of Oct. 8th)

  Ca. 1 million apps (on both GP and iOS)   iOS: 600k free / 400k paid ($332.5m revenue/month)   Android: 800k free / 200k paid ($32m revenue/month)

  In-app purchase is a growing trend on both platforms:   On iOS 11% of apps have in-app purchase (IAP present in 60%

of downloaded apps in September)   On GP: 5.2% of apps have in-app purchase (IAP present in 28%

of downloaded apps in September)

  …4bn vs 2bn downloads per month

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NUMBER OF APPS AND MONETIZATION

0

10

20

30

40

50

60

70

80

2012 2013 2014 2015 2016 2017

$bn total rev.

$bn rev IAP

Source: Gartner, 2013

$80 BN APP STORE REVENUE BY 2017

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  It is young

  It is growing at unprecedented speed

  2 very dominant distribution platforms (Gartner says 90% of downloads this year)

  Difficult to obtain information on the market

  Everybody wants in

KEY OBSERVATIONS ON THE APP ECONOMY

THE CHALLENGE

  There is an app for everything but only around 40 native app store categories for developers to place their app in and for consumers to browse

  Each native app store category is crowded with highly differentiated apps

  We think there is a real opportunity to make smarter decisions if you can identify the actual market of an individual app.

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APP ARCHITECTURE & SUB-CATEGORIES

  AppArchitecture is Priori’s proprietary app taxonomy, or classification system

  We mine app titles and descriptions to identify “clusters” of apps using natural language processing algorithms

  This process is done dynamically each month across our database, and supplemented by manual review

  The end result: a “sub-category” designation for ~90% of the apps in our database

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WHAT IT IS

35-40 Categories 750 Sub-Categories

  Thus a Sudoku Game is no longer just an app belonging to the the Puzzle Games Category (iOS). It can now be analyzed against all other apps in the ”Sudoku & Crosswords” Sub-Category .

24 Full list of Sub-‐Categories: www.prioridata.com/technology/apparchitecture/

FALL 2013 – Article by Priori

A Tool: Sub-Category Tracker

Priori Sub-Category Tracker

Sudoku & Crossword Puzzle Sub-‐Category Apple iTunes Store / August 2013

(Data Collection 09 Aug. – 09 Sep. 2013)

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  Sudoku & Crossword Puzzle apps are logic-based puzzle games, largely belonging to the iTunes store native category “Puzzle Games”.

  Sudoku & Crossword Puzzle is the 56th largest Priori sub-category in terms of global August 2013 downloads, the 151th largest in terms of apps, 73rd in terms of active users and 178th in terms of publishers. It is comprised of:

1,676 apps 964 publishers

7.8M monthly downloads 39M acNve users

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  We want to know more about the performance, opportunities, and competitive landscape in this sub-category. For instance:

  Trend: How has this sub-category performed in the near-term?

  Size: How big is it across geographies?

 Growth: How fast is it growing across geographies?

  Structure: What does the market structure look like across geographies?

  Top 3: Who are the top players in each geography?

MONTH OVER MONTH GROWTH COMPARISON: Sudoku & Crosswords VS Puzzle Games VS iOS

31 Global Performance

Trend Size Growth Structure Top 3

June July August

25%

50%

0%

-25% -25.5%

0.1%

3.3%

25.9%

12.1%

6.0%

46.6%

7.8%

-25.4%

GLOBAL MONTH-OVER-MONTH GROWTH COMPARISON

SHARE OF DOWNLOADS BY COUNTRY Is the Market large enough to Enter?

Current Month Downloads in Country / Global Current Month Downloads

33 Size and Growth By Country


Share of Downloads by Country

Current Month Downloads in Country / Global Current Month Downloads



Share of Sub-Category by Country

MONTH OVER MONTH GROWTH BY COUNTRY - Are the Market Dynamics in my Favor?

(Current Month Downloads – Prior Month Downloads) / Prior Month Downloads



Growth by Country

DOWNLOAD DISTRUBUTION – TIERS 1-3 How many Installs can I expect?

39 Market Structure By Country


Download Distribution

40 Market Structure By Country



Tier Apps #1 - #3 Apps #4 - #10 Apps #11 - #25

Russia % of Downloads 81% 8% 6% Avg. Downloads

Per App 116,326 5,900 1,628

South Korea % of Downloads 91% 6% 2% Avg. Downloads

Per App 64,539 2,243 297

Spain % of Downloads 79% 11% 7% Avg. Downloads

Per App 83,237 5,616 1,580

Sweden % of Downloads 56% 22% 17%

Avg. Downloads Per App 13,030 2,544 783

Switzerland % of Downloads 52% 25% 19% Avg. Downloads

Per App 14,139 3,417 1,039

United Arab Emirates

% of Downloads 60% 22% 15% Avg. Downloads

Per App 4,580 824 221 41 Market Structure By Country



TOP 3 PLAYERS BY COUNTRY

Rank Title Publisher

Russia 1 101-in-1 Games Anthology Nordcurrent

2 ▻Sudoku Finger Arts

3 Big Bad Sudoku Book Bad Weasel, LLC

South Korea 1 101 미니게임즈 베스트 컬렉션 Nordcurrent

2 로직 스퀘어(Logic Square) Dev Square


Spain 1 101-in-1 Games Anthology Nordcurrent


3 Numberama 2 Okroshka Lab

Sweden 1 ▻Sudoku Finger Arts 2 101-in-1 Games Anthology Nordcurrent 3 Sudoku :) TicBits Ltd

Switzerland 1 ▻Sudoku Finger Arts

2 101-in-1 Games Anthology Nordcurrent

3 Sudoku :) TicBits Ltd

United Arab Emirates 1 ▻Sudoku Finger Arts

2 Cross Match Sticks S.H. InfoTech

3 Sudoku Free Optime Software LLC 43 Top 3 By Country


TOP APPS

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  Managing the success of an app is no easy task and this is no definitive source

  Defining your market based on the nature of your product (your app) and understanding consumer trends around it could be key

  Who do you benchmark against?   Investors want to know about the market you are

targeting   Are there any emerging consumer trends you should

tap into? (please see Appendix for suggestions)

FINAL THOUGHTS

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  Interested in participating in the BETA around the Sub-Categories? (expected launch around 1st of December 2013).

  Please use this link to sign up: https://docs.google.com/a/prioridata.com/forms/d/1x-CBG8Hfz2ijax4hnwGlblxD-6Nc5XfZmO-BIRAVros/viewform

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BETA INTEREST LIST SIGN-UP

”This is an awesome tool for developers to decide on which market to target their promo7ons to and also to maybe iden7fy markets for which they should be localizing their apps.” – Gurinder, Hashcube

PRIORI DATA GMBH Markgrafenstrasse 36

10117 Berlin, Germany

PHONE: +1-650-614-1681

EMAIL: [email protected] / [email protected]

WWW.PRIORIDATA.COM

Thank you!

Appendix: Fastest Growing (m/o/m) Consumer trends in the App Stores (Sub-Categories). Global + Sweden

iOS Top 10 Fast Growing Global – all Sub-Categories

iOS Top 10 Fast Growing Global – Gaming Sub-Categories

iOS Top 10 Fast Growing Sweden – All

Note: For Sweden we discarded any Sub-‐Categories with less than 2k in-‐month downloads

iOS Top 10 Fast Growing Sweden – Gaming Sub-Categories


Android Top 10 Fast Growing Global – all Sub-Categories

Android Top 10 Fast Growing Global – Gaming Sub-Categories

Android Top 10 Fast Growing Sweden – All


Android Top 10 Fast Growing Sweden – Gaming Sub-Categories


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In Month Downloads in Scandinavia (September)

Country Android Growth (m/o/m)

iOS Growth (m/o/m)

Sweden 21,262m (0.6%)

-‐10.8% 18.28m (1.0%)

15.6%

Denmark 11,13m (0.3%)

-‐8.1% 13.63m (0.7%)

13.3%

Norway 7,31m (0.2%)

-‐9.2% 10.62m (0.6%)

26.8%

app stores - analytics and trends

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