App Annie, the largest mobile analytics platform operating from more than 500,000 applications on major operating systems, presented its annual report to its customers and partners.
In addition to the 2015 results, the report also contains forecasts for 2016. We chose the key messages. Why the report from App Annie?
A large number of clients + venture investments in the platform for $94 million (among investors – Sequoia Capital) give reason to take the predictions of this company with great seriousness.
Recalling the 2015
According to the analysts of App Annie, the past year there was a smoothing of the differences in revenue and the number of downloads for mobile applications on the main 2 platforms – iOS and Android. The leader in the number of downloads in 2015 was Android, but the revenue was mainly generated by iOS.
The outgoing year also became a landmark year for monetization tools. Finally, a paid subscription mechanism was introduced, although the key instrument was still the sale of virtual gifts and goods in in in-game currency applications linked to real microtransactions from bank cards.
The launch of video streaming services from major cable operators in the English-speaking market, such as HBO NOW, the growth of music streaming on a paid basis, and the expansion of the list of premium features from rendering services – all these trends made 2015 a successful year for the monetization of mobile applications.
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What will be the market for mobile technologies in 2016 –
App Annie, the largest mobile analytics platform operating from more than 500,000 applications on major operating systems, presented its annual report to its customers and partners. In addition to the 2015 results, the report also contains forecasts for 2016.
We chose the key messages. Why the report from App Annie? A large number of clients + venture investments in the platform for $94 million (among investors – Sequoia Capital) give reason to take the predictions of this company with great seriousness.
Remembering 2015
According to the analysts of App Annie, the past year there was a smoothing of the differences in revenue and the number of downloads for mobile applications on the main 2 platforms – iOS and Android. The leader in the number of downloads in 2015 was Android, but the revenue was mainly generated by iOS.
The outgoing year also became a landmark year for monetization tools. Finally, a paid subscription mechanism was introduced, although the key instrument was still the sale of virtual gifts and goods in in in-game currency applications linked to real microtransactions from bank cards.
The launch of video streaming services from major cable operators in the English-speaking market, such as HBO NOW, the growth of music streaming on a paid basis, and the expansion of the list of premium features from rendering services – all these trends made 2015 a successful year for the monetization of mobile applications.
Blocking advertising content in iOS 9 for the browser may create some difficulties for mobile web advertising; therefore, even more developers will consider the transition to advertising in mobile applications as a tool for monetization.
Competition between platforms has continued to grow, as well as with the advent of new form factors and types of mobile devices. In particular, in 2015, smart watches, bracelets and TVs on new OSs were of particular interest to mobile developers. According to App Annie analysts, it is in these segments of the mobile market that further growth of competition is expected next year.
Mobile applications are already taking more time and money from users than websites, which means that developers have to adapt to the new market requirements both in terms of content and in terms of tools for monetization of such content.
Analysis of the online shopping cart in North America and Europe has shown that more money is spent on mobile shopping than on online shopping.
The emergence of platforms and devices such as Apple Watch, Apple TV and similar developments on Android can only lead to the further “mobilization” of today’s Internet user.
Google Now, 1-touch search and “deep links”: Now On Tap is an ambitious attempt by Google to make the work of applications more and more similar to how the web reacts and indexes. The Now on Tap functionality gives Google a critical advantage that will allow it to monetize application performance in the future through contextual links.
“Deep” connections between applications by type and subject + context search can make Android a more attractive platform for developers (especially for mobile startups).
Cybersport and new revenue sources for game publishers: The previous round of media boom is associated with digital streaming music, which not only increased revenue for Internet services and mobile applications, but also tripled the number of tickets sold to concerts in the U.S. between 1999 and 2009.
Similar algorithms can be observed in the gaming industry under the influence of mobile platforms as the audience of mobile free-to-play (F2P) games expands.
There are more such players now than on PCs and consoles, says App Annie. This situation is one of the triggers of the growing popularity of co-branding projects and sponsorship of gaming brands at the championships of mobile games. These are the kind of activities that can be expected in mobile cybersports in 2016.
Messengers and cultural specifics: The emergence of additional packaged services is only just paving the way for the messenger market in the U.S. and Europe; and in Asia, in addition to instant messaging in a mobile messenger, you can play a game, buy tickets, pay for offline services, order a taxi, and buy many other services for years. In particular, Facebook Messenger has already started this way.
A new category of services is Online to Offline (O2O). Consolidation of the Asian market for such services: Over the past year and a half or two, significant progress has been made in this area, especially in the Asian market.
However, even there, a boom in user engagement has led to a gradual decline in the quality of the audience. In 2016, the segment is expected to consolidate and improve the overall O2O ecosystem.
Productivity for apps and apps for productivity: Moore’s law has not been repealed, and since the first iPad entered the market in 2010, we have seen rapid growth in mobile app productivity and a gradual migration of desktop software into this new segment of the economy.
Tasks, spreadsheets, presentations and databases have been producing customized tablet versions for 2014-2015, and this trend will continue in 2016. The number of downloads of task, document and project management applications will only grow, and they will be compiled into office packages of several tools and services from a single developer.