Amir Ghodrati, Director of Marketing Insights at App Annie, discussed the future of apps and best practices for using apps to drive business at the 2018 Leadership in E-commerce Forum, held in Dallas on May 22.
The average US citizen uses 35 out of an average of 80 apps installed per device and spends about three hours a day using apps, a 30% increase from 2015. Worldwide, there were 178 billion app downloads in 2017, a 60% increase from 2015. In 2017, gross consumer spend on apps was estimated at $81.7 billion, a 95% increase from 2015.
According to App Annie, global app downloads are projected to reach 258.2 billion in 2022, with consumer spend over $156.5 billion. In addition, the average app spend per device is projected to increase 23% by 2022.
“Having an app installed is a commitment to something you’re probably going to use multiple times,” said Ghodrati. Customers interact with retailers in apps 2.8 times more often than on mobile web, and that number keeps growing. In the US retail sector, total app sessions increased from about 30 billion in 2015 to over 52 billion in 2017, representing in excess of 70% growth. Growth is similar in other countries worldwide.
In the entertainment sector, consumer spend is exploding, growing 277% in the US from 2015 to 2017 and even more in other countries. In travel, apps have become essential, with app travel sessions growing 55% from 2015 to 2017 in the US, which led the world with nearly 80 billion app sessions for travel in 2017.
Ghodrati closed by reminding the audience that inspiration can come from anywhere: “Even though apps are different from country to country and even city to city, you can learn from things outside your immediate group. You want to know what innovations people are doing in other countries and categories. Gaming tends to be furthest ahead when it comes to innovation on mobile. Because gaming has been doing this the longest and it understands data, it will frequently come up with ideas that you can port over to your business.”