Localytics Indexes

Helping marketers better understand app user trends.

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App Launches Q3 '14

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Steady at 10 launches from previous quarter

App Stickiness Q3 '14

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Down by 1.33% from previous quarter

Q3 2014 Localytics Indexes Highlights:

  • Mobile is growing extremely fast! App launches grew by 43% since 2012
  • App Stickiness decreased slightly this quarter, stemming from a small drop in retention
  • The Media and Entertainment vertical dominates both indexes, exhibiting the highest App Launches and App Stickiness

Key Terms

  • Power Users: % of an app's users who have 10+ sessions in a month, i.e. how many highly engaged users an app has.
  • Loyal Users: % of an app's users who return to the app within 3 months of their first session, which is the industry benchmark to measure loyalty and churn.
  • App Stickiness: Average of an app's Power Users and Loyal Users.
  • App Launches: Average number of times an individual app is launched per month.

Localytics App Launches Index

The Localytics App Launches Index looks at the average number of times an app was launched each month. By analyzing the trend of app launches, marketers can inform their marketing strategies by better understanding how users are engaging with apps and get insight into how app usage is growing.

Localytics App Launches per Month January 2012 - September 2014

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  •   App Launches per Month

App Launches have steadily increased since the beginning of 2012, in fact by nearly 43%. Compared to on average 7 app launches per app in January 2012, just two years later, this number increased to 10.5 by January 2014. During that time, apps have become better designed and more responsive to customer's needs. In turn, apps have become an essential part of everyday life. For example, instead of just using a watch for your daily run, you can simply use your running app.

Localytics App Launches by Vertical January 2012 - September 2014

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  •  eCommerce & Retail
  •  Games
  •  Media & Entertainment
  •  Technology
  •  Travel & Lifestyle

When App Launches are broken by vertical, the data shows the Media and Entertainment vertical, which contains news, music and social networking apps, exhibiting the highest app launches. Much of this can be attributed to frequently refreshing apps for news content, the widespread use of mobile devices as music players, and the addictiveness of social networking. Travel & Lifestyle apps experienced a 95% increase from January 2012 to September 2014 driven largely by weather apps, which are checked regularly. Surprisingly, the Games vertical has the fewest relative app launches, at 7.5 per month and grew at only 16% from January 2012 to September 2014. This is likely due to the highly competitive landscape of gaming apps where a user has a multitude of games to choose from and is likely to only play a very small selection on a regular basis, such as Candy Crush.


Localytics App Stickiness Index

The Localytics App Stickiness Index measures how well apps are engaging users and avoiding churn, in aggregate. The App Stickiness Index is a composite of two key app metrics: Power Users and Loyal Users.

By understanding large-scale movements in app engagement and user loyalty, marketers can analyze their own user insights to adapt and refine their app engagement strategies.

Localytics App Stickiness Index December 2011 - September 2014

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  •  Power Users
  •  Loyal Users
  •  App Stickiness

App Stickiness is down this past quarter to 20% mostly driven by a 3% drop in retention. An effective way to retain users is to communicate with them outside an app using timely and targeted push messages. In fact, a recent study by Localytics found that users who enabled push messaging saw up to a 3x higher retention rate!

Localytics App Stickiness Index by Vertical December 2011 - September 2014

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  •  eCommerce & Retail
  •  Games
  •  Media & Entertainment
  •  Technology
  •  Travel & Lifestyle

Just like last quarter, the Media and Entertainment vertical has the highest relative App Stickiness at 22%. This vertical, which includes music and social networking apps, is likely to dominate App Stickiness given people's preference to use their mobile as a music or social networking device. With the holiday season, it will be interesting to see if the eCommerce & Retail vertical will demonstrate an increase in App Stickiness next quarter. At the same time, with the new iOS8's ability to install third-party keyboard apps, the Technology vertical is likely to experience a boost over the next quarter.