Importance of Mobile Analytics in the App Economy – Intro

This article was written by Manuel de Francisco Vera, Data Analyst at AVG’s Innovation Labs in Amsterdam. Manuel is leading research into big data and analytical marketing.   

Mobile economy trends

Mobile devices are a ubiquitous part of our daily lives. Today we use them for things we never imagined merely 7 years ago. They are our gateway to the world, keeping us informed, connecting us to one another, entertaining us, and well… you name it. If you can think about it there’s probably an app for that.And the smartphone adoption rate is growing at an amazing pace. In 2014 there were already over 2 billion smartphone users worldwide, and it is estimated that this number will reach 5.2 billion users by 2020, as smartphone adoption skyrockets in developing economies.


Enabled by phenomenal growth, the mobile market supply is swelling as well, with 2.8 million apps available on Google Play and Apple Store as of February 2015 and 2,000 new apps are released every day. This makes the app market an extremely competitive environment where app developers struggle to keep their app installed on mobile devices. The current stats show that even if manage to convince people to install your app, there is a 50% chance they will uninstall the app in the same day. Also the average user will have maximum 20 to 30 apps installed on their device, with only 10 apps finding a place on “the hall of fame”, which is the home screen.

Mobille-Penetration Apps-available-in-stores

And to make it even more difficult for the developers, the majority of the apps out there are free and users expect them to be free, which means it’s very hard to maintain and update the apps.


Success lays in data analysis

So, how does one navigate in this extremely competitive environment? How can one make sense of what works and what not, so that he rises from the depths of the appstore to the home screen of the users?

We strongly believe that one of the key elements to success in the app economy is develop a strong customer analytics framework.

This is why, in the Innovation Labs, we rely heavily on analytics to design and improve our apps. This allows us to test new ideas extremely fast, by building mobile app prototypes and learning from actual user behavior instead of relying on assumption.

We are researching a wide range of methodologies and building business tools to get better mobile analytics for our products. Our goal is to improve user behavior insight and find best practices on mobile analytics.

Of course we do all this with users’ privacy in mind and in line with our privacy policy. We anonymize the data in order to protect users’ identities. For this we developed our own analytics platform.  This allows us to deep dive into burning issues like “Why do people uninstall the app in the first day/hour/ 1 use?” or “Why do people use our apps over 20 times per day?”, and use the findings to improve the user experience.

In following posts I would like to dive a bit more into how we do all that and talk about some burning questions we managed to solve thanks to our eye for detail. So stay tuned!

Disclaimer: All opinions are those of the author and not those of AVG or Innovation Labs.


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