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BizReport : Mobile Marketing : January 12, 2018

Mobile struggling with stalled growth

Although mobile continues to be a beacon in terms of consumers' product research, two new reports underline some growth issues for the sector. Primarily in the areas of app installs and push notifications.

by Kristina Knight

First, installs. According to new data from Flurry, app installs grew only 6% for 2017, that is about half as much growth as was seen in 2016. This is trouble because consumers continue to increase the amount of time spent with their mobile devices.

Researchers note that some mobile areas continue to see strong growth; shopping, for example, grew by 54% YoY, and digital wallets showed more than 40% growth.

"For an industry that's seen staggering growth and disruption since the launch of the first smartphone, 2017 was the year that mobile app innovation and growth was disrupted. Stalwart industry players held and gained market position, while years-old disruptors struggled to find their footing. Compared to 2016, Flurry measured overall session app activity growth of just 6%. While growth may have stagnated, users continue to diversify their behavior while using mobile applications," said Chris Klotzbach, Director at Flurry.

Meanwhile, push notifications aren't as obnoxious or intrusive as many consumers thought. But, they're still not engaging enough. That's the word from new Localytics data. Looking at how 1,000 smartphones users are engaging with push notifications, researchers found that about half (52%) say push notifications are better than they expected and only 10% believe they're worse than expected.

The problem is that the value in these notifications isn't being fully realized by brands and marketers.

"Users are willing to receive more push notifications before disabling push today than they were in 2015. However, users are still most sensitive to apps that send two to five notifications per week. This isn't very much considering the amount of weekly notifications that social media, dating, and messaging apps can potentially send. The difference is that these apps make people aware of conversations and information about friends, families, and other people they care about," write the report authors.

They suggest marketers test push notifications to determine how to best use this technique.

Tags: app installs, appvertising, Flurry, Localytics, mobile marketing, mobile trends, mobile usage

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