In a remarkable reveal, Adjust’s latest shopping app insights report indicates a tremendous 61% year-over-year (YoY) surge in global shopping app installs for the first half of 2024. This explosive growth not only positions shopping apps ahead of other verticals but significantly surpasses the overall e-commerce app install growth of 25% and a session increase of 13% YoY.
Several key factors have contributed to this uptick. First, the rapid expansion of retail media networks has altered how retailers reach customers. By leveraging targeted advertising, these networks enhance user experience and ultimately drive purchases. Secondly, the rise of mobile wallets has simplified transactions, making it easier for users to make purchases on the go. These developments indicate a shift towards a consumer-first approach in e-commerce, whereby convenience and accessibility are paramount.
Tiahn Wetzler, Director of Content & Insights at Adjust, comments, “Shopping apps are transforming how consumers interact with brands and make purchases.” Through the integration of advanced technologies, including artificial intelligence (AI) and augmented reality (AR), marketers are better positioned to engage new audiences and enhance conversion rates. The incorporation of dynamic channels, such as social commerce and connected TV (CTV), allows brands to present their products in innovative ways that appeal directly to consumers.
The report highlights the significance of the Q4 shopping season, often associated with a spike in app installations. On specific high-impact days last October, Adjust experienced a formidable 40% and 41% increase in installs above the daily average, illustrating the critical nature of timing in e-commerce strategies.
One fascinating insight from Adjust’s report is the variance in e-commerce app session lengths across regions. While the Asia-Pacific (APAC) region logged an average session length of 10 minutes, lower than the global average of 10.5 minutes, it boasted a remarkable Day 1 retention rate of 15%. In contrast, both North America and Latin America (LATAM) reported lower retention, with rates of 11% and 14.4%, respectively. Such data serves as an opportunity for marketers to recalibrate their strategies targeting specific regions.
Furthermore, in-app revenue has seen a substantial 36% increase YoY, with a notable 60% of this revenue emanating from Android devices. November and December of 2023 stood out with revenue spikes of 34% and 22% above the monthly averages, respectively, highlighting consumers’ inclination towards making purchases as the year-end festivities approach.
In terms of advertising efficacy, global median installs per mille (IPM) improved from 1.94 in 2023 to 2.28 in H1 2024. This indicates a growing trend in the effectiveness of ad campaigns across platforms, a crucial takeaway for marketers seeking to optimize their spending and maximize reach.
April Tayson, Regional Vice President for INSEAU at Adjust, remarks on the rapidly shifting shopping habits molded by evolving e-commerce technologies. “It is highly valuable for marketers and retailers to sharpen their campaign strategies to ensure optimal growth and success, especially in APAC.” He points to Southeast Asian markets—such as Indonesia, Malaysia, the Philippines, Singapore, and Vietnam—where users spend significant time on apps. This presents a tremendous opportunity for businesses aiming to capitalise on the growing trend and adjust their strategies accordingly.
In conclusion, the skyrocketing install rates of shopping apps reflect a broader trend of digital transformation in retail. Companies ready to adapt their marketing strategies in light of emerging technologies and consumer behaviors stand to gain significantly in this competitive landscape. Brands must focus on developing personalized experiences while leveraging data analytics to refine their strategies continuously.
As the market evolves, it becomes evident that a well-informed approach to marketing in the digital realm is essential for sustainable growth. By embracing innovation and prioritizing user engagement, businesses can propel themselves forward in this dynamic environment.