app economy 2.0 – unlocking a new app revenue stream · a new non-intrusive revenue stream,...
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App Economy 2.0 –Unlocking a New App Revenue Stream
Huang Xu | General Manager Appnext China
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Our Vision Connecting people with the services they need for a better day
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Appnext by the Numbers
3% of the users are using Actions every day! More than 150K users / day are browsing shopping catalogs using Actions 544,088 users started a process to book a hotel room in March using Actions
8 Offices 95K Developers
+80M DAU with Appnext Timeline 42k
Apps integrated Appnext SDK
1B Suggested Actions / Month
700M DAU 50B M/Requests
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Mobile has evolved and so has service consumption.There are new needs tobe fulfilled.
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New app installs are down across organic channels
Why do users install less apps?
Searchedapp store
Featured Top List
in app store
21%20%
App Store
14%13%
Via friend | family
16%15%
Word of Mouth | Opinion
11%10% 8% 8%
Via comment | review | social site
Via news | print |
review TV show
Via a website
11%10%
Advertising | Marketing
9% 9% 9%6%
Via Ad on device
browser | app
Via Ad on TV | print | billboard
Credit: ComScore Jun-2017 Jun-2016
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Time spent in-app surges
Apps Installed Per User Monthly, US
Share of Digital Time Spent in App, US
Sources: comScore, Tune, eMarketer
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Most users don’t have an app for the service they need
• How many potential users in Asia have an app installed for the services they need?
• A market failure in terms of mobile marketing that needs to be solved
Start shopping
0%
Order a taxi
Book a flight
Order food
10% 20% 30% 40% 50%
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People use about 10 apps per day
1. People love using apps2. They tend to “cling” on to a bunch
of them3. An app which can offer more
services to its user will become a hub/ ”Super App”
Average number of apps used a day by smartphone users, Q1 2017. Credit: AppAnnie *China iOS only
Brazil India China* UnitedStates
Japan UK Germany
Mexico SouthKorea
France
0
2
4
6
8
10
12
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The market has changed
Users are less and less inclined to install new
apps
They want solutions for their immediate needs that does not require them to install apps
Users prefer relevant services than ads that disrupt the user
experience
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Let’s see some new User-First Experience & Tech Trends
Seamless Discovery Instant Usage
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WeChatWhy it is so successful One-stop-shop for users Getting lots of services without
“stepping out” of the app Payment through the app
One minute on WeChat
350New WeChatAccounts AreRegistered
4,112,500Articles areread
14,206,631Users openWeChat
1,057,500PaymentTransactionsTake Place
69,584People useWeChat shakeFeature
7New service orsubscription accountsare registered
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InstagramAllows brands and influencers to make an organic post “shoppable” by tagging aproduct in the same way they would taga person in a photo
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Facebook MessengerAllows users to order food from local restaurants using the app Instead of competing directly with other food ordering services, FB partnered with several industry players such as EatStreet, Delivery.com, DoorDash and others
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Google AssistantGoogle Assistant allows people to seethe products they want to buy and order them
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They understood early on thatusers want services
Opportunity for a new revenue streamand a better means of marketing services
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Service-Based Monetization – Appnext Actions
Monetizing your app through servicesA smart and engaging way to monetize users!1. Smart - Machine learning and Timeline technology
to better understand user needs2. Engaging - A friction-less, non intrusive way to
search for services rather than apps3. Highly Monetized - A hidden revenue stream
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Appnext Timeline -Behavioral-based service recommendations
100M DAU with Appnext Timeline 1.5B User moments created a day Responding to the users’ immediate needs Superior serving through Machine Learning
AWS Cloud B
Data
Appnext Actions
Appnext Timeline
AWS Cloud A
Data
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Your very own personal assistantMonetizing your app through services rather than ads
Dynamic Behavior-based Real-life user context Service oriented
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Engaging - Help your users find the services they search for
Available on demand A habit-forming experience
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And… no app install needed –complete orders in app cards
User clicks on the ‘Order Taxi’ Action Chooses service provider, destination and time Completes the order within the app
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Or instantly book hotel rooms using Booking.com
User clicks on the book hotel Action Booking.com is displayed under hotels in the Actions results page User is redirected to the booking.com deep link app URL
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Service-Based MonetizationAppnext Actions
Turn your app into a platform
Help your users easily access their favorite everyday services
Generate an incremental revenue stream
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An end-to-end marketing toolAppnext Actions
Transform your app/device into a service hub,
enabling cross-marketing activities
Expose users to new services and offerings in a
non-intrusive way
Increase sales and cooperation with 3rd-party
companies
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The Ad ProductsContext-driven.
Scientifically optimized.
Pixel perfect.
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Native Ads
ContentRecommendationUser Acquisition & Re-engagementCampaigns
In-feed VideoVideo-Enhanced Native Experiences
Classic NativeCustomizable to any UI
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And we Also Made Native Ads Smarter
Clicking on a native ad can lead the user to various offers adding more room for advertisers to offer their products and services
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Now you can do it tooLet’s see some integrations and numbers
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Appnext Actions & DrupeThe key is providing more services for users
A top Contacts and Caller ID app - 10M+ installs1. Dedicated services tab - building new user habits2. Users mainly from India and U.S.3. Actual added value to users without intrusion
Results
30% service completion rate Vs. standard native ads (1.5%-3%)
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Appnext Actions & TextNowThe key is better user experience
World’s first cloud-based phone carrier - 10M+ installs1.Keep the natural chat flow2.Context + Double opt–in: High user intent3.Incremental revenues
Results29.13% service completion rate Vs. standard native ads (1.5%-3%)15.4% user engagement increase in the app
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Appnext Actions & TextNow
“With Appnext Actions, we've been able to bring inhigher CTR than standard ads. For the publisher, we'vecreated a new revenue stream.
And for the user, we've raised engagement, and clearly see that users view it as bringing added value to their conversations”
Chas Castell, TextNow’s VP of Revenue Operations
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Appnext Actions & DailyHuntThe key is providing more services for users
India’s no.1 news and local language content app - 50M+ installs1.Actual added value to readers without intrusion2.Context + Double opt–in: High user intent3.Incremental revenues
Results12% of Dailyhunt users are repeatedly using Actions for their service.24% service completion rate Vs. standard native ads (1.5%-3%)
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Appnext Actions & DailyHunt
“Appnext’s new discovery product allows us to provideadditional services for our users, from within the app,driving enhanced usage of DailyHunt while generatingsignificant new revenues”
Virendra Gupta, DailyHunt’s Founder & CEO
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Deploying with OEMs Worldwide
Notifications Home Screen Assistant
Lock Screen
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What’s in it for me?Users
Search-like experience and realvalue proposition
Publishers
A new non-intrusive revenue stream,increasing loyalty and time spent in app
Advertisers
Stay on top of the user’s mind and at thebottom of the funnel
OEMs
Take part in the app economy by connectingusers to the services they need
Service-based Monetization is a smart and engaging way to provide your users with better experiences.
Let them search for the services they need while you unlock a new revenue stream!
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THANK YOU : )