Our last retail and ecommerce mobile benchmark blog post was right in the beginning of 2019; at that time, data showed that both app retention and average session lengths were on the rise. That makes sense because of the retail slowdown of 2017 and 2018, which meant more mobile engagement and less brick-and-mortar engagement. This is continuing in the first half of 2019: e-commerce has been a big part of the disruptive shift in retail, but massive rent increases are factoring in, too. With retail and other legacy industries at a crossroads, what does our benchmark data for retail and ecommerce tell us after the first half of 2019
Let’s dive in.
Retention and churn
Retention continues to grow at healthy rates of about 4-5% year-over-year. Simultaneously, churn is shrinking at a rate of 3%.
Big takeaway: In general we can attribute this to improved awareness among marketers around personalized messaging and user retention. Based on our Stages of Personalization model, this means moving away from broadcast messaging(Stage 1 of personalization) to segmented messaging based on profile and behavioral data (Stage 2 of personalization). For more on moving from Stage 1 to Stage 2, consult this quick guide.
Push is increasing engagement
Average push engagement (sessions per user within seven days of message receipt) is also maintaining an impressive pace with increases of 64% on Android and 84% on iOS since the first half of 2018.
Big takeaway: This indicates that users are becoming increasingly engaged with apps due to push messaging. We'd expect app launches per user to trend upwards along with sessions per user, however the data seems to suggest that pushes are solely responsible for driving additional sessions in app. App launches per user have increased since the second half of 2018, but decreased year over year.
What about push opt-in rates?
Android push opt-in rates increased by 14% since the first half of 2018, but seem to have stalled since the second half of 2018 at 93%. iOS's push opt-in rates have steadied at around 35% (Android apps automatically opt users in to push, so the rate is much higher than iOS.)
In-app open rates rising in tandem on Android and iOS
This is largely the result of improved in-app technology. In-App has been a tool that marketers have adopted more because the medium allows more creative and engaging solutions. It's a popular channel among marketers that can make or break an app experience.
Here at Localytics, we’ve been investing a good deal in in-app tech over the past year. We believe that, and better approaches to personalization, are the cornerstone of successful mobile marketing for the next three years.
What to expect for the second half of 2019
The second half of any year has the holiday season, which starts earlier than ever each year. Last year, Thanksgiving weekend went up 40% year-over-year, and another massive jump is likely this November. It’s crucial that marketers nail campaigns in those holiday windows because the revenue can be massive, and connected campaigns start with highly-personalized offers. A personalized app strategy with app/web push is the key to H2 for marketers. We’ll have more on all this as autumn begins.
If you have any questions or want to look at the fuller data sets…
… feel free to connect. We’d love to show you the landscape in different industries.