Finance app downloads have grown almost 4x in APAC over the last four years, driven by the successes of WeChat and Alipay. Downloads rose from 383 million in 2014 to 1.84 billion in 2018, according to a new report by mobile measurement firm Adjust in collaboration with mobile analytics provider App Annie.
Based on the analysis of over 90 apps from more than 36 countries, the report reveals that app uptake in Europe and North America is gaining momentum.
This is driven by increasing consumer interest in mobile-based banking and mobile-only financial services.
“Finance apps have had an enormous growth spurt over the last four years,” explained Paul H. Müller, co-founder and CTO of Adjust. “But huge download numbers don’t always translate into loyalty. It’s all about using analytics to anticipate user needs, defining and targeting customer segments, and building deep relationships with every single user.”
The report also noted that banking apps enjoy good retention rates with 32% of users returning on Day 1 and 15% using an app after Day 30. That puts banking apps in third place behind News (18%) and Music (17%) apps.
But compared to many app verticals, the banking app category enjoys more consistency which could allow for solid opportunities to re-engage and retarget users.
“Given the growth and retention rates we’re seeing for finance apps, mobile is becoming the de facto channel for managing money,” said Danielle Levitas, EVP Global Marketing and Insight of App Annie. “The winning apps will be those that offer users simple in-app onboarding, intuitive UX, strong security, and a more personalized experience.”
Paid banking installs performed better in terms of retention during the first 7 days after install. But paid quickly loses steam to organic after Day 14 (tied at 19%).
If marketers can find ways to boost re-engagement, there may be plenty of opportunities for retention rate growth for paid users.