Berlin as part of the global app economy

Think local, act global: Berlin as part of the global app economy Michelle Tran, Data Scientist, Priori Data Matthäus Krzykowski, Co-Founder, Xyo

USA July 2013 Summary App Usage Metrics

App Genre Competition Index

ASO 101 for Developers




There are 3 main cornerstones of the in Berlin app economy: creative, gaming, commerce. Using the synergies gained locally, Berlin app developers can act globally by quantifying app market opportunities through a relevant and refined lens. In most cases, the European app economy is collectively larger than in the US or China. In select regions and niche markets, it is growing faster and has the competitive advantage.

Theses

Local Global




About Priori Data § Priori is a Berlin-based app store analytics provider, formally

launched in June 2013 as a spin-off of Xyo.

§ We constantly monitor the three largest app stores across more than 30 countries.

§ We help you understand which app markets are growing, across platforms, countries and categories.




An Example §  On both Google Play and in The App Store, you will find the app category, Music &

Audio (Music for App Store)

§  For this category, Priori has created 34 sub-categories. Here’s a quick look at how our sub-categories map to the AppStore “Music Essentials”

Guitar Apps Music Discovery

Music Discovery

Internet Radio

Music Discovery

Music Discovery

Djing & Mixing

Music Studios

Musicians & Bands

Music & Lyrics




Xyo is an app search engine that re-imagines how we discover apps.

Made in Berlin




www.xyo.net/blog/made-in-berlin




+400 apps 140M downloads

Sizing Up The Berlin App Economy

+50 publishers

Methodology: iOS only, global all-time downloads; app publishers; companies had to post on Berlin Startup Map or Berlin Startup Jobs See more www.xyo.net/blog/xyo-releases-data-popular-iphone-apps-made-berlin

“You also have cutting edge app and design agencies like nxtbgthng, Novoda, Edenspiekermann, CodeKollektiv, Iconmobile or Fjord which have created some of the world’s leading apps. There are multiple apps which are considered “US” or “international” but which have been, in fact, made by creative teams here,” Gernot Poetsch, Co-Founder of app developing agency nxtbgthng, said. Examples of apps which have been designed in Berlin include apps for publishers like Spotify or Foursquare.

“Just think about all the freelancers working in Berlin. A lot of the cutting edge design work is crafted by these creatives who won’t surface in the App Store. Berlin’s design scene is international and freelancers work for clients all over the world.” Manuel Großmann, from Service Design Berlin, added.




Patterns: Berlin’s app economy has 3 key identities

Creative Industries: Global consumer taste making

Gaming: Traditionally the main revenue driver in mobile

Commerce: Traditional strength of the German Internet




www.venturevillage.eu/berlin-apps-xyo-2013

The 10 Most Popular iOS App Publishers in Berlin




Spotlight on: Games (Apple App Store) § 20 different native categories, from Action Games to

Word Games § ~150K apps

§ ~911M monthly downloads § ~22B all-time downloads

§ These native categories map to 86 different Priori Sub-Categories




Spotlight on: Creative (Apple App Store) § 4 different native categories: Books, Entertainment,

Music, Photography § ~725K apps


§ These native categories map to 414 different Priori Sub-

Categories




Spotlight on: Commerce (Apple App Store) § 3 different native categories: Food & Drink, Lifestyle,

Travel § ~720K apps


§ These native categories map to 411 different Priori Sub-Categories




I'm a serial entrepreneur and co-founded GameDuell in 2003 with my personal inspiration to create the best games company in the world to work for. Since then we have made over 70 online games and we're building mobile games since 2010. Today we have over 200 people in Berlin and several of our teams (and still hiring) are working on iOS, Android and HTML5 games. From early on GameDuell's vision was “To bring people together to have a good time with games. Wherever, whenever." Mobile has leveraged ring people together to have a good time with that tremendously.

— Michael Kalkowski, Co-founder

Made in Berlin: Gaming Key Facts: App Stores opened market to new gaming segments International VCs since 2009 Real revenue – attracts international ecosystem players Few, but significant in terms of know-how + talent size Know-how spreads to other startups




I joined the mobile industry in early 2005. I came back from a year travelling, no budgets left, looking for a student job while starting my master at Hasso Plattner Institute in Potsdam. My former boss pulled me into a startup called gate5 which was working on mobile navigation and location based service solutions.

—Marcel Duee, Co-founder

Made in Berlin: Creative Industries Key Facts: App Stores gave access to international markets they previously did not have Mostly local seed funding In recent years Berlin has become a city where creatives have shaped global consumer taste Large number of app startups tied into the various creative scenes and the creatives




For nearly all portfolio companies at Project A, mobile is a key channel. Besides we like to look for interesting mobile investment opportunities.

— Mark Hartmann, Venture Partner"

Made in Berlin: Commerce Key Facts: App Stores are disrupting traditional online players Funding since 1998 Samwer & Co: Company builder Large number of startups, significant in terms of know-how + talent size Know-how spreads to other startups Employees go on to found their own startups




From Local to Global

§ We’ve highlighted the success of Gaming, Creative Industry and E-Commerce apps coming from Berlin.

§ Now let’s take a closer look at market size, growth opportunities and competitive landscape for one of these

Berlin-based apps.

§ To do so, we’ll be using a tool we’ve recently developed around our sub-categories.

§ If you would like to receive additional information about this tool: [email protected]

DEMO: SUB-CATEGORY ANALYTICS TOOL

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EXAMPLE: Ubertweek GmbH – Tweek

§ Tweek belongs to the TV Sub-Category § 21M monthly downloads, 100M MAUs, 4K apps, 5K downloads per app

MONTH OVER MONTH GROWTH COMPARISON: - TV VS Entertainment VS iOS

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Global Trend: TV Sub-Category

§ In recent months, the TV sub-category has outperformed the native category Entertainment and the App Store in terms of month-over-month

download growth.

SHARE OF DOWNLOADS BY COUNTRY - Is the market large enough to enter?

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Country Share: TV Sub-Category

§ The USA and China are the two largest geographic markets for TV apps, followed by Germany, France, the UK and Italy.

MONTH OVER MONTH GROWTH BY COUNTRY - Are the market dynamics in my favor?

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Country Growth: TV Sub-Category

§ In terms of month over month download growth, the TV sub-category is performing quite well in the EU countries as well as other countries we track.

DOWNLOAD DISTRIBUTION – TIERS 1-3 How many installs can I expect?

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Country Structure: TV Sub-Category

§ Downloads are relatively concentrated among the top players in this sub-category, particularly in Scandinavian countries.

TOP 3 PLAYERS BY COUNTRY

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Country Leaders: TV Sub-Category

Technology

Berlin as part of the global app economy