The Rise of Super Apps: What App Developers Can Learn

News Software
James Malcolm Aug 28, 2024
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Super apps are mobile applications that allow users to do multiple things from one simple interface – from finance to fitness and everything in between.

And their popularity is booming in East Asia.

The Chinese super app WeChat had over 1.35 billion monthly active users in Q1 of 2024 – over 80% of China’s population.

Companies in the West have tried to replicate this success, with some speculating that Musk’s takeover of Twitter (now X) is a ploy to start leaning into a super-app model. (But with such a polarising personality at its helm, this evolution is likely to be hamstrung even by users who want a super app).

Why Haven’t Super Apps Taken Off in the West?

One of the main obstacles for super apps in the West is that, to work effectively, they require access to vast data stores. Data privacy is a contentious issue, with fewer users willing to share their personal data.

Added to those concerns are strict Western regulations, like competition laws to restrict monopolies – seen in the $68bn Microsoft-Activision Blizzard deal in 2023 – which complicate creating all-encompassing super apps, digital platforms, and products.

Cultural and political differences also play a role: Western cultures emphasise individualism and democratic governance, while Eastern cultures prioritise collectivism, hierarchical governance, and tradition-based social systems.

This preference for autonomy explains why Western consumers prefer a diverse mix of standalone apps over super apps, reflecting a distrust of large companies. (There are some exceptions – centralised government healthcare apps, for example.)

This trend pays dividends for companies who advertise their privacy features, including Apple, DuckDuckGo, and VPN and password manager providers.

Even Google, with its SSO capabilities, splits out its apps to avoid alienating its user base.

What Lessons Can We Apply From Super Apps?

The attitude shared by Western consumers could be about to change.

Gartner predicts that half the global population will be using multiple super apps every day by 2027, demonstrating a growing interest in the West.

So how can companies create new super apps designed with the West in mind?

Embrace Innovation

Decreasing competition reduces the need to innovate, while giving users choice and inviting competition drives innovation.

Keeping technology frictionless is key. Open Banking has learnt this lesson very well, making it simpler for users to view and manage their accounts from different banks seamlessly.

Competition drives this progress; online banks like Revolut and Monzo have paved the way for others to innovate and focus on their customer needs to secure their long-term viability.

Smaller Verticals Are Effective

Straddling different verticals often confuses users. (Why would you book a cab in the same place you book your holidays?)

That’s where apps like Instagram and TikTok shine. Adding shopping features that let users buy the outfits they see on the app, from the app, is a neat way to streamline their experience into one clear vertical.

Integrate Complementary Services Incrementally

When developing mobile apps, integrating complementary services incrementally is more effective in the West than creating a super app.

It’s crucial to prioritise the core user needs – understanding what users value most guides the addition of new features. So start by excelling in one area, then expand functionality sensibly with relevant features, based on user feedback.

Don’t Be Distracted by Expanded Functionality

User experience is king when it comes to app use, so it’s really important to nail it. Even if your app doesn’t have the most functionality, prioritising a seamless, frictionless UX will more than make up for it.

Even the most basic issues, like scrolling through an app’s marketplace to pick up where you left off, can add friction and deter users from the app.

Time and convenience is the most highly valued offering you can give to a user. So don’t bog them down with clunky experiences and obsolete functions.

Move to Launch Fast

If you’re tempted to spend valuable time painstakingly completing every feature of your app before launch… don’t.

Putting out features in an “incomplete” stage means you can monitor customer engagement with them. No engagement? No worries. Just move on to a feature that users are engaging and interacting with and focus your efforts there instead.

Is There a Future for Super Apps in the West?

The appetite for super apps is clearly there in the West. Research by PYMNTS and PayPal shows that 72% of consumers across the US, UK, Germany, and Australia are interested in super apps.

So if new super apps can learn to strike the balance between user experience and data privacy, the sky’s the limit for user adoption.