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PLUS: Stats from the $143B app economy. Brought to you by The Hustle together with The Motley Fool.
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January 19, 2021
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TOGETHER WITH
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Trending on Twitter: “Will Joe Exotic be pardoned?” Again, for those keeping track, this year is not even 3 weeks old.
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The Big Idea
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The future of work looks like a video game
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Imagine you walk your Sims character into a room filled with people working at desks, a dog, and scattered documents.
</p>
<p style="font-size: 15px; line-height: 140%; margin: 5px 0px 10px;">
Except it’s
<em>
not
</em>
Sims -- the room resembles your company’s HQ, those people sound like your real-life colleagues, and the documents are Google Docs for your current project.
</p>
<p style="font-size: 15px; line-height: 140%; margin: 5px 0px 10px;">
A number of startups are now combining the best parts of ’90s-era video games with today’s productivity tools to build platforms exactly like this.
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<strong>
Taking a pandemic-era trend one step further
</strong>
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<p style="font-size: 15px; line-height: 140%; margin: 5px 0px 10px;">
Unlike Slack and Zoom, these platforms turn the office into a virtual
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playground
</a>
full of meeting rooms, lunch tables, water coolers, and succulents.
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<p style="font-size: 15px; line-height: 140%; margin: 5px 0px 10px;">
And some are seeing great success:
</p>
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<strong>
Teamflow
</strong>
<a style="color: #d62829; text-decoration: none;">
raised $3.9m
</a>
and is used at Apple, Reddit, and Uber
</li>
<li style="font-size: 15px; line-height: 140%; margin: 0 0 0 15px; padding: 0px;">
<strong>
SpatialChat
</strong>
boasts 2.5k+ customers, including LinkedIn, Salesforce, McKinsey, and Harvard
</li>
<li style="font-size: 15px; line-height: 140%; margin: 0 0 0 15px; padding: 0px;">
<strong>
Remo
</strong>
, a favorite at IBM and Shopify, reached 8-figure revenue in 9 months with no investors
</li>
</ul>
<p style="font-size: 15px; line-height: 140%; margin: 5px 0px 10px;">
These tools aren’t just a gimmick: They boast important features like collaboration tools and spatial audio for spontaneous chats... because that’s apparently where the real productivity happens.
</p>
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<strong>
Are VR environments better for organizing?
</strong>
</h4>
<p style="font-size: 15px; line-height: 140%; margin: 5px 0px 10px;">
Teamflow’s website
<a style="-webkit-text-fill-color: #d62829; color: #d62829; text-decoration: none;">
cites
</a>
an MIT study that showed the best predictors of productivity were “a team’s energy and engagement outside formal meetings.”
</p>
<p style="font-size: 15px; line-height: 140%; margin: 5px 0px 10px;">
Per the
<em>
Wall Street Journal
</em>
, these platforms achieve things Zoom and Slack can’t by triggering our brains’ place cells -- parts of the mind that allow us to associate items, people, and projects with physical spaces.
</p>
<h4 style="font-size: 17px; height: 100%; letter-spacing: 0px; line-height: 22px; margin: 0px; padding-top: 8px;">
<strong>
Some experts wonder if another platform is necessary
</strong>
</h4>
<p style="font-size: 15px; line-height: 140%; margin: 5px 0px 10px;">
Still, a recent Gartner survey found that even after a COVID-19 vaccine is widely available, 90% of HR leaders intend to let employees work remotely if possible, even if for just some of the time.
</p>
<p style="font-size: 15px; line-height: 140%; margin: 5px 0px 10px;">
That means virtual work worlds might be here to stay if pre-pandemic work habits don’t return.
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<tr>
<td style="padding-bottom: 5px;">
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<tr>
<td style="width: 100%;">
<table style="width: 100%;">
<tr>
<td style="color: #D62829; font-size: 16px; font-weight: bold; letter-spacing: 1.5px; padding: 10px 3px 12px; text-transform: uppercase;">
Snippets
</td>
</tr>
<tr>
<td class="h2020 ignore-defaults" style="padding: 0px 3px;">
<ul style="font-size: 16px; line-height: 20px; margin: 0; padding-bottom: 10px; padding-left: 12px;">
<li style="font-size: 15px; line-height: 140%; margin: 0 0 0 15px; padding: 0px;">
<strong>
WhatsApp looks to monetize:
</strong>
India’s ~400m WhatsApp users will
<a style="color: #d62829; text-decoration: none;">
soon
</a>
have the option to order products from Reliance Industries’ JioMart within the messaging app.
</li>
<li style="font-size: 15px; line-height: 140%; margin: 0 0 0 15px; padding: 0px;">
<strong>
Samsung heir behind bars:
</strong>
Jay Y. Lee is headed back to prison for 30 months after a retrial was
<a style="color: #d62829; text-decoration: none;">
ordered
</a>
regarding his role in a succession scandal that included bribing a friend of South Korea’s former president with — wait for it — horses.
</li>
<li style="font-size: 15px; line-height: 140%; margin: 0 0 0 15px; padding: 0px;">
<strong>
Car charging goes portable:
</strong>
Several companies in France, Sweden, and Israel are actively
<a style="color: #d62829; text-decoration: none;">
testing
</a>
technology to charge electric vehicles while driving. The problem for now, as always, is cost.
</li>
<li style="font-size: 15px; line-height: 140%; margin: 0 0 0 15px; padding: 0px;">
<strong>
ProSapiet raised $10m
</strong>
to
<a style="color: #d62829; text-decoration: none;">
build
</a>
out its network of geniuses. The company matches experts with investors and consultants in need of data and saw revenue increase 100% YoY.
</li>
<li style="font-size: 15px; line-height: 140%; margin: 0 0 0 15px; padding: 0px;">
<strong>
Amazon X Hudson.
</strong>
After Q3 sales dropped 75% YoY, the airport convenience chain
<a style="color: #d62829; text-decoration: none;">
announced
</a>
it’s bringing Amazon’s Just Walk Out tech to select locations in a pivot to digital.
</li>
<li style="font-size: 15px; line-height: 140%; margin: 0 0 0 15px; padding: 0px;">
<strong>
Keystone XL:
</strong>
The controversial oil pipeline is switching it up to avoid getting the ax from the incoming Biden administration. How? It may be “powered by renewables” and “built by union labor,” per
<a style="color: #d62829; text-decoration: none;">
<em>
WSJ
</em>
</a>
.
</li>
</ul>
<div style="display: none;">
</div>
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</table>
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</td>
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<tr>
<td style="padding-bottom: 5px;">
</td>
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<tr style="display: block; padding: 10px 2px 0px;">
<td style="width: 100%;">
<table style="width: 100%;">
<tr>
<td style="color: #D62829; font-size: 16px; font-weight: bold; letter-spacing: 1.5px; padding: 0px 0px 10px; text-transform: uppercase;">
Sustainable products
</td>
</tr>
<tr>
<td style="padding: 0 0 6px;">
<img alt="phone case" src="https://inboxflows.com/_/image/https%253A%252F%252Fsailthru-media.s3.amazonaws.com%252Fcomposer%252Fimages%252Fsailthru-prod-6ks%252Fiphone.gif/?inbox_flows_img_sig=eyJwYXRoIjoiaHR0cHMlM0ElMkYlMkZzYWlsdGhydS1tZSJ9:1l1qAd:mOrx629UAizuURGwdsfjMOine9_xHYSFFkcpiABzck0" style="height: auto; max-width: 600px; width: 100%;" width="600"/>
</td>
</tr>
<tr>
<td>
<p style="color: #5f696c; font-family: Helvetica, sans-serif; font-size: 12px; font-style: italic; line-height: 20px; margin: 0px; padding: 8px 5px 10px;">
The Pela Case biodegrades from 12 weeks to 2 years depending on compost conditions (Source: Pela Case)
</p>
</td>
</tr>
<tr>
<td>
<h2 style="font-size: 22px; font-weight: bold; line-height: 26px; margin: 10px 0px 5px;">
Pela Case, the $100m sustainable phone case startup that created a category
</h2>
</td>
</tr>
<tr>
<td class="h2020 ignore-defaults" style="padding: 5px 0px 0px;">
<p style="font-size: 15px; line-height: 140%; margin: 5px 0px 10px;">
There’s a lot of talk about smartphones. But the
<em>
smartphone accessory industry
</em>
, which sells
<strong>
1B+ phone cases
</strong>
a year, is equally impressive.
</p>
<p style="font-size: 15px; line-height: 140%; margin: 5px 0px 10px;">
While the market is massive, it’s also an environmental disaster. Most of those cases are made of plastics, which break down and end up polluting our oceans.
</p>
<p style="font-size: 15px; line-height: 140%; margin: 5px 0px 10px;">
Enter
<a style="-webkit-text-fill-color: #d62829; color: #d62829; text-decoration: none;">
Pela Case
</a>
, the world’s first 100% compostable eco-friendly iPhone and Android case.
</p>
<h4 style="font-size: 17px; height: 100%; letter-spacing: 0px; line-height: 22px; margin: 0px; padding-top: 8px;">
<strong>
The story begins in Saskatchewan, Canada…
</strong>
</h4>
<p style="font-size: 15px; line-height: 140%; margin: 5px 0px 10px;">
… a region that grows the most flaxseed oil in the world. A byproduct of that oil-making process is flax straw, a shock-absorbent material that is also biodegradable.
</p>
<p style="font-size: 15px; line-height: 140%; margin: 5px 0px 10px;">
Materials scientist Jeremy Lang -- a Saskatchewn native from a family of Canadian prairie farmers -- created a material from the flax straw (
<a style="-webkit-text-fill-color: #d62829; color: #d62829; text-decoration: none;">
Flaxstic
</a>
) that forms the basis of Pela’s product.
</p>
<p style="font-size: 15px; line-height: 140%; margin: 5px 0px 10px;">
The invention became a company around 5 years ago when Lang met an ecommerce entrepreneur named
<a style="-webkit-text-fill-color: #d62829; color: #d62829; text-decoration: none;">
Matthew Bertulli
</a>
.
</p>
<h4 style="font-size: 17px; height: 100%; letter-spacing: 0px; line-height: 22px; margin: 0px; padding-top: 8px;">
<strong>
Pela has grown rapidly since then
</strong>
</h4>
<p style="font-size: 15px; line-height: 140%; margin: 5px 0px 10px;">
Today, it does mid-8 figures in annual revenue, and the success of its product has brought on 1000s of copycats, according to Bertuill, now the company’s CEO.
</p>
<p style="font-size: 15px; line-height: 140%; margin: 5px 0px 10px;">
It's not just the competition that has taken notice, either.
</p>
<p style="font-size: 15px; line-height: 140%; margin: 5px 0px 10px;">
The company notched a
<strong>
~$100m
</strong>
valuation in its latest funding round, attracting investors that include Jay-Z’s VC arm, Marcy Ventures.
</p>
<h4 style="font-size: 17px; height: 100%; letter-spacing: 0px; line-height: 22px; margin: 0px; padding-top: 8px;">
<strong>
Expanding from phone cases
</strong>
</h4>
<p style="font-size: 15px; line-height: 140%; margin: 5px 0px 10px;">
Also under the umbrella of the the British Columbia-based Pela brand are:
</p>
<ul style="font-size: 16px; line-height: 20px; margin: 0; padding-bottom: 10px; padding-left: 12px;">
<li style="font-size: 15px; line-height: 140%; margin: 0 0 0 15px; padding: 0px;">
<a style="color: #d62829; text-decoration: none;">
Habitat
</a>
, a plastics-free deodorant
</li>
<li style="font-size: 15px; line-height: 140%; margin: 0 0 0 15px; padding: 0px;">
<a style="color: #d62829; text-decoration: none;">
Barxby
</a>
, an environmentally friendly dog shampoo
</li>
</ul>
<p style="font-size: 15px; line-height: 140%; margin: 5px 0px 10px;">
There are plans for more verticals, all with an ethical spin.
</p>
<p style="font-size: 15px; line-height: 140%; margin: 5px 0px 10px;">
Bertulli tells
<em>
The Hustle
</em>
that he modeled Pela after Patagonia, the outdoors retailer that is focused on environmental and social impact.
</p>
<p style="font-size: 15px; line-height: 140%; margin: 5px 0px 10px;">
“They’ve been around for 40+ years and do a billion dollars in sales,” says Bertulli. “Having an ethical angle hasn’t slowed them down.”
</p>
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</tr>
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<td>
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SPONSORED
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<h2 style="font-size: 20px; font-weight: 800; letter-spacing: 0px; line-height: 24px; margin: 20px 0 0px;">
<strong>
Imagine getting a 563.5% return on your investments?
</strong>
</h2>
<p style="font-size: 15px; line-height: 140%; margin: 5px 0px 10px;">
That’s the average return for investors who subscribe to
<a style="-webkit-text-fill-color: #d62829; color: #d62829; text-decoration: none;">
Stock Advisor
</a>
, the stock-picking service created by Tom Gardner to beat the market.
</p>
<p style="font-size: 15px; line-height: 140%; margin: 5px 0px 10px;">
How are they doing so far? Just ask their “Double Down” picks:
</p>
<ul style="font-size: 16px; line-height: 20px; margin: 0; padding-bottom: 10px; padding-left: 12px;">
<li style="font-size: 15px; line-height: 140%; margin: 0 0 0 15px; padding: 0px;">
<strong>
Netflix (+26,816%)
</strong>
</li>
<li style="font-size: 15px; line-height: 140%; margin: 0 0 0 15px; padding: 0px;">
<strong>
Amazon (+1,654%)
</strong>
</li>
<li style="font-size: 15px; line-height: 140%; margin: 0 0 0 15px; padding: 0px;">
<strong>
Apple (+2,289%)
</strong>
</li>
</ul>
<p style="font-size: 15px; line-height: 140%; margin: 5px 0px 10px;">
We believe the stock market has never been hotter than it is right now, and Stock Advisor just released
<a style="-webkit-text-fill-color: #d62829; color: #d62829; text-decoration: none;">
3 new “Double Down” picks
</a>
for 2021 to celebrate.
</p>
<p style="font-size: 15px; line-height: 140%; margin: 5px 0px 10px;">
Want the picks? Subscribe to Stock Advisor right here:
</p>
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See the picks →
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Creator Economy
</td>
</tr>
<tr>
<td style="padding: 0 0 6px;">
<img alt="" src="https://inboxflows.com/_/image/https%253A%252F%252Fsailthru-media.s3.amazonaws.com%252Fcomposer%252Fimages%252Fsailthru-prod-6ks%252FEric_Decker.png/?inbox_flows_img_sig=eyJwYXRoIjoiaHR0cHMlM0ElMkYlMkZzYWlsdGhydS1tZSJ9:1l1qAd:mOrx629UAizuURGwdsfjMOine9_xHYSFFkcpiABzck0" style="height: auto; max-width: 600px; width: 100%;" width="600"/>
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<p style="color: #5f696c; font-family: Helvetica, sans-serif; font-size: 12px; font-style: italic; line-height: 20px; margin: 0px; padding: 8px 5px 10px;">
Stir created this website to help Airrack get to 1m subs
</p>
</td>
</tr>
<tr>
<td>
<h2 style="font-size: 22px; font-weight: bold; line-height: 26px; margin: 10px 0px 5px;">
Airrack’s race to 1m subscribers used all the tools of the new creator economy
</h2>
</td>
</tr>
<tr>
<td class="h2020 ignore-defaults" style="padding: 5px 0px 0px;">
<p style="font-size: 15px; line-height: 140%; margin: 5px 0px 10px;">
Of all the weird things that happened on the internet last year -- and there were
<em>
a lot
</em>
-- a stunt by YouTuber Airrack (real name Eric Decker) may top the charts.
</p>
<p style="font-size: 15px; line-height: 140%; margin: 5px 0px 10px;">
Airrack started 2020 with 0 subscribers and the goal of reaching 1m before the end of the year.
</p>
<p style="font-size: 15px; line-height: 140%; margin: 5px 0px 10px;">
At the start of December, he was a few hundred thousand subs away. To get there, Airrack hatched a plan to
<a style="-webkit-text-fill-color: #d62829; color: #d62829; text-decoration: none;">
strand
</a>
himself on an island off the coast of Florida -- and stay there until he hit his goal.
</p>
<h4 style="font-size: 17px; height: 100%; letter-spacing: 0px; line-height: 22px; margin: 0px; padding-top: 8px;">
<strong>
He might still be on that island…
</strong>
</h4>
<p style="font-size: 15px; line-height: 140%; margin: 5px 0px 10px;">
… if not for
<a style="-webkit-text-fill-color: #d62829; color: #d62829; text-decoration: none;">
Stir
</a>
, a startup that makes tools for creators to manage their business. In the past, Stir has done viral internet “drops” like
<a style="-webkit-text-fill-color: #d62829; color: #d62829; text-decoration: none;">
OnlyTweets
</a>
, a service that lets users paywall tweets.
</p>
<p style="font-size: 15px; line-height: 140%; margin: 5px 0px 10px;">
Airrack reached out to Stir to whip up a website that generated unique affiliate links for fans to win prizes based on how many subscribers they referred to the channel.
</p>
<h4 style="font-size: 17px; height: 100%; letter-spacing: 0px; line-height: 22px; margin: 0px; padding-top: 8px;">
<strong>
Airrack notched 250k subs in a 2-week span
</strong>
</h4>
<p style="font-size: 15px; line-height: 140%; margin: 5px 0px 10px;">
He reached his goal on Dec. 27.
</p>
<p style="font-size: 15px; line-height: 140%; margin: 5px 0px 10px;">
Zack Honarvar -- Founder of One Day Entertainment, a digital management company which reps
<a style="-webkit-text-fill-color: #d62829; color: #d62829; text-decoration: none;">
Airrack
</a>
(as well as YouTubers Yes Theory) -- tells us Decker is a “once-in-decade creator.”
</p>
<p style="font-size: 15px; line-height: 140%; margin: 5px 0px 10px;">
Specifically, he has the key ingredients of top YouTubers: a commitment to fans and going the distance on stunts… like doing his best impression of Tom Hanks from
<em>
Castaway.
</em>
</p>
<p style="font-size: 15px; line-height: 140%; margin: 5px 0px 10px;">
<strong>
Check our related coverage:
</strong>
</p>
<ul style="font-size: 16px; line-height: 20px; margin: 0; padding-bottom: 10px; padding-left: 12px;">
<li style="font-size: 15px; line-height: 140%; margin: 0 0 0 15px; padding: 0px;">
MrBeast’s manager
<a style="color: #d62829; text-decoration: none;">
Reed Duchscher
</a>
on the
<em>
My First Million
</em>
pod
</li>
<li style="font-size: 15px; line-height: 140%; margin: 0 0 0 15px; padding: 0px;">
The
<a style="color: #d62829; text-decoration: none;">
top earners
</a>
on YouTube in 2020
</li>
<li style="font-size: 15px; line-height: 140%; margin: 0 0 0 15px; padding: 0px;">
Q&A with
<a style="color: #d62829; text-decoration: none;">
Yes Theory
</a>
</li>
</ul>
</td>
</tr>
<tr>
<td>
<table cellpadding="0" style="padding: 10px 10px 0px; width: 100%;">
<tbody style="text-align: right;">
<tr>
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<h2 style="font-size: 20px; font-weight: 800; letter-spacing: 0px; line-height: 24px; margin: 20px 0 0px;">
<strong>
What 100 companies have to say on the good, the bad, and the ugly of data onboarding
</strong>
</h2>
<p style="font-size: 15px; line-height: 140%; margin: 5px 0px 10px;">
<a style="-webkit-text-fill-color: #d62829; color: #d62829; text-decoration: none;">
Download The 2020 State of Data Onboarding Report here (it’s free).
</a>
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<p style="font-size: 15px; line-height: 140%; margin: 5px 0px 10px;">
This first-of-its-kind report from Flatfile pulls back the curtain on one of the biggest challenges facing companies today:
<strong>
Data onboarding.
</strong>
</p>
<p style="font-size: 15px; line-height: 140%; margin: 5px 0px 10px;">
100 companies and 5,000 Twitter respondents shared how they
<a style="-webkit-text-fill-color: #d62829; color: #d62829; text-decoration: none;">
migrate existing data into new apps
</a>
and the struggles it presents:
</p>
<ul style="font-size: 16px; line-height: 20px; margin: 0; padding-bottom: 10px; padding-left: 12px;">
<li style="font-size: 15px; line-height: 140%; margin: 0 0 0 15px; padding: 0px;">
<strong>
54%
</strong>
are uploading data at least once a day
</li>
<li style="font-size: 15px; line-height: 140%; margin: 0 0 0 15px; padding: 0px;">
<strong>
96%
</strong>
have run into problems importing data
</li>
<li style="font-size: 15px; line-height: 140%; margin: 0 0 0 15px; padding: 0px;">
<strong>
23%
</strong>
say it takes them weeks -- or even
<em>
months
</em>
-- to import data
</li>
</ul>
<p style="font-size: 15px; line-height: 140%; margin: 5px 0px 10px;">
Get full access right here:
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Mobile stats of the day
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<img alt="" src="https://inboxflows.com/_/image/https%253A%252F%252Fsailthru-media.s3.amazonaws.com%252Fcomposer%252Fimages%252Fsailthru-prod-6ks%252FMichael_Douglas.GIF/?inbox_flows_img_sig=eyJwYXRoIjoiaHR0cHMlM0ElMkYlMkZzYWlsdGhydS1tZSJ9:1l1qAd:mOrx629UAizuURGwdsfjMOine9_xHYSFFkcpiABzck0" style="height: auto; max-width: 600px; width: 100%;" width="600"/>
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Gordon Gekko in Wall Street, one of the great mobile moments ever (Source: YouTube)
</p>
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<td class="h2020 ignore-defaults" style="padding: 5px 3px 0px;">
<p style="font-size: 15px; line-height: 140%; margin: 5px 0px 10px;">
<strong>
App Annie released its latest State of Mobile report
</strong>
… and there are some banger stats from
<a style="-webkit-text-fill-color: #d62829; color: #d62829; text-decoration: none;">
2020
</a>
:
</p>
<ul style="font-size: 16px; line-height: 20px; margin: 0; padding-bottom: 10px; padding-left: 12px;">
<li style="font-size: 15px; line-height: 140%; margin: 0 0 0 15px; padding: 0px;">
<strong>
Daily time spent per user per day:
</strong>
4.2 hours, up 20% YoY (and surpassing TV, which is 3.7 hours a day)
</li>
<li style="font-size: 15px; line-height: 140%; margin: 0 0 0 15px; padding: 0px;">
<strong>
New app downloads:
</strong>
218B, up 7% YoY
</li>
<li style="font-size: 15px; line-height: 140%; margin: 0 0 0 15px; padding: 0px;">
<strong>
Total app spend
</strong>
: $143B, up 20% YoY
</li>
<li style="font-size: 15px; line-height: 140%; margin: 0 0 0 15px; padding: 0px;">
<strong>
Mobile ad spend:
</strong>
$240B, up 26% YoY
</li>
<li style="font-size: 15px; line-height: 140%; margin: 0 0 0 15px; padding: 0px;">
<strong>
VC spend in mobile tech:
</strong>
$73B, up 77% YoY
</li>
</ul>
<p style="font-size: 15px; line-height: 140%; margin: 5px 0px 10px;">
App spend and engagement was up across the board. In fact, App Annie writes that mobile adoption advanced “2 to 3 years” in the past 12 months.
</p>
<p style="font-size: 15px; line-height: 140%; margin: 5px 0px 10px;">
And, if you want to feel old (or young), here’s a table showing which apps are most used by Gen Zers, Millennials, and Boomers:
</p>
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<p style="color: #5f696c; font-family: Helvetica, sans-serif; font-size: 12px; font-style: italic; line-height: 20px; margin: 0px; padding: 8px 5px 10px;">
Source: App Annie
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3 years, 4 months ago - news@thehustle.co
📱 A $100m sustainable phone case startup
PLUS: Stats from the $143B app economy. Brought to you by The Hustle together with The Motley Foo...