Holiday Storm Grounds US Airlines and Hits 4Q22 Results

Key Takeaways:

• Holiday storms slam airline travel, but provided an uptick to WoW download and DAU growth for airlines’ mobile apps

• Downloads grew an average of 25% WoW for ST airline cohort from Dec. 19 - 25, 2022, but fell 15% over the next 7-day period as most airlines were able to return to their normal travel schedules and handle their consumers’ travel disruptions, according to Sensor Tower Store Intelligence data; this was higher than in previous years

• Similarly the airlines’ DAU growth ramped over the period, but at a lower rate than the downloads, likely due to it having a higher base than downloads as well as the inability of passengers to actually change their travel plans without the help of an agent, who were typically on-site at the airport

  • WoW DAU growth for the cohort peaked at 23% on Dec. 27th

• Southwest Airlines’ antiquated systems and lack of interline relationships led to massive cancellations, costing the company ~$800mn and weakening its brand reputation

• The holiday surge in downloads and active users was an anomaly, as overall download and MAU growth has been decelerating on a sequential and YoY basis in 2022, pressured by tough YoY comparisons and consumers slowing spend due to inflation cutting their discretionary spending

• Downloads grew 28% YoY in 2022 down from 86% the prior year

• MAU growth improved at a strong clip throughout 2022 on a YoY basis and in 2Q-4Q on a QoQ basis. However, while MAUs grew 14.1% YoY in 4Q22, it's a slowdown from 70%YoY growth exhibited in 4Q21

For more information, request the full report from reports@sensortower.com.