YouTube Create is a video editing application launched exclusively for Android systems. Nearly two years later, Google is preparing to introduce it to iOS devices. Recruitment information shows that the company is actively recruiting engineers in India to be responsible for iOS development projects.
Recruitment information shows that Google is recruiting software engineers in Bangalore to specialize in developing iOS versions. The original Android app will debut in the United States and seven other markets in September 2023, and expand to an additional 13 markets in February 2024.
YouTube Create offers free mobile video editing tools designed for content creators, offering features like stickers, GIFs, and effects for YouTube Shorts and long-form videos. Google developed the app after consulting with 3,000 creators to ensure it met their needs.
The app is Google's attempt to compete with ByteDance's popular editor CapCut. But exclusive data shared by Sensor Tower with TechCrunch shows that YouTube Create lags far behind CapCut and another established competitor, InShot.
In the second quarter of this year, CapCut and InShot were downloaded 66 million and 21 million times respectively on Android devices. By comparison, YouTube Create was downloaded less than 500,000 times this quarter and just 4 million since launch.
The gap in user engagement is even more pronounced. CapCut's Android app had more than 442 million monthly active users in the second quarter, compared with 92 million for InShot. YouTube Create lags far behind, with less than 1 million monthly active users.
On iOS, the platform YouTube Create is currently targeting, the competition is just as fierce. CapCut led with 194 million monthly active users in the second quarter, followed by InShot with 25 million monthly active users. Meanwhile, CapCut and Instagram's Edit dominated iOS downloads during the quarter, with 28 million and 7 million downloads respectively.
Although it lags in numbers, YouTube Create is showing some upward momentum, with monthly active users growing 28% year-over-year in the second quarter, outpacing CapCut's 9% increase and InShot's 7% decline, according to Sensor Tower.
"While YouTube Create has seen steady year-over-year user growth, it has struggled to keep up with some of its larger, more established peers, such as CapCut, which has more than 10 times the monthly active users of YouTube Create," said Abe Yousef, senior insights analyst at Sensor Tower.
Yusef believes YouTube Create may be building a more loyal user base. The increase in active users and the decrease in downloads may indicate that users who have tried the app before are returning and starting to use it regularly.
"CapCut's launch many years ago, coupled with its seamless integration with sister app TikTok, likely contributed to the material size difference between it and YouTube Create," Yusef said.
However, YouTube Create still faces some user retention issues. Its 90-day retention rate (the percentage of users who downloaded the app and are still using it 90 days later) was about 1% in the first quarter, well below CapCut's 7% and InShot's 4%.
Engagement metrics also highlight the gap between the two. Users spend an average of 38 minutes per month on YouTube Create, compared to 62 minutes for CapCut users. CapCut users also open the app more frequently, an average of 23 times per month, compared to just 11 times for YouTube Create.
Geographically, YouTube Create’s user base is diversifying. Indian users accounted for 67% of YouTube Create's total monthly active users in the second quarter last year, but that has dropped to 51% this quarter as the app grows in other regions. Nonetheless, YouTube Create's user stickiness appears to be growing in India, with the ratio of daily active users to monthly active users improving from 9% last year to 12% so far this year.
After India, Indonesia has become YouTube Create's second-largest market, accounting for 21% of its global monthly active users. In addition, Germany (5%), Brazil (4%) and the United Kingdom (3%) also ranked in the top three.
The app has shown particularly strong growth in several other markets, with Spain seeing a 119% year-over-year increase in monthly active users, South Korea up 91%, France 89% and Singapore 71%.
"The iOS version of YouTube Create will definitely help the platform grow its market share, although stiff competition from other social media-powered video editing platforms and native video editors will continue," Yousef said.
Google did not respond to a request for comment.