And for years, it was our most requested feature, by far. We had instructions for how to pin the site to your home screen, and would explain to users how the website does everything an app can do. Still, constant requests for an app. Finally we relented and released one, and very quickly around half our mobile traffic moved to the app without us really trying to nudge people at all.
People just really like apps! I think it suits our mental model of different tools for different uses. We've also found that app users are much more engaged than website users, but of course much of that will be selection bias. Still, I can see how having your app on someone's home screen could provide a significant boost to retention, compared to a website they're liable to forget. For us now, that's the main benefit we see. Certainly don't use any additional data, though I won't argue that other companies don't.
This is the result of the inconsistent user experience to which gatekeepers like Apple have been actively contributing through active sabotage of web apps, such that all profitable apps can be more effectively and reliably taxed through Apple's App Store.
The manufactured perception of the general public then became that web apps are not "real apps" despite offering the exact same features. They have been dragged down by the subtle artificial friction that makes the UX feel subpar.
This reminds me of my own experience of mobile websites when they first emerged. I thought that the desktop version of a website is the "real website" i.e. that there is only one static original website and that its mobile version was some fake substitute, so I always activated the option "show desktop version". Then I learned about responsive web design and it clicked for me. I predict that a similar epiphany will occur among casuals once the active sabotage of web apps stops due to regulations reigning in the anti-competitive business practices of gatekeepers.
I'm sure that some people will still prefer "native" apps for whatever reason. However, if regulators do a proper job and allow web apps to compete on a level playing field, then a lay person wouldn't even be able to differentiate between them. This is even the case today where some developers simply wrap their web app in a WebView and ship it as a "native" app.
Google is the primary champion of PWAs, they have a vested interest in its success. The reason I focused on Apple is because its actions are one of a profit-maximizing gatekeeper actively defending its most lucrative business against an existential threat that is PWA. Every bug, every delayed feature, and every artificial limitation imposed on PWAs on iOS is a calculated strategic move in this defense of its walled garden that makes maximum taxation possible.
>PWA's just never took off.
That's just the lazy manufactured and false narrative that I've already thoroughly debunked. I'm not going to repeat it, since you would just ignore it again.