App Annie has just released a report that shows how much consumer spending on mobile apps will be in the next two years. The growth rate in the firm's previous annual report was down one percentage point, but that figure is up 19% year-over-year. The growth in app downloads dipped a bit. The growth rate is slowing even though consumers are installing more apps than ever.
In January of this year, App Annie reported a year-over-year download growth of 7%, but it has since dropped to just 5%.
India, Pakistan, the Philippines, Vietnam, Indonesia and Egypt are some of the emerging markets that are driving download growth today.
App Annie is the image.
Consumers are spending more time in apps than they are watching TV.
The average American watches 3.1 hours of TV per day, but over the course of the past year they spent 4.1 hours on their mobile device. They are not the world's heaviest mobile users. In countries like Brazil, Indonesia and South Korea, users spent more than 5 hours per day on their mobile phones.
In the top 10 markets analyzed, the average time spent in apps was up 30% from 2019. The averages were from Brazil, Indonesia, South Korea, Mexico, India, Japan, Turkey, Singapore, Canada, the U.S., Russia, the U.K., Australia, Argentina, France, Germany and China combined.
7 out of every 10 minutes spent on mobile in the past year was spent in social, photo and video apps. These categories appeal to Gen Z users in the U.S.
Here in the U.S., Gen Z had a lot of apps. The younger generation preferred Facebook, Messenger, and Amazon. Gen X used The Weather Channel, NewsBreak, Ring, and Amazon.
App Annie is the image.
Increased time spent in apps has a direct impact on consumer spending. The effects of the COVID-19 Pandemic have forced users to shop, work, learn, game and entertain themselves from home over the past year. App Annie said that the market added $43 billion in 2021, or $10.4 billion more than 2020, which equates to 30% year-over-year growth, which is higher than the global average.
There were 233 apps and games that pulled in more than $100 million in the year 2021, and 13 titles that generated over $1 billion. There were only 8 games that made over $1 billion annually in 2020, but this is up 20% from then.
App Annie is the image.
The mobile app market was up 23% year-over-year, despite fears from marketers over Apple's privacy changes. The market is expected to grow to $350 billion in the year 2022.
App Annie is the image.
The number of new apps and games released on the App Store and Google Play increased in the year 2021, as publishers launched 2 million new apps and games. Over the years, older apps and games have been removed by the publishers themselves or the app stores. There are over five million live apps and games available on the app stores, of which over two million are on the iPad and over one million on the phone.
The report noted that games made up 15% of all releases across both stores.
App Annie is the image.
App Annie took a deep dive into individual app categories, including gaming, finance, retail, video streaming, food & drink, health & fitness, social, travel, dating and more.
The highlights from its findings are listed.
The total spend on gaming was increased by an additional $16 billion in 2021.
Downloads of finance apps in India increased by 1 billion in 2021, driving the category's 28% year-over-year increase in downloads to 5.9 billion worldwide.
The amount of time spent in shopping apps increased by 18% in 2011. Indonesia, Singapore and Brazil have the fastest growth.
The hours spent watching video streaming apps have grown since the beginning of the year. China saw declines as users switched to short-form apps. In the next five years, the streaming service is on track to top 1 million downloads.
Food & drink sessions reached 62 billion in 2021. The U.S., Russia, Turkey, and Indonesia all drove growth in the fourth quarter.
Downloads of health & fitness apps surpassed pre-COVID levels in 2021, despite a slight moderation from a peak in 2020. Consumer spending on the top five meditation apps grew 27% over the past year.
The time spent in the top 25 livestreaming apps grew by 40% compared to the social market, which grew by 5%. The global spend on the top 25 livestreaming apps grew by over six times from last year. TikTok experienced high growth rates over the course of the year.
Downloads of travel apps rebounded by 20% in H2 driven by increases in July-December. H2 downloads hit 1.95 billion, close to pre-pandemic levels of 2.08 billion H2 2019.
Consumer spending on dating apps has increased by over 85% in the last year. The U.S., Japan, China and the U.K. accounted for the majority of growth.
The report listed the top apps and games by downloads and consumer spending. The top five most downloaded apps in the world in the first half of the 21st century were: InShot, Google Meet, Microsoft Teams, and TikTok. The list was compiled by consumer spend.
App Annie is the image.
The top games by download were Project Makeover, acquapark.io, WormsZone.io, DOP 2: One Part and Bridge Race. The list was led by Honour of Kings, Fantasy Westward Journey, Candy Crush Saga, Homescapes and Empires & Puzzles.
App Annie is the image.
The report is here.
All Rights Reserved © 2024
