China’s leading mobile publishers contributed a 38.7% share of the global revenue for the month of October. That’s according to the latest data from Sensor Tower. Let’s dive in!

37/100

A whopping 37 Chinese mobile publishers secured spots within the top 100 global revenue earners for October 2023, contributing almost two-fifths of revenue. Collectively, they generated $1.91 billion in revenue during this period.

Familiar names in mobile gaming, like NetEase and miHoYo, performed particularly well. NetEase’s game, Danzi Party, held the number two spot for daily active users for the 10th month in a row. It expanded its reach to Southeast Asia, Taiwan, Hong Kong, and Macau in September. NetEase’s Pig Man also noted a 47% rise in revenue and returned to the top 10 best-selling iOS mobile games in China.

MiHoYo experienced a 10% month-on-month growth in mobile revenue in October, making it their second-highest revenue-generating month of the year. This growth was driven by updates to Genshin Impact and Honkai: Star Rail.

Top 30 Chinese mobile game publishers by revenue

Source: Superpixel

Diandian Interactive has shown continuous growth for 12 consecutive months. In October, they increased the revenue of Whiteout Survival by 10%. Overall, Diandian Interactive’s revenue went up by 5%, achieving a new personal best and ranking fourth among all Chinese publishers.

Tencent, not surprisingly, had a successful month in October, thanks to the eighth anniversary of Honor of Kings, which boosted revenue by 12% compared to the previous month.

Standout games

In terms of individual game releases, Hortor Games’ casual card-based title “King of Salted Fish” within the Three Kingdoms setting experienced remarkable growth in October. Its revenue increased by an impressive 129% compared to the previous month, ranking it among the top three best-selling iOS games in China for October.

Another card placement game, “Toto Brave” contributed to a 10% revenue growth for its publisher Yihuan Network.

Goat Games’ “Dungeon Hunter 6” achieved the top position on the iOS download charts in the US and Germany on its release date. This success made it the highest-grossing mobile game for the publisher, effectively doubling its overall revenue compared to September.

Chinese App Store mobile game revenues

Source: Superpixel

Despite the growth of individual companies and games, it’s worth noting that collective revenue among Chinese publishers decreased last month, falling from $1.96 billion in September, primarily due to the absence of two additional companies within the top 100.

Key takeaways

• Chinese mobile publishers dominated October, contributing 38.7% of global revenue, led by NetEase and miHoYo’s impressive performance
• “King of Salted Fish” saw phenomenal growth with a 129% revenue increase, among top three best-sellers
• Despite individual successes, collective Chinese publisher revenue dipped in October due to two absent top 100 companies

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Alternative Android app store, Aptoide, just secured €8.5 million in funding from mobile growth and monetisation platform Digital Turbine. This investment means that the companies will be able to provide app developers and app users with an open alternative for app distribution and monetisation.

How will Aptoide use the funds?

The investment will be used to primarily support Aptoide’s vision to develop and promote GamesHub and Catappult, two mobile app ecosystem platforms. GamesHub is a joint effort between Digital Turbine and Aptoide. The game app store is slowly building its reputation in the US as an alternative store.

It will use the funds to expand its market presence and to target availability on 80 to 100 million devices by the end of 2023. It has already secured several strategic partnerships with major carriers in the US including ATT, Verizon, USCellular, Tracfone, Cricket and BLU US.

Catappult is an alternative mobile gaming distribution and monetisation platform that already has hundreds of millions of users connecting to more than 20 alternative app stores globally and enabling developers to promote and monetise their apps. Catappult reported good results for 2022. Developers using Catappult saw a monthly revenue increase of over 20%, which shows the platform’s ability to drive substantial growth for mobile game developers.

Catappult business and financing trajectory

Source: Catappult

Its top 5 games – Lords Mobile, Mobile Legends, Clash of Kings, Z Day, and War and Magic – performed exceptionally well in terms of ARPPU (Average Revenue Per Paying User), with an average revenue of over $100 per paying user, setting a new industry standard in the mobile gaming sector.

In 2022, Catappult achieved a milestone when surpassing 100 million downloads and generating $60 million in sales.

“We are thrilled to strengthen our partnership with Digital Turbine and leverage their expertise to enhance app discovery and distribution,” said Paulo Trezentos, Aptoide’s CEO, commented on the strategic partnership and investment, stating. “This investment underscores the incredible growth and potential of Aptoide, showcasing the tremendous potential of this partnership to transform the mobile app distribution landscape.”

Aptoide also plans to use the cash injection to repurchase stock from current shareholders.

Strategic partnerships and Commission rulings

It’s not the first time the two companies have partnered up. Late last year, Digital Turbine announced a strategic investment in Aptoide, leading its Series-B funding round of a total $12 million which includes investments from Faurecia, Portugal Ventures and the 200M Fund.

Aptoide funding trajectory

Source: Aptoide

Last month, Aptoide celebrated a European Commission decision to install six tech giants as gatekeepers under the Digital Markets Act (DMA). The DMA defines gatekeepers as large online platforms with a strong position in the market that can act as a gateway between businesses and consumers.

They are: Alphabet, Amazon, Apple, ByteDance, Meta and Microsoft. Under this ruling, gatekeepers have several obligations including The DMA imposes a number of obligations on gatekeepers, including prohibition of anti-competitive pricing, ensuring fair and non-discriminatory access to platform, and allowing business communication to promote their own offers to users.

Key takeaways

• Aptoide secures €8.5 million from Digital Turbine for app innovation and expansion
• Aptoide will use the funds to expand globally and repurchase stock
• Catappult reports impressive 20%+ monthly revenue growth, showcasing mobile game developer potential

The post Aptoide secures €8.5 million from Digital Turbine to Catappult independent app store appeared first on Business of Apps.

In a recent announcement, Google outlined new policies for prospective Android developers using personal Play Console accounts. These changes mandate comprehensive app testing involving a minimum of 20 individuals over a two-week period before an app can be published.

Rigorous app testing

The new initiative aims to elevate the overall quality of apps available on the Play Console, and Google has committed to investing more in the app review processes. It’s important to note that developers may encounter delays in app approvals as these changes are implemented.

Google also underscores the benefits of using its testing tools, citing an average increase in app installs and user engagement by threefold. While this success may not be solely attributed to Google’s tools, the emphasis is on developers adopting rigorous app testing practices.

In the future, app testing will be a mandatory requirement for developers creating new Play Console accounts, marking a shift away from its previous optional status.

What are the new measures?

The new requirements state that developers must test their apps with a minimum of 20 users for at least two weeks before publishing. This measure aims to help developers identify and rectify issues, bugs, and collect valuable user feedback before officially launching their apps. The implementation of this requirement in the Play Console is expected in the near future.

Account verification process on the Google Play Console

Source: Google

In the meantime, existing developers are now obliged to meet verification requirements, including providing a D-U-N-S number, before they can publish their apps. Google has allowed developers to select their preferred deadline in Play Console, with deadlines assigned on a first-come, first-served basis. Failure to choose a deadline by February 29, 2024, will result in Google assigning one automatically.

In conjunction with these changes, Google is bolstering its focus on the app review process. Its review team will now dedicate more time to assess new apps for policy compliance and to combat fraud, both within and outside the Play Store.

The strategic shift is in response to issues observed in both the App Store and Google Play in India, where predatory lending apps targeted financially vulnerable consumers. Google aims to enhance its app review process to protect users from fraudulent practices.

What’s more, Google is addressing concerns regarding app permissions with the upcoming release of Android 14. Developers will have more precise permission flow options, enabling them to request access to specific photos or videos rather than the entire gallery.

While these changes are expected to improve app quality and user protection, Google cautions that the more rigorous app review process may lead to longer review times for certain apps, especially those requiring specific device permissions or targeting children.

Key takeaways

• Mandatory testing for Android developers enhances app quality and user experience, with a focus on user safety
• Google addresses permissions concerns in Android 14, offering more precise controls
• Expect potential delays with Google’s rigorous app review process implementation

The post Google’s new app testing mandate aims to enhance app quality and user experience appeared first on Business of Apps.

As the year progresses, we want to express our gratitude for your unwavering support throughout 2023. Your dedication has been instrumental in making the global app community thrive in the face of challenges.

We are thrilled to unveil our exciting plans for 2024. App Promotion Summit is back, and it promises to be bigger and better than ever before. With a wider range of opportunities for involvement, we invite you to mark your calendars for the following dates. Tickets and partnerships are now available for all of them.

App Promotion Summit London

• Date: 25th April 2024
• Venue: The Brewery in the City of London (now with a capacity of 700+)

App Promotion Summit NYC

• Date: 27th June 2024
• Venue: 360 Madison Avenue in Midtown Manhattan (capacity for 300+)

App Promotion Summit SF

• Date: 26th September 2024
• Venue: The W Hotel in SoMa (now with a capacity of 250+)

App Promotion Summit Berlin and the App Growth Awards

• Date: 5th December 2024
• Venue: Hotel Adlon Kempinski in Mitte (capacity for 500+)

We’re not just expanding our venues, we’re also enhancing our offerings to create a more enriching experience for our attendees. This is where you come in.

Exhibition and sponsorship opportunities

Be part of our journey by becoming a sponsor for our events. Generate new business, qualified leads and authentic connections and relationships with app marketing and product decision-makers from the world’s top apps.  Contact us for details on our sponsorship packages.

Speaker opportunities

Share your insights, expertise and experiences with the app community. We’re on the lookout for dynamic speakers who can inspire and educate our audience. If you have a compelling story to tell, we want to hear from you. Reach out to us to discuss speaking opportunities.

Register now to secure your spot at these fantastic events. Stay tuned for more updates and exciting announcements. We can’t wait to embark on this remarkable journey with you in 2024.

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AppsFlyer, the mobile measurement, attribution, and data analytics solutions, just announced its acquisition of devtodev, a comprehensive data analytics solution designed for game and app developers. This strategic move is likely to boost AppsFlyer’s core offerings and bolster the development of the AppsFlyer Privacy Cloud Marketplace.

Empowering user experiences

Founded in 2014, devtodev specialises in assisting developers in analysing their games and apps, providing data-driven insights to optimise user retention, maximise conversions, and create personalised user experiences. The integration of AppsFlyer and devtodev technologies consolidates the entire customer data set into a robust measurement and data analytics platform.

The move brings with it a range of powerful tools, insights, and experiences aimed at enhancing the user lifecycle and driving business growth.

It also strengthens AppsFlyer’s capabilities to cater to the evolving requirements of modern gaming and digital businesses while serving as a natural extension of the AppsFlyer for games suite of products and resources tailored to gaming companies.

“Devtodev’s technology, team, and expertise are a perfect match for AppsFlyer, creating a synergy that fuels not just business growth, but a visionary approach to the future,” said Oren Kaniel, CEO and Co-founder of AppsFlyer. “This collaboration fosters a spirit of unity among marketing, product, and monetisation teams, empowering them with a fully integrated data ecosystem.”

Digital transformation in fast spin

Digital transformation is in fast spin and has brought with it an increased complexity to the role of marketers, underscoring the significance of product-led growth in the gaming and app sectors.

Marketers are now placing greater emphasis on retention and customer lifetime value (LTV), leading to a surge in demand for advanced data analytics. Simultaneously, the focus on privacy measures and recent signal loss issues has exacerbated data silos and inconsistencies, complicating the marketing decision-making process.

The acquisition addresses these challenges, providing gaming and app developers with access to unified data analytics and actionable insights, unlocking efficient growth opportunities.

“Our vision at devtodev has always been to empower gaming and app developers to make the best data-driven decisions,” said Dmitry Kravtsov, Founder and CEO of devtodev. “By joining forces with AppsFlyer, we will provide developers the ability to leverage integrated data, AI, and insights to create powerful, captivating experiences that drive efficient business growth.”

Devtodev will be integrated into AppsFlyer’s Privacy Cloud Marketplace. AppsFlyer’s Data Clean Room will serve as an open and interoperable platform.

The inclusion of devtodev underscores AppsFlyer’s commitment to a future where businesses can seamlessly integrate third-party services and AI models from various providers while safeguarding data privacy and operational efficiency.

Key takeaways

• AppsFlyer’s acquisition of devtodev strengthens mobile analytics, offering comprehensive data-driven insights for user retention and growth
• Amid rapid digital transformation, marketers prioritize retention, data analytics, and privacy, making devtodev’s integration crucial for efficient growth
• Devtodev’s inclusion underscores AppsFlyer’s commitment to a future of seamless, privacy-conscious third-party integration for mobile businesses

The post AppsFlyer acquires devtodev to boost data analytics of mobile apps and games appeared first on Business of Apps.

TikTok‘s $1 billion creator fund will close on December 16, 2023, according to the company’s announcement. What’s happening and where should existing creators move?

Creativity Program

As of mid-December, the Creator Fund won’t be available in the United States, United Kingdom, France, and Germany. Creators who are currently part of the Creator Fund will have the choice to switch to the Creativity Program.

The creator fund began in 2020 with the promise to give $1 billion to people who create popular content on the platform over three years. However, many creators have been unhappy with the small payments they received, even for videos that got millions of views.

In February of this year, TikTok rolled out an updated way for popular creators to earn money, known as the Creativity Program. Unlike the original fund, this program requires creators to make longer videos, a change from the platform’s initial focus on short clips. Additionally, in this new program, creators’ earnings are determined by the number of views and engagement metrics on their videos, rather than a fixed pool of money set aside for payments.

Higher earning potential

Since the introduction of the Creativity Program, TikTok has been inviting eligible creators to switch over. To qualify for this program, creators need to be at least 18 years old, have a minimum of 10,000 followers, and at least 100,000 views on their videos in the past 30 days.

TikTok claims that eligible creators who post high-quality, original videos longer than one minute can potentially earn up to 20 times more than what the Creator Fund used to offer.

The Creativity Program is an important part of TikTok’s efforts to help creators make money, along with features like LIVE subscriptions and TikTok Pulse. The platform also offers ways for creators to earn money through tips, gifts, and a Series feature that lets eligible creators share content that people can access by paying.

A recent report suggests that TikTok users are shifting from buying physical products to making in-app contributions to content creators, possibly indicating a larger trend towards in-app sales. In the third quarter (Q3), TikTok users sent over $250 million in digital gifts to live-streamers within the app, which has the potential to boost TikTok’s revenue from in-app sales.

Key takeaways

• TikTok’s Creator Fund ends December 16, 2023; creators have the option to join the more lucrative Creativity Program
• Creativity Program rewards longer videos and engagement, potentially offering creators up to 20 times more earnings
• TikTok users’ shift towards in-app contributions hints at a trend in favour of in-app sales, boosting TikTok’s revenue

The post TikTok’s creator fund closure: What’s next for creators? appeared first on Business of Apps.

With the holiday season fast approaching, over half of all marketers intend to allocate the majority of their holiday budgets to the upcoming month. Their primary focus will be on digital channels and direct purchases as they gear up for this lucrative season. That’s according to a comprehensive study conducted by Comscore’s Proximic, in collaboration with the ad-tech platform Nexxen.

Marketers favour mobile ads

By September, nearly 75% of holiday budgets are already locked in, and this figure rises to 97% by October, as per the industry survey focused on marketers overseeing programmatic holiday ad budgets.

In November, however, 53% of respondents anticipate depleting the majority of their holiday budget. Approximately one-third (34%) of marketers intend to allocate their highest spending to December.

Marketers plan to spend big in November

Source: Proximic

Interestingly, concerns about a potential recession or inflation seem to be diminishing among the surveyed marketers, with a resounding 86% indicating their plans to maintain or increase their holiday ad spending compared to the previous year.

In terms of advertising channels, marketers are notably favouring mobile ads this holiday season.

Approximately 79% of marketers plan to run website or browser ads on both desktop and mobile devices, excluding social media platforms. A slightly smaller portion aims to utilise CTV or OTT ads (74%), while linear channels will be leveraged by 51% of marketers. About one-quarter (27%) expressed their intention to run audio ads.

It’s all about brand awareness this holiday season

Despite Comscore’s survey targeting marketers overseeing programmatic budgets, it’s worth noting that they are allocating a slightly higher portion of their holiday spending to direct buys. The report forecasts that just over 51% of holiday budgets will be channelled into direct purchases, while approximately 49% will be dedicated to programmatic spending.

In terms of the allocation of holiday ad budgets, the largest chunk is earmarked for brand awareness campaigns, constituting around 37% of the total. This is closely followed by investments in customer acquisition, accounting for 33%, and customer retention efforts, making up roughly 31%.

Marketing tactics this holiday season

Source: Proximic

In a fascinating data-related twist, it appears that while Santa has a penchant for cookies, marketers are exploring alternatives this holiday season, as indicated by Comscore and Nexxen’s findings.

A significant majority (69%) of marketers intend to harness first-party data to target their holiday campaigns, with a closely trailing 68% planning to utilise contextual data. Additionally, more than half (58%) have plans to employ third-party data for their targeting strategies. In contrast, only a modest 18% expressed intentions to use alternative identifiers such as The Trade Desk’s Unified ID 2.0.

Change in focus on content vertical

Source: Proximic

Key takeaways

• Marketers allocate over half of holiday budgets to digital channels, focusing on direct purchases for a lucrative season
• Holiday budgets peak in November, with 53% spent, while recession fears decline, as 86% plan to maintain or increase ad spending
• Mobile ads lead, with 79% planning website and browser ads; brand awareness tops spending priorities at 37% of budgets

The post Marketers prioritise mobile channels for ads this holiday season appeared first on Business of Apps.

ByteDance, the parent company of TikTok, has been working to propel its Pinterest-Instagram rival, Lemon8, but their ambitions have not materialised as planned. Recent data from Appfigures, an app store market intelligence provider, reveals that since its US launch earlier this year, the Lemon8 app has accrued a mere 2.6 million total downloads.

Influencer push

This lacklustre reception is particularly perplexing given the substantial influencer marketing campaign that accompanied its introduction. Several TikTok creators enthusiastically endorsed the app to their followers, a move that coincided with speculation about a potential TikTok ban in the US. Nevertheless, Lemon8‘s ascent in the American social media landscape remains an elusive goal.

The strategic timing behind ByteDance’s promotion of Lemon8 appears far from coincidental. With potential uncertainties surrounding TikTok’s US audience, ByteDance seemed to view Lemon8 as a viable contingency plan, capitalising on TikTok’s massive user base to fuel its growth.

In the first quarter of the year, influencers on TikTok enthusiastically embraced the app, painting a rosy picture of the lifestyle community it offered, using descriptors like “cute” and “aesthetically pleasing.” Comparisons to a fusion of Pinterest and Instagram were also not uncommon.

Lemon8 had been available in Japan since 2020, finding success in various Eastern markets such as Thailand and Indonesia. However, it wasn’t until April 2020 that the app experienced a substantial uptick in installs, going from less than a thousand per month to an impressive 13,000.

Subsequently, the app achieved its first-ever record high in monthly downloads, peaking at an impressive 292,000 in July 2021, as per Appfigures’ data. The app’s expansion continued into 2022, reaching another peak with a staggering 1.5 million downloads in July 2022, ultimately amassing a total of 10.6 million downloads for the entire year.

Source: Appfigures

ByteDance’s marketing push

Since launching in February, ByteDance paid creators to generate Lemon8 content, fostering its US presence. The following month, TikTok creators began promoting Lemon8 in positive videos. Within 24 hours in late March, over 350 Lemon8 videos appeared on TikTok. Strikingly, none of these videos were labelled as sponsored, implying organic growth through word-of-mouth.

Despite this effort, TikTok wasn’t banned in the US, except for specific cases, including Montana from January 2024 (subject to legal challenge). Even if TikTok were to face a ban or sale, Lemon8 wouldn’t necessarily replace it. Most Lemon8 installs came in spikes, possibly due to TikTok’s influence.

iOS dominated US downloads at 2.5 million, securing Lemon8 the second spot in the Lifestyle category on the US App Store. However, its overall ranking fluctuated, reaching No. 90 Overall during data collection and now at No. 70 on the Top Apps Chart in the US. Yet, these rankings fall short for an app positioned as a TikTok alternative.

In September 2023, Lemon8 had its peak month with 525,000 US installs, but downloads don’t guarantee active users. In contrast, TikTok boasted 150 million monthly active U.S. users as of March 2023.

There’s still potential for ByteDance to leverage TikTok to boost Lemon8. Watchful.ai uncovered TikTok’s feature development allowing users to sync Lemon8 posts and use TikTok’s editor, although TikTok hasn’t commented on it.

At the time, Lemon8 had about 25 million worldwide downloads. Its biggest markets are Japan (7.6 million), Thailand (6.5 million), and the US (2.6 million). However, Lemon8 faces challenges in becoming a TikTok replacement, especially in the US.

Key takeaways

• Lemon8’s influencer-backed US launch with TikTok creators didn’t yield expected success despite a potential TikTok ban scenario
• ByteDance strategically timed Lemon8’s promotion, using TikTok’s user base as a growth catalyst
• While successful abroad, Lemon8 faces challenges in the US market, with TikTok’s shadow looming large

The post Lemon8 struggles to kickstart in US despite influencer marketing push appeared first on Business of Apps.

Several tech industry organisations, including NetChoice and Chamber of Progress, have expressed their concerns to the Supreme Court regarding the potential consequences for free iOS apps if mobile app developers are compelled to incorporate in-app links to alternative payment platforms.

The case

These organisations are calling on the court to review an injunction that would limit Apple from enforcing its longstanding anti-steering policies. These policies effectively prevent app developers from including in-app links to payment alternatives other than those provided by Apple.

The primary concern is that if Apple cannot enforce these anti-steering rules for in-app purchases, app developers might seek out alternative payment processors that charge lower fees. In doing so, they could effectively bypass Apple’s transaction systems. This could have a ripple effect on the way apps are offered to users.

Should this scenario come to pass, Apple might find itself in a position where it needs to start charging developers for the initial downloads of their apps, which were previously free. This could substantially increase deployment costs for developers, and they may have to make the difficult choice of either discouraging downloads or instituting charges for app downloads.

Ongoing disputes

The enduring dispute between tech giants Apple and Epic Games, which began in 2020, has its roots in Apple’s stringent policies surrounding in-app purchases. Central to the conflict was Apple’s insistence that developers exclusively utilise its payment platform, coupled with a substantial commission of up to 30% on such transactions.

In 2021, Apple made a notable concession by permitting developers to inform app users about external payment options via email or phone, but the company maintained its prohibition on in-app notifications. Responding to this, Epic Games facilitated direct purchases through its platform, contravening Apple’s policy. Apple’s response was swift – it removed the popular game Fortnite from its App Store, setting the stage for a protracted legal battle.

In 2021, U.S. District Court Judge Yvonne Gonzalez Rogers ruled in favor of Apple on certain antitrust claims but found that Apple’s anti-steering policy violated California’s unfair competition law. This judgment resulted in an injunction mandating Apple to allow developers to integrate in-app links to payment alternatives outside of Apple’s platform. Both Apple and Epic Games have subsequently appealed this decision, with the 9th Circuit temporarily suspending the injunction’s enforcement while awaiting review by the Supreme Court. Further arguments from both sides are expected in the near future, underscoring the complexity of this ongoing legal saga.

Key takeaways

• Tech groups seek Supreme Court review of Apple’s anti-steering policies, fearing consequences for free iOS apps and developer costs
• Apple vs. Epic Games: ongoing legal clash rooted in in-app purchase rules and commissions
• App Store payment policies impact app downloads and fees, sparking industry concerns and legal battles

The post Tech groups challenge Apple’s in-app payment policies in Supreme Court review appeared first on Business of Apps.

In a concerted effort to bolster cybersecurity measures, the UK government is joining forces with app developers, taking significant strides towards ensuring the UK’s resilience in the digital age.

The National Cyber Strategy in a nutshell

As a pivotal component of the government’s National Cyber Strategy, the Department for Science, Innovation, and Technology (DSIT) is spearheading an approach aimed at elevating the standards of cybersecurity in digital services and consumer technologies.

To achieve this goal, DSIT has engaged the services of Pye Tait Consulting, an esteemed independent research agency, to spearhead research initiatives. The primary objective of this research is to gain comprehensive insights into the current security and privacy practices adopted by app developers. Of particular interest is understanding the impact and awareness surrounding recent voluntary government initiatives within this industry.

For those eager to contribute their perspectives and insights to this crucial endeavour, two avenues are available. Interested parties can either participate in the online survey or request a callback from a dedicated member of the Pye Tait team. This collaborative effort marks a significant stride forward in fortifying the nation’s cybersecurity infrastructure and ensuring that digital services and technologies meet rigorous cybersecurity standards.

Key takeaways

• DSIT leads the government’s National Cyber Strategy, elevating cybersecurity in digital services and tech
• Pye Tait conducts research on app developers’ security practices and government initiatives
• Public engagement through surveys or callbacks supports strengthening cybersecurity

The post UK government wants to collaborate with app developers to enhance cybersecurity awareness appeared first on Business of Apps.

App Promotion Summit is back in Berlin in 4 weeks’ time and we’re building up some serious MOMENTUM.

We would love for you to join us at Hotel Adlon on Thursday 30th November. But why should you register and what exactly do we mean by MOMENTUM? Details below.

Ticket sales are up 22% on last year with app growth, retention, revenue and product leaders from Europe’s top app and game publishers like OneFootball, StudySmarter, ImmoScout24, Funstage, kaufDA, TomTom, Prematch, Flink, Surfshark, Zenjob, Hily, KptnCook and Wooga booked on for the in-person conference

The exhibition areas are already packed with the best app marketing, engagement and product management platforms, networks and tools but we still have a few spaces left so get in touch now if you’d like to reserve one

The speaker faculty features heavyweights from Wolt, Sweatcoin, Delivery Hero, Fabulous, Game Hive, Blinkist, Taxfix, InnoGames, Deezer, Tandem, Gismart, FREENOW and Vinted

The agenda is bursting at the seams with 5 rooms of cutting edge app marketing content including the main stage plus 4 breakout rooms with sessions covering ASO/ASA, UA and product & engagement

We’ve added new rooms and more space for learning and networking: Roundtable Zone hosting interactive discussions on key topics; Chill Out Zone for that must-send email or important call; larger workshop rooms; expanded Afterparty

Want to attend? Grab your ticket here: apppromotionsummit.com/berlin

The post APS Berlin has MOMENTUM appeared first on Business of Apps.

Apple is under increased scrutiny in the Netherlands as the Dutch consumer watchdog, the Authority for Consumers and Markets (ACM), challenges the fees it imposes on dating app providers. The outcome may carry wider ramifications for other global markets.

The dating app issue

In February 2022, Apple reduced commissions it charged dating app developers in the Netherlands, lowering them from 30% to 27%. However, the ACM did not publicly confirm whether it considered this reduction as a satisfactory response.

More recently, the ACM released a summary of its counterarguments against Apple’s objections, shedding light on an undisclosed issue. According to them, this undisclosed dispute revolves around Apple imposing a higher fee on dating app providers for the same services it provides to other categories of app developers.

Continued challenges

Apple has been investigated by the ACM for some time now. Previous allegations focused on anticompetitive behaviour within its app store.

In 2021, Apple was fined €50 million for its non-compliance with the regulatory reforms mandated for Apple’s app store. The ACM contended that Apple’s actions contravened European Union antitrust regulations.

In a retaliatory move, Apple lodged an appeal against the fines, and the case is currently awaiting resolution in a Rotterdam Court.

Following the case, Apple changed its app store policies, permitting alternative payment mechanisms for dating apps specifically within the Netherlands.

The current case remains in court and no specific date for a verdict has been set. Apple has refrained from making any public statements regarding this ongoing legal matter.

Key takeaways

• Dutch watchdog challenges Apple’s dating app fees, potentially impacting global markets
• Apple faces ongoing scrutiny, fined €50 million for antitrust violations
• Legal battle continues as ACM alleges higher fees for dating apps than other developers

The post Dutch watchdog challenges Apple’s dating app fees appeared first on Business of Apps.

Mobile payment apps have become vital for seamless financial transactions, revolutionising money management. By 2025, experts predict over 4.8 billion digital wallets and transaction values exceeding $16 trillion by 2028. However, security is a growing concern amid rising cyber threats, making data and transaction protection a priority for service providers. Promon, the Norwegian app security firm, analysed 73 of the world’s most-used payment apps to assess their security level and understand how they tackle a common malware-style screen reader attack. Let’s dive in.

Most payment apps aren’t secure

To verify the security of top payment apps, Promon used a screen reader similar to those used against major financial services apps. Its objective was to see if it could retrieve sensitive information from 73 of the world’s most-used payment apps, thereby evaluating their security measures and their ability to thwart common malware-style exfiltration attacks.

Using this methodology, the group found that 77% of the payment apps tested did not have sufficient screen reader protection in place.

The experiment also found that in six apps (8.2%), the screen reader logged the username during the simulated data exfiltration attack. However, the password remained secure in these instances, highlighting a partial vulnerability.

Majority of financial apps are not safe

Source: Promon

Just three apps (4.1%) demonstrated robust defense mechanisms against the screen reader’s attempts to access and log user data. These apps effectively thwarted any efforts to log both the username and password. Interestingly, eight of the apps (10.9%) lacked a conventional login page altogether. This unique attribute made them impervious to data exfiltration attempts via the screen reader. While this could be viewed as a security advantage, it also raises considerations regarding user convenience and functionality.

What developers can do to bolster security

“This is beyond concerning to say the least,” says Benjamin Adolphi, Head of Security Research at Promon. “This is an extremely basic tool that is used regularly alongside common social engineering attacks. Malware that can successfully gain access to a device’s screen and its contents in this way can steal sensitive information, such as passwords and credit card numbers, but also intercept 2FA codes and give the hackers access to other accounts. In more serious cases, bad actors could even take control of the device and bypass other integral security measures. You would like to think that the developers of these apps would be taking the security of their products seriously, but apparently protecting users’ highly sensitive information is but a mere afterthought for the vast majority.”

Developers can enhance security against malicious screen readers using App Shielding technology. They can also take immediate steps such as detecting active screen readers within their apps. However, these approaches have drawbacks. Warning messages can be bypassed by malware with accessibility features, ignoring screen readers may expose users to risks, and shutting down the app can hinder accessibility and potentially lead to legal issues.

To address these challenges, developers can identify well-known accessibility applications and allow them to operate without shutting down the app. For lesser-known ones, ongoing maintenance is required to recognise legitimate accessibility tools.

Android 14 promises new security features to prevent accessibility service abuse, allowing developers to restrict interactions with specific Views to declared accessibility tools like TalkBack. While this is a positive development, it may take time to roll out. It’s crucial to combine OS features with robust app-level defences for comprehensive user protection.

Key takeaways

• Mobile payment apps are essential for financial transactions, with predictions of 4.8 billion digital wallets and $16 trillion in transactions by 2028
• Security is a growing concern due to increasing cyber threats. Promon’s analysis of 73 top payment apps revealed that 77% lacked adequate protection against screen readers
• Developers can enhance security through App Shielding and screen reader detection. Balancing security measures is crucial to protect sensitive user data in the face of evolving threats

The post 77% of payment apps are not safe from malware data exfiltration attack appeared first on Business of Apps.

In response to the evolving European regulatory landscape, Facebook and Instagram are set to launch a new subscription service tailored to users in the European Union (EU), European Economic Area (EEA), and Switzerland. This move comes as part of criticism over Meta’s commitment to ensure compliance with regional data protection and privacy rules.

Personalisation targets ads

Starting in November, users residing in these regions will be given a choice: continue using the app with personalised ads for free or opt for a subscription-based service that eliminates ads and safeguards their personal information from being used for advertising purposes while subscribed.

The subscription pricing will vary depending on the platform and region. Users on the web can subscribe for €9.99 per month, while those using iOS and Android devices will be charged €12.99 per month. Meta said that the pricing structure was designed to account for the fees imposed by Apple and Google through their respective purchasing policies for in-app subscriptions.

Starting from March 1, 2024, an additional charge of €6 per month for web users and €8 per month for iOS and Android users will be applied for each additional account listed in a user’s Accounts Center.

Meta said in a blog post that for those choosing to continue to use their products for free, the experience will stay the same. Users can still adjust their advertising preferences from the Ad Preferences dashboard.

A shift in the industry

The move towards subscription-based services underscores a broader shift in the industry. Privacy regulations, particularly in the European Union, have become increasingly stringent, requiring companies to bolster data protection measures and provide users with greater control over their personal information.

This has presented a significant challenge for platforms that rely heavily on targeted advertising, as they must now strike a delicate balance between monetisation and safeguarding user privacy.

Moreover, the dynamics of digital marketing budgets are evolving. Advertisers are becoming more discerning in their spending, demanding greater transparency and accountability in return for their investments.

A Luxembourg court ruling mandated that Meta, as the owner of Facebook, cannot justify the use of personal data for targeted advertising unless explicit consent is obtained from users. This legal decision has prompted Meta to explore the implementation of a subscription-based model, marking a pivotal shift in the industry.

For example, Chinese video app TikTok has begun testing an ad-free subscription service, while Snapchat and X (formerly Twitter) offer optional subscriptions that grant paying users exclusive features.

Meta is now actively engaging with European regulators to ensure its approach aligns with evolving regulatory requirements. As the tech industry adapts to changing dynamics and regulatory pressures, the debate over the intersection of data privacy and business models continues to evolve.

Key takeaways

• Meta adapts to stringent EU data laws, introducing subscriptions for ad-free experiences while respecting user privacy
• Growing privacy regulations redefine digital advertising, encouraging platforms like TikTok, Snapchat, and X to explore subscription models
• Actively collaborating with European regulators, Meta navigates the evolving data privacy landscape while preserving its business model

The post Meta introduces ad-free subscriptions for social apps in response to European data rules appeared first on Business of Apps.

We are excited to unveil the 2023 shortlisted finalists for the App Growth Awards, marking its seventh year of recognizing excellence in the global app industry.

Our expert panel of 12 independent judges whittled down over 250 submissions. The vast array of entries from a multitude of companies highlights the size and calibre of an increasingly sophisticated app growth ecosystem.

All of the shortlisted finalists will be celebrated and the winners announced at our ceremony on November 30th at Hotel Adlon in Berlin.

The shortlisted finalists, organised by category, are as follows:

App Advertising Platform
– SplitMetrics
– Bidease
– InMobi
– Moloco
– Gamelight

App Analytics Platform
– Apptica
– Swaarm
– Appfigures

App Data Platform
– Data.ai Intelligence
– AppTweak
– Apptica
– APPlyzer
– Adapty

App Engagement Platform
– MoEngage
– EMMA
– OneSignal
– CleverTap
– Upshot.ai
– Airship

App Messaging Platform
– CleverTap
– Airship
– Upshot.ai

App Revenue Platform
– Adapty
– RevenueCat
– Glassfy
– Digital Turbine
– Purchasely
– AdInMo

MMP of the Year
– AppsFlyer
– Kochava
– Adjust

ASO Company
– AppTweak
– Redbox
– REPLUG
– AppAgent
– ConsultMyApp
– Aix

User Acquisition Company
– Wuzzon
– Phiture
– AVOW
– AppAgent
– REPLUG

App Marketing Agency of the Year
– Yodel Mobile
– AVOW
– ARKANA
– Kurve
– Rocket10

App Growth Innovation
– Sweatcoin Growth Engine
– ShareTheMeal Video In-App Impact Loop
– SplashLearn Product Funnel
– Persona.ly’s ML Journey
– Gamelight AI Platform

App Marketer of the Year
– Saif Rasheed
– Marcus Burke
– Rosie Hoggmascall
– Megan Dean
– Natalie Rozenblat
– Nathan Hudson

Fastest Growing App
– Fairo
– The ChatOn App
– Duolingo
– Reframe
– VPN – Super Unlimited Proxy

Growth Team of the Year
– Redbox Mobile
– ZigZag Puppy Coach
– Splashlearn
– Sweatcoin
– Apps With Love

App Marketing Campaign of the Year
– Gamelight and GOAT Games
– Burger King and CleverTap
– Caliber’s Viral App Install Campaign on Reddit
– TATAM x Babbel: Unlocking the Power of Data
– In-app Events Engagement at Taimi LGBTQ+ Dating App
– REPLUG & Jelly Juice

Outstanding Contribution to the App Industry
– The winner will be announced on the night

Congratulations to them all, and commiserations to the entries that didn’t make it through.

The App Growth Awards 2023 winners will be announced at App Promotion Summit Berlin on Thursday 30th November 2023.

The post App Growth Awards 2023 – Finalists Announced appeared first on Business of Apps.

After mobile advertising network, Unity, announced a rather controversial Runtime Fee, the number of US advertisers on the ad network dropped by 15% in a single week. That’s according to data from Sensor Tower seen by PocketGamer. Let’s take a look.

The Runtime Fee

Early in September, Unity launched a revised scheme that would have required developers to pay up to $0.20 for each installation of games created with the Unity Engine.

The announcement immediately drew widespread criticism from the industry. In a matter of days, a collective letter was signed by over 1,000 developers, including prominent names like Voodoo, CrazyLabs, Homa, and Playgendary. The developers also acted by disabling monetisation through ironSource and Unity Ads within their apps, pending a review of the new terms and the search for a fair resolution.

Source: PocketGamer

Unity reacted promptly and changed the terms again, but didn’t entirely get rid of the new fee. Meanwhile, its CEO John Riccitiello left the company and was replaced by James Whitehurst.

Advertisers are dropping like flies

Sensor Tower data shows that the initial backlash sparked a significant decrease in the number of US advertisers on Unity’s ads network. During the week of September 11, there was a 15% decline, followed by an additional 8% drop the following week.

During the same period the previous year, the number of US advertisers on Unity’s ad network had increased by 13% week-on-week. Therefore, it’s likely that the announcement of the Runtime Fee played a role in the network exodus.

In the week starting September 18, the number of US advertisers continued to decrease, this time by 8%, which was a reduction from the 15% drop the previous week.

As a result of Unity’s apology and revision of terms, it saw a 5% increase in US advertisers compared to the previous week.

By October there was a 15% rise in advertisers again, which coincided with John Riccitiello’s departure from the company on the same day. It’s important to consider that Halloween likely played a role in advertiser growth during this period.

Interestingly, despite the week-to-week fluctuations, Unity managed to end the month with a 9% month-on-month increase in the total number of US advertisers for September when compared to August.

Key takeaways

• Unity’s contentious Runtime Fee resulted in a swift 15% decrease in the number of US advertisers within a single week, following its announcement
• Following a collective industry outcry, Unity swiftly revised its terms and apologized. This action yielded a 5% week-on-week increase in US advertisers
• Despite initial turbulence, Unity demonstrated resilience by concluding September with a notable 9% month-on-month increase in total US advertisers compared to August, showing its capacity to rebound

The post Unity’s Runtime Fee sparks a 15% drop in US mobile app advertisers appeared first on Business of Apps.

Among mobile gaming genres, Role Playing Games (RPGs) and Strategy games have some of the most loyal players. Mistplay analysed 500+ mobile games and millions of players to rank mobile gaming genres based on metrics such as retention, repeat purchase rate, and average user sessions.  Let’s take a closer look.

Genres under the lens

According to Mistplay‘s Loyalty Index, RPGs secured the highest ranking with a remarkable score of  75 out of 100, closely trailed by Strategy games at 70, while Simulation games and Lifestyle games scored 67 and 61, respectively.

Lifestyle games stand out as the genre with the highest average sessions per user, driven by their engaging and repeatable gameplay tasks. Notably, they also excel in monetisation, ranking first in the percentage of spenders by Day 30 and third for repeat purchases. These games are strategically designed to entice players to return multiple times throughout the day, motivating them to make incremental purchases as they pursue their in-game aspirations.

Game genres ranked by player loyalty

Source: Mistplay

Puzzle games, on the other hand, reign supreme in terms of pure player retention. They claim the top spot for Day 30 retention, and with a substantial gap between overall and top quartile performance, this genre offers significant growth potential, especially considering its appeal to a broad casual gaming audience.

“Player loyalty is perhaps the single most important element for mobile publishers to focus on as the industry continues to evolve,” said Jason Heller, CEO of Mistplay. “It’s the lifeblood of strong LTV and long term enterprise value for gaming publishers. Loyalty can be a challenge to measure by just a single metric, and its complexities must be carefully considered within the context of each game. We designed the Mobile Gaming Loyalty Index and our Player Survey to help publishers and developers take a deep dive into what loyalty really means. We also want to help the industry understand that cultivating player loyalty isn’t just an empty buzzword to throw around, but a required set of mindsets, behaviours, and capabilities to operationalise.” 

Engagement by genre

Source: Mistplay

Ads boost installs

The journey of player loyalty begins with the very first ad impression. Approximately half of players decide to install a game within a few days of encountering an ad, showing just how important leaving a lasting impact can be. Authenticity in advertising is a key factor, with 71.7% of mobile gamers emphasising the importance of seeing actual gameplay footage in ads. However, not all players respond to ads, as 36.7% typically ignore them entirely.

Game discovery

Source: Mistplay

High-value spenders exhibit distinct gameplay and spending motivations. Players who invest over $100 in mobile games are 28% more likely than their counterparts to engage with at least eight games per week. Moreover, they are 55% more inclined to spend money to maintain competitiveness with other players, highlighting their dedication to in-game advancement compared to other spenders (22.2% vs. 14.3%).

Monetisation by genre

Source: Mistplay

A sense of progression serves as a critical motivator for mobile gamers. The top two reasons players continue playing a game are the desire to advance further (56.8%) and the avoidance of abandoning their in-game progress (50.3%). This underscores the significance of providing players with a clear sense of achievement and continued growth within the gaming experience.

Key takeaways

• RPGs and Strategy games lead in loyalty, scoring 87 and 79, respectively, on Mistplay’s Loyalty Index, showcasing their dedicated player base
• Lifestyle games boast the highest average sessions per user and rank first in the percentage of spenders by Day 30, highlighting their engaging gameplay and strong monetisation potential
• 71.7% of mobile gamers emphasise the importance of seeing actual gameplay footage in ads, while 36.7% typically ignore ads entirely, underscoring the significance of authentic advertising in attracting players

The post RPG gamers are the most loyal and half of players install mobile games after seeing ad appeared first on Business of Apps.

The mobile and digital advertising market in the UK saw an uptick of £13.8 billion in spending during the initial six months of 2023. That’s according to new data shared by IAB UK and PwC.

Mobile video highly resilient

Despite the UK’s economic fluctuations, the digital advertising arena remained robust in H1 2023, with a substantial investment of £13.8 billion. Notably, the mobile and video advertising sectors demonstrated remarkable resilience and growth during this period.

Video advertising experienced the most substantial surge, with an impressive 11% increase. Advertisers are obviously recognising the potential for brand building with this format, aligning with the surge in popularity of short-form video content.

Mobile share reached 60% in H1 2023

Source: IAB

According to Ofcom’s Media Nations report, more than a third of UK adults now watch short-form online videos daily, with a staggering 68% of 15-24-year-olds following suit. In the broader context, overall spending on display formats, encompassing both video and non-video elements, also expanded by a noteworthy 8% year-on-year.

Jon Mew, IAB UK’s CEO, said: “It’s particularly encouraging that video formats are seeing strong investment. Advertisers are increasingly harnessing the creative power of digital channels to bring campaigns to life and deliver long-term results, and we see this reflected in robust video investment. As we head into the final months of 2023 and the lead up to Christmas, advertisers should be doubling down on a digital-first approach to make an impact, drive results and resonate with consumers where they’re choosing to spend their time.”

Mobile grows 9%

In terms of device-specific spending, mobile ads saw a robust 9% growth, while non-mobile formats remained relatively stable.

Conversely, search ads continued to dominate the market, constituting 50% of the total expenditure. This category sustained a steady 5% growth, amassing nearly £7 billion in the initial half of 2023.

Search revenue nearly reached £7bn in H1 2023

Source: IAB

On the other hand, classified ads saw a decline in spending, albeit less pronounced than the 21% drop observed in H1 2022, with a 13% decrease.

“The results […] reflect two things – that the digital ad market isn’t immune to wider economic pressures, but also that it’s repeatedly resilient in the face of challenging circumstances,” Mew added “Over the years, we have become used to seeing extremely strong growth and there is no getting away from the fact that spend has slowed so far this year. And yet the industry is still growing despite the UK’s soaring inflation, the threat of recession, and the impact of structural changes.”

Key takeaways

• Video advertising saw notable 11% increase in spending during H1 2023, reflecting advertisers’ recognition of its brand-building potential
• Mobile advertising grew 9% in spending, indicating the increasing importance of mobile platforms in ad campaigns
• Despite economic fluctuations, the UK’s digital ad market remained resilient, attracting £13.8 billion in spending, showcasing the industry’s adaptability in the face of challenges

The post Mobile ad spending grows 9% while video surges by 11% appeared first on Business of Apps.

India’s economic outlook for the year remains optimistic as consumer spending on in-app purchases rose during the first half of 2023. That’s according to the India Festive Report for 2023, an effort between AppsFlyer and Meta Platforms which highlights signs of economic recovery. Let’s take a look.

Festive season boost to IAPs

Consumer spending has been on the rise in India, leading to an impressive 71% increase in in-app purchase (IAP) revenue during the first half of 2023. This growth in IAP spending is expected to continue with the approaching festive season.

IAP revenue trend on Android

Source: AppsFlyer

“The festive season in India promises robust growth for mobile ecommerce. Projections from Redseer hint at a spectacular 18-20% growth this year, translating to an astounding GMV of INR 90,000 crores. With the surge, we anticipate nearly 140 million eager online shoppers gearing up for festive purchases. While Shopping and Food & Drink apps will undoubtedly see a spike, Gaming isn’t far behind in capturing user engagement,” says Aditya Maheshwari, Director of Customer Success at AppsFlyer.

India’s festive season is usually a good opportunity for marketers across various app categories. App installations follow a pattern, starting in August, peaking in October, and reaching the highest point in December.

Overall install trends by category

Source: AppsFlyer

September tends to see activity rise across sectors as users prepare for festivities. Marketers focus on installations and reserve later efforts for remarketing conversions. So, it’s wise for marketers to start user acquisition early and increase efforts as the festive season nears. Finance, Food & Drink, and Gaming apps are popular in October.

Remarketing dominance during the festive season

Leading up to Diwali, non-organic installs (NOIs) take the spotlight, especially for Shopping apps, which see an early increase, while Travel apps begin their upward trajectory in August. Timing is crucial for NOIs, with campaigns typically kicking off three to four weeks before Diwali.

Remarketing conversions on Android

Source: AppsFlyer

Remarketing conversions shine during the festive season, outperforming non-organic installs. In the first half of 2023, these conversions showed impressive year-over-year growth, with Android conversions rising by 24%. Interestingly, Shopping apps record their highest non-organic share, indicating that consumers tend to plan their shopping activities well in advance of the festivities.

However, the festive season also sees a rise in fraudulent activities, particularly on Android apps, with a 47% year-on-year increase in fraud rates. Finance apps are particularly vulnerable, necessitating stronger anti-fraud measures.

App install fraud

Source: AppsFlyer

During this season, consumers shift their focus from online to offline activities, emphasising family time. Insights reveal that messaging and video content have become vital channels for consumer engagement, with content creators and partnership ads playing a significant role in influencing purchasing decisions.

“The festival season always brings a buoyancy in consumer demand and marketers look to tap into the same,” says Arun Srinivas, Director & Head, Ads Business India at Meta. With increased digital penetration, and upbeat consumer sentiments this year, there is good scope for businesses to tap the right audience and unlock growth. Brands should focus on full funnel strategies, influencing the consumers at each stage of the funnel to take full advantage of this opportunity.”

Key takeaways

• India’s economy shows resilience with a 71% increase in in-app purchases during H1 2023, expected to continue during the festive season
• India’s festive season offers a strategic window for marketers, with app installations peaking in October and early planning in September. Finance, Food & Drink, and Gaming apps are favourites
• Remarketing conversions dominate during festivals, with a remarkable 24% growth in Android conversions. However, a 47% rise in fraud rates calls for stronger anti-fraud measures

The post Festive boost: 71% surge in Indian in-app purchases appeared first on Business of Apps.

We’re just 5 weeks away from the much anticipated App Promotion Summit Berlin. Now is the time to take advantage of our Early Bird offer that ends this Friday – 27th October.

We have a great lineup of speakers ready to share their insights and the packed agenda covers the full spectrum of channels and approaches across the app growth funnel including user acquisition, app store marketing, social ads and app engagement.

Last chance to save over €300 for in-person tickets:
https://apppromotionsummit.com/berlin/register/

We’re excited to welcome you at the conference – don’t miss out on this opportunity.

The post APS Berlin Early Bird Tickets End Friday appeared first on Business of Apps.

It appears social media app X, formerly Twitter, may not boast the daily active users figure it’s claiming to have. As a consequence, the app is finding itself under intensifying scrutiny concerning its user statistics and the reliability of its officially disclosed figures.

X sees drop in DAUs

A recent in-depth examination conducted by Apptopia reveals a discrepancy in the numbers. According to their findings, X currently boasts approximately 121 million daily active users. This statistic diverges significantly from the self-reported data released by X which asserts a daily active user count of 253 million.

Source: Big Technology

According to a report from Big Technology, since Elon Musk acquired the company in October 2022, “X” saw a notable decrease in its daily active user base, amounting to roughly 13%. The rebranding of the platform from Twitter to X appears to have expedited this decline.

Apptopia’s analysis further underscores that users who have opted to remain on the platform continue to engage with it at levels consistent with the past.

Additionally, the introduction of X’s Threads feature doesn’t appear to have directly influenced the decline in user numbers.

The numbers are off

Over the last few weeks, there have been increasing doubts over the accuracy of user metrics and claims of the app’s growth.

Initially, the platform reported a robust 250 million daily active users following Elon Musk’s takeover. However, 20% of these users were reported as bots. If we accept Musk’s assertion of bot reduction, this would imply that X added a mere 12 million legitimate users while removing a staggering 47.6 million fake profiles within the same timeframe, casting doubt on the credibility of these claims.

Twitter time spent per DAU

Source: Big Technology

In general, social platforms typically boast about 1.8 times more monthly users than daily users. Applying this ratio, X likely hovers around 223 million monthly active users, a significant departure from the reported 550 million.

Furthermore, Apptopia’s analysis signals a growing rift between daily and monthly users on the platform. This suggests that X may possess even fewer monthly active users than the aforementioned calculation would suggest, potentially placing it behind other social media heavyweights like Facebook, Instagram, TikTok, Snapchat, and Pinterest in terms of active user counts.

Despite these questions, the company recently shared an optimistic outlook, suggesting it would break even in 2024.

Key takeaways

• X experiences a notable 13% decrease in daily active users since Elon Musk’s takeover in October 2022
• Skepticism arises over user growth claims as Elon Musk reveals 20% of reported users were bots, raising concerns about the accuracy of the platform’s reported metrics
• An estimate based on common social platform ratios suggests ‘X’ may actually have around 223 million monthly active users, significantly lower than the officially reported figure of 550 million

The post Doubts over ‘X’s user growth as app sees 13% decline in DAUs since 2022 appeared first on Business of Apps.

By September, OpenAI’s ChatGPT mobile app has been downloaded 15.6 million times worldwide. But despite the surge in installation the app’s noticed a notable deceleration in revenue growth.

Subscriber number levelling off

In contrast to the robust 31% growth observed in July and the even more substantial 39% in August, September’s revenue growth tapered off to 20%. This deceleration may signify that ChatGPT is edging closer to market saturation in terms of the number of mobile users willing to invest in the enhanced ChatGPT Plus subscription service. It also underscores the heightened competition in the field, with alternative options vying for the attention and subscription dollars of mobile users.

Since its launch in February, ChatGPT Plus has been providing users with a premium subscription experience. This subscription-based service offers access to GPT-4, availability even during peak usage hours, quicker response times, and priority access to OpenAI’s latest ChatGPT enhancements. Moreover, it plays a vital role in sustaining free access for ChatGPT users who rely on the service.

Despite the recent slowdown in revenue growth, ChatGPT managed to amass $4.6 million in gross revenue throughout September, spanning both its iOS and Android apps on a global scale.

This places ChatGPT in the upper echelons of AI chatbot apps, with only Ask-AI surpassing it in revenue, primarily owing to substantial advertising investments.

Growing competition

Ask-AI has managed to outperform ChatGPT’s app in terms of revenue primarily due to its aggressive advertising strategy. Thanks to its CEO’s strong track record in advertising, Ask-AI, founded in 2021, distinguishes itself by enhancing employee search results within internal knowledge bases and communication sources.

It streamlines what is typically a labor-intensive process by harnessing AI to deliver contextually relevant information, rather than merely providing links to internal documents.

Mode Mobile, a startup dedicated to making it more convenient for individuals to earn income using their smartphones, is another contender.

It’s worth noting that ChatGPT’s net revenue, while impressive, may be lower than its gross revenue due to the revenue share taken by tech giants Apple Inc. and Alphabet Inc.’s Google from in-app purchases. Nevertheless, even after these deductions, ChatGPT managed to amass approximately $3.2 million in net revenue for the month of September.

The US remains ChatGPT’s largest revenue source, accounting for 60% of its income, highlighting the nation’s continued appetite for the ChatGPT platform.

Despite its ongoing growth and substantial revenue, ChatGPT’s mobile app may face continued slowing as it approaches market saturation.

Key takeaways

• ChatGPT reached 15.6 million global downloads in September
• Revenues rose to $4.6 million which is a 20% growth, less than the previous months
• Competitors like Ask-AI thrive with aggressive advertising, while ChatGPT faces market saturation despite substantial revenue

The post ChatGPT mobile reaches new milestone of 15.6 million downloads in September appeared first on Business of Apps.

It seems that Elon Musk, who acquired Twitter for a staggering $44 billion and promptly rebranded it as X, is finding himself at odds with the stringent requirements imposed by the Digital Services Act (DSA) recently enforced by the European Commission. As a consequence, he’s apparently contemplating blocking the platform in Europe.

What the DSA says

The DSA, which came into effect this past August, necessitates the creation of robust and transparent content moderation systems, aimed at filtering out false, deceptive, and detrimental information. As the platform grapples with the rampant spread of misinformation, notably in contexts such as the Israel-Hamas conflict, it becomes increasingly plausible that X may find itself on the wrong side of the DSA.

Frustrated with the DSA’s demands, Musk has contemplated two options. One involves rendering X inaccessible in Europe, effectively blocking European Union users from the platform. This mirrors the actions taken by Meta in blocking access to its new app, Threads.

The other consideration is preventing European Union users from accessing X, following a similar trajectory as Meta.

Standing to lose a tenth of its MAUs

In response, the European Commission, has initiated an official investigation into X’s compliance with the DSA. If found to be in violation, X could face substantial fines, in the form of “periodic penalty payments”, amounting to up to 6% of its global revenue.

Data from Apptopia shows that Europe accounts for approximately 9% of X’s global monthly active user base.

However, daily usage in the region has experienced notable declines in the last three months, with drops ranging from 10% to 40%. Downloads and user engagement have similarly dwindled across nearly every country where the app is accessible.

Subscription tiers

Shortly thereafter, X confirmed upcoming premium subscription tiers: one priced below the existing $8/month plan with ads and a higher-priced ad-free option.

Two new tiers of X Premium subscriptions launching soon.

One is lower cost with all features, but no reduction in ads, and the other is more expensive, but has no ads.

— Elon Musk (@elonmusk) October 20, 2023

Meanwhile, new users in New Zealand and the Philippines face a $1 annual fee for the “Not A Bot” subscription, charging for likes, reposts, and other actions.

Musk recognises revenue challenges and introduced an $8/month subscription with a blue checkmark to woo advertisers back. The company anticipates profitability by 2024 on the back of its 245 million daily users and 500 million daily posts.

Key takeaways

• Elon Musk’s X faces potential DSA compliance issues in Europe, which could lead to substantial fines of up to 6% of its global revenue
• Daily usage of X in Europe has seen significant declines, ranging from 10% to 40% over the past three months, indicating a potential loss of user engagement
• X is exploring revenue diversification through premium subscription tiers, with one option priced below the existing $8/month plan and a higher-priced ad-free tier

The post Musk considers blocking X app in Europe and launches new subscription tiers appeared first on Business of Apps.

Discount eCommerce marketplace Temu reached $1 billion monthly gross merchandise volume (GMV) in June, according to market research firm YipitData.

The app connects buyers directly with manufacturers in China, reducing the cost of individual or bulk buys for everyday items.

It has been a hit in the United States ever since it launched in September 2022, with nine months of growth in GMV. Temu has rolled out to other countries, but the US remains its largest market by a significant margin.

To get a better understanding of Temu’s rapid growth, according to Bloomberg Second Measure, it surpassed Shein in the US on monthly sales and customers in June. It has been the most downloaded app in the US every month of the year, and has twice as many downloads in 2023 than the second most downloaded app, TikTok, according to data from AppMagic.

Temu is wholly owned by Pinduoduo, an eCommerce giant in China responsible for the new wave of direct-to-consumer eCommerce which happened in China in the late-2010s. Pinduoduo has shifted this model to the US, reducing the middleman costs that are added to almost all everyday products available on Amazon and other marketplaces.

That lack of middleman to check quality has led to Temu getting a lot of negative reviews, but the company has added some consumer safety checks to ensure that the product gets to the customer at a reasonable time and is how it is described on the app.

TikTok broke ground for Chinese apps by gaining a huge audience in the West. Previous attempts by Baidu, Alibaba, and Tencent ended in failure, although the latter two are still investing heavily in Latin America and Europe. Shein and now Temu show there is potentially space for new competitors in what some analysts considered closed markets. This is especially true for upstarts that have the ability to connect directly with manufacturers, reducing the overall costs of items.

The post Temu reaches $1 billion monthly gross merchandise volume appeared first on Business of Apps.

Daily time spent on social media has decreased in 36 out of 48 markets tracked since 2022, according to the latest GWI social media trends report. This marks only the second time since tracking began in 2012 that global usage has declined year-on-year, with average daily usage in Q1 2023 falling below that of 2019. Has social media usage reached a plateau?

Gen Z spends more time on social media but eyes reduction

While some emerging regions like the Middle East & Africa experience more significant fluctuations, most other regions have seen minimal changes in daily usage over the past three years. Notably, North America is an outlier, with usage continuing to rise beyond its lockdown peak.

While the pandemic induced a surge in social media usage, this has now largely levelled out. For brands and businesses, the key takeaway is that changes are less about the duration consumers spend online and more about how and where they choose to spend their time.

Across the world, Gen Z spends an average of 2 hours and 51 minutes on social media daily, surpassing older generations. However, Gen Z is starting to consider reducing their time spent online and shifting their focus to offline activities. In 2023, 30% of Gen Z express concerns about their social media usage, leading to efforts to limit their time online. Notably, Gen Z is the only generation whose daily time on social media has decreased since Q1 2021, likely influenced by the disruptions caused by the pandemic.

Gen Z aspirations

Source: GWI

In certain APAC and Western markets, users are also increasingly setting their social media profiles to private due to concerns about personal privacy. Younger age groups are particularly inclined toward this trend. This shift can limit brands’ access to user data, necessitating the development of trust and authentic relationships with customers.

Content length varies, YouTube and WhatsApp dominate

While short-form content platforms like TikTok are on the rise, longer-form content remains prevalent. YouTube, with 67% of consumers, overshadows TikTok’s 45% reach. Instagram Live and Reels are also expanding content length options. WhatsApp continues to dominate as a favourite platform, especially among older age groups.

The top social apps haven’t changed all that much

Source: GWI

Changing Motivations for Social Media Use

Consumers’ motivations for using social media are evolving, with differences observed across regions. Western consumers, like baby boomers, are diversifying their reasons for using social media. TikTokers in the West now use the platform to stay informed about news and products, while Instagram’s focus shifts from personal sharing to entertainment. Twitter is also evolving, with video becoming a primary focus.

Privacy is shifting into focus

Source: GWI

While social media is a primary tool for product discovery, brands need to keep up with cultural trends to resonate with their target audiences and answer their questions effectively. Trends like #QuietLuxury on TikTok reflect changing consumer preferences, as people seek minimalist styles and neutral palettes. This shift is driven by economic factors and a decreased desire for flashy outfits.

Brand discovery happens on social media

Source: GWI

Key takeaways

• Daily social media usage dropped in 36/48 markets since 2022
• Gen Z spend 2h51m daily but aims to cut usage by 30% in 2023
• More users set profiles to private due to privacy concerns, impacting data access for brands

The post Social media usage declines on the back of evolving user motivations appeared first on Business of Apps.

Today App Subscriptions is one of the most viable app monetization models, it spans across TV, Music, Dating, Fitness, Games, Education, Productivity, and more. Scaling app subscriptions can feel like an uphill battle because it is and you need every bit of help from app industry experts to win it.

Join us on November 2d to learn new strategies and solutions with the webinar hosts:

• Niraj Naik VP of Product Management at Recurly
• James Cooper, Director, Business of Apps

Some of the highlights for this conversation:

• Rapid product innovation through subscriber data
• Scaling personalized subscriber experiences
• Boosting revenue retention

Join the webinar

The post Learn how to scale app subscriptions [live event with an industry expert] appeared first on Business of Apps.

It’s a busy week for gaming research with the latest research from Newzoo suggesting that mobile is still the most popular gaming platform across all generations and the only one that’s used by over half of any generation. We’ll take a deep dive below.

Accessible, easy to use and free

Mobile gaming remains the undisputed favourite platform across all generations, boasting the unique distinction of being the sole platform used by over 50% of any age group.

Notably, it enjoys significant popularity among Gen Z, with 81% of them actively engaging in mobile games. But even among baby boomers, 70% partake in mobile gaming.

Mobile is a top platform among all generations

Source: Newzoo

The appeal of mobile gaming can be attributed to its accessibility and the widespread availability of free-to-play titles. These factors make smartphones exceptionally effective at engaging new players, especially when compared to other platforms that often present higher entry barriers.

Socialising is a big motivator for gaming

Source: Newzoo

Interestingly, gamers across all generations are making in-game purchases, demonstrating a high player-to-payer conversion rate. According to Newzoo, mobile gaming stands out with the highest share of paying players across all platforms.

Gen Z and Millennials emerge as the most inclined to be significant spenders, with console gaming leading the way here. That’s because console games tend to be more expensive than mobile games to begin with.

Nonetheless, mobile gaming retains the highest proportion of paying players among all generations. An impressive 38% of Gen Alpha, Gen Z, and Millennials have made monetary contributions to mobile games in the last six months, while 26% of Gen X’ers and 16% of Baby Boomers have done the same.

What’s driving players to play?

Source: Newzoo

In-game currency is reported as the most popular in-app purchase across all generations, closely followed by purchases of new characters, gear, and expansion or content packs, illustrating the diverse spending preferences within the gaming community.

Millennials and Gen Z lead in in-game purchases”

Gaming enthusiasts span every age group but a pattern emerges: its popularity escalates with each succeeding generation. As per the findings, 40% of baby boomers are actively involved in some form of gaming. That sounds like a lot but compare it to the whopping 94% of Gen Alpha and the generational shift is real.

On average, baby boomers dedicate 11% of their weekly leisure time to gaming. This figure steadily increases across successive generations, with Gen Alpha leading the pack, devoting a substantial 22% of their weekly leisure time.

Younger generations more likely to spend

Source: Newzoo

However, younger generations, encompassing Millennials, Gen Z, and Gen Alpha, exhibit a greater propensity for playing on console or PC, platforms that, while less accessible than mobile gaming, foster higher levels of brand loyalty.

Interestingly, these younger generations are also more inclined to engage in gaming across multiple platforms, including mobile, with 50% of them embracing a versatile approach to gaming.

WhileGen Alpha play as many as six different game genres, baby boomers prefer to stick to a more manageable 2.8 genres. Among these genres, adventure games emerge as the most universally appealing, consistently ranking in the top three across four generations and claiming the number one spot for Gen Alpha, Gen Z, and Millennials.

Notably, the consumption of gaming content, including gameplay streams, YouTube videos, esports contests, and more, plays a pivotal role in engaging younger generations. Though individuals of all age groups indulge in watching gaming content, it’s the younger generations that show a greater inclination, with a staggering 70% of Gen Alpha actively participating in both watching and playing gaming-related content.

Share of game enthusiasts, viewers and esports audience

Source: Newzoo

The report underscores the enduring popularity of mobile gaming across all generations, while highlighting the evolving landscape of gaming habits, spending patterns, and content consumption among different age groups.

Key takeaways

• Mobile gaming is the preferred choice for over 50% of all generations, with 94% engagement in Gen Alpha
• Millennials and Gen Z lead in in-game spending
• 70% of Gen Alpha actively engage in both watching and playing gaming content

The post Generational insights: from boomers to Alpha, 50% embrace mobile gaming appeared first on Business of Apps.

71% of those playing games on mobile and other devices say that it reduces stress in just a few minutes. That’s according to the “Power of Play 2023” report, released by the Entertainment Software Association (ESA), which highlight the multifaceted advantages of gaming that reach far beyond mere entertainment. Let’s take a look.

Gamers report boosted health

The report finds that the majority of gamers said they noticed some stress reduction within just a few minutes of engaging in gaming. 61% reported feeling less anxious and 58% said they felt less isolated.

What’s particularly noteworthy is that this stress-relieving effect is not limited by factors such as age, location, or cultural background. Gamers around the world are experiencing the therapeutic benefits of gaming.

Gaming reduces stress

Source: ESA

However, the benefits of gaming extend even further. Mobile gamers are constantly refining their skills while enjoying themselves. Whether it’s through improved reading comprehension, enhanced communication, or sharpened problem-solving abilities, gaming serves as a dynamic and effective learning platform.

Some 64% said it provided a healthy outlet for daily challenges while 63% said they felt happier after gaming.

Gamers feel happier

Source: ESA

The social side of gaming

What’s driving some of this increased satisfaction is the fact that gaming can be a good way to connect to other gamers. Approximately half of gamers say they play video games online with others each week.

One of the primary motivations for playing is of course fun. But Italy distinguishes itself as a unique outlier in the world of gaming with Italian predominantly viewing games as a means to “pass the time”. This distinction sets Italy apart from other countries like Australia, France, the UK, or Japan, where the quest for enjoyment remains a universal driving force for gamers.

Reasons to play

Source: ESA

The findings underscore that mobile gaming is not merely a form of entertainment but a tool with diverse benefits, bringing joy, stress relief, skill development, and social connection to people across the globe.

Key takeaways

• Gaming, regardless of age or location, offers a quick and effective way to reduce stress, with 71% of players experiencing relief in just minutes
• Gamers report feeling less anxious (61%) and less isolated (58%), highlighting the positive impact of gaming on mental well-being
• Italy stands out as a nation where gaming is predominantly viewed as a way to “pass the time,” distinguishing it from countries where the primary motivation for gaming is pure enjoyment

The post Mobile gaming offers diverse benefits as 71% of gamers notice reduced stress appeared first on Business of Apps.

Gaming is not just for the young as a recent survey by Monetizr, a platform for in-game ads, reveals, providing a fresh look at the world of mobile gaming and how gamers view ads. Based on responses from over 207,000 mobile gamers, the study sheds light on how brand marketers can engage and keep their gaming audience.

Changing demographics

The survey shows a big change in mobile gaming demographics. It reveals that 43% of the respondents are Boomers or GenX, challenging the idea that gaming is just for the young.

Around 40% of gamers are GenZ and younger, and just 17% are millennials. More importantly, over half (51%) of these gamers are female, highlighting the gender diversity in the mobile gaming community.

In terms of engagement, the study found that 31% of respondents clock over five hours of gameplay each day. This level of engagement makes it a prime arena for advertisers. Meanwhile, 60% of gamers confessed to spending two to four daily hours gaming, while 30% allocated up to an hour to their favourite games, demonstrating mobile gaming’s broad allure.

Gamers by generation

Source: Monetizr

Are ads disrupting the gaming experience?

When it comes to in-game advertising, player preferences vary. A significant 49.28% felt that ad placement, whether woven into gameplay or kept separate, didn’t significantly disrupt their gaming experience.

Regarding ad format, 26% favoured ads seamlessly incorporated into gameplay, while 25% preferred distinct ads, highlighting the need for a careful balance between advertising and gameplay.

Surprisingly, 45% of players were open to engaging with in-game ads that offered real-world rewards or discounts, providing advertisers with chances to add tangible value.

In the realm of Free-to-Play (F2P) games, 16% might consider abandoning gameplay if publishers continued using ads, but 44% would persevere, with 20% expressing interest in clicking on ads for further exploration.

When it comes to ad integration formats, 28% believed that whether an ad was seamlessly integrated or kept separate didn’t make a big difference. Furthermore, 29% favoured the immersive “reward centre experience,” underscoring the potential for innovative ad formats.

The findings underscore the increasing prominence of mobile gaming and its allure for both gamers and advertisers.

Key takeaways

• Demographics shift as 43% are Boomers or GenX, and 51% female gamers
• Engagement is high with 31% playing over 5 hours daily
• 49% are unaffected by in-game ads, and 45% are open to rewards-based ads

The post 43% of mobile gamers are boomers appeared first on Business of Apps.

Crunchyroll, Sony’s app for streaming anime and manga content, has recently surpassed the $1 billion mark in global consumer spending. The achievement comes more than a decade after its initial launch in 2011, according to data.ai.

Slow burner

Crunchyroll has now joined a select group of only 101 mobile games and 26 mobile apps, including TikTok and Bumble, worldwide to achieve the milestone on both the iOS App Store and Google Play Store.

While Crunchyroll was an early adopter of app store monetisation strategies, it wasn’t until 2015 that the platform started to see substantial success.

From October 2022 to September 2023, the popular app experienced a spike in downloads, with the United States leading the way, closely followed by Brazil, India, and Mexico.

This surge resulted in an impressive total of 35.5 million downloads worldwide, pushing the app’s cumulative lifetime downloads to 147 million.

Top entertainment apps by consumer spend

Source: data.ai

During the first half of 2023, Crunchyroll reached a significant milestone by securing the top spot among the highest-grossing Entertainment OTT apps globally, with users spending over $181 million on the platform.

The US emerged as the primary driver of consumer spending, contributing approximately $103 million during the same period. Following closely behind were Germany, France, and Brazil, with respective spending figures of approximately $10.9 million, $10.7 million, and $7.8 million.

A bumpy road ahead

The app, originally purchased from AT&T and WarnerMedia, has faced a few uphill struggles.

Sony recently reached a settlement in a class action lawsuit. According to the complaint Sony was accused of potentially sharing individual viewing information of Crunchyroll users with third-party websites without proper consent.

Subscribers who used the app between 2020 and 2023 may now be eligible for compensation of up to $30. To receive payment, individuals must submit their claims online by December 12 through the provided platform.

The app just made anime even more accessible with the launch of its own 24-hour anime channel in the US. This free, ad-supported channel is scheduled to debut nationwide on October 11 and will be accessible on platforms such as LG Channels, the Roku Channel, and Vizio WatchFree+.

Key takeaways

• A decade after its launch, Crunchyroll crosses the global consumer spending threshold, driven by anime popularity
• Sony settles data-sharing lawsuit, offering potential compensation to subscribers who used Crunchyroll between 2020-2023
• Crunchyroll launches a 24-hour anime channel in the US, enhancing accessibility for anime enthusiasts nationwide

The post Crunchyroll app surpasses $1 billion in global consumer spending appeared first on Business of Apps.

Shopping apps saw a notable uptake during the Covid years, but interest in using them hasn’t waned following the end of lockdowns. This year alone, consumers are estimated to be spending 50 billion hours in shopping apps on Android alone. That’s a 42% surge over 2020 which signifies a major shift in consumer patterns and preferences.

Features, features…

The latest report from data.ai shows that the surge in mobile shopping was primarily fuelled by companies that have adapted to a mobile-centric approach.

Notably, apps associated with retailers, supermarkets, and pharmacies also saw substantial growth. Furthermore, the downloads of buy-now-pay-later (BNPL) apps surged but displayed a slight dip in the first half of 2023, following their impressive ascent.

Downloads of shopping apps on iOS and Google Play

Source: data.ai

But what exactly makes a shopping app successful?

When looking at the top 10 shopping apps, they stand out by providing a more extensive range of features compared to the other 20 apps in the top 30. These features encompass popular elements such as third-party payment options, curated shopping content, daily or hourly deals, buy-now-pay-later functionality, and member rewards programs.

What sets these top 10 apps apart is their higher adoption rate of these key features in comparison to their counterparts within the top 30 apps.

Users and engagement

From the first half of 2022 to the same period in 2023, nine out of the top 10 shopping apps witnessed substantial growth in global time spent. Notably, eCommerce apps such as SHEIN, AliExpress, and Temu played a prominent role in driving this growth.

Must-have features of shopping apps

Source: data.ai

Temu, in particular, exhibited remarkable momentum in 2023, ultimately surpassing SHEIN to become the leading app by global downloads across both iOS and Google Play in August 2023.

Additionally, several of these apps secured a place in the top 10 shopping apps list based on total time spent during the first half of 2023, further cementing their dominance within the mobile shopping landscape.

These apps were not only attracting a large number of users but also keeping them engaged for extended periods, demonstrating their dominant position in the mobile shopping industry during this timeframe. Overall, it underscores the dynamic and competitive nature of the mobile shopping market.

Key takeaways

• Shopping apps thrive post-pandemic, with Android users projected to spend 50 billion hours in 2023, a 42% increase
• Leading shopping apps excel with third-party payments, curated content, deals, BNPL, and member rewards
• Top 10 shopping apps show substantial growth, with Temu emerging as the global leader in downloads

The post Consumers to spend 50 billion hours in shopping apps in 2023 appeared first on Business of Apps.

Role-playing games (RPGs) now dominate the South Korean gaming landscape, comprising 60% of mobile game sales. That’s according to new Sensor Tower data which shines a spotlight on RPGs and their subgenres in the country.

Why are people playing RPGs?

RPGs as a mobile game genre stand out due to their focus on character control, customisation, and story-driven progression, often involving battles with foes.

Within the mobile RPG genre, various sub-genres exist, including Idle RPGs, Action RPGs, MMORPGs, Fighting RPGs, and Puzzle RPGs. Japan and South Korea are among the countries with the highest affinity for mobile RPGs.

Among RPG subgenres, Massively Multiplayer Online Role-Playing Games (MMORPGs) reign supreme, making up 69.5% of 2023 sales.

While MMORPGs have consistently led South Korea’s RPG subgenres, this represents a 9.6% dip from 2019’s 77%.

Global mobile game sales in 2023 so far

Source: SensorTower

Squad RPGs, exemplified by titles like Goddess of Victory: Nikke and Cookie Run: Kingdom, saw a remarkable 39% surge in market share between 2019 and 2023, climbing from 12.7% to 17.7%, securing their position as the second highest-grossing RPG subgenre in the country.

Idle games experienced substantial growth during the same period, increasing by 159%, rising from 1.7% market share in 2019 to 4.4% in 2023.

A separate study by Udonis found that 57% of South Koreans play RPGs to relieve stress. A third play to pass the time and as much as 40% will abandon a game if it gets too boring or in-app purchases are being pushed too aggressively (36%).

South Korea’s top squad RPG is…

Goddess of Victory: Nikke emerges as the leading squad RPG in South Korea from January 1 to August 31, 2023. It achieved a remarkable feat by securing the 10th spot in the country’s overall RPG charts, standing alongside only one other non-MMORPG title, Honkai: Star Rail, in the top 10.

Squad RPGs emphasise team-building with synergistic characters, leading to a trend of character collection as a meta feature. Frequent character releases and character-centric events contribute to genre sales. For instance, following the introduction of the character Modernia, Goddess of Victory: Nikke saw a staggering 372% increase in daily sales on January 1. Similarly, the launch of new cookies Stardust and Alien Donut boosted Cookie Run: Kingdom’s sales by 148% on March 9.

Mobile game sales by country

Source: SensorTower

Legend of Slime: Idle RPG dominated idle RPG sales, generating $77 million globally and $10 million in South Korea since its August 2022 release. Although it excelled in revenue, the game reached only 36th place in the overall charts.

Its success is attributed to effective advertising, a unique storyline, and an accessible learning curve. Legend of Slime led ad share on ironSource, ranked second on TikTok, and seventh on Unity in January 2023.

Five Minutes to Battle, released on July 28, 2023, emerged as a strong contender in the idle RPG market. Between its launch and the end of August, the game secured fourth place in year-to-date idle RPG sales charts and reached 65th place in the overall RPG charts.

Key takeaways

• RPGs dominate South Korea’s mobile gaming, comprising 60% of sales
• MMORPGs lead subgenres at 69.5% sales but are down 9.6% from 2019
• Squad RPGs surge by 39%, while idle games grew 159% from 2019 to 2023

The post RPGs claim 60% of mobile game sales in South Korea appeared first on Business of Apps.

Brands continue to diversify the platforms they use for influencer marketing and yet Instagram continues to hold the top spot. Instagram Reels is emerging as the dominant influencer marketing platform in the US, according to the latest Influencer Marketing by Platform 2023 study from Insider Intelligence. In 2023, 53.7% of US marketers intend to incorporate it into their campaigns. Let’s dive in.

Instagram Reels surging in popularity

Instagram Reels’ popularity is set to rise even further, with a projected 62.2% of marketers planning to utilise it for influencer marketing by 2025, placing it on par with Facebook.

The forecast predicts a significant surge in the adoption of Instagram Reels among marketers, jumping from 53.7% in 2023 to 62.2% in 2025.

This growth trajectory aligns it closely with Facebook in terms of influencer marketing usage.

Instagram, as a whole, is poised to be used by 97.6% of US marketers in 2023. This widespread adoption is credited to Instagram’s versatile content formats, robust creator tools, and expansive audience reach.

Growing number of US marketers using Reels

Source: eMarketer

The battle for influencer marketing supremacy

But competitors are encroaching on Instagram’s territory. While Instagram Reels dominates for usage, TikTok’s higher engagement rates mean that it could potentially be attracting the remaining 46.3% of US marketers yet to tap into it for influencer marketing.

Marketers should aim for effective audience engagement by diversifying influencer marketing campaigns across various social channels.

Prioritising a video-first approach, rather than focusing on a specific platform, enables connection with audiences on platforms like TikTok, Instagram, YouTube, and more.

Instagram Reels’ rise in the influencer marketing arena underscores the power of video content in engaging audiences. Another recent report from Insider Intelligence predicts that US influencer marketing spending will surpass $2 billion in 2024, with Instagram leading the way.

Notably, TikTok, YouTube, and Facebook are also expected to reach the billion-dollar mark in influencer marketing spending. As competition intensifies, marketers must remain adaptable and explore multiple platforms to effectively reach their target demographics.

Key takeaways

• Instagram Reels dominates with 53.7% adoption in 2023, projected to reach 62.2% by 2025
• TikTok’s higher engagement may attract 46.3% of untapped US marketers
• US influencer marketing spending to exceed $2 billion in 2024, Instagram leading, with TikTok, YouTube, and Facebook following

The post 62% of marketers plan to use Instagram Reels for influencer campaigns by 2025 appeared first on Business of Apps.

In the third quarter of 2023, hypercasual game downloads hit the 3.5 billion mark, as indicated by a recent report from Appmagic. That’s an 8% drop from the 3.8 billion in the second quarter of 2023. What’s happening?

Hypercasual downloads down 12.5%

According to figures from Appmagic, hypercasual game downloads were down 12.5% compared to the same timeframe the previous year.

The dwindling numbers in hypercasual game downloads have been noticeable over recent years.

Hypercasual downloads

Source: Appmagic

Despite an overall slump, Tier-1 East experienced a 7% sequential quarter rise in hypercasual downloads, amassing 113 million. Yet, this uptick was insufficient to balance out the declines elsewhere. Tier-1 West encountered a 10% drop, dipping to 529 million, while there was a 7% decrease, down to 2.8 billion, in the remaining global regions.

Top hypercasual apps

The My Perfect Hotel app maintained a steady performance, solidifying its position as the most successful hypercasual game of the quarter worldwide. The game garnered an impressive 31.5 million downloads and generated a remarkable $2.47 million in revenue. Notably, My Perfect Hotel stands out with a cumulative revenue per install of $0.06, surpassing all other games in the top ten, which averaged below $0.05.

Top hypercasual titles

Source: Appmagic

In a close second place for downloads, we find Race Master 3D – Cat Racing, boasting 30.32 million downloads. However, the game’s revenue falls considerably short, amounting to just $291,341, resulting in a meagre revenue per install of only $0.009.

Among the top 10 charts, My Perfect Hotel is part of a trio of newcomers. Magic Piano Tiles: Music Game secured the seventh spot with 23.25 million downloads and $298,492 in revenue, while Twerk Race 3D – Running Game claimed the ninth position with 22.71 million downloads and $6,805 in revenue.

Interestingly, AppMagic’s report highlights the absence of specific trends influenced by social media within the top ten, a noteworthy observation. Nonetheless, the report underscores the persistence of clones of existing game titles.

Furthermore, the report points to an emerging trend of hybridcasual titles and notes that some previously prominent games have made a resurgence in the rankings. This resurgence is attributed to their efforts in refining game mechanics and creative elements, allowing them to reclaim their positions on the charts.

Key takeaways

• Q3 2023 saw an 8% drop in hypercasual game downloads compared to Q2, totalling 3.5 billion downloads
• My Perfect Hotel leads with 31.5 million downloads and $2.47 million revenue, achieving a remarkable $0.06 revenue per install
• Hybridcasual titles rise, and refinements propel previously successful games back into the top rankings

The post Hypercasual game downloads drop 8% in Q3 2023 appeared first on Business of Apps.

Huawei’s mobile advertising ecosystem, Petal Ads, had a productive time at DMEXCO this year, engaging advertisers and offering valuable insights for crafting effective digital campaigns in the ever-changing digital marketing landscape. DMEXCO 2023 attracted a global audience, with 800 international speakers, 40,000 international trade visitors, and 650 exhibiting companies and partners. It was an enlightening experience for everyone as they rubbed shoulders with industry experts and marketing professionals.

Alongside leading players in digital business, Petal Ads hosted a masterclass that offered a peek at their strategies for connecting with high-value audiences in the Chinese market or Chinese consumers on international travel. Attendees had the opportunity to experience Petal Ads’ advertiser solutions firsthand at their booth, and an MMA Panel discussion on capturing the attention of high-value
audiences.

Jaime Gonzalo, VP Huawei Mobile Services Europe, said, “DMEXCO 2023 united people from all over the world to explore the latest ideas and trends in digital business. Petal Ads was thrilled to feature their two key business priorities at DMEXCO: helping brand advertisers craft compelling digital campaigns while imbuing them with the tools to connect with high-value international audiences, mainly from China.”

Petal Ads Masterclass

Helmed by Jaime Gonzalo, the Petal Ads Masterclass emphasised the importance of targeting high-quality users over aiming for sheer user volume. The masterclass left no doubt: companies that dared to set their sights on the vast potential of the Chinese market reaped success. It cited market leaders across various sectors, including retail and automotive, who successfully blazed trails into China.

He explained that companies who hope to enter the Chinese market will be in good hands with the help of Petal Ads, the ticket to thriving in the bustling Chinese landscape. Huawei’s mobile advertising ecosystem has a deep understanding of the Chinese market, owns the exclusivity of a large amount of high-value users in this demographic, and exerts significant influence in this market.

Huawei commands the top spot in China in terms of popularity, according to YouGov Global Best Brand Ranking 2022. It is a force to be reckoned with in the high-end smartphone space, with an impressive 47.4% market share in the foldable phone segment, and over 115 million users wielding devices valued at over 800 euros.

Being part of Huawei, Petal Ads offers partnering brands exclusive access to over 500 million active users in China every month, all through the mobile advertising platform. Beyond that, brands who advertise with them can enjoy a holistic journey. From language and visuals to setup, Petal Ads offers unwavering support with a dedicated team in Europe by your side. It is an all-in-one solution for connecting with this vast user base.

MMA Panel

Moderated by Peggy Anne Salz, a writer with Forbes.com, the MMA panel featured a lineup of industry experts. Attendees heard from industry experts such as Alessandro Schintu, the Director of Ecosystem Development & Operations at Huawei–Petal Ads, Jan Heumüller, the Managing Director of Ogury, and Anna Keller, the Marketing Director at Bayer, who came together to discuss the dynamic landscape of business and communication.

Their insights resonated with the audience, emphasising the importance of connecting with high-value audiences. During the discussion, they delved into how to identify and target high-value users, stressing that using first-party data is crucial for achieving a highly granular segmentation. Drawing from their deep industry knowledge, the panel’s conversation served as a wellspring of guidance for anyone aiming to reach and sustain excellent audience engagement. It was an enlightening conversation that transformed the way many approached audience engagement strategies.

Petal Ads Booth

Located in the bustling international hall, right alongside other major advertising platforms in the industry, the Petal Ads booth was a hub of activity. The team of seasoned experts held court, engaging with hundreds of advertisers, agencies, and networks. These conversations delved deep into insights into branding and app campaigns, as well as tactics for overseas expansion.

Visitors were in for a treat as they got hands-on experience with some of Huawei’s most innovative devices, including the HUAWEI P60 Pro, the HUAWEI Mate X3, and the HUAWEI Matepad 11.5-inch. The Petal Ads team also shared their own success stories that featured partnerships with top international brands across various industries, highlighting their dedication to delivering effective, game-changing business resources and solutions. It was a showcase of innovation and collaboration that left a lasting impression.

Satisfaction with Petal Ads–A genuine partnership

About their partnership with Petal Ads, both Simone Renna, Marketing and Partnerships Manager at Mediaset, and Johan Othelius, CEO at Squid, shared positive sentiments.

Simone Renna said, “It was a genuine partnership between the companies, as it involved not only the investment in advertising but also comprehensive strategy development. We really found the best people to work with and achieved all our goals, leaving us very satisfied.”

Meanwhile, Johan Othelius shared, “The excellent cooperation and support from the team in helping us achieve our metric targets allowed us to concentrate on our core responsibilities and focus on innovating and continuously improving our product.”

Petal Ads at DMEXCO

DMEXCO 2023 left an indelible mark, reinforcing its position as the leading event for the digital industry and Europe’s digital hotspot. With diverse global attendance and fruitful networking opportunities, the event proved to be an unmissable experience.

At the event, Petal Ads showcased its steady growth since 2020, empowering advertisers, marketers, and publishers to expand their businesses and connect with bigger audiences. The platform has witnessed a 9-fold growth in its advertiser network, reaching over 730 million monthly active users globally in 170 countries.

If you missed out on the event, you can watch the Highlights video here and the Petal Ads Masterclass hosted by Jaime Gonzalo here.

The post Petal Ads’ game-changing solutions for entering the Chinese market at DMEXCO 2023 appeared first on Business of Apps.

In 2023, mobile gaming is poised to claim a 56% share of gaming revenue, as per data from data.ai and IDC. Now a new study sheds light on the differences in mobile gaming behaviours between East and West. Let’s dive in.

Where preferences diverge

A recent study by Coda Payments, which examines the spending behaviours of mobile gamers in Eastern and Western regions found that while more than 90% of mobile gamers in both regions are open to making in-game purchases, significant disparities exist in where consumers choose to allocate their funds.

In Eastern countries, gamers prioritise customisation and collectables, investing in cosmetics for personalisation. In the West, gameplay and progression matter most, with spending on unlocking features.

In the West, consumers spend an average of $72.47 monthly on direct purchases, significantly more than the $30.70 spent in the East. This discrepancy is attributed to the stronger currency in the West, providing users in countries like Britain and the USA with greater spending power.

In-game spending habits

Source: Coda Payments

Interestingly, the report reveals that female gamers in Western countries outspend their male counterparts by an average of $22.93, underscoring the growing popularity of mobile gaming among women.

Additionally, payment preferences vary between regions. E-wallets are favoured in the East, while Western consumers predominantly opt for debit and credit cards when making payments for mobile gaming.

What about time in-game?

The report also noted that gamers in the East dedicate more time to mobile gaming, with 40% playing for over 16 hours weekly, compared to 33% in the West.

Thailand leads with 45% highly engaged gamers, followed by Indonesia (43%) and the Philippines (40%) in the East.

In the West, Brazil stands out with 36% of gamers playing for over 16 hours, surpassing Mexico (33%) and the USA (30%).

Time spent in games and user payment preferences

Source: Coda Payments

The finding underscores Latin America’s prominence in the rapidly expanding mobile market, particularly in Brazil, a mobile gaming powerhouse responsible for 38% of all domestically developed games.

The nuanced distinctions underscore the diversity in motivations and spending habits among mobile gamers in Eastern and Western regions and highlight the necessity for game developers to tailor their in-game offerings to align with these regional preferences and inclinations.

Key takeaways

• Mobile gaming claims 56% of 2023 gaming revenue, outshining consoles and desktops
• Eastern gamers focus on customisation; Western gamers prioritise gameplay and spend more
• Eastern gamers play longer, with Thailand leading; in the West, Brazil emerges as a highly engaged market

The post Mobile gamers in the West spend twice as much in-game as those in the East appeared first on Business of Apps.

Around 98% of people who use smartphones (that’s approx. 255.8 million individuals) are expected to explore different apps this year, as stated in the Mobile App Users 2023 report by Insider Intelligence. However, there’s an interesting change happening: most users are now downloading fewer apps and sticking with their favourite ones in different categories.

Bucking the trend

The majority of new app users aren’t experts in technology; they’re just getting started with smartphones. Approximately 4 million new individuals join the world of smartphone apps every year. However, these newcomers aren’t the ones who have been avoiding apps; they’re a result of the increasing number of people adopting smartphones.

New data finds that users are going against the usual trend of exploring new apps.

Despite the ever-expanding app ecosystem, users are, in fact, downloading and experimenting with fewer apps with each passing year. By 2023, the average smartphone user is projected to have 18.5 apps on their device, which is 2.5 fewer than in 2020. This shift can be attributed to users finding their preferred apps and steadfastly adhering to them.

Super apps!

Intriguingly, we’re witnessing the emergence of “super-apps”, a concept popularised by Asian giants such as WeChat, AliPay, and Grab. These multifaceted apps offer a plethora of services, simplifying users’ lives.

Even X, formerly known as Twitter, is actively striving to become an “everything app”. While this approach proves highly effective in regions with limited infrastructure, in the Western world, where app options abound, it’s leading to a reduction in the number of apps users have on their devices.

Users are installing ever fewer apps

Source: eMarketer

Now, let’s shift our focus to a rather thought-provoking development. Out of 17 app categories, 15 are on course to surpass the growth rate of new app users.

Between 2023 and 2026, the overall number of smartphone app users is projected to grow by approximately 1.54% annually. Most app categories are poised to outpace this rate, indicating that the average smartphone user is gradually exploring a wider array of app categories.

As the landscape of apps undergoes a significant transformation, users are increasingly gravitating towards their favoured apps and showing reluctance to explore new ones.

While super apps simplify users’ lives by offering a wide range of services in one place, an increased focus on super apps could also mean stiffer competition for traditional single-purpose apps.

Key takeaways

The post App evolution: from fewer downloads to the rise of the super-apps appeared first on Business of Apps.

2024 is closer than you may think, in just 3 months mobile advertisers around the globe should be ready for Apple’s Privacy Manifests and Google’s Android Privacy Sandbox coming to life.

Fingerprinting for attribution and ad targeting on mobile will become history and you need to be ready for this drastic change.

Register “RIP Fingerprinting in 2024: how should advertisers prepare?” online event that features:

• Adam Landis, Head of Growth, Branch
• Sergio Serra, Head of Product, InMobi DSP
• Peggy Anne Salz, Founder, MobileGroove

The post Join the conversation about the future of mobile ad attribution & targeting [live event] appeared first on Business of Apps.

AI is changing the face of Mobile Growth at an astounding pace, which is why we’re proud to announce the launch of AI Labs. It’s the digital playground where our Designers, Data Leads, and Marketing Experts can experiment with even more compelling strategies, amidst a renewed wave of innovation in Mobile Growth.

What’s our motivation? We want to see how AI can help businesses grow. And to do this as both a part and an extension of AI Labs, we’ve created a dedicated task force. This task force tests new AI Proof-of-Concepts, and scales, iterates, or kills these projects based on the direct revenue impact we can gain for our clients.

Below is exactly what we’re up to, and how Phiture plans to use AI to help you – our clients – succeed.

Why AI?

Phiture’s AI Labs is about more than just experimenting with new technology. It represents a seismic shift that will place AI at the core of our service proposition, and in effect, see us become an AI-first agency by 2026 – but always with a human touch.

To ensure we maintain this human-centric approach, AI Labs’ testing environment was founded with these twin purposes in mind:

• To conceptualize and develop new AI-powered solutions that will drive direct revenue growth for our clients. Mobile marketers will also benefit from these propositions, in the form of increased growth.
• To integrate AI into our existing service offerings. By automating repetitive tasks, our experts can spend more time on high-value strategic work.

Initiative, intuition, and ingenuity from AI Labs

Our AI Labs initiative is a blend of advanced technology and human ingenuity, where the AI Labs Task Force is working together to take machine learning and automation to the next level for our clients. The doors of the lab will be open for a further six months, and several enriching programs will run during this time.

Our AI Champions program, for instance, brings together team members from across various departments who act as liaisons between AI Labs and their respective teams, ensuring AI-driven thinking is integrated throughout the company.

Additionally, our AI Lunch Break Sessions offer a weekly platform for education and open dialogue on the latest trends and applications in the sector. Already, we’re witnessing a wellspring of new ideas coming out of these sessions.

Through hackathons, bootcamps, and AI learning days, we are and we will continuously foster a culture of innovation and creativity.

Strategic initiatives

The above-outlined programs all rest on a ‘build-measure-learn’ approach focused on rapid prototyping. Already we’re working on several strategic initiatives for AI and mobile growth, and we can offer a glimpse into the lab here. Read about them in detail on our dedicated website.

In the meantime, the scope of the topics currently at play within Phiture’s AI Labs is far-ranging:

• Automated User Acquisition Creatives at Scale: AI-generated campaign creatives to promise faster launches and lower customer acquisition costs.
• Personalized CRM Messaging: Tailored CRM with AI, to make user experiences more engaging and contribute to retention.
• Experiment Insights at Scale: Analyze experiments using AI, and adapt your growth strategy based on proven results to drive impact faster.
• AI-driven Keyword Optimization: Revolutionize keyword optimization with AI, to expand impact and global reach with increased efficiency.
• Automated ASO Audits: Speed up optimization with AI-generated audits, providing faster insights to clients.
• Optimized Campaign Management: Continuous adjustment of bids underpinned by AI-optimized Cost-per-Acquisition goals.
• Internal AI Guidelines: Foster responsible and ethical AI innovation with rigorous internal guidelines.

The results so far: ChatGPT Plugin and more

Already we’re seeing impactful and measurable results from this dynamic, creative environment.

• Optimized ASA bidding: To find the optimal ASA bidding system, we’ve deployed a self-learning Machine Learning model in the Apple Search Ads campaigns of one of our clients.
• Creative campaign tracking: We’ve launched a dashboard for our creative team, so they can track what experiments the market is running, and which were most successful for ASO.
• Keyword research & labelling: We’ve handed over all of our keyword research and labelling to AI, leading to new, more relevant keywords being found and used. We’re aiming to automate the entire process with our AI-first Keyword Optimization initiative.

We’ve also recently launched our ASO Plugin for Chat GPT. This plugin emerged from a Phiture AI Labs Hackathon that explored all things developmental and forward-thinking. The plugin facilitates access to essential ASO information such as keyword search popularity for iOS, estimated impressions, and many more variables that we’re tracking directly from stores.

Rather than a game-changer, we view this plugin as a platform that can generate leads for advanced explorations. And as a free tool in its infancy, we welcome feedback and insights that may refine and expand this experimental offering. The overall goal? To meet with Phiture’s mission, aligning the plugin more closely with the needs of a global network of ASO professionals and enthusiasts.

How will Phiture’s ChatGPT plugin elevate your ASO? To kick things off, in the following ways:

• Real-time Keyword Popularity: Quickly fetch and analyze keyword search popularity.
• Estimated Impressions Insight: Gain insights into your app’s potential maximum reach.
• Streamlined User Experience: Access insights directly through ChatGPT, simplifying your workflow.

How to use this ChatGPT plugin for your domain?

It’s a straightforward task to install the plugin – simply type “ASO” in the ChatGPT Plus plugin store to find and install it. As to the plugin’s true value, this lies in the real-world insights it provides.

It’s important to note that Language Learning Models (LLMs) are not designed for data analysis as they may produce inaccurate results when attempting to analyze large data sets. To mitigate this, our plugin limits the amount of data to one day per week for API requests that exceed a 90-day range.

For deeper data analysis, you can use tools like the ChatGPT Code Interpreter or other data analysis plugins, such as Wolfram.

Let’s run through some of the practical use cases for our ChatGPT plugin.

Use Case 1: Making sense of changing brand popularity

Objective: Determine if a brand’s popularity in the app store is evolving.

Prompt: “Fetch the daily impressions for the past 12 months for ‘clubhouse’ in the US from the Phiture ASO plugin and provide an analysis detailing the trends.”

Expected Outcome: Understanding the brand’s positioning in the App Store over time by spotting peaks, dips, and potential growth strategies.

Use Case 2: Prime positioning that leads to impressions

Objective: Understand the interplay between ‘hiking’ and ‘walking’ apps.

Prompt: “Fetch the data for the past 12 months for ‘hiking’ and ‘walking’ in the US from the Phiture ASO plugin. Compare past 12 months impression trend for ‘hiking’ and ‘walking’, and annotate their popularity movement.”

Expected Outcome: Get a comparative analysis that helps tailor your app positioning. If ‘hiking’ apps are on the rise, consider repositioning aspects of your app to appeal more to hikers.

Use Case 3: Understanding the changing of the seasons and keyword popularity

Objective: Fine-tuning your marketing strategy around key periods by exploring seasonality, and its subsequent effects on trending and popular keywords.

Prompt: “Analyze notable monthly searches for the keyword ‘fitness apps’ in the US over the past 24 months. Provide insights into any noticeable seasonal trends.”

Expected Outcome: The plugin will generate a month-on-month breakdown of noted keywords. By examining this data, you may spot trends related to seasonality. For example, you may witness increased popularity in January due to New Year’s resolutions.

Use Case 4: The influence of competitor keyword strategies

Objective: Understand a competitor’s keyword performance to help influence your own ASO strategy.

ChatGPT Prompt: “Compare the keyword popularity for ‘social networking’ and ‘friend finder’ related to the ‘Facebook’ app over the past 12 months. Provide insights into the performance and trend of these keywords.”

Expected Outcome: The plugin will generate a comparative analysis of the keywords’ popularity. From this, you can infer which keywords are contributing more to your competitor’s visibility and potentially incorporate similar keywords into your own strategy.

How to follow our progress

There’ll be more results to share soon, as more real-world applications of AI emerge from the creativity of the lab. If you’d like to stay in the loop about how the results of the AI Labs can drive growth impact for your business, I’d highly recommend following Moritz Daan and Merlin Penny on LinkedIn.

Merlin has already contributed a blog article on LinkedIn regarding AI Labs, and he’ll continue to share more updates in the coming months. You can also subscribe to our Growth Newsletters here, a fortnightly summary of updates to inspire growth which will report on the progress of our AI Labs.

Before you go

• Make sure you’re signed up to Phiture’s Growth Newsletters to stay up to date on the latest from the AI Labs. We’ll be sharing our latest creations that are designed to drive growth.
• AI – naturally – was the hot topic at the 2023 ASO Conference. You can watch the recordings of all the main stage discussions here, ⦁ many of which touched upon the impact of AI on ASO.
• Preparing your strategy for the anticipated importance of AI-generated search results is important. Check out our article here on how managers can prepare for future success in the era of AI-assisted search and discovery.

The post Phiture launches AI Labs and new ChatGPT ASO PlugIn appeared first on Business of Apps.

In a move towards adherence to local regulatory norms, tech giant Apple has recently mandated new apps to provide evidence of licensing from the Chinese government before making their debut on its China App Store. The shift is reflective of a strategy already in place among local competitors, including Tencent and Huawei, since 2017.

Apple clamps down

As Chinese lawmakers are clamping down on app stores, Apple is just now catching up with the practice of asking app makers to prove their conform.

The company shared the update on its website last Friday.

The ICP filing, an entrenched registration system in China, is pivotal for websites seeking legal operational status within the country. Predominantly, local app stores have been abiding by this prerequisite since at least 2017. A roster published last week by Chinese regulatory bodies, which showed that 26 mobile app stores have added app filings, did not feature Apple’s App Store.

But getting a license isn’t easy

For foreign app developers acquiring an “internet content provider (ICP) filing” license now necessitates having an established presence in China, or at the very least, joining forces with a local publisher.

Apple, renowned for its somewhat accommodating ICP policy, has historically provided a broader array of mobile applications than its local counterparts, underpinning its popularity in China.

The repercussions of Apple’s compliance status could potentially ripple through the App Store in China, affecting the accessibility of hundreds of thousands of apps, inclusive of notable foreign applications like X (previously known as Twitter) and Telegram, which saw a surge in popularity amidst protests against COVID-19 lockdowns in the preceding year.

Simultaneously, some Chinese iPhone users have expressed apprehensions on X, suggesting that they might be compelled to utilise Apple accounts from overseas to access their preferred apps.

What happens if apps do not comply? Apps that lack the necessary filings will incur penalties following a grace period that prolongs until March of next year. Conversely, freshly developed apps have been bound by the rule since September.

The Wall Street Journal reported last week that discussions have been ongoing between Apple and Chinese officials, addressing concerns regarding new regulations that could potentially restrict the availability of foreign apps on its app store in China – Apple’s third-largest market, following the Americas and Europe.

Key takeaways

• Apple mandates ICP filings for new apps, aligning with stringent Chinese government licensing requirements for digital platforms
• Policy change might restrict the availability of numerous foreign and independent apps on the China App Store
• Non-compliant apps face penalties post-March grace period, while discussions with Chinese officials address potential future app restrictions

The post Hurdles for app developers: Apple enforces Chinese licensing on App Store appeared first on Business of Apps.

Meta’s new venture, Threads, may be changing the way we think about social media. Unlike most social networks that start from scratch and grow over time, Threads quickly joined forces with Instagram’s user base, and millions signed up in just a few weeks. What’s happening in social media?

What is Threads all about?

Understanding Threads’ unique vibe is crucial for brands, publishers, and advertisers who want to succeed here. But it seems users are still figuring out what the app is all about.

According to a recent report from GWI as of August 2023, Threads has caught the attention of one in every ten internet users worldwide. Most early users seem likely to use Threads again, with about half of them very inclined to do so, which bodes well for the platform’s future.

The main reason people are signing up for Threads is its smooth integration with Instagram. Users are not only looking to connect with friends and followers but also because they have a positive view of the Instagram brand.

While Instagram initially drew people in, early Threads users are leaning towards a more “Twitter-style” information network. The big question for the platform is whether it will be more like Instagram with text or like Twitter (now X) with images. Insights suggest that a significant portion of the US user base expects Threads to resemble Twitter.

Preference for news

According to the report, Threads users are leaning towards using it in a Twitter-like manner, engaging with and retweeting news. Early users have shown a strong interest in news-related content, making it a significant segment on the platform.

Threads attracts a diverse user base, including gamers, social media enthusiasts, fashion aficionados, and tech-savvy individuals. These early users have varied interests, with some preferring an Instagram-style experience and others seeking news and information. The success of Threads hinges on whether these early adopters remain engaged and how the platform defines its identity. This presents a challenge for Meta as they strive to balance news and preserve Instagram’s aesthetics.

Threads has experienced its share of ups and downs as a relatively new platform. It initially gained popularity but saw a decrease in users due to missing features such as web accessibility. However, Meta has introduced new features like customisable notifications and chronological post-viewing. Furthermore, Meta is reportedly planning to launch a web version in the near future.

Key takeaways

• Threads blends Instagram’s user base with Twitter-style interactions, reshaping social media
• Early Threads users show a strong appetite for news, posing identity challenges
• Meta’s adaptability and upcoming web version may determine Threads’ success

The post Is Meta’s latest social media venture Threads more of a revelation than we thought? appeared first on Business of Apps.

In the summer of 2023, there was an uptick in the utilisation of travel apps, surpassing the records of the preceding year. As per the most recent findings by data.ai, summer travellers exhibited an unprecedented reliance on their mobile devices. Let’s dive right in.

14% surge in travel app usage

Between May and August 2023, Android smartphone users collectively dedicated four billion hours to travel apps, averaging over one billion hours each month. That’s a 14% surge compared to the previous year.

But in contrast to 2022, when the surge was predominantly attributed to vacation-related apps, the growth observed between 2022 and 2023 was predominantly propelled by day-to-day travel applications.

Surge in travel app usage

Source: data.ai

Notably, transportation apps like Uber and InDrive, along with rail and coach booking apps such as IRCTC Rail Connect, witnessed substantial spikes in their usage throughout the summer of 2023.

Which apps come out on top?

When examining the top breakout travel apps in terms of year-over-year growth during the summer of 2023, transportation apps clearly dominate the landscape.

Eight out of the top 10 breakout apps globally fall within the transportation subgenre. Notably, apps like “Where is my Train”, “inDrive”, and “Grab Driver” emerged as the standout breakout apps during the summer of 2023.

Interestingly, despite the prevalence of transportation apps, a variety of apps outside this subgenre also achieved top breakout rankings in crucial markets such as the US and the UK. In the US, apps related to flight tracking, airline services, and integrated travel services secured positions among the top 10 breakout apps.

Travel app type growth index

Source: data.ai

In the UK, apps focused on rail and coach booking, integrated travel services, and airline services also claimed prominent spots in the breakout rankings.

Post-Covid upswing

Reflecting on the backdrop of these trends, it’s essential to note that the year 2020 witnessed the onset of the COVID-19 pandemic, which brought unprecedented challenges, wreaking havoc across various industries and affecting lives worldwide. Businesses faced closures, economies experienced hardships, and daily routines were disrupted as lockdowns and restrictions became the new normal.

One of the most profoundly impacted sectors was the travel industry. However, as vaccination rates steadily increased and a sense of hope emerged on the horizon, a noticeable shift occurred. The installation of travel apps has now experienced a 123% year-over-year surge.

Key takeaways

• Travel app usage surges 14% YoY, with mobile reliance at an all-time high
• Top breakout apps are predominantly transportation-based, but diverse apps shine in key markets
• Travel app installs soared 123%, signalling a strong recovery from pandemic challenges

The post Summer travel app boom: 14% spike in usage appeared first on Business of Apps.

We’re back with the second edition of App Charts, where we take a look at five apps which have seen their downloads rise over the past month, and five which have declined.

Similar to the previous month, we have not seen any change in the top four, with TikTok, Instagram, Facebook, and WhatsApp taking the top four spots.

Temu remains in the top ten with its rollout to other countries keeping downloads high, while its main competitor Shein is struggling to drum up as much interest.

Risers

Snapchat (up 4)

Snapchat has seen its monthly downloads rise by about five million in September, pushing it into the top five for this month. The majority of downloads came from India, and Pakistan surpassed the US in monthly downloads.

ChatGPT (up 5)

ChatGPT continues its climb up the rankings, rising by 36 places last month and by five this month. Expect even more growth next month with the announcement that ChatGPT can access real-time internet trends.

Canva (up 11)

Another app that has been steadily rising up the charts over the past few months, from 12 million downloads in June to 15 million in September.

Hotstar (up 109)

Hotstar lost a lot of ground to JioCinema with the loss of the Indian Premier League, but has managed to draw users back in with exclusive rights to the Asia Cup.

Microsoft Teams (up 22) 

Microsoft Teams pulled in one million more downloads this month compared to last, dragging it into the top 50 apps.

Fallers

X (down 16)

X is struggling to draw in new or returning users, with a drop of 2.8 million downloads this month, knocking it out of the top 50. Threads, for reference, was in 12th place, although it is a much newer app.

Monopoly Go (down 18)

Monopoly Go has been one of the most popular mobile games over the past three months, but it looks like the interest is starting to drop off. Downloads declined by 4.4 million in September.

Royal Match (down 12)

Another mobile game that has been a staple in the top 50 since June, but may be running out of steam. It has been downloaded five million times less than the previous month.

JioCinema (down 10)

As Hotstar surges forward, JioCinema has to take a back seat. It appears that unlike Netflix and Amazon Prime Video, which retain interest throughout the year, JioCinema and Hotstar are always fighting for attention through exclusive sports viewings.

Phone Finder by Clap and Flash (down 3715)

A bit of an unfair end to this month’s edition, but one that underscores how fast a new app can fall off the top charts. This phone finder app went viral for its clap and flash function, but the initial buzz has died off with a 97 percent decline in downloads.

That’s all for this month, come back next month to see the top risers and fallers! And if you want to check out the charts at any time, head over to App Rankings.

The post App Charts – Risers and Fallers (September 2023) appeared first on Business of Apps.

In the third quarter of 2023, global consumer spending on mobile devices hit a new milestone, reaching a total of $33.6 billion. This resurgence in spending suggests that the mobile market is making a strong comeback after a sluggish year in 2022, as reported by data.ai.

Mobile spending reaches $100 billion mark

The quarter’s achievement is particularly remarkable because it marks the first time that consumer spending on mobile devices has reached the $100 billion mark by the third quarter of the year.

In previous years, it took until October to reach this milestone in both 2021 and 2022, and December in 2020 – the inaugural year when global consumer spending reached $100 billion.

In Q3 of 2023, iOS maintained its position as the leading platform for consumer spending, raking in a substantial $21.2 billion, while Google Play generated $12.4 billion in revenue.

Global consumer app spending

Source: data.ai

When it comes to mobile gaming, Google Play experienced a modest growth of 5% in consumer spending, but iOS saw a decrease of 5.6% in mobile game spending during the same period.

In terms of app downloads, consumers worldwide downloaded a total of 38.4 billion apps in the third quarter of 2023. This figure represents a slight decline when compared to the same period in the previous year.

No surprises: US leads

The US emerged as the frontrunner in consumer spending, experiencing a significant increase of over $600 million compared to the same period in the previous year. Impressively, nearly one-third of the total global consumer spending in the third quarter was attributed to the US.

South Korea also demonstrated robust year-over-year growth, recording an increase of $477 million in consumer spending during Q3 2023.

Meanwhile, the UK showcased a commendable performance, generating a total of $224 million in consumer spending during the same quarter.

Threads dominates downloads

Meta’s recently launched microblogging app, Threads, made an astonishing debut in early July by achieving a staggering 150 million downloads within its first week. This achievement set a new record, as Threads reached this milestone 5.5 times faster than any other app in history.

As a direct consequence, Threads dominated the downloads charts throughout the third quarter of 2023.

Leading apps globally

Source: data.ai

In fact, Meta had a rather successful quarter overall, with four out of the top five apps in terms of downloads during this period, solidifying its position as a dominant player in the mobile app market.

Key takeaways

• Global consumer mobile spending reaches $33.6 billion in Q3, signaling market recovery
• US accounts for 30% of global Q3 consumer spending increase
• Threads app’s record-breaking 150 million downloads, driving Meta’s Q3 success

The post Mobile spending hits $100 billion milestone early in Q3 appeared first on Business of Apps.

The APAC app market has boomed thanks to better mobile networks and cheaper smartphones. In 2022, there were 1.29 billion people using mobile internet, up from 700 million in 2015. That’s according to the latest Adjust Growth Score which assesses how well apps and app marketing are doing in different places worldwide. It looks at over 2,500 of the best apps and how they’ve been doing in the first half of 2023.

Travel and shopping apps are bouncing back

In 2022, there were 1.29 billion people using mobile internet, up from 700 million in 2015. Europe’s app market is also on the rise, with estimated revenues of $63.3 billion in 2023, up from $56.24 billion in 2022. By 2027, it could reach a whopping $87.35 billion.

Even though the expenses and prices are going up in Europe, travel apps are bouncing back impressively. They’ve achieved the highest Growth Score in the region, sitting at 47.3, which is way ahead of other regions.

Games, shopping and travel experience highest growth

Source: Adjust

Europe’s e-commerce market is predicted to grow by 12% annually from 2020 to 2026, and shopping apps in the region are doing well with a solid score of 41.1.

Mobile gaming comes in third place with a Growth Score of 30.4, followed by utility apps at 27.1, and lifestyle apps with 25.5.

Gaming app scores

Source: Adjust

APAC leads growth score

When it comes to the growth of mobile apps by region, APAC is leading the way with a Growth Score of 43.3. Europe and North America are close behind with scores of 35.9 and 30, respectively.

In terms of individual countries, India stands out with the highest growth score of 31.2. This is mainly because more and more people in India are getting access to affordable smartphones and mobile data plans.

Growth scores by country

Source: Adjust

Among different types of mobile apps, gaming apps are at the forefront in terms of growth. The top-ranking gaming subverticals globally include action, hyper-casual, sports, RPG, and casual gaming apps.

“Adjust is continually developing solutions that promote this new wave of global growth marketing to empower our clients to execute high-performance, measurable campaigns at a time when the mobile app ecosystem has never been more challenging ,” said Lou Hong, VP of Marketing at Adjust. “Adjust’s Growth Score tells marketers and developers where they can grow. Understanding which app verticals and regions have the highest potential for growth is essential when creating and scaling campaigns successfully.”

Key takeaways

• APAC mobile internet booms with 1.29 billion users in 2022, up from 700 million in 2015, driving app market growth
• Europe revenues set to reach $63.3 billion in 2023 (up from $56.24 billion in 2022), driven by travel and shopping apps
• APAC leads with a Growth Score of 43.3, India excels at 31.2, and gaming dominates growth

The post APAC leads app growth with travel and shopping apps surging in Europe appeared first on Business of Apps.

Appodeal and Pollen VC announce a strategic partnership to empower app developers and game studios. This collaboration provides immediate access to essential resources and financial support, enabling rapid and efficient app scaling.

The partnership is a natural extension of Appodeal and Pollen VC’s mission to empower app creators and developers.

Appodeal, a pioneer in in-app bidding and mobile app growth, and Pollen VC, a provider of credit lines to mobile game and app developers, join forces to offer a comprehensive solution that combines ad mediation, user acquisition, business intelligence, and financial support.

“Pollen VC’s innovative financing solutions perfectly align with our vision to empower app creators to stay independent and retain control over their intellectual property,” says Pavel Golubeff, CEO and founder at Appodeal. “Together with Pollen VC, we can offer a comprehensive solution that addresses both the operational and financial challenges faced by mobile app businesses, enabling them to scale rapidly and achieve maximum growth.”

This partnership will benefit not only Appodeal users but also all applicants to the Appodeal Accelerator Program. By joining forces with Pollen VC, Appodeal is taking a step further to provide mobile app businesses with non-dilutive financing options and flexible credit lines, enabling them to unlock the value trapped in their accounts receivable (AR) and reinvest into UA to scale quickly without relying on dilutive equity funding.

For Pollen VC, the partnership with Appodeal reinforces its commitment to providing mobile app developers and game studios with the financial tools and resources they need to succeed.

“Appodeal’s comprehensive growth platform and expertise in ad mediation, user acquisition, and business intelligence make them an ideal partner for us,” says Martin Macmillan, CEO at Pollen VC. “We are excited to work together to provide mobile app businesses with the most simple and transparent financing solutions to supercharge their revenue growth in a safe and capital-efficient way.”

Appodeal and Pollen VC are jointly committed to helping mobile app businesses thrive in a competitive market. With Appodeal’s cutting-edge tools and Pollen VC’s flexible financing options, app creators can optimize their monetization strategies, accelerate user acquisition, and manage ad campaigns—all from a single dashboard. Additionally, the collaboration will enable app creators to access financial education tools, helping them make informed decisions and optimize their capital mix.

As of today, app creators and game studios can join the Appodeal Accelerator Program and, in parallel apply for a credit line with Pollen VC. The application processes are simple and straightforward, and the partnership provides all the necessary tools to evaluate metrics, set up UA campaigns, and optimize finances.

The post Appodeal and Pollen VC announce new partnership appeared first on Business of Apps.

We wanted to give you a friendly nudge – the App Growth Awards 2023 entries are about to close THIS FRIDAY.

Why should you jump in ASAP?

1. Zero Cost: Entering the awards won’t cost you a dime. It’s a golden opportunity without breaking the bank.

2. Easy Peasy: We promise it’s a breeze. Just answer 5 quick questions, and you’re in the running.

3. Shine Bright: Winning an award is like a spotlight on your company. Get ready for some well-deserved recognition.

4. Stay Ahead: Your competition is already in the game. Don’t let them steal the spotlight.

We’ve got submissions pouring in from all over the world – publishers, developers, platforms, agencies – and your company should be on that list.

Quick reminder of the categories:

– App Advertising Platform
– App Analytics Platform
– App Data Platform
– App Engagement Platform
– App Messaging Platform
– App Revenue Platform
– MMP of the Year
– ASO Company
– User Acquisition Company
– App Marketing Agency of the Year
– App Growth Innovation
– App Marketer of the Year
– Fastest Growing App
– Growth Team of the Year
– App Marketing Campaign of the Year

No entry, no shot at winning. Take a few minutes this week to send in your entry at zero cost and start prepping that victory speech.

Got questions or need a hand? Just hit us up with a reply, and we’ll sort you out.

Don’t wait – this is your last chance to be a part of the App Growth Awards 2023.

The post App Growth Awards 2023 Entries Closing This Week appeared first on Business of Apps.

Mobile app marketing’s performance is on a steady rise across industries. In 2023, 64.7% of global companies increased their mobile ad budgets compared to the previous year. For UK businesses, this number spiked to 67%, with a budget boost of over 29%. That’s according to new research from performance advertising experts Moloco. Let’s dive right in.

Performance mobile app marketing on a wave

UK-based firms increased their mobile performance ad budgets by almost 26% of the global average. Moreover, 63.2% of global firms, and 68% of UK organisations, shared plans to allocate more of their mobile ad budget to performance marketing in 2022.

Notably, performance marketing claimed a lion’s share at 45.7% in 2023, surpassing brand marketing at 41.4%. This shift underscores the widely recognised importance of performance marketing in driving sales and profits.

Companies’ allocation in the marketing budget for mobile ads: 2023 vs. 2022 comparison

Source: Moloco

Performance-driven marketing creates a positive loop by boosting user acquisition and enhancing Return on Ad Spend (ROAS).

Companies proficient in performance-driven mobile marketing programs are not just skilled but also highly content with their outcomes, giving it a solid 4.4 out of 5 rating. They attribute this success to performance marketing’s ability to effectively bring in new users, secure high-quality user acquisitions, and improve ROAS.

Performance boost is a major reason for rise in marketing budgets

Source: Moloco

Interestingly, a significant 58.2% of marketers believe that performance marketing is more effective for driving revenue growth compared to traditional brand marketing methods. Furthermore, 55.5% of marketers consider performance marketing as the key to achieving profitability, especially in uncertain economic times. This sentiment is even more prevalent in the UK, where an impressive 68.6% of marketers share this viewpoint.

Machine learning and AI are top technologies

The top criterion for choosing a mobile app performance marketing solution is advanced machine learning, garnering the coveted #1 spot. Across the globe, marketers are finding that advanced ML/AI technology takes precedence, with a substantial 37% of them selecting it as the paramount factor from a list of ten possible considerations. Following closely behind are factors such as global reach, securing second place with a 23.1% preference, and high-quality user acquisition, claiming the third spot with an 18.1% vote.

MI and AI as top marketing tech

Source: Moloco

The pivotal role of machine learning is underlined by its ability to furnish real-time, precise data for informed decision-making and the meticulous tracking of objectives. It stands as the linchpin for success in the realm of mobile app performance marketing solutions.

“The global shift in marketing from reach to results continues to gain momentum across different countries and various industries,” said Daisuke Yokokawa, Vice President, Global Marketing, Moloco. “Many mobile app marketers are aware that the secret of big tech’s success in advertising is advanced ML technology and the performance marketing solutions that they provide. This global trend is due to the clear and resounding power that mobile app performance marketing has to drive revenue, user acquisition, and profit, especially during times of economic uncertainty.” 

Key takeaways

• In 2023, 64.7% of global companies increased mobile ad budgets, rising to 67% for UK businesses
• 37% of marketers prioritize advanced ML/AI in mobile app marketing solutions
• Performance marketing claims 45.7% of the mobile ads budget, exceeding brand marketing at 41.4%

The post 65% of companies increased their mobile ad budgets appeared first on Business of Apps.

Streaming apps are a dynamic bunch. Companies continually refine strategies to stay competitive and new data from Sensor Tower reveals the user demographic trends among major competitors in the space.

As the streaming landscape evolves, Disney+ and others are adjusting digital ad strategies. Disney+, for instance, targets mature, high-spending users by increasing ad spending on platforms favoured by this demographic. On the flip side, Pluto TV hones in on younger users, noticeably boosting investments in platforms popular among the youth. We’ll take a closer look below.

Disney+ targets older audiences

Disney+ has effectively tailored its ad strategy to attract a more mature audience. Initially focused on family-friendly content, Disney+ strategically shifted its approach by increasing ad spending on platforms such as Facebook, Instagram, and websites commonly frequented by older demographics.

This change, combined with a broadened content selection featuring more mature themes, bolstered Disney+’s appeal and contributed to the growth of users aged 45 and above.

Disney+ ad spend overview

Source: Sensor Tower

The key lesson here for other streaming platforms is clear: comprehending your audience and directing advertising efforts accordingly can significantly impact user demographics and overall growth. The strategic adaptation becomes particularly critical during times of high inflation, as it prioritises reaching customers with greater disposable income.

Growth of older streaming users among select streaming apps

Source: Sensor Tower

Pluto TV channels younger users

Pluto TV increased its ad budget on platforms that resonate with younger audiences, such as Hulu and TikTok. The company is also intensifying its efforts to compete with platforms like Netflix and Disney+. These platforms now offer more affordable, ad-supported subscription options.

Pluto TV ad spending by channel

Source: Sensor Tower

Of particular note is Pluto TV’s amplified investment in TikTok, which ranks among the top five apps where Netflix users in the US spend significant time. This indicates a keen understanding of cross-app usage patterns and could be a good lesson for app publishers and streaming rivals alike: delving into cross-app usage data and adjusting strategies accordingly can be a game-changer in the fiercely competitive streaming industry.

Key takeaways

• Disney+ boosts appeal with mature themes, reaching users aged 45+, proving tailored ads impact demographics and growth
• Pluto TV invests in TikTok and Hulu to compete with Netflix and Disney+, adapting to younger audiences
• Streaming’s future relies on understanding audiences and strategic adjustments, crucial in a competitive, ever-changing landscape

The post How streaming apps tailor their ad strategies to meet core demographics appeared first on Business of Apps.

It’s that time of the year again – the App Promotion Summit opens its doors in San Francisco at W Hotel to greet subscription app strategy experts.

This is your chance to meet more than 100 app marketers and pick up the brains of more than 20 speakers during 10 sessions. You will hear from Appsflyer, Gummicube, LTV Labs, Remerge, App Masters, and more.

This is your window into the latest thinking on what it takes to launch, grow, and sustain your subscription app.

Register here.

The post Subscription app strategies from top experts this Thursday in W Hotel in San Francisco appeared first on Business of Apps.

Today’s app economy is crowded and competitive, yet there are 255 billion downloads per year and that’s only set to get higher.

The advances of other platforms, ranging from CTV to alternative app stores, turn up the pressure on app developers to tackle a new set of opportunities and challenges. More platforms for apps means more opportunities to reach and engage new audiences and generate new revenues.

But there is a catch. To drive this positive outcome, app companies have to double down on efforts to ensure their app is discovered by audiences genuinely interested in downloading and interacting with it on a frequent basis. It’s ongoing and expensive work in a marketplace where audience segments are fluid, not static.

Simply put, optimizing your app store presence to attract valuable users from the get-go is core to achieving and maintaining a competitive advantage. It’s also an activity that will devour more time and resources than most developers can commit.

In 2023, mastering ASO analytics is essential

In this environment, leveraging ASO keyword data is a must.

But, in a market where many tools are similar, it’s critical to choose tools that are both affordable and innovative.

The vast majority of platforms are pricey, charging complex fees for access to comprehensive data and limiting keyword research until you spend more. It’s a model that effectively limits your keyword universe, forcing you to miss out on longer-tail keywords and other features that would rocket the visibility and discoverability of your app.

In a nutshell, the prevalent pricing model used by most platforms stunts growth for app developers already feeling the pinch.

Providing easier access to unlimited and uncapped ASO data

A challenging and competitive market demands smart approaches that seek out every opportunity for growth. APPlyzer was designed from the ground up to be real-time and offer real value for money.

To do this, APPlyzer now offers uncapped ASO data. That means no limits on keywords and no limits on an app’s growth potential. It provides App Store, Play Store and Mac Store insights in every country and every language at a price up to 8 times less than many other platforms.

APPlyzer in summary

APPlyzer is built by ASO experts, for ASO experts. After 14 years of experience, we know what really matters in crafting a market-leading ASO strategy, those essential tools are what you’ll find in the platform—and more importantly—that’s all you’ll pay for.

Added to that, we’ve worked hard to keep the costs low on our end without sacrificing quality. Optimizing processes and storage, so that we can offer developers the best price possible.

Visit APPlyzer to learn more about the new features.

The post APPlyzer relaunches with unlimited ASO data for app developers appeared first on Business of Apps.

A recent analysis conducted by Niko Partners has taken a closer look at the mobile gaming market in India, highlighting significant growth in both revenue and the number of gamers. India’s gaming industry is on an upward trajectory, with projections indicating a revenue increase to $868 million in 2023, representing a 21.2% year-on-year growth. Let’s take a closer look.

Gaming community surges 12%

India is now one of the fastest-growing mobile gaming markets globally, seeing exponential growth in both gamer population and revenue. The forecasts suggest that by 2027, the overall Indian gaming market could achieve a staggering valuation of $1.6 billion, reflecting a compound annual growth rate (CAGR) of 10.1% over a five-year span.

The number of gamers in India is poised to reach 444.4 million in 2023, marking a robust 12.1% year-on-year upsurge.

Looking ahead, the Indian gaming community is expected to swell to an impressive 641.2 million by 2027, maintaining the same CAGR of 10.1%. This astonishing growth signifies a staggering 343% increase from the 144.9 million Indian gamers recorded in 2017.

Overview of India’s gaming market

Source: Niko Partners

Mobile gaming commands the lion share

Mobile gaming reigns supreme in India, commanding a whopping 96.8% share of the nation’s gaming landscape. Several factors contribute to this dominance, including the affordability of mobile devices compared to other gaming platforms and the vast availability of diverse game titles, including free-to-play options.

Additionally, the increasing accessibility of the internet across the nation has ushered in a wave of new users into the realm of mobile gaming.

The popularity of mobile gaming is further underscored by the fact that an estimated 31% of Indian mobile gamers are expected to invest money in video games in 2023, with an average revenue per paying user reaching $6.38. This surge in spending among gamers hints at substantial revenue potential, especially considering India’s penchant for free-to-play games.

Key takeaways

• Indian gaming surges with 12% more gamers, eyeing $1.6 billion revenue by 2027
• Mobile gaming dominates with 96.8% market share, driven by affordability and diverse titles
• 31% of Indian mobile gamers spending, average user revenue at $6.38, indicating substantial profit prospects

The post Mobile commands 97% share of India’s gaming landscape appeared first on Business of Apps.

CapCut, ByteDance’s video editing app, has achieved a staggering milestone, surpassing $100 million in consumer spend across iOS and Android devices, according to data.ai. Let’s dive in.

CapCut by the numbers

Originally launched in China in 2019, CapCut quickly gained momentum on the international stage, riding on the coattails of its wildly popular sibling, TikTok. The app’s seamless integration with TikTok has played a pivotal role in attracting users from TikTok’s vast global audience, propelling CapCut to new heights of success.

As of August 2023, CapCut boasts a user base of 490 million across both iPhones and Android phones. This figure accounts for nearly a quarter of TikTok’s user base, which stands at a staggering 2.1 billion individuals worldwide.

CapCut’s ascent to the summit of the video editing app world has been nothing short of meteoric. In the first half of 2023, the app surpassed Splice to claim the title of the most profitable video editing app globally for the first half of the year. During this period, CapCut recorded an astonishing $50 million in consumer spending, setting a new industry standard.

Top video editing apps H1 2023

Source: data.ai

Notable expansions include a 51% increase in the UK and a 99% surge in Egypt. In H1 2023, China, Indonesia, and Brazil led in downloads.

The app’s monetisation strategy is driven by subscriptions, with the “One-year PRO” option at $74.99 accounting for 34% of consumer spending, followed by the $7.99 Monthly Subscription at 26%.

What’s behind CapCut’s rise?

CapCut’s growth has been fuelled by its user-friendly interface and a suite of editing tools that have resonated with a diverse range of creators worldwide. Its close connection with TikTok allows users to seamlessly transition from editing their videos to sharing them on TikTok.

CapCut versus other apps – usage

Source: data.ai

Analysts anticipate that CapCut’s ascent is far from over, as the app continues to innovate and expand its features, attracting a growing number of content creators and enthusiasts.

The $100 million milestone signals not only CapCut’s remarkable growth but also the enduring influence of ByteDance’s suite of creative and social platforms on the global digital landscape.

Key takeaways

• ByteDance’s CapCut achieves $100M in consumer spending, marking its digital content industry impact
• CapCut boasts 490M users worldwide, nearly 25% of TikTok’s user count, strengthening its global influence
• CapCut’s success is rooted in subscriptions, with “One-year PRO” at $74.99 and Monthly Subscription at $7.99 leading revenue

The post CapCut video app sees $100 million milestone in consumer spend appeared first on Business of Apps.

We have a couple of updates for you…

Firstly, the Super Early Bird Ticket option ends THIS Friday. Save up to €250 and secure your place at what will be the app growth event of the year.

Secondly, we’re delighted to announce our initial line-up of speakers ready to share their insights on Thursday 30th November, including:

• Brad Richards, Managing Director & CPO, LOVOO
• Irina Ashkenazy, Head of Growth Marketing, Sweatcoin
• Ekaterina Gamsriegler, Head of Marketing, Mimo
• Niklas Henckell, Head of Community Development, Jodel
• Marton Varga, Senior Product Manager, adidas Runtastic
• Alexander Beresford, Chief Growth Officer, Taxfix
• Anja Obermüller, Head of Digital Marketing, Raiffeisen Bank International
• Anton Tatarinovich, Senior ASO & ASA Manager, Freeletics
• Jessica Gotti, Performance Marketing Lead, Paired
• Quoc Anh Luong, ASO Manager, Vinted
• Deniz Kekec, Performance Marketing Manager, InnoGames

We’re busy building a great agenda with 4 rooms of content (and some new surprises!).

We will be covering app growth across the funnel from acquisition to retention with a focus on the New Era of App Growth topics including AI enabled marketing, product-led growth, ASO 2.0 and Rebuilding User Acquisition.

APS Berlin WILL sell out, so if you want to attend now is a great time to get your ticket.

The post APS Berlin: Speakers + Super Early Bird Ends This Week appeared first on Business of Apps.

In a study that pulls back the curtain on the escalating cybersecurity challenges of our digital age, a staggering 57% of monitored apps were found to be at risk of cyber threats. This recent data comes from a comprehensive survey carried out by Digital.ai, who gleaned insights from their global application security clientele.

App popularity does not equal higher risk of attacks

Gaming apps, which constitute a significant portion of the digital landscape, seem particularly exposed, with 63% reporting attacks. Financial Services apps, intricately tied to the world’s financial arteries, are not far behind at 62%. These numbers underscore the mounting pressures these sectors face in ensuring user trust and data integrity.

Interestingly, an app’s standing in popularity charts doesn’t necessarily equate to its vulnerability. The survey revealed a disconnect: there’s no consistent correlation between an app’s popularity and its likelihood of facing an attack.

However, the operating system appears to play a significant role in an app’s security paradigm. Android apps, for instance, find themselves more frequently housed in riskier environments, with 76% at potential risk compared to iOS apps, which stand at 55%. This trend is consistent with the observation that Android apps have a 28% likelihood of operating with altered code, a stark contrast to the 6% probability for their iOS counterparts.

Android apps more likely to see attacks

Source: Digital.ai

The statistics presented are based on point-in-time data, curated between February 1 and February 28, 2023. As the digital realm continues to expand and mutate, these insights offer a telling snapshot of the challenges — and imperatives — facing developers and businesses today.

Multiple factors raise risk of cyper attacks

A combination of factors is increasing the likelihood of cyber attacks in 2023.

• Tools in the Wrong Hands: Hacking tools are getting better and more accessible. Tools like Ghidra and Frida are becoming more sophisticated, making it easier for cybercriminals to carry out attacks.
• Cryptocurrencies and Easy Cashouts: Cybercriminals find it simpler to cash out from their schemes, especially when using ransomware, thanks to cryptocurrencies and P2P payment apps.
• Nationalisation of Attacks: Cyberattacks are not just isolated efforts anymore. Some may have backing from governments, giving hackers more resources and power.

Gaming apps and fintech apps more likely to be attacked

Source: Digital.ai

This growing threat highlights the need for strong cybersecurity measures.

“Application owners know all too well the pressures of creating more apps, faster, especially with the addition of AI-code assist tools,” said Derek Holt, CEO, Digital.ai. “This leads to security getting short-changed; it is often not included the DevOps process or it is seen as an impediment without an obvious starting point. Digital.ai’s platform enables teams to inject security capabilities and procedures early into the development cycle, without blocking innovation or slowing down the development and delivery process. This means security teams can monitor applications in production for better visibility into when apps are at risk.”

Key takeaways

• A staggering 57% of monitored apps are at risk of cyber threats
• Android apps face a higher risk (76%) compared to iOS apps (55%)
• Gaming apps (63%) and Financial Services apps (62%) are particularly exposed to attacks

The post Over half (57%) of monitored apps are susceptible to cyber threats appeared first on Business of Apps.

More and more people around the world care about their digital well-being. One out of every four consumers is using apps to reduce how much time they spend on screens or to avoid annoying interruptions. That’s according to new research shared by Airship.

Digital wellbeing

While users are looking to reduce the time they spend online, ever more folks are turning to Apple’s Focus and Live Activities features – tools that help them stay focused on important information and apps during different parts of their day, all while minimising distractions.

Since it was introduced in September 2021, 56% of iPhone users have used Apple’s Focus feature to choose which apps, people, and notifications can get through to them at different times of the day. Among those who haven’t used Focus, 42% are unaware of it, and 29% feel they don’t get interrupted enough to need it.

Surprisingly, 41% of respondents have already tried Live Activities with their apps, while 35% haven’t and only 24% remain unaware of this new feature. What’s worth noting is that global consumers seem quite pleased with Live Activities, with 62% of users who’ve tried it rating their experience as “Good” or “Exceptional,” and only 6% rating it as “Poor” or “Bad.”

Why people continue to use apps

Source: Airship

“It’s no surprise that Apple is looking to double down on the success of Live Activities with new updates that will transform the lock screen into something that closely resembles a remote control for your life,” said Thomas Butta, Chief Strategy and Marketing Officer, Airship. “Now more than ever, brands can gain front-and-centre visibility by simplifying customers’ lives and saving them time – rather than commanding or demanding their attention. That’s key to unlocking a valuable new era of customer experience.”  

Convenience is still king

Consumers are downloading more apps than ever, and what keeps them using these apps might surprise brands. While brands may expect consumers to be drawn by deals or loyalty rewards, the key reasons for continued app use are actually about ease and convenience. Most users rely on apps because they find them easy to use (35%) and because they simplify their lives (31%). This desire for convenience and efficiency is far more significant than other reasons. “Saves me time” (27%) comes in third place among 11,000 global respondents.

But even in our uncertain economy, convenience remains king. However, “saves me money with the best deals” ranks as the fourth most important reason for using apps (23%). Deals, rewards, and targeted offers have also seen significant growth as reasons for opting into notifications from mobile apps, as we’ll discuss later.

Ease of use and convenience are primary motivations

Source: Airship

Convenience and efficiency are important to all age groups. “Ease of use” was the top factor for app usage among all generations, and it’s particularly noteworthy that 43% of boomers ranked it as their top factor. The second-highest factor for boomers was “saves me time,” whereas for other generations, it was “simplifies my life.”

From onboarding customers to getting them to come back for more, it’s crucial to build an app experience that’s intuitive and easy to navigate, while delivering value. The app experience should make an otherwise time-consuming and laborious task be as simple as clicking a button — and feel intuitive and effortless too.

Key takeaways

• 25% of consumers prioritize digital wellbeing, using apps like Apple’s Focus and Live Activities
• 66% value app ease of use and simplification of life, while 27% use apps for time-saving
• 23% consider saving money with deals a key app benefit, showing its importance

The post Adoption rate of Apple’s Focus and Live Activities rises to 56% as users prioritise digital wellbeing appeared first on Business of Apps.

In the US App Store, many apps are experiencing a drop in downloads, even as the overall revenue generated from the App Store continues to rise. Data from app intelligence firm Appfigures reveals that some of the most prominent apps are gradually losing their appeal in the face of intensifying competition, which is contributing to an overall decline in app installations. So what exactly is happening?

Slowdown in sight

Based on US App Store and Appfigures’ Mobile Market Index, which tracks the top 25 apps’ downloads and revenues in each category and country, app installs stood at 91.87 last year, indicating a slight decline from 2018 but not a significant one. However, by August 31, 2023, the Index had dropped to 83.59, marking an 8.28-point decrease, equivalent to a 9% decline from the initial figure. This suggests a worsening trend.

Downloads on the US Apple App Store

Source: Appfigures

Throughout the past year, the Download Index experienced fluctuations, with a temporary surge in December 2022, a typical peak month for new app installs due to holiday season device activations and increased user leisure time. However, these gains diminished by April, with the Index plummeting to as low as 64.50 points.

While this decline isn’t drastic enough to dethrone dominant apps like Facebook, it does signify a notable slowdown.

Not all apps are declining equally

But not all app categories are affected by this decline. Categories like sports streaming, medical, business, education, shopping, travel, and productivity apps continue to exhibit growth or stability. Conversely, news, games, entertainment apps, and several others have experienced significant double-digit declines, likely due to market saturation. In summary, a substantial number of apps across various categories are witnessing declines instead of growth.

A factor contributing to the decline seems to be that established apps are losing their appeal as new entrants enter the market. Although App Tracking Transparency has made user acquisition more challenging, it’s not a primary driver of this trend.

Mobile app revenues

Source: Appfigures

While recent months have seen shifts in the top ranks of the App Store, with Meta’s dominance diminishing and apps like TikTok, CapCut, Temu, and Shein ascending, the app economy isn’t entirely gloomy. As of now, Meta’s Threads is the sole non-gaming app in the US App Store’s top 10 free apps, holding the second position.

Despite declining installations, US app revenue is flourishing as developers prioritize monetization. Last year, the Mobile Revenue Index soared to 363.13, significantly surpassing 2018 figures. By August 31st, it surged to 458.3, marking a 36.4% increase.

Productivity apps stood out with a remarkable 69.3% revenue growth, while Board games in the games category saw a staggering 584.9% increase. Only four US App Store game categories – Sports, Racing, Music, and Action – reported revenue declines.

So while US App Store app downloads may be decreasing, the app economy thrives with revenue-focused developers and substantial growth in various categories.

Key takeaways

• App installs in the US App Store have dropped by 9% from January 1, 2018, to August 31, 2023
• While some app categories decline due to market saturation, others, like productivity and board games, experience significant growth
• Established apps are losing appeal to newcomers, a trend influenced but not solely driven by App Tracking Transparency

The post Deciphering the App Store slowdown: Why installs are declining appeared first on Business of Apps.

It’s all systems go with the App Growth Awards 2023 and the deadline for entries is in 2 weeks.

Why should you enter? Simple:

• It is completely free
• It’s easy – you only have to answer 5 simple questions
• You and your company are going to look like superstars when you win
• You can guarantee that at least one of your competitors has entered (so they could walk away with the prize instead of you!)

We’ve got hundreds of entries from across the globe, ranging from publishers and developers to platforms and agencies – don’t you want to make sure your company is on that list?

Here is the full list of categories to choose from:

• App Advertising Platform
• App Analytics Platform
• App Data Platform
• App Engagement Platform
• App Messaging Platform
• App Revenue Platform
• MMP of the Year
• ASO Company
• User Acquisition Company
• App Marketing Agency of the Year
• App Growth Innovation
• App Marketer of the Year
• Fastest Growing App
• Growth Team of the Year
• App Marketing Campaign of the Year

IF YOU DO NOT ENTER, YOU CANNOT WIN! Take ten minutes before the deadline on 29th September to submit your entry at no cost and then you can start planning your victory speech.

The post App Growth Awards entries close in 2 weeks appeared first on Business of Apps.

As the holiday shopping season approaches, retailers face the challenge of adapting to shifting consumer behaviour, with a strong emphasis on mobile app shopping. Shoppers are now more deliberate, with 74% planning their purchases in advance, managing budgets, and conducting thorough research and 42% consider holiday shopping easier thanks to apps and websites. That’s according to a survey of 450 retail app decision-makers by Google and Ipsos. Let’s dive right in.

Investment in mobile apps vital for success

Mobile apps are vital for retailers, driving profitability (74% agree) and boosting online sales (42%). App users tend to spend more (72% higher average basket ring), making apps a top ROI channel (44%).

So it comes as little surprise that the majority of retailers (85%) view investing in mobile apps as crucial for long-term success. These apps bolster customer retention and loyalty, especially in uncertain economic times.

Reaching customers where they are is important for holiday retail success, and apps offer a versatile omnichannel solution. Most retailers (77%) believe apps drive store and website traffic, with 93% reporting in-store app usage for tasks like product info, payments, price comparisons, and loyalty rewards.

The convenience of mobile apps in-store

Source: Ipsos

Seamless omnichannel experiences enhance brand building and customer satisfaction, leading 75% of app-enabled retailers to believe their app customers are more content. Additionally, 90% plan to increase or maintain mobile app promotion investments, seeing it as a path to future revenue growth and customer loyalty.

Integrating online and offline channels simplifies the customer journey, aligning with their habits and lifestyles. Prioritising mobile app investments becomes essential for retailers navigating the holiday season amid economic uncertainty, ensuring long-term marketing channel value.

Focus on loyalty

Retailers who prioritise brand loyalty for long-term success can benefit from loyal customers becoming brand advocates.

When customers trust a company, they recommend it to others (88%). Retailers see a direct link between app customers and brand loyalty, with 85% reporting app customers stick around longer. Indeed, app users make more purchases, repeat purchases, and buy more items. They offer immediate and long-term value, remaining loyal even when prices change (62%). By nurturing relationships through mobile apps, retailers can build a dedicated customer base resilient to economic shifts.

The survey also highlights that retailers can use their mobile apps to gather consented first-party data, enabling personalised shopping experiences during the holidays and beyond. This data enhances customer insights, refines future marketing campaigns, and boosts sales.

Brand loyalty as most important reason for business success

Source: Ipsos

Due to stricter privacy regulations and evolving user expectations, retailers now rely on consented first-party data instead of third-party data for understanding customer behaviour. Mobile apps provide a direct channel for customers to willingly share personal information, offering retailers insights into buying habits without violating privacy rules.

While some retailers are already using mobile apps for data collection and customer feedback (39%), those who do recognise its value (34% plan to invest more in mobile apps next fiscal year). This approach is especially relevant as consumers become more deliberate in their spending.

Making the most out of the holiday season

As the holiday season approaches amid economic uncertainty, retailers can thrive by prioritising their mobile apps and investing in effective promotions. Paid promotion methods, including social media ads, search engine ads, and app store ads, offer benefits beyond organic methods, with 85% of retailers already investing in paid promotion.

Paid promotions

Source: Ipsos

With tighter budgets, mobile apps become extremely valuable (75% of retailers agree) and essential for customer retention (88% agree). Retailers should boldly embrace paid promotions to harness the full potential of their apps, fostering loyal customers, collecting first-party data, and establishing market leadership.

Key takeaways

• 85% of retailers recognize the pivotal role of mobile apps in long-term success
• App users tend to spend 72% more, are 62% less price-sensitive, and demonstrate higher brand loyalty
• 85% of retailers invest in paid app promotions, underscoring their importance in driving sales and customer retention

The post 77% of retailers believe apps drive store and website traffic appeared first on Business of Apps.

Are you joining us in Berlin on 30th November to learn about the new era of app growth?

In 2024 apps will have more opportunities than ever before…

There are now 5 billion iOS and Android devices – creating a global platform with unprecedented scale for app services across multiple verticals from education to travel to healthcare.

Increasingly apps are the default channel for consumers to access digital services with global app downloads estimated to reach 299 billion by the end of 2023.

However, existing ways of growing and retaining app users are being disrupted, and now, more than ever, new approaches are required including:

• AI-enabled app marketing
• Data-driven decision making
• Product-led growth
• New creative angles
• Subscription focused business models
• SKAN 4.0 attribution
• ASO reporting

Join us and our already amazing lineup of speakers from adidas Runtastic, Vinted, LOVOO, Freeletics, InnoGames, Paired, BodyFast, Mimo, Taxfix, Raiffeisen Bank International, Tandem, Delivery Hero and Blacklane.

Make the most of our Super Early Bird pricing and get your ticket today.

The post Welcome to The New Era of App Growth appeared first on Business of Apps.

During the Covid-19 pandemic, people flocked to their phones to order food through apps. While the trend to shop online has outlived the end of lockdowns, the market is more crowded than ever before and quick service restaurants (QSR) now must adapt their advertising campaigns to stand out.

The streaming habits of QSR customers

New insights from Sabio, a connected TV ad platform, analysed QSR consumer mobile app data and streaming habits to collate in-depth audience insights that are useful for marketers to make more informed campaign decisions.

The study found that QSR consumers are at least 2.3x as likely to stream the XUMO and Pluto TV apps compared to others. They’re also 2.15x as likely to stream the Dance, Holiday, and Soap Opera genres on CTV.

But streaming habits aren’t everything. The apps we keep on our phones can offer unique insights into the habits of QSR consumers.

Top streaming apps installed by QSR customers

Source: Sabio

QSR consumers are at least 4.44x as likely to have apps in the Card Games and Board Games app categories.

According to the findings, this audience has a high affinity for fun and intellectually engaging apps, allowing them to test their knowledge and engage in interactive and brain-stimulating activities.

In other words, advertisers may benefit from ad formats that feature product-focused interactive elements, such as games or trivia when targeting QSR consumers.

Other app habits

Facebook, Instagram, Snapchat, and TikTok were found to be the most popular social media apps downloaded by QSR consumers. But consumers are also 3.28x as likely to have the music apps Audiomack and Stitcher and 5.51x as likely to have the GasBuddy app installed on their phones.

Top social apps

Source: Sabio

For advertisers, these segments offer various avenues to target audiences at a time when they’re both engaged and connected.

For QSR apps, consumers were 3.76x as likely to have the QSR apps Little Caesars and Whataburger. Loyalty rewards and special offers can foster QSR app downloads, but they also offer in-app delivery, which may contribute to decreased foot-traffic/store visitation and promote the convenience factor that’s associated with app ordering.

Top QSR apps

Source: Sabio

Key takeaways

• QSR consumers engage with specific apps and content genres, indicating tailored advertising opportunities
• Intellectual apps suggest interactive ad formats like games and trivia could resonate with QSR audiences
• Leveraging loyalty rewards and in-app convenience enhances QSR app adoption and user engagement

The post Quick Service Restaurant consumers are twice as likely to have streaming apps installed appeared first on Business of Apps.

Meta, the parent of Instagram and Facebook, is reportedly contemplating the idea of giving users the opportunity to avoid advertisements by subscribing to a paid service. According to the New York Times, Meta’s intention is to maintain free accessibility to its websites and apps. The specific pricing details for this subscription service have not been revealed at this point.

Meta response to regulations

The potential shift towards paid subscriptions comes in response to increased regulations that dictate how Meta gathers and employs user data. It signifies an upcoming contrast in the digital experiences of users in Europe and the US.

By introducing this choice, Meta aims to navigate the scrutiny of European Union regulators. In July, the company faced restrictions on merging data across its platforms, including WhatsApp, Instagram, and Facebook. Additionally, Meta received a 390 million euro fine for requiring users to agree to personalised ads as a prerequisite for utilising Facebook services.

Regulatory hurdles ahead

Meta faced a series of fines, including a penalty of €1.2 billion for failing to comply with a previous court ruling by transferring user data to the US. Additionally, they were fined €225 million for violations associated with WhatsApp. As a result of these challenges, Meta encountered regulatory hurdles in the European market. They chose not to release their latest app, Threads, in European countries.

The company now believes that offering subscription options could help ease regulatory concerns, despite the possibility of facing resistance from users.

If just a few members subscribe the company could absorb the losses.

Europe is Meta’s second most profitable market, following North America with the EU contributing 10% of the company’s annual revenue. This underscores Meta’s substantial financial incentive to address the concerns raised by European regulators.

In response to the upcoming EU Digital Services Act, Meta recently introduced new features to comply with the regulations. These features offer expanded control and transparency rules for users of Facebook and Instagram in Europe.

Key takeaways

• Meta considers offering paid subscriptions to avoid ads, aiming to balance revenue and user preferences
• Meta’s shift to subscriptions responds to stricter data regulations, aiming to address EU concerns and regulatory fines
• Meta faces fines and market challenges in Europe, but its financial strength and EU revenue drive efforts to meet regulatory standards

The post Meta eyes paid subscriptions for its social app appeared first on Business of Apps.

APS SF early bird tickets end this Friday – don’t miss out on saving over $2,000.

We hope you can join us at APS SF – Subscription App Strategies in person on Thursday 28th September, along with other app marketers, as we teach you how to grow and scale your subscription apps.

Book your ticket now to learn from the likes of MyFitnessPal, Canva, CoinStats, Together Labs and Sago Mini and network with the biggest names in app marketing.

Brands booked on include Calm, Amazon Music, PlaySide Studios, The Weather Channel, Reddit, Chegg, VIZ Media, Pinger, Pixelberry Studios, DistroKid, SmartNews, Buddy .ai and Epic Games.

Reserve your ticket by this Friday (8th September).

If you represent an app or brand you can apply to attend at the link here.

The post APS SF early bird tickets end this Friday appeared first on Business of Apps.

Mobile app stores in China, run by companies like Tencent and Xiaomi, are now stopping app makers from releasing new apps if they haven’t met all the required rules from authorities. This follows new regulations introduced last month to have more control over mobile apps in the country.

What’s happening in Chinese app stores?

New regulations in China now mandate mobile app creators to share their business information with the government. App stores in China were given until the end of August to set up their systems for managing these submissions related to new apps.

Starting from Friday, new apps on Android app stores are required to have these filings, and existing apps must have them by March 31. This essentially means that all apps on these stores, whether they are global or local, need to establish a presence in China or collaborate with a local partner.

People in the industry are worried that it might become really hard to publish apps in the second-biggest economy and that many apps might even have to be taken down.

These regulations highlight that even though Chinese authorities seem to have concluded a prolonged period of extensive regulations targeting the technology sector, there’s still ongoing scrutiny. This is in line with Beijing’s goal to align business operations with its socialist principles.

How will stores respond?

Last week, major Android-based app stores run by companies like Tencent, Huawei Technologies, Xiaomi, OPPO, and Vivo sent out notifications to app developers, informing them that new apps lacking proper documentation would not be featured on their platforms.

It’s not clear how Apple’s app store in China will adapt to the new regulations from Beijing. As of Monday, Apple hasn’t been verifying the filing status of apps, as reported by AppInChina based on their own checks.

Apple, the Ministry of Industry and Information Technology, as well as Tencent, Huawei, Xiaomi, OPPO, and Vivo, have not responded to requests for comments.

Tencent’s WeChat, which is China’s most popular social media platform, notified app publishers that the same filing requirement would apply to “WeChat mini apps” referring to apps directly published on the WeChat platform.

According to Huawei’s notice, a special task force has been established by the ministry to enforce the new policy. The ministry has also planned discussions with industry participants about the implementation of this policy. The notifications explained that app stores will need to clearly indicate the filing status of each app on their platforms.

Key takeaways

• Chinese app stores (Tencent, Xiaomi) block new apps that don’t follow rules, following stricter regulations to control mobile apps
• New rules require disclosing business info; stores had until August to set up systems for app submissions
• Apple’s approach uncertain; major app stores issue notifications for compliance; Tencent’s WeChat also affected; ministry establishes enforcement task force

The post Chinese app stores enforce new rules appeared first on Business of Apps.

Google has partnered with ten mobile game developers following the successful launch of its Play Live event. The partnership aims to provide players with exclusive in-game items, accessible through Play Points and underscores Google’s commitment to enhancing the gaming experience for its users.

Google partners with game developers

The selection of games in this collaboration includes popular titles like Lord’s Mobile: Kingdom Wars, Match Masters, Evony: The King’s Return, PUBG MOBILE, and Clash of Clans. Additional surprises await gamers, promising to add an extra layer of excitement to their virtual experiences.

To kick things off Google is granting all users a seven-day Play Points booster. This allows players to accumulate eight times the points for each in-game item they acquire in the specified games. For devoted gamers, this enhancement is akin to advancing to a higher level within their gaming journey.

But the excitement doesn’t stop there – Google is expanding the horizons of its Play Points rewards program. In the near future, Platinum members will enjoy the opportunity to exchange their diligently earned points for rewards extending beyond the realm of gaming. These offerings encompass benefits from Walmart Plus, Instacart, and Discord, rendering Play Points even more versatile and valuable in everyday life.

What rewards will be available?

Google is also enhancing the gaming experience with a range of deals and offers. Fans of Candy Crush Saga can now enjoy double the rewards value, while RAID: Shadow Legends provides a limited-time chance for 50% more materials and vital resources. Gardenscapes is offering substantial discounts of up to 80% on special events, offering bundles that accelerate progress with in-game treasures like coins, boosters, extra lives, and event tickets.

Bumble is extending its Spotlight special, granting users an extra hour to connect with potential friends or romantic interests. Meanwhile, Duolingo is providing a one-month free trial of “Super Duolingo” to supercharge language learning.

All these opportunities are available from August 31st to September 6th. Players can access the offers and events within their favourite gaming apps or through the Google Play Store.

In addition to Google’s Play Live event, which allowed fans to engage with top content creators and delve into their preferred games, these fresh deals and in-game rewards are part of Google’s Labor Day Deals Week, with more exciting offers on the horizon for gamers and tech enthusiasts alike.

Earlier this year, Google hosted its annual Google I/O developer conference, unveiling new features for Google Play developers, including AI-powered tools. It also introduced the initial beta of Google Play Games on PC in January 2022, enabling users to play popular Android games on Windows devices.

Key takeaways

• Google’s collaboration with 10 mobile game developers follows the success of Play Live event, aiming to offer exclusive in-game items through Play Points
• Google broadens Play Points rewards for Platinum members, allowing redemption for offers beyond gaming, adding versatility to its program
• From boosted rewards in popular games to extended app benefits and language learning trials, Google’s efforts enrich the gaming experience for users

The post Google partners with game app developers to boost in-game rewards appeared first on Business of Apps.

In an effort to diversify and generate more cash from subscriptions, apps are turning toward premium tiers. Dating apps such as Tinder, Match and Bumble are leading the way by introducing premium tiers that could run as high as $500 a month.

Weekly isn’t enough

Earlier this month, Tinder announced that it was to launch premium tiers for its membership subscriptions. And it’s far from the only one.

Notable dating platforms such as Match and Bumble are actively seeking ways to sustain their revenue growth, as they’ve seen users opting for paid features flatline.

According to Bloomberg, a tactic that’s gaining traction involves the introduction of weekly subscription plans in order to attract a larger audience towards paid offerings.

Match Group saw robust interest in its recently unveiled weekly subscription models. In the UK, there’s been a noteworthy 73% upswing in the adoption of paid plans by Gen Z women on Tinder ever since its introduction in April. A similar trend was observed on Hinge, another app within the Match Group umbrella as well as Bumble.

Bumble app paying users and revenues per user

Source: Bumble

There’s just one problem: weekly subscriptions often result in less predictable revenue as users may subscribe for short periods and then cancel.

Bring on premium

To address this issue, companies are exploring premium tiers at higher price points. Match Group, for instance, is preparing to launch a subscription tier priced at $500 per month in the upcoming months. Bumble, which already offers weekly subscription options, intends to test a premium tier later this year, alongside a more budget-friendly choice specifically tailored for Gen Z users. Grindr is also seeing favourable results from its new weekly subscription option and is contemplating the introduction of more affordable choices as well as a premium tier.

These premium tiers cater to individuals seeking a more personalised and precise matchmaking experience. Whitney Wolfe Herd, CEO of Bumble, noted during a recent earnings call that some users consider spending $40 to $50 per month to find a meaningful connection as a worthwhile investment.

While introducing these high-priced tiers, both Bumble and Grindr are also exploring the possibility of offering new tiers at lower costs compared to their current subscription plans.

Dating apps aren’t the only companies striving to adapt to the preferences of Gen Z users. In April, YouTube announced two new advertising alternatives aimed at making it easier for advertisers to connect with this demographic.

Key takeaways

• Dating apps like Tinder, Match, and Bumble are introducing premium tiers to diversify and enhance subscription revenue
• Weekly subscriptions face challenges due to unpredictable user retention, leading companies to explore higher-priced premium tiers for stability
• Match Group and Bumble are preparing to launch high-priced premium tiers, aiming to offer more personalized matchmaking experiences while also considering lower-cost options

The post More apps are embracing premium tiers to boost revenues appeared first on Business of Apps.

August is an interesting time for the app industry, with the summer holidays throwing into disarray usual app usage patterns. That being said, most of the top apps retained their position as the most downloaded of the month, with TikTok in pole position and Meta Platforms’ Instagram, Facebook, and WhatsApp rounding out the top four.

Outside of the usual top four, there have been some risers and fallers this month. One of the biggest talking points of the month has been the decline of both Threads and X (formerly Twitter) in usage and both have seen declines in downloads, but they still both managed to feature in the top 50.

If you want to see the full list of apps by downloads and in-app revenue, visit our App Rankings page.

Risers

ChatGPT (up 36)

ChatGPT had a bit of a slump in downloads last month, dropping 23 per cent. This month was much better for the AI chatbot, even though web usage has reportedly dipped.

Duolingo (up 7)

Duolingo has had two months of increased downloads, which is to be expected in the summer holidays. India is the app’s largest market in terms of downloads.

JioCinema (up 65)

JioCinema is aiming to overtake Disney’s Hotstar in India as the premier video streaming service. It received a decent boost in downloads in August, after a two-month slump following the end of the Indian Premier League.

Telegram (up 3)

At fifth in monthly downloads, Telegram is meeting a need for many people as an alternative to WhatsApp and Facebook Messenger. Almost half of its monthly downloads came from India.

Shopee (up 11)

Shopee has seen a lot of growth in the Indonesian market over the past year. It has been attempting to expand to more locations to offset ending operations in India.

Fallers

Threads (down 8)

Threads dropping eight places might not seem that worrying, but it is a significant decline of over 40 million downloads. More troubling, interest in Threads’ key market, the US, appears to be waning at a faster rate than other countries.

X (down 22)

While it may seem like X has had an even harder decline than Threads, it has only dropped about four million downloads in comparison to July. This is the lowest monthly downloads total in 2023.

Amazon Prime Video (down 21)

There doesn’t appear to be a reason why Amazon Prime Video has seen a downturn in downloads, as it has some of the most popular TV shows available on its platform. May just be due to the summer holidays, and fewer people watching TV.

Remini (down 24)

AI photo-enhancing app Remini has dropped 24 places in the charts, dropping back to its usual download rate of 8 – 12 million. It had a large spike in downloads last month.

That’s all for this month, come back next month to see the top risers and fallers! And if you want to check out the charts at any time, head over to App Rankings.

The post App Charts – Risers and Fallers (August 2023) appeared first on Business of Apps.

You asked so we have delivered… We are more than excited to announce that we will be back for APS London 2024 on Thursday 25th April in a much BIGGER venue.

The Brewery is a historic, Grade II listed London building located in central London and will be the new home for App Promotion Summit London.

This will mean that we can increase capacity to over 700+ attendees and up to 40 exhibition and networking spaces.

So please put April 25th in your diary for what will be the UK’s biggest ever gathering of app marketers and product leaders.

Reserve your place here or let us know if you’d like to participate as a speaker or join us as partner or exhibitor.

The post New Venue for APS London 2024 appeared first on Business of Apps.

For content creators looking to share their work, Instagram is still the top choice according to a recent study by research firm Mavrck. That’s despite TikTok gaining momentum. Let’s dive in.

Why creators are still flocking to Instagram

The latest report reveals that a staggering 98% of creators opt for Instagram’s feed posts, Stories, and Reels to showcase their content. This positions Instagram as a leader in creator engagement, surpassing platforms like TikTok and Facebook in this aspect.

In the US, nearly 60% of social media users are expected to utilise Instagram this year. This statistic underscores Instagram’s continued popularity for influencer marketing and its effectiveness in connecting with a broad audience.

The enduring appeal of Instagram is projected to persist, largely due to its unique ability to empower creators with significant earning opportunities. Notably, Instagram allows creators to generate substantial income through partnerships, a well-established avenue. Additionally, the platform’s innovative approach to monetisation, which hinges on the performance of their posts, further enhances the income potential for creators. This dual-pronged approach is expected to solidify Instagram’s allure and continued success among content creators.

But TikTok is catching up

However, TikTok remains a strong contender in capturing creators’ attention with 89.6% of US creators expected to engage in sharing sponsored videos on TikTok in 2023.

TikTok’s distinctive algorithm, which optimises content exposure, has magnetised a multitude of video-focused creators. This is due to the platform’s enhanced capacity to connect creators with receptive audiences, setting it apart from counterparts such as Instagram and YouTube. This dynamic has greatly contributed to TikTok’s meteoric rise in the realm of creator-driven content.

As the social media landscape evolves, platforms continually refresh their offerings and integrate new functionalities to captivate and safeguard their user base. Recently, Instagram introduced a novel feature designed to shield users from unwarranted direct messages containing images or videos.

TikTok, meanwhile, has embarked on testing innovative advertising tools that enable advertisers to align their customer relationship management (CRM) data with audience insights while preserving user privacy.

Key takeaways

• 98% of creators opt for Instagram, utilizing its feed, Stories, and Reels, outpacing TikTok and Facebook
• With nearly 60% of US social media users expected to use Instagram in 2023, it remains a favoured influencer marketing platform
• 89.6% of US creators engage in sponsored TikTok videos; its unique algorithm and audience connection fuel its ascent

The post Instagram holds strong among creators amid TikTok’s ascent appeared first on Business of Apps.

Consumers globally are expected to allocate $108 billion towards mobile gaming in 2023, as per a new report by mobile analytics firm data.ai. The projection underscores the enduring popularity of mobile gaming, which is anticipated to account for over 56% of total global consumer spending within the gaming sector for 2023. In contrast, console game revenue is predicted to make up just 22% of the market share.

Competitive Strategy Games up their share of the market

The latest data points to a significant shift in the allocation of global hours, with Competitive Strategy Games (CSG) on smartphones and tablets projected to capture a 26% share this year, a significant rise from the 16% recorded in 2019.

The trend bodes well for CSG programmers forecasted to reach $3.8 billion in consumer spending this year, an increase of over 50% compared to the revenue achieved in the previous year.

Top games by download score

Source: data.ai

Amid these dynamic changes, the global Monthly Active User (MAU) base is predicted to surpass 60 million this year, underscoring the escalating global interest in mobile gaming.

Another interesting development mentioned in the report is the recent announcement by streaming giant Netflix, signalling its entry into the cloud-streamed gaming sector. This strategic move has the potential to catalyse further growth within the genre, potentially paving the way for noteworthy expansion.

Noteworthy gaming successes in 2023

Within the competitive gaming landscape, two titles have particularly stood out, capturing the attention of players. Monopoly GO garnered an impressive 45 million downloads, consistently ranking at the top for daily downloads within the first 60 days since its launch in Italy and the UK. This achievement has translated into a substantial $232 million in global consumer spending.

Top games for consumer spending

Source: data.ai

Similarly, the heightened excitement surrounding the 2022 World Cup bolstered the popularity of FIFA Soccer, resulting in a remarkable 135% increase in downloads compared to the previous year. During the first half of 2023, the game ascended to the 8th position for global downloads and the 12th position for breakout consumer spending. The total consumer spending on this title has now reached an impressive $992 million since its debut.

Reflecting the prevailing trend, simulation gaming experienced a notable surge in downloads during the initial half of 2023, while Team Battle Role-Playing Games (RPGs) have expanded their share of consumer expenditure.

Key takeaways

• Consumers set to spend $108B on mobile gaming in 2023, reflecting enduring global appeal
• Competitive Strategy Games (CSG) share rises to 26%, predicted to generate $3.8B consumer spending this year
• Monthly Active Users (MAU) exceed 60 million, underscoring escalating worldwide interest in mobile gaming

The post Consumers set to spend $108 billion on mobile gaming in 2023 appeared first on Business of Apps.

Supercell’s Clash Royale game achieved the milestone of $4 billion in total revenue. The accomplishment is quite the rarity, shared by only 15 other mobile games. It solidifies Clash Royale’s position as a standout in the industry.

Rising through the ranks

New data from Sensor Tower shows that Clash Royale managed to achieve the revenue highlight in just 92 months, joining other titans of gaming.

Notably, Genshin Impact shines in this group, accomplishing the impressive feat of reaching $4 billion in revenue within just 26 months from its late 2020 launch.

In comparison, PUBG Mobile achieved this milestone in 32 months, while Clash of Clans, the predecessor to Clash Royale, took a comparatively longer 43 months to reach the same level. While it may not have led the pack in terms of speed in generating revenue, its steady performance spanning 7 years has been impressive. In Q4 2021 it brought in a substantial $160 million in revenue.

Top rankings of mobile games by revenue

Source: Sensor Tower

Opportunities in mobile gaming

The achievement underscores the lasting profitability of the mobile gaming market and the strong demand for captivating app gaming experiences. It also points out the key role of consistent updates, well-crafted mechanics, and live events in ensuring sustained success in mobile gaming.

What Clash Royale has accomplished shows that combining these elements can lead to continued player interest and financial growth. This success confirms the effectiveness of smart game design and long-term player engagement strategies in the competitive world of mobile gaming.

In addition to Clash Royale, Clash of Clans has given rise to two spinoffs: Clash Quest and Clash Mini. However, Clash Quest was discontinued after making just $4 million in total revenue over 18 months.

Clash Mini, which launched in November 2021, earned a modest $2.7 million up to now. When compared to Clash Royale’s impressive $1.7 billion in revenue during the same period after its launch, it’s clear that Clash Mini faces a significant challenge in achieving similar profitability.

While the potential for Supercell’s third success remains uncertain, their past achievements hint that placing a bet on Supercell might be a winning move.

Beyond merely arranging cards, Clash Royale has stacked up an impressive $4 billion in total revenue, securing its position among the top players in mobile gaming. Ultimately, the mobile gaming landscape is ever-evolving and there’s a lot of space for innovative game design.

Key takeaways

• Clash Royale’s $4 billion revenue cements its mobile gaming dominance, spotlighting consistent performance and player engagement
• Genshin Impact’s rapid ascent signals the potential for quick revenue growth in the industry
• Clash Mini’s struggle highlights the challenge of replicating Clash Royale’s financial triumph

The post Clash Royale hits $4 billion revenue milestone, joins elite ranks in mobile gaming appeared first on Business of Apps.

There’s a saying in SaaS that managing a product development team is a lot like herding cats. The joke of the saying is that everyone involved in a project has their own set of goals and ideas surrounding what success looks like, much in the way my cats do whatever they feel like doing despite family’s efforts to stop 2am meowing and couch clawing. This project was no exception.

Carrying the analogy forward, the subscribed audience of any particular influencer is also an amalgamation of individuals with their own set of desires and reasons for following an influencer. How do we then measure and display as a singular number the overall power of an influencer across so many different social networks with different audiences?

Herd Worth (HW) ties together audience values, experiences, and expectations

For the past several years Intellifluence has been gathering data through influencer compensation surveys as a means to provide a simple prediction model for each of the social networks we support, allowing both brands and influencers to see whether an amount associated with a single action project is within the expected range based on audience size. Once we had reliable data on expectations, we began to fold in data associated with compensation realities; in other words, we compared the overall expectation against what actually occurred. This opened the doors to what Herd Worth would eventually become.

The problem with audience size is that it doesn’t tell the full story for a creator. Do they have street cred with their audience on topical matters, do they have the clout brands are looking for, and how can that be measured?

We can’t be giving away the secret sauce, but it’s reasonable to look at consumable metrics such as a variety of engagement scores available across social networks and community interactions that occur within our platform as a means to determine whether an influencer has a truly interested herd or whether it’s an empty flock.

Weighing the variables available to us, we distilled it all into a single expressed monetary value of what a single action project would be worth from an influencer, across all their listed social accounts associated within Intellifluence.

An example of what this looks like from an authenticated brand evaluating an influencer inside the platform

Click on image for full size

Source: Intellifluence

One of the questions we’re already starting to get from influencers is “How can I improve my Herd Worth?” — the most obvious answer here is to make sure that every controlled social account appears on the influencer profile. Beyond that, it’s important to be visible, real, and focused. Brands care just as much about relevancy as they do how many followers you have.

The other most important factor, ignoring our scoring model, is to be responsive when working with brands. Doing good work tends to result in being highly sought after in the influencer community, which will ultimately be reflected in your HW score.

Want to discover your Herd Worth? Sign up for free as an influencer today.

The post Approximating the value of influencer audiences: Intellifluence introduces Herd Worth appeared first on Business of Apps.

Travel apps are poised to generate $1.23 billion in revenue despite prevailing economic challenges, according to new data insights shared by Adjust. With the relaxation of most restrictions and stringent border controls, a trend known as “revenge travel,” people are eager to embark on journeys. Let’s dive in.

Installs beyond pre-pandemic levels

Based on Adjust‘s data, travel app installs exceeded pre-pandemic levels by 18% than the average of Q4 2019. The first half of 2022 saw a 8% year-over-year increase in installations.

Building on this, the first half of 2023 experienced a year-on-year rise of 5%. Notably, June stands out as an active month for travel app installations, often surpassing the yearly average. In June 2021, installations of travel apps were 7% higher than the yearly average. And they were 11% higher in June 2023.

Change in global travel app installs

Source: Adjust

Consistent session growth

The data also reveals that travel app usage is on the rise, with users engaging in more app sessions. These sessions are 87% higher than what was recorded in Q4 of 2019. This growth has been consistent and steady over the past two years, from June 2021 to June 2023.

Despite the increased number of sessions, user engagement has not suffered – in fact, it has improved. In 2022, travel app sessions saw a 14% year-on-year increase. In the first half of 2023, sessions are already 13% higher than the 2022 yearly average. These trends suggest that the percentage is likely to continue growing by the end of the year, especially during the summer and holiday travel seasons.

Changes in session length

Source: Adjust

What’s more, session lengths also increased year-on-year.

What momentum tells us about retention

The momentum of 2023 surpasses that of 2022, especially when we focus on the sessions each user engages in per day within travel apps. This growth is not solely due to longer individual sessions; rather, users are participating in more sessions overall.

This suggests that the overall increase in sessions is primarily driven by existing users engaging in multiple sessions per day, alongside a notable surge in new installations. This combination contributes to enhanced user retention. In essence, this is an incredibly positive period for travel apps.

Sessions per user per day

Source: Adjust

When we compare the performance to the preceding two quarters, Q1 of 2023 stands out as a standout performer in terms of the frequency of app sessions per user, as depicted in the chart below.

Key takeaways

• 18% increase in travel app installs compared to the Q4 2019 average. H1 2022 saw an 8% YoY increase, followed by a 5% rise in H1 2023. June 2023 installs were 11% higher
• Travel app usage surges, with app sessions 87% higher than Q4 2019. 2022 witnessed a 14% YoY increase in sessions, while H1 2023 is already 13% above 2022’s average
• 2023’s growth outpaces 2022. Not just longer sessions, but more sessions per user drive overall growth and retention. Q1 2023 boasts exceptional session frequency

The post Travel app installs surpass pre-pandemic levels by 18% appeared first on Business of Apps.

Popular dating app Bumble has crossed the $2 billion spending mark by users worldwide, becoming the second dating app to achieve this feat. The latest report comes from data.ai, the mobile analytics company, which studied Bumble’s success in the dating app market.

What this means for Bumble?

Data.ai’s analysis reveals that Bumble has joined a small group of just 52 mobile apps and games that have reached the $2 billion milestone. This group includes big gaming names like Clash of Kings, Brawl Stars, and Bingo Blitz.

The app’s growth has been notable in key markets including the UK, US, Australia, and Canada.

Among dating apps, Bumble follows only Tinder in terms of user spending. It took Bumble just 19 months to double its spending after hitting the $1 billion mark in 2021.

Recent data also shows that Bumble was the second most downloaded dating app globally in the last year, up to June 2023.

Tinder remains the only other dating app to have hit the $2 billion mark in app store spending.

Bumble’s journey

Since starting in 2014, Bumble has gained over 125 million users globally. In the past year alone, the app was downloaded 31.8 million times, with the most downloads happening in the US. In terms of earnings, the US led with $400 million over the year, followed by the UK with $54 million.

Bumble’s journey continued with the launch of its second app, Bumble for Friends. Introduced in July, the new app quickly became popular, ranking among the top 150 downloaded and top 100 grossing iPhone Lifestyle apps in the US.

Bumble for Friends rankings

Source: data.ai

In the UK, it performed even better, ranking in the top 120 downloaded and top 90 grossing Lifestyle apps.

Bumble’s steady rise, seen through the $2 billion milestone and its expansion into new areas, highlights its role as a leader in the tech-driven dating scene. The extension through Bumble for Friends signifies not only the app’s success but also its strategic expansion to encompass a broader user base.

Key takeaways

• Bumble hits $2B spending, second dating app to do so, reflects strong growth and market influence
• This means, the app doubled spending in 19 months, ranking second in global dating app downloads
• Bumble’s expansion, including Bumble for Friends, cements its role as a tech-driven dating leader

The post Bumble becomes second dating app ever to reach $2 billion in user spending appeared first on Business of Apps.

TikTok has just expanded its advertising tools in a move that could see more brands and marketers flock to the app. The brand new “Search Ads Toggle” helps advertisers to focus on individuals on the platform who are actively seeking more information about novel products or brands through search queries within the app’s search bar. So how does it work?

What are Search Ads Toggle?

Search Ads Toggle marks TikTok’s initial foray into ad placements that enable brands to pinpoint users who are actively engaging in searches relevant to their business.

However, it’s important to recognise that the ad format is an extension of an advertiser’s existing TikTok video ad campaign, rather than a standalone advertising offering.

Ads Manager dashboard

Source: TikTok

The company emphasised brand safety as a key component of this initiative. Advertisers are afforded the option to incorporate “Negative Keywords” into each ad group, enabling them to steer clear of having their ads displayed alongside queries that are not aligned with their brand identity.

But are they working?

Following an initial test run of the format,  TikTok said that around 70% of ad groups experienced a reduced cost per action (CPA), indicating enhanced efficiency in converting from this ad placement. Notably, TikTok had been engaged in testing these advertisements since the previous year.

Among the initial test subjects were renowned brands such as Clinique and DIBS Beauty. In the case of Clinique, there was an impressive 441% surge in conversion rates, a 51% upswing in click-through rates, and a noteworthy 7.4% increase in ad recall.

Similarly, DIBS Beauty observed an 8% rise in conversion volume, a six-fold escalation in conversion rates, and a substantial 22% decrease in CPA when contrasted with their non-search ads.

Search on TikTok

Source: TikTok

It’s not entirely clear whether this will have an effect on Google search ads which has seen some younger users steer away from the search engine in favour of social apps.

TikTok has been leveraging its role as a search platform for Generation Z, and brands might still be in the process of comprehending the evolving trend in how young individuals find information today.

The extent to which these search ads will deliver results in comparison to more conventional advertising methods familiar to marketers remains to be seen. However, given TikTok’s substantial influence on users’ shopping habits, it wouldn’t be unexpected for more brands to explore this opportunity in the upcoming months.

Key takeaways

• TikTok’s “Search Ads Toggle” amplifies brand engagement through user searches, prioritizing safety with “Negative Keywords”
• Initial trials reveal increased conversions and recall for brands, challenging Google’s influence
• TikTok’s Gen Z search behaviour shift offers brands a fresh path to authentic connection and marketing exploration

The post New TikTok ad format lets brands engage search-focused app user appeared first on Business of Apps.

The App Growth Awards 2023 will be presented on Thursday 30th November.

Here are the categories for 2023:

1. App Advertising Platform
Awarded to the mobile advertising platform, network or DSP that has provided an outstanding solution in terms of app installs, user acquisition and brand advertising.

2. App Analytics Platform
Awarded to the mobile analytics, app analytics, ad tracking and attribution platform that has delivered the most value and understanding of big data analytics in the past 12 months.

3. App Data Platform
This award is awarded to the app data platform that has provided the best intelligence to the app industry.

4. App Engagement Platform
Open to technology platforms and services that support app engagement including push notifications, in-app messaging, marketing automation and chatbots.

5. App Messaging Platform
Awarded to the app messaging platform that has delivered outstanding results in the past 12 months.

6. App Revenue Platform
This award is open to all platforms working in the field of app revenue that can illustrate outstanding achievement.

7. MMP of the Year
This award is for the mobile measurement partner that has demonstrated outstanding best practices for marketing and growth.

8. ASO Company
This award is open to all tools and agencies working in the field of app store optimization that can illustrate outstanding achievement and/or has provided the best ASO solution to its users.

9. User Acquisition Company
Open to platforms and agencies offering user acquisition services that can demonstrate they are leaders in the UA field and experts at acquiring new users.

10. App Marketing Agency of the Year
Open to all mobile and app marketing and non-specialist agencies that can illustrate outstanding offerings in the area of mobile growth and app marketing.

11. App Growth Innovation
Open for entries from any brand, agency, service provider or developer that has created new and innovative channels, techniques, tactics or strategies to increase growth in the app ecosystem.

12. App Marketer of the Year
This award is for an individual that has demonstrated outstanding best practices for marketing and growth at an app brand, startup or agency.

13. Fastest Growing App
Awarded to an app that has demonstrated rapid growth and traction in the last year. Evidence must show significant growth in one of these areas: usage, downloads and revenues.

14. Growth Team of the Year
Open for entries from app developers and agencies that have a team of rock stars dedicating their time to user acquisition, growth and marketing.

15. Subscription App Campaign
Open to agencies and any subscription app companies that can demonstrate outstanding results within the subscription space.

16. App Marketing Campaign of the Year
Open for entries from agencies or publishers from across all app sectors that can demonstrate outstanding results in any recent app campaign.

You can enter or nominate for any of these categories over at the App Growth Awards website until the closing date of Friday 29th September 2023.

If you would like to take part as a judge or be a partner of the event you can contact us here.

The post App Growth Awards 2023 categories announced appeared first on Business of Apps.

As of 2022, global economic difficulties and a rise in the inflation rate have affected the rate and pricing of in-app subscriptions. On average, there’s been a 1.29% monthly rise in mobile subscription costs, based on the latest data shared by app experts Adapty. Let’s dive into the report.

Annual subscription price hikes

A closer look at in-app subscription price changes reveals that annual prices grew 2.3% from an average $31 in January 2022 to $45 in 2023.

As the costs for advertising, attracting users, optimising app store visibility, and other forms of promotion rise, developers and publishers of apps have to change how they price their products. This is affecting overall increases in subscription prices across different levels, which is a normal reaction in the market.

Rise in in-app subscription pricing

Source: Adapty

At the same time, given price hikes, monthly subscription retention fell 10% year-on-year with the high-price segment seeing the highest churn.

A whopping 51% of all mobile app subscriptions come from the US which shows that the country continues to lead in the mobile app subscription market, solidifying its role as the biggest and most profitable market for services based on subscriptions.

This is mainly due to the country’s population that is well-versed in technology, widespread use of smartphones, and easy access to fast internet connections, all of which contribute to its ongoing superiority.

Countries dominating in-app subscriptions

Source: Adapty

Lifetime values are affected too

Another important factor in app economics is their lifetime value (LTV) which represents the average earnings generated by a customer over their entire engagement with the app. This measure helps in gauging how much one can invest in their app without the concern of expenses outweighing profits.

Weekly subscriptions had a higher LTV compared to monthly, but lower LTV compared to annual subscriptions and high-priced products had the highest LTV.

The report also noted higher trial churn during Q2 2023 indicating a drop in subscription retention.

When it comes to paywalls, a combination of offering three products appears to be the most financially advantageous choice in the market. This approach assists marketers in effectively emphasising the most appealing price for the suitable subscription product, especially when contrasted with the other two options.

The one-product paywall appears to be the least appealing to users. This might suggest that customers prefer having options and feeling that they’re making an important choice, or it could be a result of price anchoring working as intended.

Key takeaways

• Annual subscription prices grew 2.3% ($31 to $45) in 2022-2023, impacting pricing trends
• US holds 51% of app subscriptions, reaffirming market dominance
• Optimal: 3-product paywall; high-priced products show highest LTV

The post Rising costs lead to 2.3% hike in annual in-app subscription pricing appeared first on Business of Apps.

Creators have flocked to TikTok Shop to offer up their products just two weeks ago after TikTok officially unveiled its shopping platform poised to reshape social commerce. But what’s in store for creators and app marketers?

Why launch TikTok Shop?

TikTok’s motivation behind this move is clear: it’s all about boosting the earning potential of its creators who are the main drivers behind the app’s success. Instead of the usual route of linking to external websites or dealing with the intricacies of third-party platforms like Amazon or Facebook Marketplace, TikTok Shop provides a streamlined space for creators to sell their goods, free from added fees or binding contracts.

That’s not exactly a new concept, but unlike its predecessors such as Instagram, Facebook, YouTube, and Snapchat, TikTok has taken its time to roll it out. The app introduced shoppable ads initially.

TikTok Shop feedback

Source: TikTok Shop

How Shop works?

TikTok’s new features bring influencers closer to their audience’s purchasing decisions. For influencers accustomed to swift product pitches in short videos, this transition to self-directed sales on a virtual store seems seamless.

Shops were initially trialled in November 2022 in the UK and US with limited users.

Notably, TikTok Shop features an affiliate program, allowing creators to earn commissions for promoting products. These commissions can range from 1% to customised percentages set by brands and the company.

In this evolving landscape, TikTok Shop bridges creators with commerce, enabling them to monetise their creativity and brands while refining the shopping experience for its users.

At the same time, it gives creators greater freedom in exactly how they wish to promote products.

Surely, it was only a matter of time before the app would jump on the commerce bandwagon but what sets TikTok apart is its precise algorithm that guides users to products featured in videos, a contrast to platforms like Facebook. TikTok’s strength lies in its ability to help users find not only mainstream products but also offerings from small businesses.

Key takeaways

• Just two weeks post-launch, creators rush to reshape social commerce on TikTok’s new platform
• TikTok Shop boosts earnings, offering direct selling minus third-party complexities, with a customisable affiliate program
• Gradual rollout, influencer-driven promotion, precise algorithm: TikTok bridges creativity and commerce, guiding users to products

The post TikTok launches its own Shop allowing creators to sell products directly appeared first on Business of Apps.

Tencent, the major Chinese mobile game maker, behind titles such as PUBG and Roco Kingdom, just announced that it made 149.2 billion yuan (which is about $20.6 billion) in Q2 2023. This is 11% more than what the company earned in the same time in 2022. Let’s dive in.

Tencent scores another win

The company, which captures about 61% of the local PC and mobile gaming market together with NetEase, also reported increasing operating profit of 50.1 billion yuan (around $6.9 billion), 37% higher than the previous year.

This is in part due to better cost management, boosting operating margins from 22% to 26% compared to last year.

Profits rose by 33% to about 38.6 billion yuan (approximately $5.3 billion).

Ma Huateng, chairman and CEO of Tencent, said: “In the three months from April to June 2023, we kept making more money, especially from better types of income that bring in more profit. We also made sure to spend money carefully, and this, along with changes we made last year, helped our profit to grow more than our income did.

“Our advertising part of the business grew quickly, thanks to using smart technology on our ads and making money from Video Accounts. We’re going to keep being creative and trying new things. For example, we’re using special AI to come up with new ideas, and we’re sharing these with our partners through our Tencent Cloud Model-as-a-Service (MaaS) program. We’re also improving our own special starting idea.”

Tencent earnings overview

Source: Tencent

Beyond local markets

Tencent’s international gaming revenue climbed 19% to reach 12.7 billion yuan in the past quarter. This boost was propelled by popular titles like Valorant, Goddess of Victory: Nikke, and PUBG Mobile.

Meanwhile, revenue from domestic games held steady at $31.8 billion. Tencent attributes this stability to the launch of less commercial content in its major games after a strong start to the year. Additionally, income from emerging competitive esports games like Arena Breakout and Fight of the Golden Spatula rose compared to the previous year.

The latest data suggests that Tencent has adeptly navigated the challenges posed by the Chinese market in 2022. The company had previously lost its standing as China’s largest corporation. However, it’s important to note that China has recently introduced new regulations regarding mobile phone usage, which could introduce further uncertainty.

In 2022, we recognised Tencent as one of the leading 50 mobile game developers. Our updated list for 2023 will be unveiled during our event at Gamescom in August 2022.

Key takeaways

• Tencent’s Q2 revenue up 11% to 149.2B yuan ($20.6B), driven by international game success and improved profit margins
• Steady domestic game revenue at $31.8B, attributed to strategic content releases
• Despite 2022 challenges, Tencent navigates well, but new mobile regulations introduce uncertainty

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We are excited to announce that the first look agenda for APS SF – Subscription App Strategies 2023 is now live and covering the latest in growth and product marketing for subscription apps including Generative AI, SKAN 5, monetization and data driven decision making.

The in-person conference at W San Francisco on Thursday September 28 will feature talks, panels and interactive discussions including:

• Lessons Learnt while Driving Growth Marketing at MyFitnessPal and Rakuten Viki – Mansi Sharma, Vice President, Growth Marketing @ MyFitnessPal
  
• Using AI to Boost Your App Monetization Strategy – Jenny Pollock, Lead Monetization Program Manager @ Together Labs 
• Crafting Reward Programs via Advanced CRM – How we Increased Subscriber Engagement by 300% – Karan Tibdewal, CRM & Subscriptions Consultant 
• Preventing Subscriber Churn: Identifying Signals and Implementing Preventive Measures – Vahe Baghdasaryan, Senior Growth Marketing Manager @ CoinStats 
• Optimizing Monetization: Prioritizing User Experience for Lasting Success – Lana Dubinskiy, Senior Director of Product @ IMVU

Apply for an in-person ticket here if you haven’t already, but hurry as there are a limited number of passes left for the physical conference.

The post The agenda for APS SF – Subscription Strategies is now live appeared first on Business of Apps.

Disney has seen a massive drop off in the number of subscribers to its Indian streaming service Disney Hotstar over the past 12 months, with 12.5 million fewer subscribers in July 2023 than at the same point last year.

In the company’s latest quarterly financial statement, it removed the ‘total Disney’ paid subscriber count from its reporting to emphasize the separation between Hotstar and the core Disney+ service. Disney+ core, which includes domestic and international subscribers, increased by 0.7 percent year-on-year.

Hotstar, while potentially of immense value in the future for Disney, is currently responsible for three percent of Disney+ total revenues. It also has a much lower average revenue per user than the core Disney+ product, at $0.59 in the most recent financial quarter to Disney+ core’s $6.58.

Disney+ vs Netflix subscriber count 2020 to 2023 (mm)

Disney was riding high off the back of successive quarters of growth for the company’s streaming service, with news articles declaring Disney+ likely to surpass Netflix in overall subscribers by 2024. However, it was only through beefing the subscription numbers with Hotstar that it was able to come close to Netflix’s 238 million subscriber count.

Now, as Hotstar starts to falter, Disney is trying to make sure investors see the two services as separate.

Disney was already warning of a downturn in subscribers following Hotstar losing the rights to stream the Indian Premier League (IPL) cricket matches, which was a major selling point for the service with most advertising in the country mentioning IPL.

On top of that, India’s largest company by market capitalisation, Reliance Industries, has started aggressively promoting JioCinema, its competitor to Hotstar. It acquired the rights to stream the IPL and is currently offering it for free on its platform, to get more users to sign up.

Outside of Hotstar, Disney is seeing its subscriber count grow for Disney+ but at a much slower rate than in 2021 and 2022. At the same time, Netflix’s new lower cost subscription service with ads, alongside its password sharing ban, has led to an eight percent year-on-year increase in subscribers.

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Changing strategy, social media platform X, aka Twitter, has opted to pull the plug on advertisers using its timeline to push their accounts and reel in fresh followers. The development was noticed by Axios, quoting an email dispatched to advertising clients.

What’s X doing now?

According to the report, these boosted accounts, coined as “Follower Objective” ads, contribute a whopping $100 million in revenue annually to X’s coffers worldwide.

In simple terms, “Follower Objective” ads involve a unique type of advertisement wherein a tweet is shown on a user’s timeline even if they’re not following the advertiser’s account. Complete with a clickable “follow” button, this ad format encourages users to become followers themselves. X posits that this ad type offers a straightforward method to rapidly up the follower count.

Despite still showcasing the Follower Objective format as an advertising avenue on its business portal, a communication from August 10, acquired by Axios, spilt the beans that X plans to gradually dial down the prominence of the “Followers Objective” ad component, with the process having kicked off last week.

Why promoted ads matter

X has acknowledged the deprecation of the ad unit, saying that. The platform is suggesting clients try different ad types. One is the engagement campaign, which highlights the advertiser’s name and account in the ad for more interaction. Another is the reach campaign, where advertisers pay for more people to see the ad. These options aim to help advertisers connect better with their audience and get more visibility.

Promoted follower ads have played a significant role for advertisers in connecting with their audience and fostering business growth on the platform. These ads serve as a tool for companies to target specific groups of users.

One of the primary advantages of promoted follower ads is their capability to target specific groups of users. Advertisers can fine-tune their campaigns to reach individuals based on various demographics, interests, behaviours, and other data points. This granular targeting lets companies direct their promotional efforts towards the individuals most likely to resonate with their brand or product.

Key takeaways

• X, formerly Twitter, alters strategy, reduces timeline ads, and explores novel advertising avenues for engagement
• “Follower Objective” ads boost X’s revenue, now transitioning to alternative methods
• Advertisers embrace targeted engagement and reach campaigns post-X’s timeline ad shift

The post X stops advertisers using timeline for promotion, prioritising new approaches appeared first on Business of Apps.

Setapp, an app subscription service, is getting ready to launch its own app store as a different choice. They’re planning to do this when new rules from the EU start next year. Setapp is relying on the EU’s Digital Markets Act (DMA), which is supposed to let people put other apps on iOS without needing to use Apple’s App Store.

Better revenue sharing for developers

Setup currently offers a subscription service where users pay $9.99 per month to access more than 240 apps for their Mac. These apps cover various categories like utilities, productivity tools, customisation, lifestyle, and more. They have different plans, including those with iOS apps ($12.49/mo), options for power users with more devices ($14.99/mo), family plans, and plans for teams.

For their upcoming standalone app store, Setapp has partnered with over 30 developers who are ready to offer their apps. Some of these partners include Ulysses, Taskheat, NotePlan, PDFSearch, and Soulver. The company is also inviting more developers to join in.

Setapp is trying to attract developers by offering them better revenue sharing compared to Apple. While developers get a 70/30 split when customers use their app, Setapp also shares an additional 20% with developers who bring in new customers. This means developers have the chance to earn up to 90% of Setapp’s user fees every month.

Top-rated apps on Setapp store

Source: Setapp

Oleksandr Kosovan, the founder and CEO of Setapp, mentioned that 60% of developers are interested in using third-party app stores for distributing their iOS apps. Setapp aims to support iOS-only developers and give them a platform to gain users and increase their revenue.

Customers who are interested can join a waitlist to receive updates about the launch of the new app store.

What’s Apple got to say about it?

According to a report in December 2022 by Bloomberg, Apple seemed to be getting ready to permit different app stores on iPhones and iPads to follow the DMA rules.

This is happening even though Apple has worries about the security problems linked to installing apps from sources other than the official App Store.

The process, known as “sideloading,” can impact the safety and privacy of users. However, the report pointed out that Apple was still talking about various ideas on how this new system would function. They might even ask for a fee to verify these apps before allowing them.

For now, Setapp is proceeding with the belief that Apple devices will eventually need to allow other app stores, and they are actively making preparations to introduce their own app store.

Key takeaways

• Setapp readies own app store, betting on EU law for alternative to Apple’s store
• Developers offered improved revenue share, up to 90% through Setapp’s model
• Apple’s approach to third-party app stores and security remains uncertain

The post Setapp preparing to launch independent app store as Apple rules change appeared first on Business of Apps.

Within just three weeks, Threads seems to have gone from formidable Twitter rival to just another social app. Similarweb, the data aggregation and software firm, recorded a drastic decline of nearly 80 percent in daily user numbers, indicating a significant setback for the app. Could this spill the end for Threads?

Capturing attention

Similarweb data recorded a drop in daily active users on Android mobile devices, plummeting from 49 million to 11 million. But this analysis didn’t encompass user figures for Apple’s iOS mobile platform.

The count of global users on Android devices surged from 6 million on July 5, the day of Meta’s app launch, to 41 million the next day. It then reached a peak of nearly 50 million on July 7, equivalent to around 45 percent of Twitter’s usage on that particular day.

Threads vs Twitter change in usage

Source: Similarweb

Threads previously managed to capture more attention than its Twitter rivals such as Mastodon and Bluesky, but the steep decline in user engagement underscores the difficulties in attracting and retaining users in a highly competitive social media landscape.

Quick to rise, quick to fall

Threads quickly amassed 100 million users within just five days, a milestone that took Twitter 5.4 years to accomplish. A crucial factor in this achievement was Instagram, also a Meta-owned entity, which leveraged its existing audience of 1.4 billion to facilitate the recruitment of users for Threads.

However, it’s worth noting that Threads currently lacks a number of fundamental features and still needs to provide a compelling incentive for users to transition from Twitter or adopt Threads as their preferred social media platform.

App engagement on Threads

Source: Similarweb

Consequently, usage of the app has steadily dwindled since its launch, with daily active users on Android devices remaining at around 11 to 12 million over the last seven days.

Interestingly, the launch of Threads has not significantly impacted Twitter’s usage on the same platform. Following Elon Musk’s rebranding, Twitter, now known as X Corp, recorded a daily active user count ranging from 107 to 109 million on Android devices during the week after Meta introduced its text-based rival. In the subsequent week, this count oscillated between 108 and 114 million.

Key takeaways

• Threads saw an 80% drop in daily users within weeks, indicating challenges in social media competition
• Instagram’s support boosted Threads to 100M users quickly, a feat Twitter took years to achieve
• Despite initial attention, Threads faces decline and needs compelling features to rival Twitter’s dominance

The post Threads vs Twitter: from rival to retreat in 3 weeks appeared first on Business of Apps.

Adsterra, a prominent digital advertising network, is celebrating a decade of remarkable success by hosting an extraordinary Anniversary Giveaway. Lucky participants who remain active for a minimum of 15 days, from now until August 31st, stand a chance to win thrilling prizes.

Joining the giveaway is as simple as 1-2-3:

• Create a publisher’s, advertiser’s, or affiliate’s account.
• Submit your login details on Adsterra’s dedicated form at the bottom of the anniversary landing page to enter the Giveaway.
• Get involved by running ad campaigns or monetizing traffic during the specified period.

Over the past ten years, Adsterra has been at the forefront of empowering aspiring individuals and businesses, providing them with tools to overcome challenges and achieve extraordinary milestones. Through enhanced exposure and revenue opportunities, the Adsterra network has played a crucial role in propelling numerous startups to resounding success. Publishers and affiliates have also benefited greatly from Adsterra’s Self-Serve tools, elevating their accomplishments to new heights.

Adsterra takes pride in collaborating with skilled and dedicated publishers, affiliates, and advertisers, whose unwavering efforts have resulted in exceptional revenue generation and conversions. Currently, the platform boasts an impressive 28,000 publishers earning $65 million annually, while its 13,000 advertisers contribute to a staggering 1.34 billion conversions each year. However, Adsterra believes its success goes beyond mere numbers.

For Adsterra, partners are more than just clients, customers, or users; they are cherished companions on a mutual journey towards profit growth. The company has fostered strong bonds with partners through unique Partner Care Standards and a shared commitment to development.

As the 10th-anniversary festivities kick off, Adsterra embraces a central idea: offering partners more than just traffic and offers. This milestone celebration is a testament to Adsterra’s commitment to going above and beyond, acknowledging partners’ integral role in the company’s narrative of success.

Don’t miss out on this exciting opportunity! Join Adsterra’s 10th Anniversary Giveaway now!

The post Adsterra marks milestone 10th anniversary appeared first on Business of Apps.

Mobile wallets and payment apps are all the rage, especially since the pandemic forced many into going cashless. But one mobile payment app stands out as being the favourite among customers – whether shopping online or in-store. Let’s find out more.

The top payment apps are…

A growing number of Americans are now using mobile wallets for their shopping transactions, according to recent insights from CivicScience. Approximately 35% of participants utilise at least one e-wallet or mobile payment app with varying frequency for in-store purchases, while 44% report the same usage pattern for online transactions. So which app comes out on top?

PayPal stands out as the top choice among users of payment apps. Irrespective of whether transactions occur in physical stores or the digital realm, consumers prefer to use PayPal over Apple Pay, Venmo, and Google Wallet.

Notably, Apple Pay claims the second spot in the race, outperforming Google Wallet, and gains further traction for in-person transactions compared to online dealings.

Leading payment apps

Source: Civic Science

When it comes to in-store transactions, PayPal usage lags by seven percentage points, whereas Apple Pay gains a two-point advantage over its online counterpart. Despite its expanding influence, PayPal’s adoption as a recognised payment method in physical stores remains limited, thus underscoring the role of e-wallets in this context.

Security and convenience still major barriers

Just 14% of consumers frequently use mobile payment solutions. In contrast,  24% hold a steadfast aversion towards using them. The majority of Americans, however, fall somewhere in between – they either use mobile payments infrequently or are open to the idea but haven’t fully embraced it yet.

The reasons behind this cautious embrace of mobile payments are twofold. Firstly, those who use mobile payments sporadically or are hesitant about them commonly express concerns about the security of these apps. Interestingly, this worry about security is a top concern across generations, with those aged 55 years and above registering the highest degree of concern at 48%.

Main reasons for not using mobile payment apps

Source: Civic Science

The second major barrier is convenience. Many consumers believe that mobile wallets and payment apps don’t offer any greater convenience compared to traditional payment methods. To sway non-users, it’s crucial to demonstrate how e-wallets and mobile payment apps can genuinely offer more convenience than their current ways of paying for goods and services. This could potentially encourage a much larger group of people to give mobile payments a chance.

Who’s using payment apps and why?

The younger demographic, those under the age of 35, are the driving force behind the general population’s use of mobile payment apps. A notable 10% of Gen Z adults claim mobile payment apps as their primary choice, in contrast to a mere 1% among those aged 55 and above.

Those who prioritise mobile payment apps are also keen on exploring alternative financial tools. For instance, 16% of these mobile pay enthusiasts express their intention to give ‘buy now, pay later’ apps a shot in the near future, and an impressive 38% have already embraced this option.

Furthermore, individuals who hinge on mobile payment apps for their primary transactions hold a rosier perspective regarding their personal finances. They are more inclined to express optimism about their financial prospects, stating that their financial situation is likely to improve in the times ahead.

Nevertheless, mobile payment apps and e-wallets have yet to emerge as dominant forms of payment within the consumer landscape. Although Apple Pay setups and Venmo usage are commonplace, a mere 5% acknowledge mobile payments as their foremost payment method. While younger generations exhibit greater openness to alternative payment methods, there still exist entrenched perceptions that must be overcome before mobile payments can achieve more widespread acceptance.

Key takeaways

•  35% use e-wallets for in-store, 44% for online purchases, signalling increasing digital payment adoption
• PayPal is preferred over Apple Pay and Google Wallet, with Apple Pay excelling for in-person transactions
• Just 14% use mobile payments often; 24% resist. Security and convenience concerns impact broader adoption

The post 35% of consumers embrace cashless transactions through payment apps and mobile wallets appeared first on Business of Apps.

The average eCPM dropped 26% on Android and 12% on iOS between H2 2022 and H1 2023. That’s according to the latest report from app and software firm Tenjin. Let’s dive in.

Changes ahead

While some might interpret the declining eCPMs as a sign of an impending transformation in how digital content is monetised, it’s crucial to recognise that ad monetisation remains a resilient and integral facet of the digital landscape.

The key to navigating this new landscape then lies in striking a harmonious equilibrium between various monetisation models.

Drop in eCPMs between H2 2022 and H1 2023 by platform

Source: Tenjin

The report also highlights a significant boost in in-app purchases with Android seeing a 23% increase and iOS in-app purchases up 24%.

“The remarkable growth in the number of in-app purchases is a testament to that. Game developers have embraced hybrid monetisation and successfully implemented it,” said Roman Garbar, Marketing Director at Tenjin.

Regional differences

There’s been little shift in the top 5 countries based on total app installs on Android between 2022 and 2023. However, on iOS the UK has now overtaken China, Japan, Canada and Germany.

The changes in the iOS landscape are causing app developers and advertisers to rethink their strategies. The UK’s growing importance as a user hub and potential revenue source means advertisers might want to customise their campaigns to match the preferences of UK users. Adjusting app monetisation tactics could also attract this expanding user base, leading to more in-app purchases and subscriptions.

Top 5 countries by app installs (iOS)

Source: Tenjin

This shift also highlights the importance of understanding local preferences for app monetisation and advertising. As the UK becomes more influential, other regions could follow suit with their app engagement. Developers and advertisers should stay flexible and adaptable, considering the changing user behaviours across different platforms and regions.

Key takeaways

• eCPMs decline on Android and iOS in 2023, challenging ad strategies and monetization models
• In-app purchases surge, driven by hybrid monetization and adaptable game developers
• UK’s iOS ascendancy sparks tailored strategies, highlighting regional importance and need for flexible adaptations

The post In-app purchases increase 24% in H1 2023 appeared first on Business of Apps.

China’s Ministry of Industry and Information Technology (MIIT) has revealed its latest move to exert control over the market, as it announced that all mobile app developers must soon register their businesses with the government. This directive marks Beijing’s continued efforts to regulate the sector.

Penalties for apps that don’t comply

In a recent announcement made late on Tuesday, MIIT outlined that mobile apps lacking the necessary documentation will face penalties following the conclusion of a grace period. This grace period is set to conclude by March of the upcoming year.

The ministry stipulated that entities involved in internet information services via apps across various domains such as news, publishing, education, film and television, as well as religion, are also required to furnish pertinent documentation.

Let’s delve further into the dynamic of these upcoming changes. The mandate could cast a shadow over the accessibility of widely recognised social networking behemoths – think X, Facebook, and Instagram. Though locked away from the grasp of China’s populace within their borders, these apps remain within arm’s reach for Chinese citizens navigating foreign terrain.

What are app developers to do?

In order to navigate this new terrain, app developers are staring at a fork in the road: they must either plant their flag within China’s realm or strike a harmonious partnership with a local conductor.

2020 unfurled with an exodus of tens of thousands of unlicensed mobile apps and games from various app emporiums in China. Mind you, this is no novice concept – games must obtain a license to be released in the country.

More recently, over 100 AI apps were removed from the Chinese App Store.

At the same time, China granted new game app licenses to 88 titles.

Bear in mind, the numerical crescendo of China’s gaming domain reached an astronomical $45.5 billion just last year, and could reach $57 billion by 2027. Still, the latest policy shift could limit the number of apps available and have a significant impact on small developers.

Key takeaways

• China’s MIIT mandates mobile app developers register, extending control over the digital landscape
• Non-compliant apps face penalties as MIIT outlines a post-grace period crackdown on lacking documentation
• MIIT mandates documentation for app services in domains like news and education

The post China imposes business registration on app developers appeared first on Business of Apps.

Plenty of mobile app gamers have a desire to be involved in game development, but it’s not all fun and games. The latest data from Sauce Labs, an automated testing platform, finds that nearly half have experienced online threats or bullying due to their involvement in a mobile game app. Let’s dive in.

Feedback loop improvements

Sauce Labs’ 2023 Gaming Experience Survey Report focuses on the mental well-being of game developers. Surveying 150 full-time and part-time developers along with 500 gamers in the US, the report examines how new releases, feedback, and feedback loops impact their experiences.

It underscores the significance of an “open channel of communication” between developers and players. And this is becoming ever more important with a growing number of gamers skewing toward playing on mobile devices.

Majority of gamers now play on mobile devices

Source: Sauce Labs

A substantial 71% of developers prioritise feedback on performance, playability, and game mechanics.

However, 55% of developers find the current feedback lacking in detail, impeding the effective implementation of player-desired changes. A significant cause is the scarcity of manual reports from users, as highlighted by 45% of developers.

Even during beta testing, which aims to gather user opinions, 44% of developers encounter challenges in getting post-testing feedback. Furthermore, locating experienced testers presents an additional hurdle.

Negative feedback affects app developers

Source: Sauce Labs

Mounting pressures

Amid the rising clamour of gamers expressing dissatisfaction with incomplete and glitch-ridden games online, developers find themselves under mounting pressure, taking a toll on their mental well-being.

An alarming 48% of developers have experienced threats or bullying linked to their game development work, leading to stress, depression, and even adverse effects on physical health.

As technology advances, expectations for games soar, yet development timelines often lag. 61% of developers admitted releasing games under pressure, despite awareness of their unfinished state.

Developers want more actionable context

Source: Sauce Labs

Another 79% highlighted increased pressure to release incomplete games in the last five years, compounding the issue.

Sauce Labs’ report underscores the need for change at a higher level, as developers bear the brunt of backlash with limited decision-making power.

Key takeaways

• Sauce Labs’ data reveals 48% of developers threatened, impacting mental health and well-being
• 55% of devs find current feedback lacking, hindering player-desired changes due to manual report scarcity
• 61% of developers release unfinished games, 79% feel mounting pressure for incomplete releases, demanding change

The post 48% of mobile game developers felt bullied and 61% released games under pressure appeared first on Business of Apps.

In 2023, consumers are spending far more time using their mobile phones and apps, amassing over 2.5 trillion hours on Android phones in H1. This marks a 4% rise from H2 2022 and a 16% increase year-over-year, according to new data from app experts data.ai. At this rate, consumers are projected to surpass 5 trillion hours on Android phones throughout 2023.

Breakout apps in H1 2023

With mobile app growth soaring on Apple and Google’s platforms, it’s no surprise given a third of consumers dedicate their waking hours to mobile usage. The latest tech trends, including AI and GPT algorithms, are flourishing in this domain.

In the US, Ask AI and Character AI have made a splash, securing spots among the top 5 breakout apps. Meanwhile, in Canada, apps utilising AI and GPT algorithms, such as Microsoft’s Edge and Bing, claimed the sixth to tenth positions.

The global adoption of Chinese apps, like TikTok and CapCut from ByteDance and Temu from PDD Holding, has been astounding.

Not to be left behind, the UK witnessed a surge in the popularity of the government services app GOV.UK ID Check, ranking as the fifth breakout app by download growth.

In Europe, BeReal gained considerable traction, featuring among the top five apps by YoY download growth in H1 2023 across France, Germany, and Italy.

Dating apps secure top spots for consumer spending

Dating giants Tinder and Bumble took centre stage as the top breakout apps in H1 2023, ranking 2nd and 4th in consumer spending growth.

Not to be outdone, LinkedIn made an impressive leap of 12 spots globally, securing its position among the top 10 apps by consumer spend in H1 2023 compared to the previous year. LinkedIn’s allure extended across borders, as it emerged as a top breakout app in the US, the UK, Italy, and Saudi Arabia.

Breakout apps for consumer spending

Source: data.ai

The video streaming market continues to expand with Disney+ and Paramount+ blazing into the UK’s top 10 apps by consumer spending growth, landing at 6th and 9th place, respectively. The appetite for streaming content remains insatiable, driving these platforms to greater heights in the mobile app landscape.

Key markets in Asia and South America

When examining the leading markets, India takes the lead with 26% growth in time spent on Android phones from H1 2021.

China, Indonesia, Mexico, and Thailand also showed double-digit growth with +13%, +16%, +14%, and +18% respectively.

In the United States, mobile usage increased by 1% over the past two years, a slight decline from H1 2022.

Consumer spending by country

Source: data.ai

The UK stood out as one of the top markets to bounce back following a global decline in consumer spending in H1 2022.

Notably, South Korea experienced a significant rebound with +10%, while Brazil and Mexico roared back with remarkable growth rates of +44% and +43% respectively in early 2023.

Key takeaways

• Mobile app usage skyrockets in 2023, with 2.5 trillion hours on Android phones in H1, driven by tech trends and AI
• Breakout apps like TikTok, GOV.UK ID Check, and BeReal gain global popularity, while dating apps lead consumer spending
• Key markets in Asia and South America see significant growth, while the UK and US maintain steady app engagement

The post Users spent 2.5 trillion hours on Android apps in H1 2023 appeared first on Business of Apps.

If you’ve been wondering how exactly you could retain more of your app users, Duolingo may be a good one to turn to. The language app uses a unique approach to retaining app users through its ‘streak’ feature, which motivates users to maintain a consistent daily app usage. And the results of this approach are truly impressive with Duolingo achieving a record 17 million daily active users (DAUs) in June 2023. Let’s dive in.

Copy cats

Duolingo’s success in boosting DAUs is even more noteworthy given that education apps, overall, have seen downloads decline.

Education app installs fall

Source: Sensor Tower

Based on data from Sensor Tower, there has been a noteworthy rise in the adoption of the ‘streak’ feature among education apps. For instance, two prominent apps, Busuu and Drops, recently integrated this feature into their platforms and witnessed a substantial upswing in total sessions.

Following the implementation of the ‘streak’ feature, Busuu experienced a 15 percent surge in total sessions within just one month. It shows just how powerful such motivational elements can be and the significant impact they can have on user engagement and overall app usage, contributing to the success of these apps in the competitive education market.

The benefits of adding a ‘streak’ feature

An analysis of language learning apps reveals that those that incorporate the ‘streak’ feature exhibit outstanding levels of user engagement. Duolingo, in particular, stands out as a prominent example of this phenomenon. Users are highly motivated to maintain their daily streaks, which translates to increased time spent on the app and more frequent weekly sessions.

Whether there’s a broader application to the ‘streak’ feature remains to be determined.

Higher user engagement with streak feature

Source: Sensor Tower

However, the potential benefits it offers are substantial and worth considering for app developers aiming to boost user engagement, decrease churn, and maintain a high DAU count.

To leverage the potential benefits of the ‘streak’ feature effectively, it’s essential to design it thoughtfully, ensuring it aligns with your app’s purpose and offers genuine value to users. When executed well, incorporating this feature can be a promising strategy to enhance user loyalty and elevate your app’s performance in the competitive landscape of mobile applications.

Key takeaways

• Duolingo’s ‘streak’ feature effectively retains users by encouraging consistent daily app usage
• Data shows a rise in ‘streak’ feature adoption in education apps, boosting engagement and sessions
• The ‘streak’ feature enhances user engagement and retention, making it a valuable strategy for app developers

The post Duolingo’s ‘streak’ feature drives record 17 million DAUs appeared first on Business of Apps.

 
Get ready for the ultimate showdown. The App Growth Awards 2023 is back

Do you have what it takes to be crowned a champion in the app growth industry?

Submit your entry before Friday 29th September 2023 and let your success story shine.

To enter, simply visit our website now – it’s completely FREE.

You can only have 1 entry per category, so get your best case study ready. Get recognized and celebrate with the best on 30th November at Hotel Adlon in Berlin

2023 categories:

• App Data Platform
• App Revenue Platform
• App Analytics Platform
• App Marketing Agency
• User Acquisition Company
• App Advertising Platform
• App Engagement Platform
• App Messaging Platform
• MMP of the Year
• ASO Company
• App Marketer of the Year
• Fastest Growing App
• App Growth Innovation
• Growth Team of the Year
• App Marketing Campaign of the Year

Don’t miss out. Enter now and seize the glory.

All the best,

James, Andrew, Talha, Emily, Fiona & Ravi

Organizers
App Promotion Summit
info@apppromotionsummit.com
https://apppromotionsummit.com
For industry news and event information follow @apppromotion

The post Enter the App Growth Awards 2023 – Seize the Glory 🏆 appeared first on Business of Apps.

Domino’s Pizza just announced that app orders rose around 25% percentage points in H1 2023 versus the previous year. The latest financial results showed continued strong growth from H1 orders and market share gains. Here’s what’s happening.

46% rise in app users

In the wake of the pandemic, food delivery apps have changed the way people order and enjoy their favourite meals. On the back of its latest financial guidance, Domino’s Pizza has emerged as a shining example of this digital transformation, reporting a surge in app customers and orders.

The pizza giant announced a 46% increase in active app customers compared to H1 2022 and a commendable 16% rise from Q1 2023.

7.9 million active app customers are now using Domino’s mobile app to place their pizza orders. This growth reflects the company’s unwavering commitment to enhancing the customer experience through digital innovation and ease of use.

Domino’s Pizza app orders make up over 75% of all online orders

Source: Domino’s Pizza

App penetration in the food space has soared, with Domino’s app orders accounting for 75.2% of all online orders, an increase of 24.8 percentage points from Q2 2022.

More recently, the group announced a partnership with Uber Eats and Postmates that will allow for even greater penetration of its food delivery services.

Food delivery app resurgence

Domino’s has certainly benefitted from a bit of a revival of food delivery app installs in 2023 after they dipped in the previous years just as most countries relaxed pandemic rules and people returned to eating outside.

A comparison between the average installs in 2022 and those from January to April 2023 reveals a notable increase of 12%.

Data from app experts Adjust also shows that food delivery app installations skyrocket by 25% on Saturdays. This pattern mirrors the trend observed in 2022 when Saturday app installs were 26% higher than on Mondays.

Food delivery app installs on the up again

Source: Adjust

When it comes to the number of sessions, weekends also reign supreme, while Mondays lag behind. In 2023 Saturday sessions were 13.7% higher than the Monday averages for the same period.

Furthermore, during Q1 2023, Saturday sessions exceeded the overall average by an impressive 16%.

Key takeaways

• Domino’s app users surged by 46% in H1 2023, with 7.9 million active customers, accounting for 75.2% of online orders.
• Food delivery app installs revived with a 12% increase, Saturdays leading with 25% rise in installations.
• Domino’s partnership with Uber Eats and Postmates will enhance food delivery services and market share gains.

The post Domino’s Pizza reports 46% surge in app users appeared first on Business of Apps.

Apple has now responded to new regulations in China by taking measures against ChatGPT-style apps. An update by the South China Morning Post indicates that more than 100 apps providing similar services have been removed from the Chinese App Store in preparation for upcoming changes in the country’s rules.

Why is Apple removing ChatGPT-style apps?

This move is part of a crackdown intended to promote healthy content and ensure adherence to “core socialist values.”

Several apps in this category have been taken down by Apple. The reason stated in the notifications sent to the affected developers was that the apps included content that is considered illegal in China.

According to data from Chinese online data services provider Qimai, all of the apps in this category were removed from the China iOS App Store. Among them was Spark, an app developed by iFlyTek, which offered ChatGPT-type services and had garnered significant attention since its launch on June 29.

Additionally, ChatGAi Plus, a popular app that provided chatbot, AI translation, and writing services, was ranked 9th on the China iOS App Store’s paid app chart before being taken down on Tuesday afternoon, as recorded by Qimai.

In the wake of new regulations

The removal comes ahead of several new regulations in the China App Store, which were introduced collaboratively by seven Chinese regulators, including the Cyberspace Administration of China (CAC) and China’s Ministry of Industry and Information Technology (MIIT).

The rules are scheduled to be enforced on August 15 and apply to all generative AI content services, such as text, pictures, audio, and video.

To comply with these regulations, companies offering generative AI products to the public must prioritise promoting healthy content and refrain from generating false information or content that poses a threat to national security.

Apple regularly removes apps from the App Store worldwide when regulations and requirements change. In the case of China, such actions are more frequent compared to other markets.

While China has been granting new licenses, and the number of game approvals in 2023 is expected to surpass those of the previous two years, Apple has taken its own precautions in recent years due to Chinese game approval regulations.

Key takeaways

• Apple responds to China regulations by cracking down on ChatGPT apps, removing 100+ from the App Store.
• Crackdown ensures healthy content, and upholds socialist values
• Generative AI services are affected and regulations apply to text, audio, video

The post Apple cracks down on ChatGPT-like apps in China App Store  appeared first on Business of Apps.

MiHoYo, the Chinese gaming app developer behind Genshin Impact, has now reached $8 billion in user spending across its catalogue of mobile games. That’s according to data published by app experts AppMagic. But what’s been driving the company’s success?

The impact of Genshin Impact

Based on Appmagic data, Genshin Impact stands out as the primary contributor to MiHoYo’s $8 billion in user spending, accounting for 73% of the total.

It’s no surprise, considering the game’s continued popularity nearly three years after its launch, reaching an 11-month peak earlier this year. The sustained success of Genshin Impact has undoubtedly played a pivotal role in driving MiHoYo’s remarkable financial achievement.

miHoYo Games revenues and download tracker

Source: AppMagic

No one-hit wonder

Naturally, many industry experts and gamers have wondered if MiHoYo’s achievement with Genshin Impact was replicable or if it was a one-off phenomenon. Since its announcement as MiHoYo’s first new release after Genshin Impact in 2020, Honkai: Star Rail attracted some impressive attention among gamers.

The title surpassed expectations and reached 20 million downloads within just two days. As a result, the game’s consumer spending has flourished, even surpassing Genshin Impact’s revenue in May. Perhaps more impressively, the data shows that MiHoYo can create hugely successful and engaging gaming experiences beyond Genshin Impact.

Honkai Impact 3rd follows in second place with 18% of the total spending, while the newly released Honkai: Star Rail has quickly amassed 6% of the total consumer spending.

Regarding regional consumer spending, Asia takes the lead, with China accounting for 39% and Japan at 21%. The United States represents 15% of the consumer spending.

When it comes to spending per store, the App Store leads the way with 69% of the total spending, with Google Play trailing behind at 31%.

China has been a dominant force in the mobile gaming industry, particularly in June, with MiHoYo playing a significant role. The top three most lucrative mobile games in June all originated from China, showcasing the country’s remarkable influence in the mobile gaming landscape.

Key takeaways

• MiHoYo’s mobile game spending reached $8 billion in consumer spending, with Genshin Impact contributing 73%
• Honkai: Star Rail generated enough spending to account for 6% of the total consumer spending in just a few months
• Asian markets, particularly China, play a dominant role in driving consumer spending

The post MiHoYo reaches $8 billion in user spending across top mobile games appeared first on Business of Apps.

China has granted licenses to 88 new games in the month of July, with an overwhelming 86% of these gaming titles specifically designed for mobile apps. The approvals are touted as a pivotal moment because China’s mobile gaming industry has been grappling with substantial regulatory changes that sent ripples through the market in recent years. Notably, in 2021, the country imposed a prolonged hiatus on new game approvals, leading to a severe impact on its mobile games market. So what exactly is happening?

Leading players missing

China’s gaming landscape has been in the grasp of mobile gaming for a long time, making it a market that garners immense attention. As the birthplace of some of the globe’s major mobile developers such as Tencent, the country holds is an important indicator for the global gaming sphere.

The recent issuance of licenses to 88 new games in July is seen as a positive development and an indication that the market is gradually finding its footing. While notable names like Tencent and NetEase were missing from this particular list, the very act of reintroducing approvals demonstrates a willingness to revitalize the gaming sector and signals a potential easing of previous restrictions.

Among the fortunate studios that have secured licenses are notable names like 4399, Glacier Network, and Xishanju.

Mobile remains the leading platform in the country’s gaming domain. It is still considered one of the most profitable domains for releasing new gaming apps and the recent wave of approvals reflects this, with a staggering 97.7% of the newly granted licenses dedicated to mobile titles.

China mobile gaming market predictions

Source: Niko Partners

Turbulent waters

As part of its measures to address concerns over video gaming addiction among young gamers, China implemented strict restrictions on playtime. These restrictions, while aiming to curb potential negative effects, have posed additional challenges for some of the leading developers.

For instance, Tencent experienced a significant setback, losing its position as China’s largest company and even posting its first-ever quarterly financial loss.

Furthermore, the highly publicised breakdown of NetEase’s partnership with Blizzard added to the turbulence in the industry.

Following a downturn in October 2022 with a complete absence of granted licenses, experts believe that 2023 ushered in a bit of a turnaround for the country’s gaming sector.

Number of Chinese gamers on the rise

What’s more, according to the China Audio-video and Digital Publishing Association, the first half of 2023 saw an impressive surge in China’s gamer base, reaching a record 668 million individuals. That’s one in two people across the nation who engage in gaming.

But the increase in the gamer population hasn’t equalled rising revenues. Gaming revenues came in at 144.3 billion yuan ($20 billion), indicating a modest decline of 2.39% compared to the first half of 2022.

The revenue dip suggests that while the Chinese gaming market is on a path to recovery, the financial rebound has been relatively slow to materialise.

At the same time, the Chinese gaming market is showing promising signs of revival, as revenues for Q2 saw 22% growth compared to the previous quarter. This positive trend is expected to continue into the second half of the year.

Key takeaways

• China issued licenses to 88 games in July 2023, with 86% mobile titles, showing the continued prominence of mobile gaming
• China’s gamer base reached 668 million in H1 2023, signifying substantial engagement in gaming
• H1 2023 gaming revenue at 144.3 billion yuan ($20 billion), a 2.39% decline from H1 2022, indicating a slow recovery

The post China grants new licenses to mobile gaming apps appeared first on Business of Apps.

In a bid to maintain its most influential users amid growing competition from platforms like Instagram Threads and others, X, formerly Twitter, introduced an initiative to compensate creators by sharing a portion of the ad revenue generated from replies to their posts earlier this month. Now, the company has officially launched its Ads Revenue Sharing platform.

What’s X’s revenue sharing platform all about?

Elon Musk said that the first block payment, an impressive sum amounting to $5 million had now been paid out. Furthermore, Musk clarified that the revenue payout to content creators would be cumulative, stretching back to his initial promise made back in February.

With these promising strides towards empowering content creators, X aspires to foster a thriving community where talents can flourish and be duly rewarded for their contributions.

X announcement to launch Ads Revenue Sharing scheme

Today is the day: Ads Revenue Sharing is now live for eligible creators globally.

Set up payouts from within Monetization to get paid for posting.

We want X to be the best place on the internet to earn a living as a creator and this is our first step in rewarding you for your…

— X (@X) July 28, 2023

Source: X

Linda Yaccarino, the CEO of X, expressed her enthusiasm for the program, stating that it represents an “absolute game changer” for the platform’s creators. The revenue-sharing program is expected to provide new and exciting opportunities for content creators to monetize their efforts and contributions on the platform.

So how does ad revenue sharing work on X?

In order to participate in X’s Ads Revenue Sharing program, users must meet specific criteria. Firstly, they need to be subscribers to Blue or Verified Organizations. Additionally, they must have garnered a minimum of 15 million impressions on all of their posts over the past three months. Moreover, eligible users must possess a following of 500 or more individuals.

To access the Monetization feature within the X app, users can find it in the side menu on iOS and Android, and in the overflow menu on the web platform. Once deemed eligible, users can sign up and configure their payment settings in this section. By clicking on the “Join and setup payouts” button, qualified users will be redirected to Stripe, where they can establish an account to receive their earnings.

Elon Musk tweeted a chart showing the company’s monthly users reach in 2023

𝕏 monthly users reach new high in 2023 pic.twitter.com/trqLGBEvvA

— Elon Musk (@elonmusk) July 28, 2023

Source: X

Once a user accumulates at least $50 in revenue, they become eligible for regular payouts. This enables content creators to receive their rightful share of the ad revenue generated from their posts in a timely and consistent manner. X’s Ads Revenue Sharing program aims to incentivize and reward creators for their contributions while fostering a vibrant and engaging platform for its users.

According to X, the goal is to ensure a straightforward and accessible process for all eligible subscribers of X Blue and Verified Organizations. As long as these users meet the specified eligibility criteria and opt to join the program, they are entitled to a share in the revenue generated. By streamlining the process, X aims to make it as simple as possible for creators to participate and benefit from the Ads Revenue Sharing initiative.

Key takeaways

• X launches Ads Revenue Sharing, compensating eligible creators for ad revenue from replies
• Elon Musk confirms $5 million payout and cumulative revenue sharing promise
• X aims to empower content creators, making the process accessible and rewarding

The post X officially launches its Ads Revenue Sharing platform for content creators appeared first on Business of Apps.

Japanese users spent 13% more on apps in Q1 2023 compared to the previous year, according to a new report from analytics firm Adjust and mobile data analytics provider data.ai. Spending is expected to exceed a whopping $17.7 billion this year. So what’s driving the growth?

Mobile installs and sessions rise

Based on an analysis of 2,500+ apps and the complete dataset of all apps tracked by Adjust, the report finds that mobile installs rose 7% compared to the Q4 2022 average while sessions jumped 9% year-over-year.

In 2023, mobile gaming in Japan is experiencing a gradual yet consistent resurgence. Comparing the data from Q4 2022 to Q1 2023, there has been a noteworthy growth of 12% in app installs and a 6% increase in gaming sessions.

Furthermore, during Q1 2023, Japanese mobile gamers have shown a remarkable boost in their spending on gaming apps, with a substantial 13% rise compared to Q4 2022.

All verticals app install and session growth

Source: Adjust

Puzzle games, in particular, have gained immense popularity in Japan, capturing a significant portion of the gaming market. They account for an impressive 19% of all gaming sessions, indicating their strong appeal and widespread engagement among Japanese mobile gamers.

E-commerce apps were pretty resilient with deal discovery apps up 24% YoY in 2022 and another 11% in Q1 2023. Marketplace apps achieved an impressive 28% Day 1 retention rate in Q1 2023. Though e-commerce app installs dipped, sessions increased 5% YoY in 2022.

E-commerce app sessions by vertical 2022

Source: Adjust

“With one of the highest adoption rates in the world and continually increasing spend across verticals, the opportunity for mobile marketers and developers in the Japanese mobile app market is enormous,” said Naoki Sassa, General Manager of Japan, Adjust. “Fierce competition, coupled with a complex economic climate and continually changing user needs and expectations, makes it essential to be ruthlessly data-driven and strategic. Now is the time to scale by building a diversified channel mix and leveraging tools that enable insight into aggregated data.”

Toward a cashless society

Perhaps even more noticeable is a marked trend toward Japan as a cashless society with digital payment apps capturing an impressive 77% of the install share. These apps have seen a 7% increase in sessions when compared to Q4 2022.

Another notable trend is the explosive popularity of crypto apps, which saw significant growth in both app installs and sessions. This surge in interest has resulted in a captive audience, leading to a Day 1 retention rate of 28% in Q1 2023, showcasing the strong appeal of cryptocurrency-related services in the Japanese market.

Fintech app install growth percentages by vertical

Source: Adjust

The fintech sector, as a whole, experienced a substantial boost. Overall app sessions increased by 17% in Q1 2023 compared to Q4 2022, reflecting the growing importance of financial technology solutions in Japan.

Amidst these advancements, data privacy remains a top priority for Japanese mobile app users. The iOS App Tracking Transparency (ATT) opt-in rates in Japan are consistently below global averages across various verticals. Social apps have the highest opt-in rate among Japanese users at 37%, followed by gaming at 30% and e-commerce at 23%.

Key takeaways

• Japanese app spending rose 13% in Q1 2023, expected to exceed $17.7 billion this year
• Mobile gaming rose 12% in installs, but sessions dropped 6% in Q1 2023
• Digital payment apps hold 77% install share, sessions increased 7% in Q1 2023

The post Japanese app spending rose 13% in Q1 2023, sessions and installs increased appeared first on Business of Apps.

The number of apps with subscription revenue as their main form of income has taken off in recent years across all verticals with installs of subscription apps reportedly reaching 5.2 billion between January 2022 and April 2023.

Here are some key subscription app statistics:

• In 2023 so far, there has been 35% rise in total consumer spend in subscription based iOS apps and a 24% on Android

• Subscriptions accounted for around 70% of in-app purchase revenue for non-games

• Average yearly subscriptions have hit $37.51

• Social media platforms like Twitter, Meta and Snap are offering subscription models with their monthly charges hitting $11, $14.99 and $3.99 respectively

It remains that more and more apps are moving to monetization models but how can you ensure sustainable, profitable growth?

Join us at App Promotion Summit SF – Subscription App Strategies on September 28 to find out how to successfully market subscription apps and learn best practices to ensure growth.

The post Key subscription app statistics appeared first on Business of Apps.

As a growing number of mobile app marketers have shifted focus from growth to customer loyalty, app install spending dropped a whopping 41% on Android subscription apps and 30% on iOS. That’s according to the 2023 State of App Marketing for Subscription Apps report from industry experts Liftoff and AppsFlyer. But are consumers actually spending less on apps?

Consumers are still happy spending

While user acquisition dropped significantly on both Android and iOS, media re-engagement budgets jumped 48% in 2023.

Although the mobile marketing industry witnessed a decline in 2023 (thus far), there was a notable surge in total consumer expenditure on subscription-based iOS and Android apps.

The spending on iOS apps increased by 35%, while Android apps experienced a 22% rise. Consumers responded to this trend by either subscribing to more services or accommodating the price increases of their existing subscriptions.

Android remarking conversions among subscription apps

Source: Liftoff

The upward trajectory in spending is anticipated to persist as subscription-based apps continue to gain popularity, particularly when accompanied by attractive discounts for extended commitments.

“Despite the economic downturn, app marketers should feel assured by our latest findings – which show a rise in consumer spend and revenue growth per user, especially where subscriptions are concerned”, said Scott Reyburn, Senior Content Marketing Manager at Liftoff.

Apple users are eager subscribers

This data reaffirms the prevailing notion that Apple users are more inclined towards subscription-based services.

Previous reports show that iOS users tend to spend more than Android users.

Moreover, the install-to-subscription conversion rates saw substantial growth, attributed to a significant emphasis on deep paywall optimisation. On Android, the conversion rates surged by 20%, while on iOS, they increased by 15%.

Nearly half of iOS users seeing the app tracking transparency (ATT) prompt in subscription apps agreed to be tracked, with utility apps obtaining the highest consent rate at 59%. This suggests that users are more likely to provide consent if they perceive a clear value proposition that enhances their overall user experience.

iOS ATT opt-in rate

Source: Liftoff

Non-gaming app subscribers

While around 30% of subscription apps belong to the gaming category, their revenue share from subscriptions is notably lower compared to non-gaming apps. Non-gaming apps, on the other hand, generate the majority of their revenue through subscriptions.

Distribution of subscription apps by category

Source: Liftoff

Multiple categories, including utility, health & fitness, and entertainment apps, utilise subscriptions as a prominent monetisation strategy.

Key takeaways

• App install spending dropped 41% on Android and 30% on iOS as marketers focused on customer loyalty
• Consumers continue to spend happily, with media re-engagement budgets rising by 48% in 2023
• Apple users are eager subscribers, with higher spending and better conversion rates for subscriptions compared to Android users

The post Despite slashed ad budgets, consumers are spending 35% more on iOS apps appeared first on Business of Apps.

India’s mobile gaming market is growing at a rapid pace with 4.32 billion game downloads in 2023, or 15.3% of the global total. That’s according to the latest report from app experts Apptica which finds that the country is now even surpassing leading players such as the US and Brazil. Let’s take a closer look.

A near 1% increase over 2022

The rise in game app downloads represents a notable 0.9% increase compared to the same period in 2022. In comparison, Brazil ranked second with 2.99 billion downloads (10.59%), followed closely by the US with 2.57 billion downloads (9.08%). The figures demonstrate India’s significant presence and influence in the mobile gaming industry, suggesting that its position in the market is likely to continue ascending.

Gaming app downloads in the top 15 countries

Source: Apptica

China, known for being the largest mobile-first gaming market globally, surprisingly ranked sixth in terms of total game downloads with 1.3 billion, representing 4.59% of the overall downloads.

But revenues leave much room for improvement

However, revenues in India remain low. The country didn’t even rank among the top 15 markets for revenue generation from gaming apps.

The US led at a revenue of $5.71 billion, claiming a market share of 26.61%, which is an increase from 22.61% in the same period of 2022. Japan followed closely with $4.17 billion in revenue (19.43%), and China secured the third position with $3.32 billion (15.05%).

Comparison of gaming app revenues

Source: Apptica

Google vs Apple

Google Play emerged as the dominant platform for game downloads, accounting for a significant 88.63% of the market, leaving the App Store with just 11.37%.

Top platforms

Source: Apptica

However, in terms of revenue, the App Store pulled ahead, claiming 56.26%, while Google Play accounted for 43.74%. This suggests that although Android and iOS platforms come close to each other in terms of revenue, iOS users spend significantly more on average than Android users.

Genre by genre

In H1 2023, most genres experienced declines in downloads compared to the same period in 2022. Casual games took the lead in terms of downloads with 4.15 billion, slightly lower than the 4.25 billion in the first six months of 2022. But its market share rose by 0.62%.

The second most popular genre during this period was Action, but it experienced a decrease in market share, dropping from 4.29 billion to 3.9 billion downloads, resulting in a reduction of 0.18%. Simulation games secured the third spot with 3.27 billion downloads.

Download share by gaming app subcategories

Source: Apptica

As for revenue, all genres faced year-on-year declines, marking an ongoing trend of normalisation in the market after the surge during the “Covid boom.”

In terms of highest-earning genres, the top three remained unchanged from H1 2022.

Subway Surfers had a strong showing as the most downloaded Android title with 116.5 million downloads and ranked seventh on the iOS charts. Eggy Party claimed the top spot on the iOS charts with 32.2 million downloads. On the revenue side, Coin Master led on Android with $228 million, while Honour of Kings dominated on iOS with a staggering $766 million.

Key takeaways

• India sees 4.32 billion in gaming app downloads (15.3% global) in H1 2023, outpacing US and Brazil, but low revenue ranking
• Google Play leads downloads (88.63%), App Store dominates revenue (56.26%) in H1 2023
• Casual games lead with 4.15 billion downloads, Action declines to 3.9 billion, all genres face revenue declines

The post Gaming app downloads in India soar taking 15% of global total, but revenues can’t catch up appeared first on Business of Apps.

Amid growing concerns about data privacy and security in the healthcare app sector, the Federal Trade Commission (FTC) and the US Department of Health and Human Services’ Office for Civil Rights (OCR) have taken a proactive step to address potential risks. In a joint letter, they have reached out to nearly 130 hospitals and health-app developers to caution them about the use of online tracking technologies.

The potential safety risks of health apps

One of the main issues with health apps raised by the FTC and OCR is the issue surrounding tracking technologies like Meta Pixel and Google Analytics, which have the capability to collect personally identifiable information from users as they interact with healthcare websites or mobile apps.

What’s worrisome is that users may not always be aware of this data collection, and in many cases, they may have limited or no means of avoiding it.

A study published in 2021 by the BMJ revealed serious privacy issues in over 20,000 health-related mobile apps (mHealth apps).

Of the estimated 99,366 medical and health apps on Google Play and Apple Store, researchers found that 88% of mHealth apps could access and potentially share personal data.

Data collection operations in mobile health (mHealth) apps files and code

Source: BMJ 

Data transmissions occurred on insecure channels, with top third parties responsible for most data collection operations, including tech giants like Google and Facebook.

Shockingly, 28% of mHealth apps had no privacy policy, and at least 25% of user data transmissions violated stated policies. Experts have long emphasised the need for greater regulation and accountability in the industry to protect user privacy.

Consistency of data collection disclosure in privacy policy with user data transmissions in apps traffic

Source: BMJ 

Raising awareness

The letter states:

‘’Impermissible disclosures of an individual’s personal health information to third parties may result in a wide range of harms to an individual or others. Such disclosures can reveal sensitive information including health conditions, diagnoses, medications, medical treatments, frequency of visits to health care professionals, where an individual seeks medical treatment, and more,‘’ the agencies wrote.

‘’In addition, impermissible disclosures of personal health information may result in identity theft, financial loss, discrimination, stigma, mental anguish, or other serious negative consequences to the reputation, health, or physical safety of the individual or to others,’’ they added.

The aim of the communication is to raise awareness among healthcare providers and app developers about the potential privacy implications of these tracking tools. By doing so, the FTC and OCR hope to encourage better data protection practices and ensure that users’ personal information is handled responsibly and transparently within the healthcare ecosystem.

After all, disclosure of such information could violate Health Insurance Portability and Accountability Act, as well as the FTC Act.

Key takeaways

• FTC and OCR caution health-app developers on privacy risks from online tracking technologies
• Privacy issues affect over 20,000 health-related mobile apps
• Data breaches in health apps could lead to identity theft and other serious negative consequences

The post FTC and OCR raise caution over privacy concerns in mobile health apps appeared first on Business of Apps.

Apple and Google may face changes in their app store regulations as the Australian Competition and Consumer Commission (ACCC) has proposed new rules that would enable app developers to charge for in-app purchases without sharing a portion of their revenue with the app store. So what’s happening?

Curbing anticompetitive behaviour

According to Gina Cass-Gottlieb, the Chair of ACCC, the measures are meant to stop anticompetitive behaviours on the app stores, as per The Guardian.

The proposed changes are expected to be part of the government’s response to the ACCC’s consultation from December last year. Within this consultation, the ACCC put forward a proposal for a compulsory code of conduct targeted at specific digital platforms, namely Google and Apple.

The primary objective of this code is to tackle issues concerning anti-competitive behaviours. These include self-preferencing, unfair business practices, and hindrances to interoperability and consumer freedom in choosing alternative services.

It’s a bit of a deja vu moment to 2020 when Apple and Google removed Fortnite from their app stores because the game maker attempted to bypass the mandatory in-app purchasing systems that allow the tech giants to claim up to a 30% share of sales.

Legal proceedings in that case aren’t expected until 2024 in Australia. And the government, meanwhile, is likely to move forward with implementing its new rules.

Changes are needed and coming

Australia is by no means the only country challenging the dominance of the app stores. In India, Google is encountering resistance to its revised commission structure, according to Reuters.

The tech giant’s policy of imposing a service fee ranging from 11% to 26% on in-app payments has been challenged in court by Disney. Google implemented this fee structure as a result of an antitrust directive, which compelled the company to permit third-party payments. However, critics argue that this new service fee arrangement is merely a continuation of the same issue.

There are minimal competitive restraints on the digital platform services provided by Apple and Google. As a result, mobile app developers have limited or no viable alternatives for distributing their apps. This lack of competition allows Apple and Google to impose fees and terms unilaterally. This means developers face a “take it or leave it” scenario when it comes to distributing their apps on these platforms.

Recently, a court in India ruled in favour of Disney, directing Google to lower its service fee to 4%. This applied specifically to Disney’s streaming service, Disney+ Hotstar. Despite the fee reduction, the court also emphasised that Google must ensure the continued availability of the Disney+ Hotstar app on the Play Store.

The legal decision showcases the growing scrutiny and pushback against the commission practices of major tech companies operating in India.

Key takeaways

• ACCC aims for fairer app store fees by proposing changes to empower developers
• India legally challenges Google’s commission structure, sparking resistance
• Antitrust measures tackle app store dominance and promote competition for developers

The post Australia to allow developers to take home greater cut from IAPs appeared first on Business of Apps.

Consumer spending in shopping apps increased 37% during the Q4 holiday period compared to Q3 2022, marking a 30% higher rise than the same period in 2021. That’s given hope to retail marketers seeking to explore the mobile space and in-app purchases.

In-app purchases are popular

According to the latest State of eCommerce App Marketing report from AppsFlyer, retail apps, in particular, experienced a boost in revenue during the peak shopping month of November 2022, generating an average of 10% more income compared to November 2021. This growth can be attributed to retailers’ efforts in enticing customers through early discounts and continuous holiday season incentives.

One key factor contributing to the success of mobile retail was the sustained popularity of in-app purchases throughout the entire holiday season. Retailers effectively attracted shoppers to their favourite shopping apps, encouraging return visits and repeat purchases. This positive trend played a significant role in driving the economic engine of mobile shopping.

Overall CPI trend by country and platform among eCommerce apps with a marketing budget (in USD)*

Source: AppsFlyer

As mobile technology continues to shape consumer behaviour, retailers have recognised the potential of in-app experiences to engage shoppers, leading to increased revenue and growth opportunities in the dynamic world of mobile retail.

“Shopping spend that increased 81% on Apple’s iOS and increased 61% on Google Android on Black Friday of last year compared to the daily average in November highlights how critical this period is for eCommerce apps,” said Sue Azari, Industry Lead for eCommerce, AppsFlyer. “Marketers looking to capitalize on the critical shopping days in November should start planning now. This includes organizing user acquisition campaigns in the months leading up to Black Friday to benefit from the more affordable costs during this timeframe, and using remarketing strategies to guide users to the app to keep them engaged until those peak sale days.”

Despite cut marketing budgets, marketers see positive signs during holiday season

The data also showed that in-app consumer spending soared 81% on Black Friday 2022 compared to November’s daily average, with Android showing a remarkable 61% increase.

Global eCommerce marketers invested $4.9 billion in-app user acquisition during 2022, witnessing a 25% downturn in spending during H2 2022 amid the economic slump.

Apple iOS apps outperformed Android with an 85% higher share of paying users, and November conversion rates on both platforms rose 15% above the monthly average.

Day 30 retention rates

Source: AppsFlyer

The cost of media in the eCommerce sector dropped significantly by 30% YoY in Q1 2023 compared to Q1 2022.

Customer acquisition costs, in CPIs, peaked in November 2022 but then fell by 30% in Q1 2023, with iOS seeing a 33% decrease and Android an 11% drop.

On iOS, marketing-driven non-organic installs increased by 19%, attributed to lower CPIs and enhanced measurement confidence in the post-iOS 14.5 app landscape.

Marketers are now prioritising remarketing as a vital and cost-effective strategy, consistently holding a share of over 40% monthly in the global marketing landscape.

“The impact of the downturn on ad spend as seen during the first quarter of 2023 has been significant with marketers cutting budgets, but the success of the 2022 holiday season, even amidst the prevailing financial slowdown worldwide, should instill greater confidence in marketers as they plan for the upcoming holiday season,” said Shani Rosenfelder, Director of Content Strategy & Market Insights, AppsFlyer. “Emotional marketing offers a greater resonance now more than ever, so marketers should stay attuned to the needs and sentiments of their audience to connect with them on a deeper level.”

Key takeaways

• Q4 holiday season saw 37% rise in in-app spending, showcasing strong interest in mobile shopping
• iOS apps outperform Android with 85% more paying users, making iOS a lucrative platform for eCommerce marketers
• Remarketing remains cost-effective, claiming over 40% share in global marketing, ensuring user engagement and increased sales

The post 37% increase in app spending during Q4 holiday season appeared first on Business of Apps.

If you’re still not entirely sure how to use short-form video to boost your app marketing success, Emplifi’s latest research “Unleashing the Power of Video: Key Trends Driving Social Media Engagement” offers some key pointers. Let’s dive right in.

Reels to the rescue

Based on an analysis of social media behaviours and ad trends in Q2 2023, the report found that Instagram Reels outperformed all other content types on social apps, generating 55% more interactions than single-image posts on the app and 29% more than standard video posts.

“Because the social media landscape is evolving and changing at such a rapid pace, it’s crucial marketers have access to insights that can help them earn the biggest bang for their marketing bucks. A key insight from this report is that despite an ongoing decline in engagement on Instagram last quarter, the platform still delivers the highest engagement rates for brands compared to Facebook and Twitter,” said Zarnaz Arlia, CMO at Emplifi. 

Both Reels and Instagram Carousels, known as multi-image posts, have emerged as the top-performing content for brands on the platform. During Q2, brands experienced significant success with these engaging formats, with Reels earning a median of 75 interactions per post and Carousels closely following with a median of 74 interactions per post.

Surprisingly, Instagram Reels account for only 11% of all Instagram ads. However, a whopping 87% of brands experimented with Reels placements at least once in Q2 2023, marking a notable 26% increase compared to the previous year. In fact, brands’ usage of Instagram Reels soared by an impressive 86% in Q2 2023 when compared to the same period in 2022, with 90% of brands posting at least one Reel.

Nevertheless, it’s crucial to acknowledge that Instagram Reels’ engagement has experienced a downward trend for the past five quarters, plummeting by 30% year-over-year in Q2 2023.

With intense competition for engagement on the platform and the recent deprioritisation of Reels by Meta, Instagram’s parent company, it becomes evident that brands must diversify their social content and embrace multiple channels for their video marketing endeavours.

Facebook…not so much

While Instagram Reels continue to gain immense popularity, the same cannot be said for Facebook Reels. Interestingly, Facebook Live Video takes the lead as the dominant video content on the platform, surpassing all other formats by a significant margin.

In fact, Facebook Live Video garners nearly four times the number of interactions compared to static video posts.

Facebook post type performance

Source: Emplifi

It’s important to note that Facebook Reels entered the scene two years after Instagram launched its highly successful video format. As a result, Facebook Reels are still finding their footing and haven’t garnered the same level of traction as their Instagram counterpart. However, as more brands begin cross-posting their Instagram Reel content to Facebook, there is a possibility of witnessing a shift in engagement on the platform.

The data reveals that in Q2 2022, only 31% of brands utilised Facebook Reels for ad placements. Remarkably, this figure surged to an impressive 82% during the same period in 2023, representing a staggering 166% increase in usage.

What about TikTok?

It’s the question that everyone’s asking: so what about TikTok versus Instagram Reels?

The growth of TikTok’s user base continues to skyrocket – TikTok saw a  five-fold increase in followers for the average brand during Q2 2023.

TikTok vs Instagram Reels

Source: Emplifi

Despite TikTok’s impressive ability to attract new users, Instagram Reels still outperforms TikTok content in terms of median reach, median interactions, and median video views. However, when it comes to median engagement rates, TikTok emerges as the winner when compared to Instagram Reels.

A graph depicting blue and black lines showcases the trends.

“It is high time for marketers to fully embrace the power of video in their marketing efforts, encompassing platforms like Instagram Reels, Facebook Live Video, TikTok content, and even GIFs on Twitter,” remarked Arlia. “The explosive growth of short-form video demands that brands leverage this trend to gain a significant competitive edge. As a leading customer engagement platform, we recognize that implementing a successful video strategy takes time. That’s why we devote considerable effort to creating these reports and sharing valuable data. Our aim is to assist marketers by equipping them with a headstart in developing social media strategies that yield measurable impact.”

Key takeaways

• Instagram Reels generate 55% more interactions than single-image posts and 29% more than standard video posts
• TikTok sees a five-fold increase in brand followers, but Instagram Reels surpass it in median reach and interactions
• Facebook Live Video earns nearly four times the interactions compared to static video posts

The post Instagram Reels outperforming other content types with 55% more interactions appeared first on Business of Apps.

The global mobile app market is set to reach a whopping 189 billion installs and generate $186 billion in revenues by 2027, according to the latest report from mobile experts Sensor Tower. Let’s check out the data.

Full steam ahead

There’s much reason to be optimistic with the latest data from Sensor Tower’s Mobile Market Forecast revealing a boost to mobile app installs and revenues over the next few years.

The forecast predicts an 8.4% compound annual growth rate in worldwide user spending. That signals a remarkable 50% increase in revenue compared to the previous year’s total of $124 billion.

The growth is driven by both the App Store and Play Store, but Apple’s marketplace is projected to have a significant edge here.

By 2027, the App Store will contribute $125 billion in user spending. In comparison, the Play Store is expected to account for slightly less than half of that amount, specifically $60 billion.

Consequently, Sensor Tower believes that now’s as good a time as any for developers and marketers to assess the potential of the iOS market and take it into careful consideration when making strategic decisions.

India is projected to be the leading country in terms of mobile app downloads and is expected to maintain its top position in 2027. Brazil, on the other hand, is projected to surpass the United States and grow more rapidly by 2027. Over time, the country could become a dominant player.

Brazil to displace the US as global number two

Source: Sensor Tower

Entertainment, video and photo revenues

There appears to be a noteworthy trend regarding the distribution of app revenue across different categories. Currently, mobile games contribute to 54% of the total app revenue.

Entertainment apps eating into gaming apps’ pie

Source: Sensor Tower

However, the report suggests that this dominance will diminish by 2027, with their share decreasing to 47%.

On the contrary, the Entertainment and Photo & Video categories are predicted to witness an increase in their market share.

This growth can be attributed to the rising number of users who are transitioning towards and allocating more funds to apps with engaging content such as TikTok and YouTube.

Key takeaways

• Global mobile app market to reach 189 billion installs and $186 billion in revenues by 2027
• App Store leads with $125 billion in user spending, while Play Store contributes $60 billion
• Mobile games decrease to 47%, entertainment and photo & video categories grow

The post Mobile game app revenue expected to decrease to 47% by 2027, while entertainment grows appeared first on Business of Apps.

We’re excited to announce that App Promotion Summit Berlin will return to Hotel Adlon in Mitte on Thursday 30th November.

We’ll be bringing together the European app growth community to share new ideas, tactics and actionable strategies that will help you grow and scale in 2024.

You’ll be able to learn and connect with Europe’s leading app marketers in interactive workshops, talks, panel discussions and roundtable sessions.

As always, the finest 5* food and drink will be on offer in a super-friendly atmosphere, including our legendary cocktail roundtables.

Reserve your place here or let us know if you’d like to participate as a speaker or partner.

The post APS Berlin is BACK appeared first on Business of Apps.

Ever wondered about which apps get the most downloads on the App Store and Google Play? An analysis from AppFigures has taken a closer look at download estimates including expanded country coverage.

300 downloads a day

AppsFigures grouped apps by downloads and looked at all apps with more than 100 up to 10 million downloads in the last month.

The analysis revealed that approximately 47.7% of the apps examined received between 100 and 1,000 downloads globally within the last month.

Approximately 33.3% of the apps examined garnered between 1,000 and 10,000 downloads in the past 30 days across both the App Store and Google Play.

By combining the aforementioned findings, it becomes evident that a significant majority of apps and games, comprising approximately 80%, receive fewer than 10,000 downloads on a monthly basis. On average, this translates to around 300 downloads per day at the upper end of the spectrum.

It’s important to note that this figure pertains to 80% of apps that surpass the threshold of 100 downloads per month. Thus, it excludes a substantial portion of the App Store and an even smaller proportion of Google Play, underscoring the limited visibility and recognition achieved by the majority of apps within these platforms.

Less than 1% get more than a million downloads

The other substantial group consists of apps that receive downloads ranging from 10,000 to 100,000. This range marks a point where increased investment in paid advertisements, including Apple Search Ads, becomes more prevalent.

Within the examined apps, only a small fraction, accounting for approximately 3.8%, attained download figures between 100,000 and 1 million in the past 30 days.

It’s noteworthy that a larger number of apps in this category originate from Google Play compared to the App Store.

Moving further, when focusing on apps with download counts ranging from 1 million to 10 million, the percentage decreases significantly to just 0.5%. Notably, many well-known and widely-used apps such as Twitter, TikTok (App Store version), and Instagram (App Store version) belong to this particular group.

Lastly, the smallest group comprises a mere 21 apps in total with 10 million or more downloads. Among these, 20 apps are sourced from Google Play, while only one app represents the App Store. This group stands as the most exclusive in terms of download figures.

It’s worth mentioning that while this analysis emphasises the distribution of downloads, it differs from the Monthly Millionaire’s Club article, which focuses on revenue. Notably, Google Play tends to attract a higher volume of downloads overall, highlighting its popularity in this regard.

Key takeaway

• Majority of apps receive under 10,000 downloads monthly, averaging around 300 per day
• Only a small percentage of apps achieve between 100,000 and 1 million downloads
• A tiny fraction of apps (less than 1%) exceed 10 million downloads, mostly on Google Play

The post Discovering app download trends: from 100 to 10 million downloads in a month appeared first on Business of Apps.

India has decided to impose a substantial tax on online gaming companies including app makers. The decision, announced during the 50th meeting held in New Delhi, entails treating online gaming on par with gambling, including activities like horse racing and casinos.

What are the changes?

Under the new levy, online games will be subject to a tax of 28% of their total value. This move signifies a notable shift in how the Indian government views and regulates the online gaming industry, aligning it with the taxation principles applied to gambling activities.

By implementing this tax, the authorities aim to generate revenue from the booming online gaming sector and bring it under similar regulatory frameworks as traditional gambling forms.

What will the implications be for app makers?

The decision to impose a hefty tax on online gaming companies is expected to have a significant impact, particularly on the mobile gaming sector, which dominates the gaming landscape in India.

Games such as social casino and hypercasual games, known for their revenue-generating potential, have gained immense popularity. Notably, hypercasual game installations in India witnessed a 32% increase in 2022.

The tax isn’t the only recent measure taken by India against the gaming industry. Just last month, Rajeev Chandrasekhar, the Minister of State for Electronics and Information Technology, hinted at the possibility of banning three types of mobile games.

However, with regards to the new levy, the Goods and Services Tax (GST) Council has decided not to differentiate between “a game of skill and a game of chance,” adopting a simplified and less nuanced approach compared to aspects like loot boxes.

Industry leaders expressed their concerns regarding the tax decision. While some game makers agree that the government’s measures may be necessary for casinos, horse racing, and gambling, the higher tax rate has been called unjustified for the competitive gaming community, including the esports sector.

Rohit Agarwal, Founder and Director of Alpha Zegus, highlighted the skill-based nature of esports and the ongoing fight to separate it from other gaming labels.

It remains to be seen how India’s tax changes will affect the mobile industry but doubt has been cast on whether the country could reach a valuation of $8.6 billion by the end of 2027.

Key takeaways

• India imposes 28% tax on online gaming companies, treating gaming on par with gambling activities
• Mobile gaming sector, especially social casino and hypercasual games, to be heavily impacted
• Concerns raised over lack of distinction between skill-based and chance-based games in tax policy

The post India gambles on gaming taxes: imposes 28% tax on mobile games appeared first on Business of Apps.

Google has unveiled updates to its policy, aiming to provide new avenues for transactions involving blockchain-based digital content within apps and games available on Google Play. According to Joseph Mills, Google’s group product manager, this policy revision requires apps to maintain transparency with users regarding tokenised digital assets. Let’s dive in.

Blockchain transparency

Google noted that, as per the changes, developers are prohibited from promoting or glorifying potential earnings derived from playing or trading activities.

The policy changes reflect Google’s recognition of the growing significance of blockchain technology and its potential to transform the way digital content is transacted. By allowing transactions involving blockchain-based digital assets, Google is opening up avenues for innovation and engagement within the app and gaming ecosystem.

However, the company also emphasises the importance of transparency and responsible promotion, seeking to protect users from deceptive or misleading practices.

The move that developers must clearly declare if their app or game involves the sale or earning of such assets aligns more broadly with the company’s efforts to emphasise user protection by prohibiting developers from promoting or glamorising potential earnings derived from playing or trading activities.

What happens to apps that fail to comply?

Google Play enforced strict guidelines for apps that fail to comply with its Real-Money Gambling, Games, and Contests policy. Such apps, as well as those that do not meet eligibility criteria, are prohibited from accepting payment for chances to win prizes, including Non-Fungible Tokens (NFTs).

Joseph Mills, Google’s group product manager, clarified that this includes features like “loot boxes” where randomised blockchain-based items are obtained through purchases.

To ensure a smooth transition, Google is currently piloting the new policy with a select group of developers before implementing it widely on Google Play later this year.

The company anticipates that customers will begin to experience updated in-app and gaming experiences as early as the summer season. By imposing these regulations, Google aims to foster a more secure and transparent environment for users, aligning with its commitment to responsible app development and user protection.

Reddit said it had partnered with Google “to help update their policy, aimed at creating a level playing field that promotes user trust, and responsible usage of blockchain technology.”

Key takeaways

• Google’s policy updates prohibit promotion of potential earnings from playing or trading activities, emphasizing transparency
• Apps violating guidelines on Real-Money Gambling, Games, and Contests are prohibited from accepting prize payments
• Updated in-app and gaming experiences prioritise user trust and responsible blockchain usage

The post Google’s policy update brings blockchain transparency for apps and games on Play appeared first on Business of Apps.

It appears mobile is starting to bounce back after the initial economic downturn following the COVID pandemic and the war in Ukraine. Global in-app spending grew to a whopping $67.5 billion during the first half of 2023, according to the latest data from mobile experts data.ai.

Glimmers of hope

The global app market seems to have recovered somewhat following the challenges posed by the macroeconomic headwinds of 2022. The first half of 2023 saw a robust resurgence, with $67.5 billion in consumer spending and a staggering 76.8 billion app downloads worldwide, encompassing both iOS and Google Play platforms.

The findings from data.ai also suggest that consumer spending growth, which rebounded in the latter part of 2022, continued its upward trajectory in the first half of 2023.

App spending rises during H1 2023

Source: data.ai

In total, consumer spending increased by 5.3% compared to the previous year, with a 16% growth specifically in the app sector. However, spending in the gaming category has remained relatively stable year-over-year.

The resurgence of positive growth in the first half of the year offers a glimmer of hope, suggesting that the downturn in mobile consumer spending during 2022 may have been a momentary blip in the sustained expansion of the mobile app market.

Both app stores benefit…

The resurgence is notable across both Apple’s App Store and Google’s Play Store. iOS consumer spending increased by 5.8% year-over-year, while Google Play experienced a 4.3% growth.

Notably, iOS generated an impressive $43.5 billion in revenue, while Google Play grossed $24 billion in the first half of 2023. It is worth mentioning that iOS users consistently outspend their Google Play counterparts.

iOS accounts for nearly 65% of the total app store expenditure, and this figure rises even higher to 71% in non-gaming apps.

App spending by platform

Source: data.ai

TikTok remains a standout in terms of consumer spending outside of games with growth of 31% year-over-year.

Other subscription-based apps like Disney+, YouTube, and Duolingo have also achieved solid growth rates of 33%, 39%, and 48%, respectively. These apps continue to capture the attention and spending of consumers.

In the gaming sector, engagement and growth remain strong. Global consumer spending in gaming apps has reached $40.9 billion in the current year, marking an increase from $32.8 billion in H1 2019. Additionally, gaming app downloads reached 30.4 billion in H1 this year, up from 21.6 billion in H1 2019.

Notably, in May 2023 alone, global consumer spending on games exceeded $94 million, surpassing the previous high set in May 2020, three years prior.

But Google ranks top for downloads

In H1 2023, app downloads demonstrated consistent growth, reaching a total of 76.8 billion, marking a 3.2% year-over-year increase.

While Google Play remains the dominant platform for downloads, iOS experienced faster growth, with a remarkable 10% year-over-year increase and surpassing 18 billion installs.

App downloads in H1 2023

Source: data.ai

Among the top markets for Google Play downloads were India, Brazil, and Indonesia, while China, the United States, and Japan emerged as the leading countries in iOS downloads. Notably, Brazil, China, and the United States exhibited substantial growth compared to the second half of 2022 on the iOS platform.

Key takeaways

• Global in-app spending reached $67.5 billion in H1 2023, signalling recovery in the mobile app market
• TikTok surpassed $2.1 billion in consumer spending in H1 2023 – a 24% YoY increase
• Gaming apps saw significant growth, with $40.9 billion in consumer spending and 30.4 billion app downloads in H1 2023

The post Global in-app consumer spending rebounds with 5.3% rise in H1 2023 appeared first on Business of Apps.

The number of apps with subscription models has grown rapidly in the last few years and nearly 30% of IAP spend came from subscriptions in Q1 2023. 

The app economy is projected to hit $614 billion by 2026 and apps across all verticals are building huge recurring revenue streams and engaged user bases through subscriptions.

However, with monthly app subscriptions costing on average $8.94 and less than 2% of app downloads converting to paid subscribers, succeeding with subscription apps remains tough as users cut back on spending.

At APS San Francisco – Subscription App Strategies we will cover how to drive subscription app growth through better analytics, acquisition, activation, monetization and retention.

We will explore how to level up your subscription app marketing game by answering questions like…

How to acquire subscription app users?

• Getting your product-market fit right
• Targeting the right, paying users
• Referral and reward programs

How to activate them after download?

• Optimizing onboarding experience
• Push permissioning
• Getting the value proposition right

How to get a monetization strategy right?

• A/B testing of pricing tiers
• Paywall optimization and promotions
• Using LTV:CAC

How to achieve long-term retention?

• Cross-channel messaging
• Predicting (and preventing) friction areas and churn
• Win-back programs

Would you like to join us on Thursday 28th September? Apply for a ticket here.

The post The Subscription App Opportunity in 2023 appeared first on Business of Apps.

Instagram’s text-based app Threads reached an impressive milestone of 100 million signups within just five days of its launch on June 6. That’s according to the Quiver Quantitative tracker data.

Threads, Threads, Threads

As of July 11th, Threads users were up to 105 million. The milestone was also confirmed by Instagram’s very own Adam Mosseri, who wrote:

“100 million people signed up for Threads in five days. I’m not sure I can wrap my mind around that fact. It’s insane; I can’t make sense of it.

The team has been busting their ass, but we know this is a race to the starting line. They say “make it work, make it great, make it grow.” Well, we certainly did things out of order, but I promise we will make this thing great.”

The app’s impressive climb was well-documented by Meta’s Mark Zuckerberg, who noted that the app garnered 2 million signups in two hours, 5 million in four hours, and surpassed 10 million registered users within seven hours.

By the next morning, over 30 million people had signed up, despite the app not yet being available in the EU due to privacy concerns.

Threads achieves over 100 million app sign-ups in first week

Source: Quiver Quant

In terms of user acquisition speed, Threads even outpaced OpenAI’s ChatGPT bot, which achieved 10 million daily users in 40 days and 100 million monthly users in around two months. Of course, retaining all that users is a very different challenge and one many apps fail at.

But what actually is Threads?

Threads is essentially Meta’s very own Twitter spin-off. That said, many early adopters have already complained that the app feels nothing like Twitter.

Threads is missing some features such as support for ActivityPub, the protocol used for posts on decentralised networks. While Meta has indicated that they are working on integrating it, until this integration occurs, the app will not be fully part of the fediverse.

Some also feel that the app’s focus on self-congratulatory posts and the absence of a chronological timeline or topic search feature add to the perceived dullness. It seems Threads doesn’t offer a compelling or engaging experience that could keep users coming back for more.

Other limitations are a read-only web interface, the absence of features like post search, direct messages, hashtags, and a “Following” feed, and restrictions on nudity due to Instagram’s rules.

And yet, there’s little denying that Threads’ achievement of reaching 100 million users in a short time is undeniably impressive.

Key takeaways

• Threads app reaches 100 million signups in five days, surpassing OpenAI’s ChatGPT bot in user acquisition speed
• Critics highlight missing features and perceived dullness, including absence of chronological timeline and topic search
• Retention figures remain to be seen

The post Threads scores 100 million app signups in just five days of launch, but will it retain users? appeared first on Business of Apps.

Female gamers now account for 37% of total gamers in Asia. That’s according to the latest report from Asian game market analytics firm Niko Partners. Let’s take a closer look.

Gaming is for everyone

Female gamers comprise more than a third of gamers in Asia, making them a force to be reckoned with. According to the latest research from Niko Partners, female gamers are growing at a rapid rate of 11% per year. This growth outpaces that of new male gamers, indicating the tremendous potential this market holds.

Currently, mobile gaming dominates among female gamers in Asia. However, PC and console gaming have ample room for growth. This presents exciting opportunities for developers and publishers across all three platforms to tap into this thriving market segment. With the right strategies, the industry can cater to the diverse preferences of female gamers and unlock their full potential.

Top game genres among female gamers in Asia

Source: Niko Partners

The market for female gamers in Asia is also not just limited to casual gaming, as there’s a growing presence of female Gen Z gamers venturing into competitive games and esports genres. This shift presents an opportunity for monetisation and growth within the female gaming community.

Room for improvement in revenues

The report also finds that while female gamers contribute approximately 23.5% of total revenue in the Asian games market, there’s room for expansion in the coming years. As the female gamer market steadily approaches parity with their male counterparts, revenue generated by female gamers could more than double.

Esports, in particular, can play a pivotal role in driving engagement and financial investment among female gamers. Women who actively participate in esports through activities like live streaming, competing, or playing esports games demonstrate a higher propensity to spend money and time on gaming content.

Furthermore, the findings indicate that over half of gamers expressed dissatisfaction with the portrayal of women in games. There is a pressing need for a more diverse representation of female appearances in avatars and characters.

The gaming community as a whole must work towards addressing gender discrimination and combating negative online interactions to create a more inclusive environment for female gamers.

By embracing the evolving interests and needs of female gamers, the industry can tap into their significant potential and foster a more inclusive and diverse gaming landscape.

Key takeaways

• Female gamers in Asia comprise 37% of total gamers, growing at 11% annually, outpacing new male gamers
• Esports can drive monetization and growth among female gamers who are more likely to spend money and time on gaming content
• Over 50% of gamers are dissatisfied with how women are portrayed in games, calling for improved diversity and reduced gender discrimination

The post Female gamers account for 37% of total gamers in Asia appeared first on Business of Apps.

Global app install ad spend, which refers to the expenditure made by mobile apps to attract new users and encourage them to install their apps, is estimated to reach $94.9 billion by 2025. That’s according to the latest report from mobile app experts AppsFlyer.

Market fluctuations

The projected rise indicates a significant 20% growth compared to the figures recorded in 2023.

But it’s important to note that ad spending in this sector is expected to experience notable fluctuations due to the current economic downturn and the subsequent anticipated recovery.

Changes in global app install ad spending

Source: AppsFlyer

Between 2021 and 2023, AppsFlyer projects a decline of 15% in ad spending. However, starting from 2023, the forecast predicts a substantial 20% surge in ad spending by 2025. These fluctuations reflect the dynamic nature of the market influenced by economic conditions and recovery trends.

Influential factors

The mobile app marketing landscape saw significant and unprecedented changes recently. Apple’s App Tracking Transparency (ATT) framework, introduced in April 2021, no doubt, had a profound impact on marketers’ ability to measure and optimise campaigns. This shift towards aggregate data instead of user-level data optimisation has prompted the emergence of alternative measurement solutions. However, the industry has yet to fully recover to pre-ATT levels.

Add to that the Covid-19 pandemic which drove rapid digital acceleration with lockdowns and social distancing measures. Mobile apps capitalised on this by running aggressive user acquisition campaigns, particularly in the gaming sector. However, contrary to expectations, digital usage eventually cooled down and returned to pre-pandemic levels.

App install ad spending by region

Source: AppsFlyer

Furthermore, the global economic downturn and rising inflation rates in 2022 affected mobile businesses. Consumer-facing B2C mobile apps reduced marketing budgets and even downsized staff. The war in Ukraine added another shock to the global economy, particularly impacting energy and food markets in Europe, causing supply constraints and price hikes.

These developments have brought about significant volatility.

AppsFlyer’s data for the first five months of 2023 compared to the same period in 2022 indicates a 20% decline. Considering the ongoing recession and the projections of financial analysts, a further 6% decrease in ad spending is forecast for this year.

Toward privacy

In addition to the projected economic recovery, advancements in privacy-enhancing technology and measurement solutions are playing a crucial role in impacting ad budgets. Many apps and media sources have also adapted to Apple’s SKAdNetwork and continue to invest in the platform due to the high quality of its user base, despite the data restrictions.

Looking ahead, the adoption of SKAdNetwork 4.0, along with subsequent releases and enhancements like SKAN 5.0, is expected to reach critical mass. These updates bring significant upgrades to measurement capabilities, further empowering marketers.

Another significant development on the horizon is Google’s planned release of Privacy Sandbox for Android in 2024, which is anticipated to be smoother than Apple’s privacy changes and is likely to provide marketers with substantial visibility into campaign performance for both user acquisition and remarketing.

Data clean rooms

Source: AppsFlyer

Among the notable privacy-enhancing technologies, data clean rooms stand out. These secure environments enable the processing and management of sensitive data in a privacy-compliant manner, ensuring its appropriate usage.

Marketers face pressure to meet the growing demand for smartphones, particularly in developing countries, where a 13% increase in smartphone usage is projected between 2022 and 2025. This demand requires marketers to demonstrate continuous growth and adapt to evolving market dynamics.

Key takeaways

• App install ad spend is projected to reach $94.9B by 2025, with fluctuations due to the economy and privacy changes.
• Privacy-enhancing technology and measurement solutions impact ad budgets
• Marketers face pressure to meet smartphone demand in developing countries

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A whopping 38% of all games developed in Brazil between 2020 and 2021 were primarily designed for mobile devices. That’s according to data from Abragames’ 2022 Brazil Games Industry Report. What does this mean for Latin America and the mobile gaming industry at large?

Brazil emerges as a mobile gaming powerhouse

Brazil has quickly emerged as a leading force in the global gaming market, currently ranking as the tenth-largest market worldwide and the foremost market in Latin America. The immense popularity of mobile gaming has contributed to this growth, with a diverse range of developers and over 12,000 employees working across more than a thousand game-making companies.

Games developed for various device types

Source: Brazilgames

Notably, Wildlife Studios has been recognised as the country’s first unicorn achieving a valuation of $3 billion in 2020, further cementing Brazil’s status as a key player in the gaming industry.

All eyes on Brazil

This has attracted international investment such as Epic Games’ investment in Aquiris Game Studio. This move resulted in the acquisition and rebranding of the studio as Epic Games Brasil.

57% of the country’s 1,009 developers reported generating revenue from abroad, either through games or services provided to foreign partners, amplifying Brazil’s global reach.

Revenues from abroad

Source: Brazilgames

Among respondents, 55% identified the US as a major market, showcasing the nation’s enduring significance on the world stage. Following closely behind were Latin America (53%), Western Europe, and Canada, with each region capturing the attention of 49% of respondents. Curiously, China, renowned as the world’s largest mobile market, was recognised as a major market by only 23% of respondents, sparking intrigue and raising questions about its relative prominence in the industry.

A diverse sector

The report notes that Brazil stands out among LATAM countries, with revenue surpassing $2.3 billion in 2021, reflecting year-on-year growth of 5.1%. Some 75% of Brazilian consumers are dedicated gamers, frequently indulging in gaming experiences primarily on phones, tablets, and PCs.

What’s more, Brazil’s gaming industry is rather diverse with 30% of employees being women, and a majority of 62% holding essential positions in art design, programming, and project management.

Women in the industry

Source: Brazilgames

Emphasising inclusivity, 57% of Brazilian game studios actively cultivate diverse workforces, embracing individuals from diverse ethnic backgrounds, the queer community, people with disabilities, and those who are neurodiverse. This commitment to diversity contributes to the vibrant and inclusive nature of Brazil’s thriving games industry.

Key takeaways

• Brazil’s gaming industry witnesses a staggering 38% of games developed for mobile devices
• Brazil emerges as the leading gaming market in Latin America, with revenue exceeding $2.3 billion in 2021
• Brazil’s gaming industry embraces diversity, with women comprising 30% of employees and inclusive workforces in many game studios

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According to recent findings by analytics firm Adjust, the opt-in rates for Apple’s App Tracking Transparency (ATT) feature have grown significantly, reaching an impressive 37%. Among various gaming genres, hypercasual games topped the list with an opt-in rate of 44%.

Gaming apps have the highest opt-in

Apple’s ATT initiative aims to empower users by providing privacy controls and making it necessary for individuals to actively choose to allow data tracking through apps, instead of having to opt out.

Analysing the opt-in rates on Apple platforms, Adjust’s research reveals that gaming apps have the highest opt-in rate compared to other app categories.

Gaming apps have the highest opt-in rates

Source: Adjust

The second-highest opt-in rate belongs to the food and drink category, with 36%, while the lowest opt-in rate is observed in the education category, at just 7%. This lower rate in education apps can be attributed to stricter guidelines regarding the collection of data from younger users.

With hypercasuals leading the pack

Hypercasual games had the highest opt-in rate at 44%, followed closely by sports and racing games at 44% and 40% respectively.

Hybridcasual games were not far behind, with an opt-in rate of 39%.

Hypercasuals have the highest opt-in rates

Source: Adjust

On the other hand, family and education games had the lowest opt-in rates, standing at 2% and 4% respectively, primarily due to compliance requirements.

According to Adjust, the higher opt-in rate for hypercasual games can be attributed to the fact that their user base is more aware of the benefits of targeted advertising, particularly in finding their next gaming title.

To improve opt-in rates for ATT, Adjust suggests experimenting with cross-promotion. Interestingly, the opt-in rate for hypercasual game installations from cross-promotion jumps significantly to an impressive 59%.

Using ATT as part of your campaign

Incorporating ATT into your app marketing campaign can yield promising results, as indicated by the rising opt-in rates. As seen in the data hypercasual games have the potential to boost their ATT opt-in rates by offering tangible benefits to users, such as targeted advertising that helps them discover their next gaming experience.

ATT opt-in status

Source: Adjust

Focusing on demographics that prioritise security and have a deeper understanding of data collection purposes can contribute to higher opt-in rates.

To maximise the effectiveness of your campaign, it’s crucial to enhance the onboarding experience and optimise UX.

While investments in measurement and attribution tools like Apple’s SkAdNetwork have shown positive outcomes, obtaining consent for first-party data will consistently deliver more accurate attribution.

Key takeaways

• Gaming apps, including hypercasual games, saw impressive opt-in rates due to targeted advertising and user awareness, with rates as high as 44%
• Cross-promotion experiments can result in a significant surge in opt-in rates, reaching a remarkable 59% for hypercasual game installations
• Leveraging Apple’s ATT in your campaign enables precise attribution with first-party data, catering to security-conscious demographics and optimizing the onboarding experience

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Screen readers may be the latest malware to watch out for, according to testing from app shielding expert Promon. The company uncovered some pretty disturbing vulnerabilities among the top financial apps on the Google Play Store. Let’s take a look.

What are screen readers?

Screen readers are used to transform digital text into synthesised speech or braille output. That makes them essential tools for accessibility. And unsurprisingly, their main purpose is to aid visually impaired individuals in navigating and engaging with digital content.

However, the extensive access required by screen readers and other accessibility services poses a potential risk for misuse, as it grants wide-ranging access to the screen and its contents.

Malware that can access a user’s screen is also capable of stealing sensitive information, intercepting two-factor authentication, controlling the device and bypassing security features.

Screen readers as malicious actors

The Security Research team at Promon developed a simulated malicious screen reader capable of reading and extracting data from an application. They conducted tests on 100 apps and found that the screen reader program successfully read and exfiltrated data from 85 out of 92 apps (92.4%). Only seven apps (7.6%) demonstrated effective defence mechanisms against the screen reader’s attempts to access the data.

Android’s operating system contains numerous loopholes that malicious actors frequently exploit to infiltrate devices and acquire unauthorised access to sensitive information. This information encompasses confidential conversations, personal data, and financial transactions.

Through the exploitation of these vulnerabilities, malware can operate silently in the background, executing tasks and actions without the user’s knowledge. This includes the covert reading and interception of content displayed on users’ screens, even within financial apps responsible for handling delicate data like banking transactions, PINs, and account balances.

Majority of financial services apps not adequately protected against screen reader malware

Source: Promon

Malware with elevated permissions can also exfiltrate captured data through various channels, allowing analysis, extraction of personal details, and exploitation for financial gain or illegal activities.

Where do we go from here?

App Shielding technology can help mitigate the threat of malicious screen readers, but developers can also take immediate steps. They can implement code to detect screen readers and decide whether to display a warning, shut down the app, or continue normally. However, these solutions have drawbacks, such as warning messages being bypassed by malware. Developers can verify the application using accessibility features to avoid shutting down legitimate apps.

Furthermore, upcoming security features in Android 14 aim to prevent accessibility service abuse. Developers will be able to restrict non-accessibility tools from interacting with their app, ensuring that only declared tools can access certain views.

Although this is a positive development, it’s important to note that the rollout of Android 14 will take time, and OS features should always be complemented with strong defensive measures at the app level to safeguard end-users.

Key takeaways

• 92.4% of finance apps were susceptible to data extraction by malicious screen readers
• Malware leveraging screen reader capabilities can silently intercept sensitive information, posing risks to confidentiality and security
• Implementing app-level defenses, such as code to detect screen readers can help mitigate these threats while upcoming security features in Android 14 offer additional protection

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The majority of the top 50 mobile app publishers achieved notable monetisation success through in-app purchases last year, and this trend is expected to persist. New research from data.ai reveals the top app publishers by consumer spending and the factors driving their success.

Mobile app usage in 2022

According to data.ai, mobile usage skyrocketed in 2022 reaching an average of 5 hours per day, with entertainment consuming a substantial 70% of that time.

Short-Form Video apps, spearheaded by TikTok, took centre stage, capturing a significant portion of consumers’ attention and expenditure. Recognising the need to maximise monetisation within their apps, the leading publishers of 2022 implemented hybrid strategies, combining one-time purchases with recurring subscriptions.

Last year, 42 out of the top 50 publishers achieved notable success in monetisation primarily through in-app purchases, and this trend is expected to persist. In contrast, a smaller group of 8 out of the top 50 publishers predominantly relied on a subscription model to monetise their suite of apps.

Top 50 publishers overall

Source: data.ai 

Top app publishers by consumer spending

Tencent secured the top spot for the sixth consecutive year, while ByteDance made a significant leap to claim the second position. TikTok’s immense popularity propelled both companies, with the app captivating consumer attention and driving record-breaking consumer expenditure. In 2022, TikTok generated a staggering $3.3 billion in consumer spending, doubling its revenue from the previous year.

Several publishers experienced growth as their apps continued to entertain consumers. Match Group, Disney, Bumble, and Kakao piccoma Corp all saw positive results. Despite an overall decline in gaming expenditure at the market level, certain publishers achieved noteworthy success.

Top 10 publishers EMEA

Source: data.ai 

TakeTwo Interactive, following its acquisition of Zynga in May 2022, climbed an impressive 49 places in the rankings. The accomplishment was largely driven by the triumph of Zynga’s popular titles such as Empires & Puzzles and Zynga Poker. Dream Games and Top Games also enjoyed double-digit jumps, with their games Royal Match and Evony garnering significant success, respectively.

Headquartered in the Asia Pacific region, more than half of the top 50 publishers (27) hailed from this area. However, the United States claimed the highest number of top publishers from a single country, with 17 entries, closely followed by China with 12.

Key takeaways

• In-app purchases dominate monetisation for top mobile app publishers, with 42 out of 50 achieving success
• Tencent and ByteDance lead as top app publishers, driven by TikTok’s popularity and record-breaking consumer spending
• The Asia Pacific region houses the majority of top publishers, while the US has the highest number per country

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SuperScale, a revenue growth platform for mobile game developers and publishers, just secured $5.4 million in a Series A funding round. The financing was spearheaded by Venture to Future Fund, accompanied by investments from Across Private Investments and Zero One Hundred. The cash injection is quite the milestone for a company that last secured seed funding in 2020.

What SuperScale offers app developers

Founded in 2015, SuperScale launched a Software-as-a-Service analytics platform which equips game developers and publishers with the tools to identify lucrative revenue-boosting strategies. Moreover, SuperScale provides publishing and game management services, with the aim of boosting game earnings.

To date, the company has provided support to over 150 mobile games, resulting in two billion downloads globally. Renowned developers, including EA, Lego, Big Fish Games, and BoomBit, have all worked with SuperScale.

SuperScale plans to use the latest injection of capital to expand its operations, enhance its range of services, and further contribute to the growth of the mobile gaming sector.

“For nearly 10 years SuperScale has been quietly gaining traction with its unique blend of data and professional services – combined with a ‘grow games or go home’ approach,” says Ivan Trancik, CEO and Founder at SuperScale.

“In 2023, it’s arguably more difficult than ever for companies to scale their games, so it felt like time to expand the scope and depth of our services to support more developers and publishers to succeed. This funding endorses the incredible hard work of our team, and will help us hit major milestones in our ambitious roadmap as we drive rapid growth for SuperScale and our customers alike.”

SuperScale UA pipeline approach

Source: SuperScale

Venture Publishing

With the newly acquired funding, SuperScale outlined plans to expand its services and extend them to a broader range of developers and publishers across the globe. A key aspect of this expansion involves the implementation of their ‘Venture Publishing’ approach.

Under this model, SuperScale invests directly in customers’ games, assuming responsibility for various aspects such as marketing, monetisation, and LiveOps. The company recoups its investment through a revenue share based on the additional profits generated by the games.

The demand for SuperScale’s services has witnessed a remarkable surge following Apple’s privacy-first policy changes in 2021. These changes have prompted significant modifications in the mobile gaming business model, driving increased interest in SuperScale’s offerings. To accommodate this growing demand, the company not only expanded its workforce but also established new offices. In 2022, SuperScale opened an office in London, followed by another in Gdansk in 2023. These strategic expansions have effectively more than doubled the company’s staff since 2019.

“SuperScale offers an ingenious blend of scalable technology and an expert team which combine to create something unique and remarkable in the market today. It has an innovative yet robust business model which is ideal for the current economic climate both globally and within the games industry specifically. We couldn’t be more excited to make this investment into Ivan and the SuperScale team. It has been a privilege for Across to be a part of this unique and once in a generation opportunity emerging in our region,” added Peter Jakubička, CEO at Across Private Investments.

Key takeaways

• SuperScale raises $5.4M in Series A funding, led by Venture to Future Fund, for mobile game growth platform
• SuperScale’s analytics platform aids game developers, with over 150 games supported and two billion downloads globally
• Funding to expand operations, enhance services, and implement ‘Venture Publishing’ approach for revenue sharing with game developers

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User acquisition and app growth experts, Upptic, just launched a new product that targets creative workflows and digital asset management. Here’s what you need to know about the new Creative Hub.

What’s the Creative Hub?

Upptic’s Creative Hub aims to streamline and optimise various aspects of the creative process. This all-in-one platform facilitates efficient workflow management, seamless storage and organisation of assets, and delivers insightful analytics to evaluate creative performance.

Key features of the solution include seamless workflow tracking from concept to retirement. Marketers can now store and organise creative assets using flexible digital asset management system.

Users can gain campaign insights through a creative analytics suite, and proprietary modelling enables accurate measurement of iOS Creative ROAS developed to scale iOS UA profitably in today’s privacy era.

You can find out more about the Creative Hub here.

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Fitness and health apps saw some of the worst adoption on both app stores in Q4 2022 since the beginning of 2020. That’s according to a new report from performance marketing agency AdQuantum based on SensorTower data. Let’s take a look at the changing fitness app market, emerging trends and best-performing strategies.

Why did fitness and health app adoption slow in 2022?

The decline in fitness app uptake in recent years needs to be considered in the context of strong growth during the COVID-19 pandemic as lockdowns and social distancing measures prevented people from accessing in-person fitness activities. This led to increased demand for indoor entertainment options. Additionally, cancelled classes and gym memberships freed up budgets for alternative fitness solutions.

Following the peak growth in the second quarter of 2020, the growth rate gradually decelerated with fluctuations. This decline in growth can be attributed to the resumption of in-person activities as restrictions eased.

Quarterly downloads by app store

Source: AdQuantum 

But session numbers are still up

Despite the drop in app installs, there are positive indicators when examining user sessions. Session numbers remained consistent and even increased by around 1%. in 2023. This suggests that a significant portion of users acquired during the peak install period have been retained, and the current user acquisitions are more active and likely to have higher lifetime value (LTV).

Day 1 retention rates showed an increase from 25% in Q3 2021 to 35% in Q3 2022, and from 21% in Q4 2021 to 38% in Q4 2022. These metrics highlight that volume alone is not the sole determinant of success.

Health & Fitness App retention rates H2 2021 vs. H2 2022 (Global)

Source: AdQuantum 

Median stickiness rates for health and fitness apps rose from 15% and 14% in Q3 and Q4 2021, respectively, to 20% in Q3 2022 and 21% in Q4 2022. In other words, users are still actively engaging with fitness apps.

It’s not surprising that higher-income countries also see higher conversation rates of free trials and paid subscriptions. Prices of weekly plans tripled in Q4 of 2022 and monthly subscriptions followed that trend at a slower pace.

Total revenue in the Health & Fitness category by country

Source: AdQuantum 

Optimising your benchmarks

It’s crucial for marketers and developers in the health and fitness app industry, as well as the mobile marketing industry as a whole, to adapt to the evolving needs of their users. By understanding the specific experiences users seek within their respective markets and regions, better user acquisition campaigns and retention initiatives can be developed to attract the right users and provide them with the experiences that drive LTV.

In 2022, user-generated content style ad creatives were preferred by users of health and fitness apps. Three effective marketing approaches emerged: demonstrating simple exercises, incorporating gamification, and featuring real people in good shape.

To cater to the evolving needs of fitness enthusiasts, health and fitness app developers must prioritise creating an enhanced user experience. This includes developing apps that facilitate seamless management of activities with a high level of customisation and compatibility with wearable technologies.

Key takeaways

• Fitness and health app growth declined in Q4 2022, the worst adoption since the beginning of 2020
• User session numbers remained consistent and increased by around 1% in 2023
• Retention rates improved significantly, with Day 1 retention rates reaching 35% in Q3 2022 and 38% in Q4 2022

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We are excited to announce that App Promotion Summit is coming back to San Francisco on Thursday 28th September 2023 with an event 100% focused on subscription apps.

The agenda will cover how to drive subscription app growth through better analytics, acquisition, activation, monetization and retention. You’ll end the event full of new ideas, tactics and actionable strategies that will help you grow and scale subscription apps.

Join us at the W San Francisco for a 5 star in-person experience in our legendary friendly atmosphere, or as a digital attendee.

This is THE event for subscription apps and you don’t want to miss it.

Get in touch if you’d like to participate as a speaker or partner as we discover the future of subscription app growth.

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A brand new study reveals that midcore gamers are almost twice as expensive to acquire than casual gamers. Yet, their lifetime value can be substantially higher, according to Liftoff’s latest 2023 Midcore Gaming Apps Report. We’ll dive straight in.

Why are install costs twice as high for midcore gamers?

Based on programmatic data from over 30 billion ad impressions and 1.1 billion clicks across 5.5 million installs, the latest report finds that the average CPI for midcore games is approximately $2, which is double the cost of casual games at $1.

When it comes to cost-effectiveness, Android takes the lead with a CPI of $0.73 per install, making it roughly one-fifth of the cost of iOS, which has a CPI of $3.86 per install.

CPI overall and by platform

Source: Liftoff

“While casual games still dominate mobile, the challenges facing user acquisition, including Apple’s IDFA changes and rising inflation, have caused an increasing number of developers to set their sights on the midcore market,” explained Joel Julkunen, Head of Analytics at GameRefinery, a Liftoff company.

Additionally, midcore games exhibit a lower average day 7 ROAS compared to casual games, with a 4.3% day 7 ROAS as opposed to 7% for casual games. This difference can be attributed to the fact that midcore games require more time, beyond seven days, for their enhanced monetisation strategies to take effect.

Day 7 ROAS overall and by platform

Source: Liftoff

Interestingly, acquisition costs for midcore games show significant fluctuations throughout the year, with CPI noticeably higher during the summer months. In August, the CPI reaches its peak at $2.81. However, during the month of October, the costs become more favourable, offering the best deals with a CPI of $1.66 per install.

Additionally, from January to April, the acquisition costs for midcore games remain below $2, providing another period of relatively lower expenses.

The best deals are where?

When looking at the regional breakdown, EMEA stands out as the most favourable for user acquisition in midcore games. It offers a comparatively high day 7 ROAS of 4.4% and lower costs at $0.80 per install.

North America is the most expensive region, with a CPI of $5.45. However, despite the higher costs, North America still demonstrates a similar day 7 ROAS to EMEA.

On the other hand, Latin America has the lowest install costs at $0.27, making it the most cost-effective region. However, it has a relatively lower day 7 ROAS of 1.5%, indicating that the monetisation of midcore games in this region takes longer to generate returns compared to EMEA and North America.

ROAS by region

Source: Liftoff

When it comes to sub-genres, shooter games exhibit the highest CPI at $7.47, but they also generate the highest average day 7 ROAS at 6%. This indicates that while acquiring shooter game players may be more expensive, they tend to yield better returns within the first seven days.

On the other hand, strategy players are more cost-effective to acquire compared to shooter players, with an average CPI of $2.77 per install. Strategy games offer a mid-range option in terms of acquisition costs.

RPG games stand out as the most cost-effective option among the three genres, with a significantly lower CPI of $0.60 per install. However, RPG games also demonstrate a substantially lower day 7 ROAS, averaging around 1.7%. This suggests that while the acquisition costs for RPG players are relatively low, it takes longer for their monetisation to generate significant returns within the first seven days.

Key takeaways

• Midcore games have a higher CPI of approximately $2, compared to casual games at $1
• Android is a more cost-effective platform with a CPI of $0.73 per install, while iOS has a higher CPI of $3.86 per install
• Shooter games have the highest CPI at $7.47 but generate the highest average day 7 ROAS of 6%

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A surprising revelation was recently made about WeChat, the popular Chinese messaging and social app. The app now has over 400m monthly active users for its mini-games. How did it get there? And what are mini-games?

Mini-games in WeChat

According to a presentation from Chinese game analytics firm Gamelook, WeChat, which boasts over 1 billion users globally, has a thriving subset of mini-games.

Initially introduced in China in 2017, WeChat’s mini-games became available worldwide in 2019. The games incorporate a wide range of features including video streaming and document sharing, making WeChat a versatile platform for personal and business use.

WeChat was launched by Tencent in 2011 and has been growing rapidly ever since. It’s now one of the key revenue drivers for the app maker.

Mini-games are good for business

Given the immense user base of WeChat, it’s not surprising that its mini-games attract a significant number of players. With over 1 billion users engaging with the app for various purposes, from messaging to shopping to viewing video, it’s unsurprising that games are thriving as part of the social ecosystem the app created.

Pinball King is a successful mini-game on WeChat 

Source: The Bejinger

This trend has caught the attention of businesses, that started exploring ways to capitalise on the mini-game craze as early as 2019.

Competitors such as TikTok have also ventured into integrating mini-games into their offerings. TikTok has recently experimented with mini-games in the UK, primarily focusing on hypercasual titles.

For developers and publishers, the challenge lies in figuring out how to monetise the emerging trend. Mini-games differ significantly from full-fledged mobile titles, posing a unique set of considerations.

However, given user numbers and data, it’s likely we’ll soon be able to access insights into whether mini-games will emerge as major contenders in the gaming industry or remain a passing trend.

Key takeaways

• WeChat’s mini-games thrive with 400m users, showcasing their popularity and impact within the platform’s ecosystem
• Mini-games on WeChat drive revenue for Tencent
• Businesses seek to capitalize on the mini-game trend, exploring opportunities for monetisation and engagement in this growing market

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Apple revealed a new ad format for the App Store, exclusively tailored for the Today tab. The revamped design presents a more concise layout compared to the previous full-height card style. Let’s take a closer look.

What’s the new Today tab ad format?

If an app is featured on the Today tab it’s displayed on the front page of the App Store. This means users will instantly see apps.

To enhance the user experience, the new format for the Today tab will be streamlined to showcase essential elements such as the app icon, name, and subtitle as entered in App Store Connect.

In this updated format, ads will be fully visible on the Today tab without the need for scrolling. Users will no longer have to navigate through the page to view the entire advertisement, ensuring a more convenient browsing experience.

The simplified design will be implemented across all countries and regions where Today tab ads are currently featured. But it’s important to note that the new format will only be available on iPhone devices running iOS 16.4 and later. Users with iOS 16.3 or earlier versions, as well as iPad users, will not have access to the Today tab ads in this updated format.

Cutting time by cutting the review process

Some marketers will rejoice at the mention that due to the new ads no longer utilising creative content from a custom product page, the custom product page designated as an ad tap destination won’t undergo a review process before an ad is launched.

However, it’s important to note that Apple Search Ads will still review app icons, names, and subtitles to ensure compliance with the content guidelines specific to Today tab ads and adherence to Apple Advertising Policies.

Updated ad guidelines

Apple also shared some updated ad guidelines. App marketers should not use images in app icons and names or subtitles that are considered inappropriate. Pricing or phrases such as “game (or app) of the day” are also not allowed. Custom product pages for redirects much be localised to the primary languages and app names and subtitles should match the language for associated countries and regions.

Existing campaigns will be changed over to the new format in July and developers won’t need to take any further actions.

Key takeaways

• Apple’s Today tab gets a sleek ad makeover, showcasing app icons instantly without scrolling.
• The new format is limited to iPhone devices on iOS 16.4+, not available on older iOS versions or iPad.
• The review process for custom product pages was eliminated, but ad content is still subject to Apple’s guidelines

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With more consumers using mobile apps and mobile devices than ever before, 95% of marketers have shifted their focus toward customer retention. That’s according to new research by OneSignal, the customer engagement platform.

Why retention is in

According to the survey of over 1,000 product and marketing experts, engineers, and C-suite executives, customer retention held significant importance for a majority of the participants, with 95% stating that it was either very important or somewhat important to their businesses. Furthermore, 71% of the respondents believed that customer retention would gain even greater importance in the upcoming three to five years.

Industry estimates reveal that the success rate of selling to an existing customer ranges between 60% and 70%.

In contrast, the success rate of selling to a new customer falls significantly lower, ranging between five and 20%.

Retention rate is most important KPI

Source: OneSignal

The shift in focus towards customer retention is particularly vital for subscription-driven industries like mobile apps and SaaS. Here, the ability to retain and engage users plays a crucial role in their overall survival and success. However, more traditional industries such as finance and healthcare can greatly benefit from prioritising customer retention too.

When customers feel valued and engaged with a brand, they are more inclined to recommend it to others, resulting in increased organic growth.

Adapting to an evolving marketplace

The study also found that 88% have made adjustments to their marketing and engagement strategies for the year 2023 as a direct response to the prevailing economic downturn.

Furthermore, an impressive 82% of respondents have actively taken measures to reduce their marketing and product expenditures in order to enhance their return on investment (ROI).

Economic downturn means reduced marketing spending

Source: OneSignal

“Companies need to resist the urge to make cuts in the wrong places – our survey shows that many are making decisions that can hurt retention in today’s economy. Customers expect highly relevant, timely, and personalised communication and engagement at every touchpoint – this should be your customer retention strategy for the market we’re in right now,” said George Deglin, CEO of OneSignal. “In a tight economy, increasing customer retention rates by just 5% can increase profits by 25% to 95%. Focusing on best practices like segmentation, personalisation, multichannel engagement, and real-time, automated messaging will play a pivotal role in growth.”

The survey also revealed that personalised communication was the most effective tactic for customer retention. Personalised messages based on customer behaviour and preferences can increase click-through rates (CTR) by up to 58%. Additionally, user segmentation leads to a 21% higher CTR.

Omnichannel engagement strategies yield more than 3x higher click-through rates compared to single-channel approaches.

In-app messages boast click-through rates 25 to 30 times higher than average push notification rates. Leveraging multiple communication channels caters to user preferences, enhances the user experience, and fosters stronger brand loyalty.

Key takeaways

• 95% of marketers prioritize it, leading to increased organic growth and profitability
• Personalized communication boosts CTR by up to 58% and user segmentation increases it by 21%
• Over 3x higher CTR with omnichannel than single-channel approaches, with in-app messages performing exceptionally well

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