App Monetization Statistics


Steve Goldstein
Steve Goldstein
Business Formation Expert
Steve Goldstein runs LLCBuddy, helping entrepreneurs set up their LLCs easily. He offers clear guides, articles, and FAQs to simplify the process. His team keeps everything accurate and current, focusing on state rules, registered agents, and compliance. Steve’s passion for helping businesses grow makes LLCBuddy a go-to resource for starting and managing an LLC.

All Posts by Steve Goldstein →
Business Formation Expert  |   Fact Checked by Editorial Staff
Last updated: 
LLCBuddy™ offers informative content for educational purposes only, not as a substitute for professional legal or tax advice. We may earn commissions if you use the services we recommend on this site.
At LLCBuddy, we don't just offer information; we provide a curated experience backed by extensive research and expertise. Led by Steve Goldstein, a seasoned expert in the LLC formation sector, our platform is built on years of hands-on experience and a deep understanding of the nuances involved in establishing and running an LLC. We've navigated the intricacies of the industry, sifted through the complexities, and packaged our knowledge into a comprehensive, user-friendly guide. Our commitment is to empower you with reliable, up-to-date, and actionable insights, ensuring you make informed decisions. With LLCBuddy, you're not just getting a tutorial; you're gaining a trustworthy partner for your entrepreneurial journey.

App Monetization Statistics 2023: Facts about App Monetization outlines the context of what’s happening in the tech world.

LLCBuddy editorial team did hours of research, collected all important statistics on App Monetization, and shared those on this page. Our editorial team proofread these to make the data as accurate as possible. We believe you don’t need to check any other resources on the web for the same. You should get everything here only 🙂

Are you planning to form an LLC? Maybe for educational purposes, business research, or personal curiosity, whatever the reason is – it’s always a good idea to gather more information about tech topics like this.

How much of an impact will App Monetization Statistics have on your day-to-day? or the day-to-day of your LLC Business? How much does it matter directly or indirectly? You should get answers to all your questions here.

Please read the page carefully and don’t miss any words.

Top App Monetization Statistics 2023

☰ Use “CTRL+F” to quickly find statistics. There are total 91 App Monetization Statistics on this page 🙂

App Monetization “Latest” Statistics

  • 5% of the apps Sweet Pricing studied use subscriptions for app monetization, making it the least common app monetization strategy.[1]
  • According to a survey monitoring app monetization and revenue statistics, Asia earns the most, accounting for 41% of global app income.[2]
  • Worldwide spending on mobile apps (app monetization) increased 148% to $143 billion in 2020 from $57.7 billion in 2016.[2]
  • According to recent app monetization statistics, mobile app revenues are expected to hit the $693 billion mark by the end of 2021.[3]
  • 95% of Google Play Store applications are free using revenue generation by monetization mechanisms like in-app purchases.[3]

App Monetization “Other” Statistics

  • The Statista website predicts that advertising expenditures, which reached $190 billion in 2019, will rise to $280 billion this year.[4]
  • According to Kumar, “a free user is typically worth 15% to 25% as much as a premium subscriber.”[4]
  • According to Smart Insights – Mobile Marketing Analytics, the mobile ad spending from 2019 cost $65.8 billion. However, in 2018, it cost $57.7 billion.[4]
  • 92% of Apple Store applications and 96% of Google Play apps are both free to download.[5]
  • In the top 250 non-gaming applications on the apple app store, subscriptions accounted for 97% of user spending.[5]
  • A study by App Annie’s found that the average person spent 4.8 hours a day on their mobile phone last year—up 30% from 2019.[5]
  • One game app is accessible on iOS for every 3.75 non-gaming applications, according to Statista.[5]
  • Only 52% of smartphone users have at least one game app on their device, despite the fact that gaming applications are the most often generated.[5]
  • Particularly among millennials, 69% of respondents said social networking applications are the category they use the most.[5]
  • Gen Z users spend an average of 10% longer per month in top non-gaming apps.[5]
  • According to eMarketer, adult smartphone users will use mobile internet for around 4 hours per day in 2020, and 88% of that time will be spent using mobile applications as opposed to browsers.[5]
  • A communication or social app is used by more than 95% of smartphone users. Utility or tool apps for the web browser and entertainment apps.[5]
  • Social applications are not just the most popular downloads, but smartphone users also spend the majority of their time there—more specifically, 50% of all use time is spent on social apps.[5]
  • 37% of millennials who were asked what the most important considerations were when selecting whether or not to maintain a mobile app claimed that high data use was a turnoff.[5]
  • In 1H20, Google Play downloads climbed by over 1.5 times, jumping 46.2% year over year to 22.8 billion.[6]
  • Downloads increased by 12% Q/Q in the second quarter of 2020 as opposed to merely 25% between the first and second quarters.[6]
  • For the first half of 2020, Google Play games produced gross revenues of $14.4 billion, representing a 19% year over year rise.[6]
  • Outside of third-party android shops, honor of kings was the second highest-grossing game, pulling in almost $1 billion dollars globally, up 24.5%.[6]
  • Spending on mobile games increased 21.2% year over year, earning an estimated $36.6 billion on the global App Store and Google Play.[6]
  • In the first half of 2020, there were more new mobile game downloads than ever before, with an estimated 285 billion first-time installations across the App Store and Google Play globally.[6]
  • The full report of Sensor Tower on the global app ecosystem in the second quarter of 2020 is coming soon, but the initial projections show that consumers spent $26.4 billion worldwide in 2020, up 28.8% year over year.[6]
  • Revenue had previously grown by 20% during the first half of 2018 and 2019; but, this year’s more notable rise reflects a trend of higher overall expenditure due to covid19’s influence on the worldwide app ecosystem.[6]
  • Spending on Apple’s Store was almost twice as much as Google Play’s expected total income, which came in at $17.3 billion.[6]
  • The App Store, which increased by 29.3% year over year to reach an estimated $17.2 billion, accounted for the bulk of the expenditure.[6]
  • Tencent’s PUBG Mobile unseated Honor of Kings as the top-grossing game for the first half of the year. The mobile battle royale game, which includes Tencent’s localized versions Game for Peace and Peacekeeper Elite, earned a hefty estimated $1.3 billion globally on the App Store and Google Play, not including China’s third-party Android marketplaces.[6]
  • With nearly 20 billion installations within the same time period in 2019, there represented an increase of 42.5% year over year.[6]
  • In the first half of 2020, Tinder remained the highest-grossing non-game app, collecting an estimated $433 million in purchases from both stores.[6]
  • Apple’s App Store generated an estimated $32.8 billion globally from in-app purchases, subscriptions, and premium apps and games in the first half of 2020.[6]
  • 40% of applications that accept virtual currencies use two or more, while 60% of them only use one.[1]
  • 32.5% of all the applications, or 50 of apps, rely only on in app advertising for income.[1]
  • 15% of mobile applications still rely on paid sister apps to generate revenue caught many people off guard.[1]
  • Discounts ranged from 14% for the second smallest package to 45% for the biggest bundles that games offer, according to the prior research on virtual currency.[1]
  • Only 65% of consumers report having any games on their mobile devices, despite the fact that game applications are the most popular and top earners.[7]
  • According to estimates, in-app purchases make about 50% of non game applications and an even greater 79% of gaming apps’ revenue streams.[7]
  • According to the markets for mobile applications, the staggering 194 billion app downloads represent a rise of 10% from the prior year.[7]
  • People spend more than 90% of their mobile time on applications, signaling the dominance of mobile apps.[7]
  • 97.9% of users have access to a web browser and social media applications, and they have access to a much smaller selection of alternatives that are generally more visible.[7]
  • Google Play is actually expanding faster with 24% growth for Q3 2019 in the year-to-year reports.[7]
  • The demand for apps has increased over time, resulting in a 31% increase in worldwide revenue in 2021.[7]
  • According to Sensor Tower statistics, global app downloads in 2020 totaled 143 billion, with 109 billion downloads on Google Play and 34 billion downloads through the Apple Store.[2]
  • Statista predicts that income from mobile games in Southeast Asia will increase from $890.9 million in 2016 to $2.42 billion in 2021.[2]
  • Statista estimates that there were 218 billion app downloads globally in 2020, up from 140.68 billion in 2016.[2]
  • With effect from August 26, 2021, Apple will cut the first year fees it charges publisher applications that deliver material to Apple news from 30% to 15%.[2]
  • Google Play will match apple’s 50% fee decrease to 15% starting in July 2021 for app developers with annual sales of up to $1 million.[2]
  • According to Business of Apps, games accounted for 71% of all app income in 2020, with $47.6 billion coming from iOS and $31.9 billion from Google Play.[2]
  • The Apple Store reduced its fees for small app developers with less than $1 million in yearly net sales for all of their applications on the apple platform to 15% as of January 2021.[2]
  • Apple’s App Store generally charges a 30% fee for subscriptions in the first year, then 15% for all app creators, regardless of size.[2]
  • Large android app developers pay Google Play fees of 30% for in app purchases and paid app installs.[2]
  • In 2019, consumers spent $1.4 billion on health and fitness apps, according to article quoting App Annie’s State of Mobile Report. [8][2]
  • Free mobile app downloads were 93.4% in the Apple App Store and 96.9% on Google Play in July 2021, according to Statista.[2]
  • According to Sensor Tower, India downloaded the most mobile app games in June 2021, accounting for 18% of installations.[2]
  • Just 60% of the top 100 retail businesses in the world have mobile websites, leaving the remaining 40% in the beginning stages of mobile marketing.[8]
  • According to App Annie, 98% of all Google Play income worldwide comes from these free applications with in.[8]
  • By 2017, in-app purchase revenue is set to be the number one source of mobile app revenue, accounting for 48.2% of earnings compared to 14% from ads-based revenue and 37.8% from paid app downloads.[8]
  • According to comScore, 15% of all consumer expenditure is made up of mobile and desktop spending combined.[8]
  • Mobile devices do not account for the bulk of internet transactions. According to comScore, 84% of online purchases still take place on desktop computers.[8]
  • While retail growth generally increased by 1% in 2015, mobile commerce increased by 56% over the previous year, while desktop commerce increased by 8%.[8]
  • According to AppsFlyer, mobile spending is 40% higher in Asia than it is worldwide on a monthly basis.[8]
  • Over 5% of app users currently spend money on in-app purchases, according to a study of more than 100 million device owners across 1,000+ apps.[8]
  • Ecommerce conversion rates are stronger on desktop (3.35%) and tablets (2.52%) than on mobile devices (1.18%).[8]
  • According to data from AppsFlyer, the amount of money these clients spend is 20 times more than the revenue that businesses get from all other users who download premium apps combined.[8]
  • Revenue from apps for iOS and android combined will reach $133 billion in 2021, up 19% from the previous year.[9]
  • To reach $89.6 billion, annual gaming income climbed by 12.7%, the smallest percentage gain in six years.[9]
  • Developers and anticompetitive agencies are requesting more adjustments despite Apple and Google’s small concession, reducing the take from 30 to 15%.[9]
  • Despite this decline in growth percentage, iOS still generated 58% of all mobile gaming revenues.[9]
  • In 2021, Google Play’s App income generating significantly improved, with sales rising by 58.2% to $10.6 billion.[9]
  • In China, there are a number of independent android app shops that are thought to bring in over $8 billion annually.[9]
  • More than 50% of the users of applications like Pandora, Tinder, Strava, Hulu, and others are Americans.[10]
  • Users who are 18 or older spend an average of 112.6 hours a month using mobile apps, according to the data from Business of Apps.[11]
  • In the first quarter of 2020, 13.72% of app downloads were games. Education comes in second with a 93.1% share.[11]
  • Worldwide gross app sales in the first quarter of 2022 were close to $11 billion on the Google Play store, a reduction of around 11.5% from the third quarter of the previous year.[11]
  • As of June 2022, Coin Master has generated an estimated $27 million in global revenue through the Google Play Store.[11]
  • The total revenue will grow at 6.58% per year (CAGR 2022 to 2026), resulting in a market volume of $542.80 billion for 2026.[11]
  • According to eMarketer from April 2022 source, the US Smartphone In-App purchase spending forecast will have a total spending of $52.1 by 2026.[12]
  • In-app purchases now account for 48.2% of mobile app earnings and global sales from in-app purchases is estimated to be $37 Billion by 2017.[13]
  • In-app purchases account for 48.2% of mobile app earnings as compared to 14% from ads-based revenue and 37.8% from paid app downloads.[13]
  • As of July 2022, 37% of global app publishers decided to include ads in their products, while in-app billing only interested 4% of the app developers worldwide.[14]
  • Global consumer spending on mobile applications in 2021 was $170 billion, up 19% from the previous year.[14]
  • In 2021, average conversion rates in the United States, one of Apple’s biggest consumer markets, were above 30%, with conversion rates for picture and video applications exceeding 76%.[14]
  • Action games indicate that up to 77% of their money comes from in app purchases, which is the main revenue source for the majority of mobile gaming genres.[14]
  • A Sensor Tower Survey found that the sales of the top 100 premium apps in the US increased by 21% in 2019 from $3.8 billion to more than $4.6 billion.[3]
  • Another study by Ocean found that the market for in game advertising was over $5.29 billion in 2020 and that it is anticipated to increase by more than 19.5% between 2021 and 2027.[3]
  • Industry experts predict that the app industry will continue to flourish over the next few years, with revenue estimated to reach $613 billion by 2025.[3]
  • In both app marketplaces, paid applications are still common, with 20% of apps using these revenue methods.[15]
  • According to Allied Market Research, the global mobile app market was valued at $106.27 billion in 2018 and is projected to reach $407.31 billion by 2026 with a staggering CAGR of 18.4% during 2019-2026.[16]
  • According to Sensor Tower, the total worldwide app revenue in 2018 was $71.4 billion, up 22.7% year-over-year.[16]

Also Read

How Useful is App Monetization

On the surface, app monetization seems like a no-brainer for developers looking to make a profit from their hard work. By implementing in-app purchases, ads, and subscriptions, developers can earn money from users who are willing to pay for premium features or content. This monetization strategy not only allows developers to recoup their investment but also incentivizes them to continue updating and improving their apps.

But is app monetization really as useful as it seems? Some argue that the push for profits can lead to apps becoming cluttered with ads and notifications, diminishing the user experience. Users may become frustrated with constant pop-ups and banners, ultimately choosing to abandon the app altogether. This begs the question: is the short-term gain from app monetization worth sacrificing the long-term loyalty of users?

Furthermore, app monetization can also create a barrier to entry for users who are unwilling or unable to pay for premium features. This can limit the reach of the app and prevent a wider audience from benefiting from its services. In a world where information and entertainment are abundant and often free, asking users to pay for content may deter them from exploring new apps and discovering hidden gems.

On the flip side, app monetization can be a necessary evil for developers who rely on revenue to support their creations. In a competitive market saturated with millions of apps, monetization may be the only way for developers to stand out and survive. Without a source of income, developers may be forced to abandon their projects altogether, leaving users with incomplete or outdated apps.

Ultimately, the usefulness of app monetization depends on the approach taken by developers. Those who prioritize user experience and offer value to their users are more likely to succeed in the long run. By striking a balance between monetization and user satisfaction, developers can create apps that are both profitable and enjoyable for users.

In conclusion, app monetization can be a powerful tool for developers looking to earn a living from their creations. However, it is crucial for developers to prioritize user experience and value in order to ensure long-term success. By finding the right balance between monetization and user satisfaction, developers can create apps that are not only profitable but also highly useful to users.

Reference


  1. sweetpricing – https://sweetpricing.com/blog/index.html%3Fp=1226.html
  2. tipalti – https://tipalti.com/app-monetization-guide/
  3. storyly – https://www.storyly.io/post/mobile-app-monetization-basics
  4. adsgard – https://adsgard.net/how-to-monetize-mobile-game-app-the-best-monetization-strategies-and-models/
  5. mindsea – https://mindsea.com/app-stats/
  6. sensortower – https://sensortower.com/blog/app-revenue-and-downloads-1h-2020
  7. techjury – https://techjury.net/blog/app-revenue-statistics/
  8. braze – https://www.braze.com/resources/articles/in-app-purchase-stats
  9. businessofapps – https://www.businessofapps.com/data/app-revenues/
  10. emizentech – https://www.emizentech.com/blog/mobile-app-revenue-statistics.html
  11. enterpriseappstoday – https://www.enterpriseappstoday.com/stats/app-revenue-statistics.html
  12. insiderintelligence – https://www.insiderintelligence.com/content/mobile-app-users-monetization-2022
  13. invespcro – https://www.invespcro.com/blog/in-app-purchase-revenue/
  14. statista – https://www.statista.com/topics/983/mobile-app-monetization/
  15. tamoco – https://www.tamoco.com/blog/ultimate-app-monetization-guide/
  16. tristatetechnology – https://www.tristatetechnology.com/blog/mobile-app-monetization-guide-2021-strategies-stats-insight/

Leave a Comment