Sensor Tower: User spending on the App Store and Google Play will more than double by 2023
Sensor Tower analysts presented a five-year forecast for user spending and app downloads in the App Store and Google Play. So, the cost of apps in these stores will more than double by 2023.
The growth rate of the mobile gaming market has slowed down in recent years. But the popularity of the subscription model helped achieve 57% revenue growth in the App Store last year.
Now the share of games among App Store apps is 71%. It will decrease. And by 2023, games will already account for 60% of the market.
The Google Play gaming segment will also decline. Now games have an 87% share of all applications. In five years, it will fall by 1%.
User expenses
- Last year, they amounted to $72 billion worldwide, and in another four years they could reach $156 billion.
- Sensor Tower forecast for 2019: App users’ expenses will amount to $85 billion. Two-thirds of this amount is the share of the App Store.
Downloads in stores
Downloads in the App Store and Google Play will also increase significantly. But Google Play has a large share here.
- Last year, downloads in the App Store reached 30 billion, and Google Play — 77 billion. In total, this is about 107 billion.
- This year, the cumulative figure will reach 118 billion downloads.
- Four years later — 161 billion. The share of the App Store will not increase too much during this time: by only 7 billion. But Google Play will generate 124 billion downloads in 2023.
Revenue by country
The largest share of revenue in the App Store in 2018-2023 will continue to be generated by users in China, the USA and Japan. Russia is not in the “apple” top 10 countries.
But in terms of spending on Google Play, the Russian Federation promises to rise from 10th place to 6th in five years, beating the UK, Brazil, France and Turkey. The USA, Japan and Korea will remain in the top three.
Note: in China last year, due to the suspension of game licensing, revenue growth in the App Store, in fact, stopped. Consumer spending in this country has grown by only 14% over the year (compared with an increase of 60% in 2017). China’s revenue is expected to return to its previous level when licensing issues are resolved. U.S. revenue will approach the same level over the next few years.
Downloads by country
China, the USA and Japan will remain the leaders in the App Store in terms of downloads. Russia will retain its place in the top five and even rise to 4th.
In Google Play, India bypasses everyone by downloads. This will be its result until 2023. Brazil will also retain its second place, as well as Russia — the fifth. But the United States will not be able to stay in the top three, and they will eventually lose to Indonesia.
Revenue by region
App Store and Google Play app revenues in Africa and Latin America will grow significantly within five years.
According to Sensor Tower forecasts, by 2023 in Latin American countries, user spending in the App Store will reach $2.4 billion. This is 239% higher than in 2018. Google Play’s revenue growth in this region will be even more noticeable. Revenue will reach $2.8 billion, which is 408% more than last year.
In Africa, App Store user spending will grow by almost 300% in five years. In 2023, they will amount to $420 million. Spending on Android apps in the region at the same time will amount to $430 million dollars. This figure is 406% higher than last year.
Regional revenue in the App StoreRegional revenue in Google Play
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