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The remarkable impact of the pandemic on the app industry has not slowed down in 2021. In fact, consumer spending on apps hit a new record in the first quarter of this year, a new report from App says. Annie. The company says consumers in Q1 2021 spent $ 32 billion on apps on iOS and Google Play, up 40% year-over-year from Q1 2020. This is the largest quarter never recorded, also notes App Annie.
Last year, app downloads and consumer spending rose as people quickly embraced apps under coronavirus lockdown – including apps for work, school, shopping, fitness, travel, etc. entertainment, games and more. App Annie previously reported a record 218 billion downloads worldwide and record consumer spending of $ 143 billion for the year.
Image credits: App Annie
These trends continued through 2021, it appears, with mobile consumers spending around $ 9 billion more in Q1 2021 compared to Q1 2020. Although iOS recorded higher consumer spending than Android in the quarter – $ 21 billion versus $ 11 billion, respectively – the two stores increased the same percentage, 40%.
But the types of spend-generating apps were slightly different from store to store.
On Google Play, gaming, social media, and entertainment apps saw the strongest quarter-over-quarter growth in consumer spending, while gaming, photo and video, and entertainment apps saw the strongest growth on iOS.
When it comes to downloads, the categories were also different between stores.
On Google Play, social media, tools, and finance saw the strongest growth in downloads in the first quarter, while games, finance, and social media drove the growth in downloads for iOS. Also on Google Play, the other top categories included weather (40%) and dating (35%), while iOS saw health and fitness app downloads increase by 25% – probably a perfect storm. because New Year’s resolutions combined with continuous stay-at-home measures that encouraged users to find new ways to stay fit without going to the gym.
Image credits: App Annie
The best apps of the quarter, however, remained fairly consistent. TikTok beat Facebook, in terms of downloads, and was followed by Instagram, Telegram, WhatsApp and Zoom. But the short form video app only reached second place in terms of consumer spending, with YouTube taking the top spot. Tinder, Disney +, Tencent Video and more followed. (Netflix ditched this chart because it now encourages new users to sign up directly, rather than through in-app purchases).
Image credits: App Annie
While Facebook’s apps lagged TikTok in terms of downloads, its apps – including Facebook, WhatsApp, Messenger, and Instagram – consistently led the market in terms of monthly active users (MAUs) during the quarter. TikTok, meanwhile, is ranked # 8 according to this metric.
New for the quarter included the Signal messaging app, which saw the strongest growth in both downloads and MAU this quarter, a calculation that App Annie calls “breakthrough apps”. Telegram followed closely, as users broke free from traditional social media after the Capitol Riot. MX TakaTak, another “disrupted” app, is filling the void in the abridged video market resulting from India’s ban on TikTok.
Image credits: App Annie
Games, meanwhile, drove the majority of spending for the quarter, as usual, accounting for $ 22 billion in spend – $ 13 billion on iOS (up 30% year-over-year) and $ 9 billion on Android (up 35%). Gamers downloaded around a billion titles per week, up 15% year-over-year from 2020.
Among us! dropped to No.2 in the quarter through downloads, replaced by Join Clash 3D, while DOP 2: Delete One Part jumped 308 spots to reach No.3.
Image credits: App Annie
Roblox led by consumer spending, followed by Genshin Impact, Coin Master, Pokémon GO and others. And although among us! Plummeted in the charts by downloads, it remained # 1 for monthly active users during the quarter, followed by PUBG Mobile, Candy Crush Saga, Roblox and others.
App Annie notes that the pandemic has also accelerated the mobile gaming market, with game downloads surpassing overall downloads 2.5 times in 2020. It predicts that mobile gaming will hit $ 120 billion in consumer spending this year, or 1.5 times all other game formats combined.
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