Recovery in Global App Spending vs. Google Play Decline
On December 19, Appfigures, the app intelligence company, released its latest stats, revealing a steady rise in consumer in-app spending in 2024—marking the first increase since the economic slowdown of 2022.
A closer look at the numbers shows that the total spend amounting to $127 billion across platformswith an annual growth of 15.7%. This growth was largely driven by App Store which contributed $91.6 billion with 24% increase compared to last year, whereas Google Play saw a drop in its in-app purchases by 1.5% to $35.7 billion.
Image credit: Appfigures
Notable Decline in Global App Downloads
While the consumer in-app spending has shown an upward trend this year, the globle app downloads experienced a notable decline. In 2024, total mobile app downloads worldwide was down by 2.3% to 110 billion, with a more significant drop by 2.6% observed on Google Play falling to 81.4 billion.
Image credit: Appfigures
Reasons Behind Decline and Challenges for Developers
This downturn is partially attributed to the enforcement of stricter review policies across app stores in 2024. For the past year, Google Play has carried out a rigorous purge on its listings, leading to the removal and rejection of numerous apps that failed to meet the updated standards. This move aiming to clear spams and improve app quality has resulted in a 60% decrease in newly published apps on the Play Store.
In addition to the policy changes on Google Play, the overall decrease in app downloads can be linked to market saturation and shifting user behaviors. As the app ecosystem matures, users are becoming more selective, often favoring established applications over new entrants. This trend poses challenges for developers striving to achieve visibility and user acquisition in an increasingly competitive environment.
To navigate this evolving landscape, developers are encouraged to prioritize app quality, intuitive user interface, and most importantly, innovative features that meet user needs. Emerging solutions like Progressive Web Apps (PWAs) that streamline development process and enhance user experience also provide new perspectives for developers.
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