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Appannie.Com A P P A N N I E S T A T E O F M O B I L E 2 0 2 1 E X E C U T I V E S U M M A R Y 2020 Mobile Landscape at a Glance New App App Store Daily Time Spent Mobile Venture Capital Downloads Spend Per User Ad Spend to Mobile Tech S T A T E O F 218B $143B 4.2 Hrs $240B $73B M O B I L E 2 0 2 1 +7% +20% +20% +26% +27% YoY Growth YoY Growth YoY Growth YoY Growth YoY Growth Source: Crunchbase iOS, Google Play, Third-Party iOS, Google Play, Third-Party Android Phones; Among Markets Android in China Android in China Analyzed 2 What's Inside Macro Mobile Trends Gaming Finance Social Networking Video Streaming S T A Retail T E O Food & Drink F M O Marketing & Advertising B I L E Other Industries Embracing Mobile Innovation 2 0 2 Top Apps and Games of 2020 1 3 The Mobile Performance Standard S T A T E O F M O B I L E 2 0 2 1 4 Macro Mobile After a year that welcomed more downloads than ever before, apps should focus on Trends influencing user discovery. 37% of app users we surveyed reported they found a new app through a friend or family member. 67% of users agree when discovering and purchasing new S T apps they trust what they learn from online A T E research, and 50% only consider well-known O F apps. Cohesive brand and reputation, combined M O B I with a seamlessly connected user experience, L E 2 continues to drive new user acquisition in an 0 2 increasingly competitive market. 1 Imma Calvo Managing Director, Apps Google 5 Macro Mobile Trends Top Markets by App Store Downloads, $143B Consumer Consumer Spend & Hours Spent in 2020 Spend, 3.5T Hours, Consumer Spend (B USD) 218B Downloads Mobile Adoption Boomed in 2020 — S T Advancing 2 - 3 Years in 12 Months A T E O App habits are not fully formed — demand for new apps and F M O games still grows globally, up 7% YoY to 218 billion downloads. B I L Now is the time for user acquisition. E Consumers migrated more of their physical needs onto mobile; 2 0 2 spend hit new heights at $143 billion at 20% growth YoY. 1 Mobile took over mindshare at 3.5 trillion hours on Android phones annually. Mobile is the only channel with this reach and depth of engagement. 0 4 8 12 16 20 24 28 32 36 40 44 48 Source: App Annie Intelligence Note: Downloads and Consumer Spend are across iOS, Google Play, Third-Party Android in China combined; Spend is gross — inclusive of any percent taken by the app stores; Hours Spent is on Android phones Are you ready to seize the next big opportunity? Uncover key market drivers, shifts in consumer demand, spend and engagement, and markets primed for growth. 6 Macro Mobile Trends Average Hours Spent on Mobile Per Day Per User Mobile Time Spent Surpassed Live TV 5 4 Americans Spent 8% More Time on Mobile Than Watching Live TV Each Day 3 S T The average American watched 3.7 hours of live TV a day, A T E whereas they spent 4 hours on their mobile device in H2 2020. O F The weighted average among countries analyzed for time spent 2 M O surpassed 4 hours 10 minutes during the pandemic — up 20% B I L E from 2019. 2 1 0 2 1 0 a il a o a a y a n a s a a e y i z i c n e e n a d e i li m c n s a d i ti r k i p a t s a o n a e r In x o r h a s r d a n B e n K u C Ja n t u st g r m o M e T a S R n F r d rg th C d u i e In A u e A K G o it d n e S it U n U Know where to make strategic decisions: advertising spend, corporate prioritization and resource allocation 2019 2020 follow the eyeballs — and they are on mobile. Mobile market estimates highlight growth sectors to inform Source: App Annie Intelligence Note: Android phones strategic roadmap and investment priorities. 7 Macro Mobile Trends Distribution of Mobile App Publishers Monetization: 25% by Annual Global App Store Consumer Spend More Publishers iOS App Store Google Play Earned Over $2M Per Annum on Either Store < $100K $100K to $500K S T A T Majority < $1M Per Store E $500K to $750K O F M 97% of publishers that monetize through the iOS App Store earned $750K to $1M O B I <$1 million per annum and would benefit from Apple's App Store L E small business program — reducing fees from 30% to 15%. $1M to $1.25M 2 0 2 Many publishers — particularly gaming publishers — roll up under 1 larger companies or parent companies and also monetize across $1.25M to $2M both stores — taking home much more per year in aggregate. Over $2M 0 20K 40K 60K 80K 100K 2019 2020 Source: App Annie Intelligence Note: China is iOS only; Among top publishers analyzed; Publishers can roll up into companies and parent companies; Analysis is done on the publisher-level Analyze revenue trends across stores, categories and among apps that monetize through the app stores; Not all publishers across both app stores are represented; Starting value of ranges is $100,001, $500,001, $750,001, $1,000,001, countries to maximize your LTV and revenue potential. $1,250,001, $2,000,001 respectively. 8 Macro Mobile Trends A Decade in Funding to Mobile Tech $73 Billion Investment Funding Includes Seed, Venture and Private Equity Capital Poured Into for Venture-Backed Companies Mobile Companies $80 B 27% Growth Year-Over-Year $60 B S T From 2016 to 2020, global funding to mobile technology A T E companies more than doubled compared to the previous 5 years. O F Led by financial services, transportation, commerce and M O shopping. $40 B B I L E 2 0 2 1 $20 B Investments in companies with a mobile solution represent 26 percent of total global funding dollars in 2020, per Crunchbase data. Mobile has driven consumer and enterprise technology innovation with geo-location, cloud services and Artificial Intelligence, 0 creating leading companies in transportation, 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 financial services, health care and entertainment. Source: Crunchbase Note: As of Dec 18, 2020 — Gené Teare Data Researcher Crunchbase 9 Macro Mobile Trends Year-Over-Year Growth in Total Time Spent Not Just Gen Z — in Top 50 Apps Per User by Demographic Millennials & Baby US Boomers Spend More 30% Time in Mobile 16% 18% S Gen Z Millennials Gen X/ Baby Boomers T A Mobile Affinity Varies by Market T E O & Demographic F Apps Most Likely to Use in 2020 M O B US I In the US, Gen Z, Millennials and Gen X/ Baby Boomers spent 16%, L E 2 18% and 30% more time YoY, respectively, in their most-used apps. 0 2 In the UK, this was 18%, 17% and 27%, respectively. Gen Z Millennials Gen X/ Baby Boomers 1 In the US and UK, Gen Z had the highest affinity for Snapchat 1 Snapchat Discord Ring - Always Home and Twitch, respectively. 2 Twitch LinkedIn Nextdoor 3 TikTok PayPal The Weather Channel 4 ROBLOX Pandora Music Kindle ColorNote 5 Spotify Amazon Music Notepad Notes Focus on your key demographics: Understand the varying demographic opportunities behind mobile categories, Source: App Annie Intelligence Note: Android phones; Gen Z represented by those aged 16 -24; Millennials represented by those aged 25-44; Gen X / Baby Boomers represented countries, and design styles to identify latent demand by those aged 45+; Average of top 50 gaming and non-gaming apps by average MAU excluding and key partnership opportunities. pre-installed apps; Apps most likely to use among top 25 apps by average MAU excluding pre- installed apps and a measure of demographic cohort compared to the overall population 1 0 As consumers spend more time than ever Now more than ever, consumers rely on mobile, we continue to double down on trusted weather data to help make on experiences that help real friends stay decisions. By focusing on our customers, connected and entertained. From new their evolving needs and marketplace original shows to social gaming features trends, The Weather Channel remains and augmented reality advancements, a top app in a competitive category Snapchat's product investments support and is the world's leading weather both our growing community and our provider. S T A advertising partners alike. T E O F Skye Featherstone Allison Guidetti M O B Product Marketing Manager Head of Global Consumer Marketing I L E Snapchat The Weather Company & IBM Business 2 0 2 1 1 1 Macro Mobile Trends Percentage of Global iOS Users iOS 14 at 24% Higher Adopting New iOS Version 75% Adoption Rate At 10 Weeks Post-Launch Versus iOS 13 50% S According to data from MoPub, iOS 14 had higher adoption rates T A T heading into 2021. In particular, Germany and France led initial E O adoption rates. US and Great Britain had similar adoption rates, F M and Japan initially lagged behind.
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