Condensed Version The State of Fintech Apps An Analysis of Finance Category Market Trends and Top Apps © 2020 Sensor Tower Inc. - All Rights Reserved The State of Fintech Apps: Introduction This report is an analysis of the Finance categories on the Apple App Store and Google Play. It includes download trends along with rankings of top apps from Q1 2017 through Q2 2020. In this report, we classified top apps into subcategories for further analysis: ● Mobile Payment Apps: Apps to send and receive money, such as Venmo, Cash App, and PayPal. ● Asset Management Apps: Apps with a focus on investing or saving, like Robinhood, Acorns, and TD Ameritrade. ● Mobile Banking Apps: Apps for mobile banking (includes traditional/digital banks). ● Payment Solution Apps: Apps that allow shoppers to “buy now, pay later,” including Klarna, Afterpay, and Affirm. Other subcategories of Finance apps include: ● Credit / Debit Card Apps: Apps for credit card companies, such as Discover and Amex, as well as debit and prepaid cards like BofA Prepaid ● Credit Score Apps: Apps for monitoring credit scores like Credit Karma and Experian. ● Insurance Apps: Apps for insurance companies including GEICO, Progressive, and Allstate. ● Budgeting Apps: Apps for budgeting/personal finance like Mint, Digit, and Albert. 2 © 2020 Sensor Tower Inc. - All Rights Reserved The State of Fintech Apps: Table of Contents The State of Fintech Apps report offers analysis on the latest trends for the category: 4. Market Overview - Worldwide: 21. Mobile Payment Apps: 50. Payment Solution Apps: A look at top apps and countries on the U.S. download trends for Mobile Payment A look at the emergence of Payment App Store and Google Play apps and the impact of COVID-19 Solution apps in various regions 10. Market Overview - United States: 31. Asset Management Apps: 57. Advertising Trends: Finance download trends in the U.S., U.S. download trends for Asset Top advertisers and the latest trends in including subcategory trends Management apps advertising for Finance apps 15. Market Overview - Europe: 39. Mobile Banking Apps: 67. Conclusion: Finance apps in Europe, highlighting top U.S. trends for Mobile Banking apps and a Key takeaways from the report apps and countries look at top neobanks in the U.K. 3 © 2020 Sensor Tower Inc. - All Rights Reserved Worldwide Finance Download Trends Quarterly downloads of Finance apps on the App Store and Google Play App Store Google Play 1.4B Finance app download growth remained strong globally in early 2020. Consumers continued to flock to their mobile devices for 1.2B +34% financial needs, from mobile payment and investing to traditional banking. 1.0B +23% Google Play drove the majority of Finance 800M +43% 840M 710M 763M download growth in 2Q20, with 51 percent 652M 557M growth Y/Y compared to 8 percent on the 524M 545M 600M 458M App Store. A few top markets drove this 404M 392M 417M trend, with Brazil’s Finance installs increasing 326M by more than 100M Y/Y on Google Play while 400M 308M 278M China’s Finance downloads dropped by nearly 50M (27 percent Y/Y) on the App Store. 200M 377M 395M 333M 334M 343M 350M 355M 351M 365M 367M 362M 286M 255M 245M 0 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018 Q1 2019 Q2 2019 Q3 2019 Q4 2019 Q1 2020 Q2 2020 Market Overview 4 © 2020 Sensor Tower Inc. - All Rights Reserved Top U.S. Finance Apps by Downloads Most installed Finance apps on the U.S. App Store and Google Play by year 2017 2018 2019 H1 2020 Cash App Cash App - Cash App - Cash App - 1 Square 1 Square 1 Square 1 Square PayPal Venmo +2 Venmo - Venmo - 2 PayPal 2 PayPal 2 PayPal 2 PayPal Credit Karma PayPal -1 PayPal - PayPal - 3 Credit Karma 3 PayPal 3 PayPal 3 PayPal Venmo Sweatcoin NEW Credit Karma +1 Robinhood NEW 4 PayPal 4 SweatCo.in 4 Credit Karma 4 Robinhood Chase Credit Karma -2 Zelle +5 IRS2Go NEW 5 JPMorgan Chase 5 Credit Karma 5 Early Warning Services 5 Internal Revenue Service Capital One Capital One - Capital One - Credit Karma -2 6 Capital One 6 Capital One 6 Capital One 6 Credit Karma Bank of America Bank of America - Chase +1 Turbo Tax Return NEW 7 Bank of America 7 Bank of America 7 JPMorgan Chase 7 Intuit Wells Fargo Chase -3 Bank of America -1 Zelle -3 8 Wells Fargo 8 JPMorgan Chase 8 Bank of America 8 Early Warning Services Coinbase 9 Wells Fargo -1 9 Wells Fargo - Bank of America -1 9 Coinbase Wells Fargo Wells Fargo 9 Bank of America 10 GEICO 10 Zelle NEW 10 Sweatcoin -6 10 Fresh EBT NEW GEICO Early Warning Services SweatCo.in Propel Market Overview 5 © 2020 Sensor Tower Inc. - All Rights Reserved U.S. Download Growth Following COVID-19 Download growth in the 60 days following 200th confirmed case of COVID-19 in the U.S. The impact of COVID-19 accelerated growth Asset Management 32.3% for Asset Management, Credit Card, Cryptocurrency, and Mobile Payment apps. As Credit Card 22.4% lockdown orders altered consumers’ lifestyles Cryptocurrency 20.9% and limited in-person contact, more users turned to mobile apps for their finance needs. Mobile Payment 18.3% Tax Filing and Budgeting apps saw a major Insurance 2.1%2.1% drop in downloads amid the pandemic. Seasonal trends likely explain the bulk of this Mobile Banking 1.0%1.0% decrease, as tax season and New Year’s resolutions typically boost downloads these Payment Solution -5.6% types of apps early each year. Credit Scores -11.5% Note Regarding Growth Estimates Taxes -25.4% Data is from the App Store only. Growth is calculated comparing the downloads of the top 150 Finance apps in the Budgeting -32.1% first 60 days following the 200th confirmed case of COVID-19 versus the previous 60 days. -40% -30% -20% -10% 0% 10% 20% 30% 40% Mobile Payment 6 © 2020 Sensor Tower Inc. - All Rights Reserved U.S. COVID-19 Impact on Mobile Payment App Download growth of top Mobile Payment apps before and after the 200th confirmed case 80% Square’s Cash App saw downloads increase to Cash App Venmo PayPal Google Pay Zelle more than 55 percent above the pre-COVID-19 70% period in the 60 days after the 200th confirmed case, the highest growth any Mobile Payment 60% 200th confirmed case in the U.S. app has made during the pandemic. 50% Downloads for most Mobile Payment apps 40% peaked in April or May. While growth mostly Cash App slowed in the following months, downloads for 30% Zelle all five apps remained above pre-COVID-19 PayPal levels by July. 20% Venmo 10% Google Pay Note Regarding Growth Estimates 0% Growth is calculated comparing the downloads from March through July to the average monthly downloads between -10% January and February. Feb Mar Apr May Jun Jul Jan 2020 Mobile Payment 7 © 2020 Sensor Tower Inc. - All Rights Reserved Case Study: Robinhood Weekly downloads on the U.S. App Store 500K Robinhood experienced a massive surge in Robinhood downloads during the first half of 2020. The initial increase in early 2020 corresponded with Mar. 2020 - Jun. 2020 400K Market volatility following an advertising push on a variety of networks the spread of COVID-19 led to including TikTok, ironSource, and AdMob. a surge in Robinhood’s downloads in the U.S. 300K May 2020 Nov. 2019 - Feb. 2020 Announced Robinhood also capitalized on the market Robinhood made an advertising fractional shares volatility surrounding the coronavirus in push on a variety of networks, investing in the app including TikTok, AdMob, following an initial March, seeing weekly U.S. App Store ironSource, and Unity roll-out in downloads surpass 400K in consecutive 200K December 2019 weeks. It also added fractional shares investing, continuing its trend towards making investing more inclusive. 100K 0 9/9/19 12/31/18 1/28/19 2/25/19 3/25/19 4/22/19 5/20/19 6/17/19 7/15/19 8/12/19 10/7/19 11/4/19 12/2/19 12/30/19 1/27/20 2/24/20 3/23/20 4/20/20 5/18/20 6/15/20 Asset Management 8 © 2020 Sensor Tower Inc. - All Rights Reserved Traditional vs. Digital Bank Market Share Proportion of U.S. downloads from Traditional vs. Digital banks among the top 100 Finance apps Traditional Digital Digital banks have taken off in the U.S. since 2017, seeing their share of the mobile 99% 1% banking market increase from one percent in 2017 2017 to 25 percent in the first half of 2020. These apps had 8.5 million U.S. downloads in 1% 1H20, with Chime alone accounting for 4.2 million. 86% 14% 2018 Although most of the decrease in market share from traditional banks was due to new competition from digital banks, download 79% 21% 2019 growth for traditional banks has stagnated in the U.S. The top five traditional banking apps combined for just 2 percent Y/Y growth in 1H20. 75% 25% H1 2020 0% 25% 50% 75% 100% Mobile Banking 9 © 2020 Sensor Tower Inc. - All Rights Reserved The State of Fintech Apps: There’s More! The full State of Fintech Apps report is available exclusively to Sensor Tower Enterprise customers. Request the full report from our sales team ([email protected]): Additional Insights in the Full Fintech Report (58 more pages) • Top Finance Apps and Top Countries • A Market Overview of Finance Apps in the U.S.