Global Consumer Spending on Mobile Apps Hits $150 Billion in 2024
In the fast-paced world of technology, the year 2024 witnessed a remarkable surge in consumer spending on mobile apps, reaching an unprecedented $150 billion globally. This surge not only highlighted the increasing reliance on mobile applications but also showcased the growing influence of artificial intelligence (AI) in shaping the digital economy.
The Rise of AI-Powered Apps
According to Sensor Tower’s latest State of Mobile report, consumer spending on apps experienced a significant 13% year-over-year increase, reflecting the growing trend of mobile app usage. However, what truly stole the spotlight in 2024 was the exponential growth of AI-powered applications. These apps not only captured the attention of consumers but also their wallets at an unprecedented rate.
Non-Gaming Apps Lead the Way
For the fourth consecutive year, non-gaming apps surpassed games in consumer spending growth, with a remarkable $14 billion increase, marking a 25% year-over-year leap. Among these non-gaming apps, film and television streaming apps, as well as social media platforms, dominated the market. However, it was AI chatbots and tools that truly emerged as the defining trend of the year.
The Meteoric Rise of AI Chatbots
Generative AI apps like ChatGPT, Google Gemini, and Doubao witnessed a staggering 200% year-over-year increase in consumer spending, reaching nearly $1.1 billion. These AI-powered apps not only captured consumers’ time, with over 7.7 billion hours spent globally, but also their interest, with 17 billion downloads recorded. The momentum behind AI-powered applications suggests they are on track to become top revenue-generating app categories in the near future.
Digital Fatigue and Emerging Trends
Despite the record-breaking spending on apps, signs of digital fatigue began to surface in some of the most mature app categories. Streaming platforms, while still experiencing revenue growth, saw a slight decline in engagement. On the other hand, food and drink apps, bridging the gap between digital and physical experiences, witnessed a notable boost in downloads and session counts.
AI Adoption Surpasses Expectations
AI adoption proved to be a transformative force in reshaping consumer interactions with their devices. ChatGPT, for instance, saw a remarkable 500% year-over-year increase in monthly active users, surpassing 50 million users and outpacing growth benchmarks set by popular apps like Temu and Disney+. This rapid adoption underscores consumers’ growing appetite for AI-driven solutions that offer personalization, efficiency, and seamless integration into daily routines.
Looking Ahead to 2025
The evolution of the app ecosystem shows no signs of slowing down, especially as AI adoption continues to redefine consumer expectations. The integration of AI into app ecosystems signals a new era where digital and physical interactions are becoming increasingly intertwined. However, sustaining engagement in saturated markets, such as streaming, remains a significant challenge for established categories.
As businesses navigate this dynamic landscape, the focus will shift towards creating innovative, AI-powered solutions that not only keep consumers engaged but also drive loyalty. Sensor Tower’s report offers a comprehensive roadmap for understanding these shifts, highlighting opportunities for app developers and businesses to capture value in 2025 and beyond.
Conclusion
In conclusion, the surge in consumer spending on mobile apps and the dominance of AI-powered applications in 2024 underscore the ever-evolving nature of the digital economy. As we look ahead to 2025, the key lies in leveraging AI technologies to create engaging and personalized experiences that resonate with consumers in a crowded marketplace.
Frequently Asked Questions
1. How much did global consumer spending on mobile apps reach in 2024?
Global consumer spending on mobile apps reached $150 billion in 2024.
2. Which category saw the most significant growth in consumer spending?
Non-gaming apps, particularly AI-powered applications, witnessed the most significant growth in consumer spending.
3. What were some of the top trends in the mobile app market in 2024?
Some of the top trends in the mobile app market in 2024 included the rise of AI-powered applications, digital fatigue in mature categories, and the increasing adoption of AI technologies.
4. Which AI-powered apps saw a significant increase in consumer spending and downloads?
Generative AI apps like ChatGPT, Google Gemini, and Doubao saw a substantial increase in consumer spending and downloads in 2024.
5. What challenges did streaming platforms face in 2024?
Streaming platforms faced challenges in sustaining engagement due to digital fatigue and increased competition in the market.
6. How did food and drink apps perform in 2024?
Food and drink apps experienced a notable boost in downloads and session counts as businesses integrated app-based solutions into their customer service and purchasing processes.
7. Which finance apps thrived in 2024?
Mobile wallets and digital banking apps thrived in 2024, nearing 7.5 billion downloads as users sought financial convenience.
8. What was the global appeal for cryptocurrency-related services in 2024?
Apps like Binance and Tonkeeper ranked among the top 10 finance apps by downloads, indicating a growing global appeal for cryptocurrency-related services.
9. Which Chinese e-tailers led the retail market in 2024?
Temu and SHEIN strengthened their foothold in global markets, becoming the most downloaded retail apps in Europe, Latin America, and Asia.
10. How can businesses navigate the evolving app ecosystem in 2025?
Businesses can navigate the evolving app ecosystem in 2025 by focusing on creating innovative, AI-powered solutions that enhance consumer engagement and drive loyalty.
Tags: Mobile Apps, AI, Consumer Spending, Digital Economy, Startups
