Mobile App Usage and Growth Statistics for 2023 and Beyond
Following the Success Trends of Mobile App Development Solutions
If you’ve been inspired by the Mobile App Usage and Growth Statistics for 2023 and beyond and are considering creating your own mobile app, it’s important to understand the different types of app development involved. Let’s simplify the research process for you by exploring some popular mobile application categories:
- Social Media Apps:
Social media platforms have become an integral part of our lives, serving purposes such as networking, entertainment, and marketing. The extensive usage of social media is evident from the fact that individuals spend an average of 4-5 hours per day on social media platforms. Popular social media apps like Facebook, Instagram, Twitter, and Snapchat have gained massive user bases worldwide. The continual growth and increasing user numbers on these platforms indicate the potential for success in creating a social media app that caters to a large global audience.
- Messaging, Chatting, Video Calling Apps:
The advent of messaging and video calling apps has connected people across the globe in real-time. These apps allow individuals, regardless of their geographical locations, to communicate seamlessly over the internet. WhatsApp, with its real-time messaging capabilities, is a prime example of such an app. The popularity of online chat applications has soared, especially due to their high-definition video calling features. Exploring the most popular global mobile messaging apps of 2022 can provide further insights into this space.
- Video Streaming Apps:
Entertainment plays a crucial role in our lives, and video streaming apps offer a convenient way to access a wide range of international shows, series, films, and documentaries. Over-The-Top (OTT) services and online video streaming apps have witnessed significant growth, with platforms like YouTube, Netflix, Amazon Prime Video, and Disney+ Hotstar leading the market. According to Statista, the revenue generated by the OTT marketplace is projected to reach $275 billion by 2022 and $476 billion by 2027. The user penetration ratio is also expected to increase from 35.7% in 2022 to 44.1% in 2027. The success of these streaming services showcases the immense potential in this sector.
Financial applications have gained immense popularity among mobile users worldwide, ranking second only to online video streaming services in terms of usage statistics. A study reveals that six out of ten individuals prefer managing their accounts through online finance apps. As electronic transactions become increasingly user-friendly and convenient, their usage is expected to rise in the coming years.
Key findings on financial apps usage include:
- Approximately 90% of smartphone users prefer online banking apps to monitor their account balances and make payments digitally.
- Mobile banking apps are heavily utilized by 89% of smartphone users and a staggering 97% of millennials.
- Implementing personalized features in banking apps could lead to a 15% increase in revenue for mobile banking enterprises based on existing revenue statistics.
- Banks that offer online banking services typically retain 89% of their account customers.
Given the remarkable success rates of financial apps, the online personal financial app market is projected to achieve a compound annual growth rate (CAGR) of 5.7%, reaching a value of $1,576.86 million by 2027.
Additionally, the market for e-trading mobile apps is expected to experience an annual growth rate of 5.1%, reaching a value of $12.16 billion by 2028. Bitcoin mobile applications, witnessing a 400% increase in adoption in 2021, have also entered this market and are anticipated to soar higher in the coming years.
- On-Demand Apps (Daily Utilities)
The usage of on-demand service applications has witnessed significant expansion since the COVID-19 pandemic, particularly in apps facilitating online booking for hotels, services, online shopping, food and grocery delivery, and more.
The revenue generated by on-demand apps is predicted to reach $335 million by 2025, driven by the increasing number of applications and the growing popularity of on-demand services. In the United States alone, smartphone users spend an estimated $57.6 billion annually on on-demand service apps, according to CB Insights analysis.
Furthermore, it is projected that expenditure on on-demand app marketplaces in Europe will amount to $1.8 trillion by 2025. This market presents numerous new business opportunities for aspiring entrepreneurs and supports global growth in the coming years.
- Gaming Apps
Mobile gaming serves as a popular source of entertainment, providing an escape and enjoyment during leisure time. The gaming industry boasts a substantial and dedicated user base worldwide.
In 2021, the mobile gaming sector generated an estimated income of $180.3 billion, marking a 1.4% increase or more compared to the previous year. Each year, the number of players in the gaming market continues to grow.
In 2021, 3 billion new players joined the mobile gaming app user base, representing a growth rate of 5.3% or more compared to previous years. Among these new players, 55% came from the Asia-Pacific region.
Key findings related to gaming app usage include:
- Games alone account for 21% of downloaded Android applications and 25% of downloaded iOS apps worldwide.
- 43% of mobile app users exclusively use their smartphones for gaming.
- Android users constitute 78% of game players.
- 58% of game app users prefer puzzle games.
- PUBG has emerged as a top mobile game globally.
Demographic insights on gamers include:
- Female gamers tend to spend more on in-game purchases.
- The age group of 45 to 55 years old comprises 53% of gamers.
- Men constitute 37% of mobile gamers.
- Young people make up around 8% of mobile gamers.
According to a poll conducted by Ad Colony, 50% of gamers are young individuals in their twenties and thirties, often referred to as devoted players.
Future Insights of Mobile App Development
The mobile app development industry continues to experience exponential growth, highlighting its profitability and attracting interest from various stakeholders. The future of mobile app development holds several exciting possibilities. Let’s explore some of the upcoming trends:
- 5G Lays the Foundation: As providers gradually roll out fifth-generation wireless technology (5G), its emphasis on speed will revolutionize connectivity. 5G networks can operate up to 100 times faster than current networks, enabling seamless connections with various devices, from individual users to enterprise networks. With reduced latency, information is delivered in milliseconds, significantly enhancing the user experience.
- New Beacon Technology: Beacon devices that emit Bluetooth Low Energy (BLE) signals offer businesses unique opportunities to connect with users through specialized smartphone applications. Beacon technology benefits various industries such as museums, hospitality, and healthcare institutions. It enables in-depth customer analysis, personalized offers, simplified payment processing, and other advantages.
- Cloud Services: Cloud computing has gained widespread recognition and adoption, offering businesses reduced hosting costs, increased loading capacity, faster processes, and improved security. Cloud technology also facilitates timely and efficient mobile app development, ensuring solid and reliable applications.
- Wearables Can Perform Additional Functions: Wearable devices, including smartwatches, headphones, and specialized apparel, can perform various functions such as voice activation for phone calls and fitness tracking. The wearable technology market, valued at $116 billion in 2021, is expected to reach $226 billion by 2026. While wearables primarily focus on consumer electronics, their potential extends to sectors like healthcare, where they can be used for advanced monitoring and security features.
- Artificial Intelligence (AI) Will Be Here to Stay: AI has been a part of mobile app development for some time, but its integration is becoming increasingly sophisticated. Machine learning algorithms can analyze user behavior and predict future actions, enhancing app functionality. AI integration may include facial and speech recognition biometrics, improving safety features and user experience.
- Edge Computing: Edge computing is an emerging technology that leverages the processing power of devices at the edge of the cloud to reduce latency and enhance data transmission. With the adoption of 5G and the need for improved connectivity, edge computing offers solutions for IoT, driverless vehicles, and other technologies. It is predicted to play a significant role in mobile app development, particularly in location-based services.
- Progressive Web Apps and “Instant” Apps: Progressive Web Apps (PWAs) combine the advantages of websites and apps, offering easier development and greater functionality. PWAs can be saved on the home screen and used instantly, eliminating the need for users to interact with an app before utilizing it. They require fewer internet dependencies, have faster loading times, and occupy less storage space compared to native apps. PWAs have found particular relevance in the ecommerce industry, showcasing increased engagement, conversion rates, and revenue for businesses.
- Bots: Chatbots are gaining traction and are expected to become more prevalent in the future. By 2025, the chatbot market is projected to reach a value of $1.25 billion. Consumers worldwide are increasingly comfortable interacting with chatbots, and their deployment in retail and customer service is expected to drive significant spending. Advances in machine learning, AI, and natural language processing will enhance chatbot capabilities and their integration with IoT-enabled devices and apps.
These trends indicate the evolving landscape of mobile app development, offering opportunities for businesses to leverage technological advancements and meet user demands effectively.