Spending on Apple's App Store Doubled From 2016 to 2019: Can This Growth Continue?
Mobile applications generate billions in annual revenue for both Apple (NASDAQ: AAPL) and Alphabet. The amount of time people spend using their smartphones has risen at a significant pace over the years. According to an eMarketer report, the average U.S. adult is on their smartphone for nearly four hours a day in 2020, up from just two-and-a-half hours in 2014.
About 90% of that time is spent on mobile apps, a trend that has fueled the growth of mobile app purchases as well. Consumer spending in the U.S. for every active iPhone on the App Store rose to $100 per year in 2019, according to a Sensor Tower report. This includes the amount spent on in-app purchases as well as premium applications (but does not include ride-sharing or e-commerce apps). That $100 figure has more than doubled from just $47 in 2016.
As expected, the report states that mobile games accounted for 54% of total app spending last year, or $53.80 per year. That is up 22% from 2018 and yet another year of double-digit growth for the category.
Source Fool.com
