Mobile app spending hits all-time high in 2020

Mobile apps saw a huge spike in 2020 with consumers spending $111 billion globally on in-app purchases, subscriptions and premium apps, according to a report from analytics firm Sensor Tower.

While other industries such as airlines and food businesses saw losses during the pandemic-related lockdowns, mobile app spending rose by more than 30 percent from 2019 to 2020, the report found.

Gaming apps consumed the majority of consumer spending on mobile apps, making up 65.8 percent of IOS revenue and 82.6 percent of revenue on Google Play.

The holiday season saw the biggest increase in mobile spending, with consumers spending more money on mobile apps around Christmas than in any other year.

Black Friday also set a record for mobile app spending due to stores cutting hours in order to curb the spread of the coronavirus.

While video app TikTok drew scrutiny over its ties to China and national security concerns, it dominated mobile downloads, being the overall number one downloaded non-gaming app. In the non-gaming section, TikTok was number one for overall revenue.

The overall most downloaded gaming app in 2020 was Among Us, though PUBG Mobile was number one in overall revenue for gaming.

With coronavirus cases keeping many people in their homes going into 2021, with no indication of when the lockdowns will end, consumer spending on apps could continue to grow.

“The mobile market experienced unprecedented growth in 2020 as the pandemic dramatically—and perhaps permanently—shifted consumer needs and behavior,” the report stated.