Report on App Categories

This research provides a comprehensive analysis of the non-gaming mobile application market, focusing on shifting market shares, revenue performance, and lifetime value (LTV) across various categories. By utilizing a proprietary classification system covering over 250,000 top-performing titles, the analysis evaluates the 1,000 most downloaded and highest-grossing non-gaming apps as of March 2020. The scope encompasses both Tier-1 Western and Eastern markets, tracking trends from January 2015 through April 2020.

Key findings indicate that the video category has experienced the most significant growth in the Western market, driven by platforms such as YouTube, Twitch, and BIGO LIVE. Conversely, the music app category shows a declining market share despite cumulative revenue growth, while social network market shares have faced downward pressure due to slowing user acquisition for established platforms like Facebook and Twitter. In the Eastern market, video-on-demand services command a substantial 20% share of total in-app purchase revenue, while the messenger category has seen a sharp decline in market share.

The methodology employs LTV estimations based on net in-app purchase revenue, combining revenue and download metrics to assess app performance. Notably, the analysis identifies that Asian markets generally feature a higher density of apps with high average LTV compared to Western counterparts. The study also acknowledges limitations in tracking revenue for categories like shopping, business, and banking, as these sectors frequently bypass mobile app store payment systems. Ultimately, the research highlights how evolving user behaviors and monetization models, such as streaming-based gifting and subscription services, continue to reshape the non-gaming app landscape.