The mobile app market reached a record half-trillion dollars in combined advertising and consumer spending in 2023, despite a 2% decline in consumer spending and a cooling of advertising growth to 14%.
See it on page 3Fintech in-app revenue surged by over 90% between late 2022 and early 2023, while e-commerce sessions grew by 12%.
See it on page 35After a difficult 2022 that saw a 12% decline in installs and a 9% drop in consumer spending, the mobile gaming sector showed early 2023 signs of recovery with a 10% increase in installs and an 11% rise in sessions.
See it on page 48App Tracking Transparency (ATT) opt-in rates reached 29%, forcing developers to shift toward media mix modeling and Connected TV (CTV) to maintain ROI in a privacy-centric landscape.
See it on page 5Market strategy is pivoting from broad user acquisition toward long-term retention, utilizing personalized onboarding, loyalty programs, and reattribution campaigns to combat persistent stickiness challenges.
See it on page 22Success in the current competitive environment requires the adoption of advanced analytics and cross-platform insights to navigate evolving data-privacy regulations and maximize user lifetime value.
See it on page 5The mobile application market entered a period of significant transition in 2023, navigating a complex landscape defined by economic volatility and evolving privacy regulations. Despite these headwinds, the industry achieved a record half-trillion dollars in combined advertising and consumer spending. While global advertising growth slowed to 14% and consumer spending experienced a marginal 2% decline, the sector demonstrated remarkable resilience through strategic adaptations. Key shifts include a rising App Tracking Transparency (ATT) opt-in rate of 29% and an increased reliance on media mix modeling and Connected TV (CTV) to optimize return on investment in a privacy-centric environment.
Sector-specific performance reveals a stark contrast between industries. Fintech and e-commerce emerged as primary growth drivers, with fintech in-app revenue surging over 90% between late 2022 and early 2023. E-commerce sessions grew by 12%, supported by record-breaking revenue peaks in late 2022. Conversely, the mobile gaming industry faced its most challenging year on record in 2022, marked by a 12% decline in installs and a 9% drop in consumer spending. However, early 2023 data indicates a nascent recovery for gaming, with installs and sessions rebounding by 10% and 11% respectively over previous averages.
The current market environment necessitates a shift from broad acquisition strategies toward long-term user retention and sophisticated measurement. As retention and "stickiness" remain persistent challenges across all verticals, developers are increasingly prioritizing reattribution campaigns, personalized onboarding, and loyalty programs. Success in the coming years depends on the adoption of advanced analytics and cross-platform insights to navigate data-privacy requirements. By leveraging these tools, stakeholders can effectively drive user acquisition and maximize lifetime value in an increasingly competitive global marketplace.
