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Digital Market Index: Q3 2025

Global mobile app consumer spending reached a record $43.2 billion in the third quarter of 2025, representing an 11.3% year-over-year increase. This growth was primarily fueled by a 20% surge in non-game revenue, particularly from Generative AI tools which generated $1.5 billion during the period. While total global downloads remained stable at 37.6 billion, a clear divergence emerged between sectors; non-game downloads grew by 5.5%, while gaming installs continued a post-pandemic decline. Geographically, the United States maintained its market leadership with $15 billion in revenue, though Brazil emerged as the fastest-growing major market with a 29% revenue increase. India simultaneously reached a two-year high in downloads, surpassing 6.5 billion. The digital advertising landscape saw significant expansion, with U.S. spend rising 12% to $35.9 billion. Social media remains the dominant channel, capturing 72% of the market, but mobile app advertising is the fastest-growing segment at 42% year-over-year. Within specific industries, the gaming sector entered the top five spending categories for the first time following a 28% increase in investment. Strategic shifts were also evident in the insurance and consumer goods sectors, where companies like Geico and Procter & Gamble executed massive quarterly spending spikes to capitalize on premium fluctuations and seasonal demand. Retail media has become a critical pillar of the digital economy, dominated heavily by Amazon. Generating over 80 billion impressions, Amazon’s reach surpassed the combined total of the next thirty major retailers. Outside of Amazon's ecosystem, retail media impressions grew 7% year-over-year, though performance was inconsistent across platforms; Target and Best Buy saw double-digit growth while Walmart experienced a decline. Personal care remains the most competitive retail category, driven by high-volume co-branded partnerships between major manufacturers and established retail platforms.

market-analysis ai global+1

Sensor TowerNov 2025

Report

Digital Marketing Index Report: Q4 2025

The analysis evaluates global digital‑marketing dynamics for the final quarter of 2025, emphasizing shifts in channel performance, the rise of generative‑AI as a discovery source, and the concentration of retail‑media reach among dominant platforms. Growth patterns reveal a stark regional divide: India stands alone among the five largest markets as the only one posting positive overall change, while other leading economies recorded declines or stagnation. In the United States, retail‑media impressions expanded 13 percent quarter‑over‑quarter to reach 123 billion, with Amazon accounting for the entire volume and delivering more than six times the impressions generated by Walmart. This concentration underscores Amazon’s expanding role as the primary conduit for retail‑media exposure in North America. Across the same period, generative‑AI referrals, although still representing less than one percent of total traffic, surged dramatically—up 133 percent year‑over‑year in the United States, United Kingdom and France, and 126 percent in Canada. The rapid acceleration signals that chat‑based assistants such as ChatGPT, Claude and Gemini are emerging as significant discovery engines despite their modest share of overall visits. Conversely, traditional organic search experienced the only decline among major acquisition channels, falling four percent year‑over‑year. Paid advertising, email marketing and other performance‑driven tactics continued to post gains, reinforcing a broader transition toward paid and AI‑augmented pathways for user acquisition. The findings collectively illustrate a digital‑marketing ecosystem increasingly dominated by platform‑centric retail media and AI‑driven referral mechanisms, while legacy search channels lose ground in mature markets.

marketing advertising global+2

Sensor TowerOct 2025

Report

Digital Market Index: Q2 2025

The global digital landscape reached a significant milestone in the second quarter of 2025, as in-app purchase revenue hit a record $40 billion. This period marked a historic structural shift in the mobile economy, with non-gaming applications accounting for 52% of total consumer spending, surpassing mobile games for the first time. While total downloads stabilized at 37 billion, the market displayed clear signs of maturation; gaming downloads contracted by 6.8% year-over-year, while AI-driven productivity tools and short-drama streaming platforms emerged as the primary engines of growth. The United States maintained its position as the premier revenue market at $15 billion, though emerging regions such as Brazil and various African nations are increasingly vital for download volume and monetization expansion. Within the gaming sector, Strategy titles overtook RPGs as the highest-grossing category, achieving a 23% year-over-year increase. However, the most significant individual performance came from ChatGPT, which became the fastest application to reach one billion downloads and secured a position among the top five global revenue earners. This surge in AI utility was mirrored in the advertising sector, where U.S. digital ad spend rose 12% to $34 billion. Major technology firms including Microsoft, Google, and Adobe significantly increased their marketing budgets to promote AI integrations like Copilot, contributing to a landscape where social media maintains a 72.5% share of total ad spend. Retail media has solidified its role as a critical advertising channel, with U.S. impressions rising 29% to 65 billion across various retailers. Despite this broad growth, Amazon remains the undisputed leader in the space, generating nearly 80 billion impressions and outperforming all other tracked retailers combined. These findings are supported by expanded tracking capabilities across key Asian markets and diverse digital channels, though the data specifically excludes certain year-over-year Amazon metrics due to recent tracking implementation. Overall, the quarter reflects a pivot toward high-utility AI applications and a diversifying advertising ecosystem dominated by social and retail platforms.

market-analysis global mobile+1

Sensor TowerAug 2025

Report

Mobile Game Feature Impact Spotlight

Sensor Tower introduces Game IQ Deep Tags, a taxonomy of 70 specialized markers designed to analyze the impact of specific mobile game features on market performance. These tags are categorized into gameplay, monetization, engagement, and social elements, providing developers with a framework to benchmark competitor roadmaps and identify high-value feature sets. The analysis covers the top 1,000 mobile games globally from Q2 2024 through Q1 2025, a segment representing 16 billion downloads and $67 billion in consumer spend. The findings reveal that feature density does not always correlate with market dominance. In the casual puzzle genre, titans like Royal Match and Candy Crush Saga utilize fewer luxury features, such as voice acting or cinematic cutscenes, compared to competitors like Gardenscapes, suggesting that core gameplay often outweighs feature volume. Conversely, in the mid-core RPG and strategy sectors, comprehensive monetization and engagement systems are standard. For instance, Age of Empires Mobile demonstrates high revenue per download by utilizing nearly all available monetization tags, while top RPGs leverage IP collaborations and recurring task systems to maximize player retention and session length. The research identifies significant growth opportunities in the hybridcasual segment, where features like in-app purchase (IAP) bundles remain underutilized despite correlating with a $1.77 increase in lifetime revenue per download. Additionally, portfolio analysis of top publishers like Tencent, Scopely, and King shows a universal prioritization of login systems to track player data, while specific mechanics like "monetized retries" remain niche to casual puzzle specialists. Ultimately, the data suggests that strategic feature implementation, rather than exhaustive adoption, is the primary driver of commercial success across different mobile gaming verticals.

market-analysis global mobile+1

Sensor TowerJun 2025

Report

Southeast Asia: Mobile Game Market Insights 2025

Southeast Asia solidified its position as the world’s second-largest mobile gaming market by downloads in early 2025, reaching 1.93 billion installs. While the region currently ranks seventh globally in revenue at $625 million, it demonstrates significant monetization potential fueled by expanding digital payment infrastructure and rising smartphone penetration. Indonesia serves as the primary volume driver with 870 million installs, while Thailand leads the region in consumer spending, generating $162 million. This growth is increasingly supported by publishers based in Singapore and Vietnam, who have emerged as a dominant global force, contributing over 5.8 billion installs to the international market through a mix of hypercasual hits and competitive titles. Market dynamics reveal a shift toward high-engagement genres and localized content strategies. Although casual arcade and simulation games drive the highest download volumes, monetization is concentrated in Strategy, MOBA, and RPG segments. Mobile Legends: Bang Bang remains the regional revenue leader, sustained by hyper-local live operations and community engagement. Simultaneously, the 4X Strategy genre is experiencing rapid expansion, highlighted by a 77.7% revenue surge for titles like Last War: Survival. Conversely, traditional MMORPGs have seen a decline of nearly 20%, making way for Open World Adventure RPGs and sophisticated strategy games that leverage deep social and competitive mechanics. The regional landscape is characterized by distinct national preferences and the global expansion of local firms. Vietnam has become a powerhouse for survival-themed hypercasual games, while Thailand shows a unique affinity for realistic sports simulations. Established titles like Garena Free Fire continue to dominate global charts by blending cultural relevance with nostalgic collaborations. Ultimately, the region’s trajectory is defined by a transition from high-volume downloads to sophisticated monetization, driven by a combination of community-led activations and the strategic global influence of Southeast Asian publishers.

market-analysis mobile southeast-asia+3

Sensor TowerJun 2025

Report

Retail Media Playbook: United States

Retail media has emerged as the fastest-growing digital advertising channel, with United States expenditures projected to reach $130 billion by 2028. While established giants like Amazon, Walmart, and Target command the largest share of total investment, emerging platforms such as Uber Eats and Meijer are experiencing triple-digit year-over-year growth. This expansion is characterized by a strategic shift toward full-funnel marketing, where brands leverage retailer first-party data to coordinate off-site awareness campaigns with on-site conversion tactics. Success in this landscape requires precise benchmarking against category-specific trends and competitor flighting strategies, particularly during high-intent seasonal windows like Black Friday and Memorial Day. The current investment landscape reveals a significant diversification into off-site channels, with Facebook, OTT, and YouTube receiving the highest allocations. However, social platforms like Instagram and TikTok are currently the fastest-growing segments for retail media spend. Despite this diversification, Amazon remains the dominant market leader, recording $261 million in spend in early 2025. Amazon’s strategy is uniquely focused on high-intent shoppers, with 53% of its ad spend occurring on-site. This concentration is even more pronounced among top-tier advertisers like L’Oréal and Samsung, who often allocate over 90% of their budgets to Amazon’s on-site display ads to capture consumers at the point of purchase. Geographic variations further define the global retail media market, as platform dominance shifts across borders. While Amazon leads in the United States, Facebook serves as the primary retail media channel in the United Kingdom, and YouTube leads in Canada. Regardless of the region, the industry is moving toward a mobile-led environment where the integration of on-site and off-site data is essential for maintaining a competitive edge. Brands must balance these multi-channel investments to navigate the increasing complexity of the retail media ecosystem and capitalize on the rapid growth of both established and emerging platforms.

market-analysis advertising marketing+1

Sensor TowerApr 2025

Report

State of Mobile Gaming 2025

The global mobile gaming market entered a period of mature recovery in 2024, characterized by a strategic pivot toward live services and high-value player retention. While total downloads declined by 6.6%, global in-app purchase revenue grew by 4% to reach $82 billion. This growth was primarily driven by North America and the Middle East, offsetting spending declines in Asia. The industry has transitioned into a "live operations" era, where 84% of all revenue is generated by games utilizing continuous updates and seasonal events. This shift is further evidenced by a 50% decrease in new game releases since 2020, as publishers prioritize high-quality core titles over volume. Genre performance highlights a market dominated by Strategy and RPG titles, which collectively generated over $34 billion in 2024. Action games emerged as the fastest-growing category with a 46% revenue increase, fueled by breakout hits like Last War: Survival. Despite the dominance of established franchises, a record 11 games surpassed $1 billion in annual consumer spend, including MONOPOLY GO!, which secured the top global position. The market is also seeing a demographic shift, particularly in the United States, where the 18-24 age group now represents 18% of the player base, up from 13% in 2022. Marketing strategies have evolved to combat rising user acquisition costs, with a significant move toward high-intent creative content and short-form video platforms. TikTok experienced a 67% year-over-year growth in social ad share, while mid-core developers nearly doubled their impression share on social networks. To maintain profitability, publishers are increasingly leveraging external web stores, celebrity partnerships, and localized cultural influencers, such as virtual YouTubers in the Japanese market. These trends underscore a broader industry movement toward sophisticated monetization models and IP-driven growth in an increasingly concentrated competitive landscape.

market-analysis monetization mobile+1

Sensor TowerMar 2025

Report

State of Mobile 2025

The global mobile economy reached a significant milestone in 2024, with consumer spend hitting $150 billion. This growth was primarily propelled by a 25% surge in non-gaming app revenue, particularly within the entertainment, productivity, and generative AI sectors. While total app downloads declined for the fourth consecutive year, indicating a maturing market, user engagement reached a record 4.2 trillion hours. The rise of generative AI served as a primary catalyst for this engagement, with AI chatbot downloads increasing by 635 million and the subgenre generating nearly $1.3 billion in revenue. The mobile gaming sector demonstrated a robust recovery in 2024, reaching $80.9 billion in internal purchase revenue. Although total game downloads fell by 6%, the market shifted toward high-quality, core genres. Strategy and RPG titles dominated monetization, while the "hybrid-casual" model—combining simple mechanics with midcore progression—emerged as a vital growth driver. Established franchises continue to exert dominance, with titles older than two years accounting for over 80% of revenue. Notably, the industry saw a record eleven games surpass $1 billion in annual revenue, signaling a concentration of wealth among top-tier performers. Beyond gaming, the landscape was defined by the continued dominance of social media, which accounted for 2.4 trillion hours of global usage. TikTok became the first non-game app to reach $15 billion in lifetime spend, reflecting a broader trend of social platforms diversifying revenue through in-app purchases and subscriptions. In the retail sector, Chinese e-tailers like Temu and SHEIN expanded their global footprint, while the finance sector saw a resurgence driven by cryptocurrency and digital wallets. Despite signs of "digital fatigue" in traditional streaming, the mobile ecosystem remains resilient, characterized by strategic shifts toward ad-supported tiers, meaningful AI integration, and incentivized health and fitness platforms.

market-analysis ai mobile+1

Sensor TowerJan 2025

Report

State of Mobile 2025: TikTok Edition

The mobile industry reached a significant milestone in 2024, generating a record $150 billion in in-app purchase revenue, representing a 12.5% year-over-year increase. While global downloads experienced a marginal 1% decline to 136 billion, user engagement reached an all-time high of 4.2 trillion total hours. This growth was primarily fueled by non-gaming sectors, specifically Entertainment, Productivity, and Photo & Video, alongside a recovering mobile gaming market where eleven titles surpassed $1 billion in annual revenue. Geographically, North America and Europe remain the strongest monetization hubs, though nearly 80% of total consumer spend now occurs outside an app’s home country, signaling a highly globalized marketplace. Artificial Intelligence has emerged as the primary catalyst for industry transformation, with AI chatbots recording a 200% revenue surge and generative AI apps reaching $1.3 billion in annual spend. This technology is being integrated across diverse verticals, from productivity tools to dating apps like Tinder and Grindr, which are utilizing AI to streamline user experiences and facilitate real-world connections. The Productivity and Utility sector specifically benefited from this trend, seeing a 35% revenue increase to $15 billion. Furthermore, niche categories such as short-form drama apps and fitness reward platforms are gaining significant traction, with the latter benefiting from a shift toward social "run clubs" and outdoor exercise. The 2024 landscape also highlights a shift in monetization strategies and user behavior. In the dating sector, revenue grew by 14% despite a decrease in time spent, suggesting that users are prioritizing efficient, high-value interactions over passive scrolling. Meanwhile, the Health and Fitness category continues to see strong seasonal surges and global expansion in markets like Germany and Australia. Across all sectors, the industry is moving toward community-focused retention and sophisticated subscription models, leveraging AI to maintain high per-user monetization even as traditional download growth stabilizes in mature markets.

market-analysis monetization user-acquisition+1

Sensor TowerJan 2025

Report

The Importance of Wishlists in 2025

**Executive Summary – “The Importance of Wishlists” (VGI Report, 2025)** --- ### 1. What the Data Shows | Metric | Key Figure | Insight | |--------|------------|---------| | **Games surpassing 100 k wishlists at launch** | ~9 % (141/1 500) | Only a small minority achieve the “break‑out” threshold. | | **Correlation (wishlists ↔ Month‑1 sales)** | **r ≈ 0.70** (RSQ ≈ 0.49) | Strong overall link, but it spikes to **r ≈ 0.71** for games with **> 100 k wishlists**. | | **Top‑heavy distribution** | 1–2 % of titles > 1 M wishlists; > 90 % < 10 k | Success is heavily skewed toward a few blockbuster titles. | | **Genre performance** | Action/Adventure & RPG/Strategy → highest medians (≈ 180‑190 k) | Casual & MMO titles lag (median ≈ 70‑80 k) and rely more on post‑launch tactics. | | **Wishlist momentum** | Games that hit **100 k+** before launch have a **71 %** chance of strong month‑1 sales vs. **17 %** for < 100 k. | Momentum is a “crystal ball” for launch success. | | **Steam page creation timing** | 40 % of top performers publish 0.5‑1 yr before launch; 35 % publish > 1 yr early. | Early page creation gives sustained visibility and higher wishlist growth. | | **Pre‑launch wishlist accumulation** | 85 % of wishlists are collected **≥ 4 months** before launch. | The bulk of audience commitment happens well before the final countdown. | --- ### 2. Why Wishlists Matter 1. **Predictive Power** – Once a title crosses the 100 k‑wishlist threshold, its first‑month sales become far more predictable (≈ 71 % correlation). 2. **Marketing Leverage** – High wishlist counts signal strong community interest, making it easier to secure press coverage, influencer partnerships, and paid‑media spend. 3. **Resource Allocation** – Studios can prioritize titles with early wishlist momentum for larger launch budgets and store‑front promotion. 4. **Risk Management** – Low‑wishlist titles (≤ 10 k) have a 50 % chance of under‑performing, suggesting a need for contingency plans (e.g., extended beta, community events). --- ### 3. How Games Accumulate Wishlists | Tactic | Effectiveness (based on VGI data) | |--------|-----------------------------------| | **Early Steam page (≥ 6 months pre‑launch)** | +30 % average wishlist growth vs. late‑launch pages | | **Regular content drops (trailers, dev logs, screenshots)** | Each major trailer ≈ 10‑15 % spike in wishlist count (case: *Kingdom Come Deliverance 2* added ~0.2 M per trailer) | | **Early Access / Demo releases** | Boosts momentum for “core” genres; median increase ≈ 12 % | | **Community engagement (Discord, Reddit AMAs)** | Stronger post‑launch

market-analysis steam global

Sensor TowerJan 2025

Report

The State of AAA Game Advertising

The 2023 AAA gaming landscape was characterized by a massive surge in advertising investment, with major launches accounting for 50% of top ad spend compared to just 20% the previous year. This $600 million US PC and console market remains anchored by YouTube, though media mixes are rapidly diversifying into Facebook, TikTok, Instagram, and Over-the-Top (OTT) platforms. Industry leaders Activision Blizzard and Microsoft dominated the year’s expenditures, driven by high-profile releases such as Hogwarts Legacy and Diablo IV. These titles utilized distinct strategies, with Hogwarts Legacy leading in total spend while Diablo IV leveraged high-volume video content and platform-exclusive branding to generate $666 million in sales within five days. Marketing tactics for top-tier titles increasingly favor short-form video content and strategic brand partnerships. Starfield achieved significant commercial success by positioning itself as a high-quality Bethesda legacy title through 15-second ads and collaborations with mainstream retailers like Target. In contrast, Call of Duty: Modern Warfare III pivoted toward esports influencers and condensed campaign cycles to maintain its position as the year’s second best-selling title despite declining critical reception. These shifts indicate a broader trend where publishers prioritize transmedia synergy and existing intellectual property, as seen in the Fallout franchise’s sixfold download surge following its television adaptation. While massive budgets and cross-platform collaborations like Fortnite’s various IP integrations define the high end of the market, 2023 also highlighted the power of organic growth. Titles such as Baldur’s Gate 3 and Lethal Company demonstrated that high-quality gameplay and viral community engagement can secure massive player bases with minimal traditional advertising. Ultimately, the industry is bifurcating between aggressive, live-service monetization supported by heavy OTT and social media spend, and community-driven successes that rely on word-of-mouth and critical acclaim rather than traditional marketing blitzes.

marketing advertising global+2

Sensor TowerJan 2025

Sensor Tower

Documents

Digital Market Index: Q3 2025

Digital Marketing Index Report: Q4 2025

Digital Market Index: Q2 2025

Mobile Game Feature Impact Spotlight

Southeast Asia: Mobile Game Market Insights 2025

Retail Media Playbook: United States

State of Mobile Gaming 2025

State of Mobile 2025

State of Mobile 2025: TikTok Edition

The Importance of Wishlists in 2025

2025 Southeast Asia Mobile Game Insights (2025)

The State of AAA Game Advertising