In today’s mobile-centric world, app usage has reached an all-time high. As new tech trends continue to evolve, mobile usage has wholly transformed the way we work, communicate, and consume content. To navigate the ever-evolving mobile landscape, data.ai has released the State of the Mobile 2024 report, which offers a comprehensive guide to individuals and businesses looking to maximize their mobile performance this year.
Here are the major highlights and findings of the report.
1. App Stores and Advertising Register Over Half-a-Trillion Dollar Spending
The mobile app economy has burgeoned into a market valued at half a trillion dollars, witnessing a daily expenditure of nearly $1.5 billion in 2023 encompassing both app store transactions and mobile advertising. Notably, this figure includes a noteworthy $362 billion allocated to mobile ad spending, reflecting an 8% year-over-year increase.
In addition to robust revenue, other key metrics also experienced significant growth in 2023, reaching new record highs. The total hours spent on mobile apps peaked at 5.1 trillion, marking a 6% year-over-year increase. Meanwhile, the number of app downloads maintained stability at 257 billion, exhibiting a modest 1% year-over-year growth.
2. Mobile Gaming Booming in Most Markets
The mobile gaming sector faced substantial challenges in 2022 due to inflation and regulatory measures, experiencing a significant downturn. The apparent 2% annual decline in consumer spending might suggest a continuation of the 4% drop witnessed in 2022. However, a closer examination reveals a more optimistic scenario in many markets.
While China saw a nearly 11% year-over-year decline in mobile game spending, the situation was different outside of China, where spending demonstrated a noteworthy 4% growth. This marked a remarkable recovery from the 11% year-over-year decline observed outside of China in 2022. Notably, several markets exhibited double-digit growth in 2023, including South Korea, France, Brazil, and Turkey.
3. AI Moves to Mobile
In 2023, generative AI witnessed a phenomenal 7x expansion, giving rise to new domains like AI Chatbots and Art Generators. This surge in AI development contributed to the integration of embedded features across almost every mobile sector, setting the stage for a wave of fresh digital innovation. Prominent examples of Generative AI applications include ChatGPT, Ask AI, and Character AI.
The introduction of ChatGPT played a pivotal role in driving growth within the AI Chatbot sector. OpenAI's new chatbot app gained rapid popularity after its launch on iOS in March 2023, followed by its availability on Google Play in July. By the end of 2023, Generative AI applications had also exceeded $10 million in monthly consumer spending.
4. Social Media Presence Will Continue to Matter in 2024
Even with limitations on social media teams, a majority of respondents recognize the importance of sustaining a social media presence. The survey reveals that, in 2024, a slight majority of participants are interested in allocating more time to social media. It is noteworthy that only 6% anticipate a diminishing role for social media in the future.
The results emphasize the widespread acknowledgment among professionals about the enduring and escalating significance of social media, notwithstanding the challenges and constraints within organizational capacities.
5. Video Remains King
In 2023, video content retained its status as the most consumed form of content. The consumption of video on social and entertainment apps experienced growth, with time spent increasing by 12% to reach 3 trillion hours. Additionally, spending on video content witnessed a 10% rise, reaching $29 billion.
data.ai’s 2024 State of Mobile Report delves deep into regional and category-level market trends. Recognizing regional variations, the report spotlights dominant apps and games in each area, emphasizing the importance of understanding diverse preferences for effective mobile strategies.
To delve deeper into the findings of the report, download the full report by clicking here.