Global mobile app revenues will more than double over the next five years, according to a mobile app forecast from Ovum Research. Revenues for 2020 will reach $79 billion – up from $36 billion in 2015, according to the mobile app forecast. App downloads will increase 1.8 times over the same period – increasing from 211 billion in 2015 to 378 billion in 2020. Ovum expects mobile app developers collectively will earn more per app. Mobile app revenues between 2016 and 2020 will be times greater than revenues earned between 2008 and 2015, Ovum said. In addition, more 2.5 times the number of mobile apps will be downloaded in the next five years than were downloaded between 2008 and 2015, the market research provider highlights in a press release.
Mobile App Forecast for Downloads
“Downloads will however see a marked slowdown in mature smartphone markets as they approach saturation and as user acquisition costs escalate, placing a greater emphasis on download quality rather than quantity,” elaborated Guillermo Escofet, principal analyst in Ovum’s Digital Media team and author of the report ¨App Revenue to Double by 2020, Outpacing Download Growth.¨ “Revenue, on the other hand, will continue on a higher growth trajectory as people spend more time on apps and as in-app spending intensifies,” adds Escofet. The largest share of downloads and revenues will continue to originate in developed markets, Ovum continues. Growth in emerging markets will be double that for developed markets for the period, however. Emerging markets will also dominate app downloads. About a year ago Juniper Research forecast global mobile app revenue to reach $99 billion by 2019 driven by rapid growth in lifestyle apps and ongoing popularity of game apps.