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Payments and sales through the App Store exceeded $0.5 trillion

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June 29, 2020
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Payments and sales through the App Store exceeded $0.5 trinitaria Solovyov | 30.06.2020

Платежи и продажи через App Store превысили $0,5 трлн

In 2019 via the App Store ecosystem was committed payments and made purchases totaling $519 billion, The highest profit was made on applications for mobile Commerce (m-commerce),
digital goods and the sale of advertising in apps.

The results of the sales via the App store published in their study, the experts
analysis company Analysis Group. As shown, these direct payments made by Apple to the developers, made up only a small fraction of the total volume of sales from other sources
for example, physical goods and services. Since Apple receives a Commission only from the accounts linked to digital goods and services, more than 85% of the total amount of payments and sales, or over $440
billion, came exclusively to third-party developers and enterprises of all sizes.

“In the app store innovators can bring their ideas into reality, and users – to find a safe and reliable tools that will make their lives better,” commented Tim cook
(Timothy Donald Cook), American Manager and CEO of Apple.

Purchase via m-commerce took the lead in the App Store

The most profitable categories in the past year was the purchase of applications for mobile Commerce, digital goods and services, as well as the app.

In the category of real (physical) goods and services from total sales in an ecosystem, the App Store accounted for the largest share – $413 billion, Of which $268 billion generated retail sales
using applications for m-commerce (for example, through digital app stores traditional format, such as Target and Best Buy, as well as the virtual markets that sell physical goods
Etsy). The share of travel apps, including Expedia and United, had $57 billion; sales through apps for travel, including Uber and Lyft, was $40 billion, and through the app for delivery
food, including Grubhub and DoorDash – $31 billion, but do not include delivery, which is its own category.

Digital goods and services brought the business $61 billion Is a music services, video services, applications for sports, education and others. The largest source payments and sales of steel games
among the most frequently downloaded included “Mario Kart Tour” and “Sky: Children of the Light”.

The sale of advertising in apps, Apple brought in $45 billion of this amount, 44% was derived from gaming. Non-game apps, which generate significant advertising sales in the app often
to download and use for free (for example, Twitter and Pinterest) while others (including New York Times and MLB.com) also offer an in-app purchase to access the content.

Coronavirus reality: social apps, food delivery and remote work

As noted by the authors of the study, its purpose is to obtain an accurate picture of the entire ecosystem of the App Store, taking into account all sources of trade. The need to follow the protocols of social distance,
related to the worldwide distribution coronavirus infection, led to the fact that people have changed their way of life, began to use the mobile gadgets a lot more frequently. Social
the application helped to always keep in touch with family and friends, use collaboration applications in education and business students and staff were able to adapt to remote
working environment. Applications for delivery of food benefited from increasing consumer demand, but at the same time profit from apps related business, declined sharply. Many
businesses had to actively develop or arrange for the direction of mobile Commerce, because otherwise they would be forced to close.

Regulators will check compliance with competition rules

The App store opened in 2008, the number of weekly visitors, which is available to over 2 million apps, 500 million people from 175 countries. However, due to high –
A 30% sales tax all digital goods sold in every mobile phone worldwide, which is collected by Apple, the company has repeatedly become the object of attention
the regulatory bodies. For example, the European Commission started an investigation, during which intend to establish whether the company violates competition rules of the EU in the system of Apple Pay in the app store
App Store. However, Apple itself has called the investigation baseless. In turn the Federal Antimonopoly service (FAS) announced its intention to study the European practice in
Apple. Criticized the company and the founder of Telegram, Pavel Durov, calling mobile gadgets
download apps from alternative stores or directly.

the financial results of the companies mobile apps

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