Published On: Tue, Jul 13th, 2021

Nigeria leads mobile app marketplace expansion in Africa as use of gaming apps swell 44% from Q1 2020

The pandemic’s outcome on a tellurian app marketplace has not been tough to miss. In a initial entertain and initial half of this year, consumer spending in mobile apps strike new annals during $32 billion and $64.9 billion, respectively.

In Africa, it can be tough to call out accurate numbers on consumer spending given a continent gets frequency a discuss in tellurian app marketplace reports. Yet, other metrics are value looking at, and a new news from AppsFlyer in partnership with Google has some critical insights into how a African app marketplace has fared given a pestilence pennyless out final year.

The news tracked mobile app activities opposite 3 of Africa’s largest app markets (Kenya, Nigeria and South Africa) between Q1 2020 and Q1 2021.

From a initial half of 2020 to a initial half of 2021, a African mobile app attention (which is primarily Android) augmenting by 41% in overall installs. This was analyzed from 6,000 apps and 2 billion installs in a 3 markets. Nigeria purebred a top growth, with a 43% rise; South Africa’s marketplace augmenting by 37% and Kenya augmenting 29%.

Consumer spending on apps strike record $64.9B in initial half of 2021, though implement expansion slowed to 1.7%

Lockdown numbers

On Mar 22, 2020, Rwanda imposed Africa’s initial lockdown. Subsequently, other countries followed; (those in a report) Kenya (March 25), South Africa (March 27), and Nigeria (March 30).

As some-more people spent time during home from Q2 2020, app installs augmenting by 20% opposite a 3 countries. South Africans were a quickest to take to their phones as a lockdowns strike with installs augmenting by 17% from a prior quarter.

On a other hand, Nigerians and Kenyans available a 2% and 9% increase, respectively. The news attributes a inconsistency to a varying levels of restrictions any nation faced; South Africa gifted a strictest and many frequent.

Per a report, gaming apps showed clever opening between Q1 and Q2 2020. The shred gifted a 50% expansion compared to an 8% boost in nongaming apps pulled. It followed a tellurian trend where gaming apps surged to a record high in Q2 2020, during 14 billion downloads globally.

In-app purchasing income and roughly year-on-year growth

According to AppsFlyer, a biggest trend it beheld was in in-app purchasing revenue. In Q3 2020, in-app purchasing income numbers grew with a towering 136% boost compared to Q2 2020, and accounted for 33% of 2020’s sum revenue, “highlighting just how most African consumers were spending within apps, from sell purchases to gaming upgrades.”

In-app purchasing income among South African consumers augmenting by 213%, while Nigeria and Kenyan consumers available 141% and 74% increases, respectively.

On a promotion front and on an roughly year-on-year basis, in-app promotion income also augmenting significantly as Africans were glued to their smartphones some-more than ever. Per a report, in-app promotion income augmenting 167% between Q2 2020 to Q1 2021.

For gaming and non-gaming apps, that was highlighted between a initial dual quarters, they both augmenting by 44% and 40% respectively in Q1 2021 compared to Q2 2020.

Fintech and super apps

In a final 5 years, fintech has dominated VC investments in African startups. It’s a no brainer because there is so most affinity for a sector. Fintechs emanate so most value for Africa’s mobile-first population, with vast sections of unbanked, underbanked and banked people. This value is because all though one of a continent’s billion-dollar startups are fintech.

African fintechs have grown by 89.4% between 2017 and 2021, according to a Disrupt Africa report. Now, there are some-more than 570 startups on a continent. Many fintechs are mobile-based, therefore reflecting a series of fintech apps Africans use any day. Consumers in South Africa and Nigeria saw year-on-year expansion in financial app installs by 116% and 60%, respectively.

Nigeria is apropos Africa’s unaccepted tech capital

AppsFlyer says that like fintech apps, super apps are on a arise as well. These “all-in-one” apps offer users a operation of functions such as banking, messaging, selling and ride-hailing. The news says their rise, partly due to device stipulations on a continent, owes most to a same conditions that have led to a swell in fintech apps: systemic underbanking.

“Super apps mislay some of a barriers that these users face, as good as providing a turn of patron discernment and knowledge that normal banks cannot,” a news said.

Daniel Junowicz, RVP EMEA Strategic Projects for AppsFlyer, commenting on a trends highlighted in a news said, “…The mobile app space in Africa is abounding notwithstanding a misunderstanding of final year. Installs are growing, and consumers are spending some-more income than ever before, highlighting only how critical mobile can be for businesses when it comes to pushing revenue.”

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