Global Ad Spend on App Install Is Poised to Double by 2022 – Appsflyer Study

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Global Ad Spend on App Install Is Poised to Double by 2022 – Appsflyer Study

With each passing year, B2B mobile marketing is becoming increasingly crucial due to the accelerating speed of 5G – resulting in more app installs and revenue!

The latest report from Appsflyer, titled “App Install Ad Spend 2019-2022”, shows that the app install ad spending by different enterprises will reach $76.2 billion and is poised to double at $118 billion by 2022!  The study reveals a three-year projection with a continual robust increase in ad spends – from $57.8 billion in 2019 to about $118 billion in 2022.

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According to GSMA, nearly half of the total population is connected to the internet – nearly over 3.5 billion people globally. And more millions will be added to the list of connected users by 2022, where India, China, and Indonesia will lead the chart, followed by other countries. The report found some interesting insights for 2020, here are the numbers-

  • APAC market will witness the highest ad spend growth rate with $39.4 billion,
  • North America at $17.9 billion,
  • EMEA at $14.5 billion, and
  • LATAM at $4.3 billion.

With mobility being the biggest paradigm of the digital environment today, browsing habits of people have undergone a drastic change, forcing a completely new set of standards for the B2B marketplace. Apps have a high reliance on marketing to drive more installs – driven by mobile communication. It is welcoming hundreds of millions of users globally to come online. To boost the companies’ global app installs, B2B marketers will be investing almost $100 billion in the industry by 2022.

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Shani Rosenfelder, the Head of Content and Mobile Insights at AppsFlyer, and author of the report stated, “Indeed, almost 60% of downloads of apps with marketing spend in 2019 were driven by app install campaigns — up 15% compared to 2018 and almost 30% since 2017.” He added, “The success of native apps has also attracted millions of developers to the stores, creating a hyper-competitive environment. In such an environment, apps must increase their marketing budget to draw attention to their app… The chances of organic discovery of the app are slim to none, so the only way to draw attention to the app is marketing.”

In contrast, questions arise about how brands can keep their customer and installers engaged with the content. Shani Rosenfelder also confirmed, “Struggles include retention and uninstalls, so getting users to repeatedly use their apps continues to be a challenge.” It is believed that the growth will continue for about 20% annually, considering more users will evolve to access mobile apps with times.

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Technological innovation accelerated the shift from computers to mobile devices for day-to-day digital work over the past years. Thus, the dynamics of app install spend worldwide are triggering heightened interest as an expanding subset of mobile marketing.