App User Acquisition Grows 5%, Hitting $65 Billion in 2024 as AppsFlyer Unveils Global App Market Insights for 2025
SAN FRANCISCO – January 9, 2025 – AppsFlyer, the global leader in marketing measurement, attribution, and data analytics, has released its annual lookback at the past year’s mobile app trends. The year saw notable growth in user acquisition ad spend and revenue fueled by increasingly advanced monetization strategies and the expanded use of AI in marketing. The findings reflect the industry’s increasing understanding of how to adapt to the ongoing changes in the market.
A decisive boost for the non-gaming space was an unmissable trend for 2024. In-app purchases (IAPs) grew nearly 20% outside gaming, driven by sophisticated monetization strategies but also inflation-related price increases. For gaming, IAP revenue was either quite stable, or slightly declining (Casino +4%, Midcore -2%, Casual -5%). Non-gaming ad spend also experienced an increase, rising 8%, in contrast with a 7% decline in gaming categories. Within this trend Finance apps led with a significant 61% year-over-year (YoY) increase, driven by developments including growth in Crypto and FinTech, while Travel ad spend rose 20%. Shopping ad spend saw a modest decline of 8%, reflecting normalization after a 2023 surge driven by large Asian players’ aggressive worldwide market penetration
“Last year was a decisive year for the app economy, as the data shows not just spend increases, but continued maturity and nimble creativity from marketers,” said Brian Quinn, President and GM at AppsFlyer. “In 2025, we expect further integration of gaming and non-gaming sectors, refined monetization strategies, and greater adoption of owned media technologies like deep linking, which will drive personalization and hybrid experiences. Mobile marketing will be more than a tool in the toolbox for major brands, but a more prevalent focus in a larger omnichannel strategy. AppsFlyer remains committed to empowering businesses with the insights and resources they need to succeed in this dynamic environment.”
Top Data Trends of 2024
- Hybrid Monetization Drives IAA Growth: In-app advertising (IAA) revenue grew by +26% YoY in non-gaming and +7% in gaming, driven by the adoption of hybrid casual monetization strategies.
- Generative AI Dominance: Global installs grew modestly overall, with Generative AI apps achieving a standout 200% YoY increase.
- Leisure Categories Surge: Installs of leisure apps like Casinos & Gambling (+102%), Sports Betting (+93%) and Lifestyle (+43%) boomed, while “needs-based” app categories such as Transportation and Utility remained stable.
- Cross-Vertical Investments: Major gaming ad networks recorded a 38% YoY increase from non-gaming investments in gaming inventories, contrasting with a 19% decline in gaming investments within the gaming market. This trend is expected to continue in 2025 with more growth opportunities in non-gaming, although gaming app spend will still dominate investment in the gaming sector.
- Gaming-Specific Shifts: Casual games saw a modest 3% growth in ad spend, consolidating their market share at 64%. Hypercasual games remained stable (-1%), while Mid-core categories and Casino games faced steep declines of 21% and 12%, respectively.
- Deep Linking Expansion: Adoption surged across key channels as brands focus on owned media and maximizing lifetime value of existing users: Web-to-app led with 79% growth followed by email-to-app (+45%), text-to-app (+29%), and QR-to-app (+16%).
- Remarketing Outpaces Paid Installs: Similar to the owned media trend, remarketing conversions on paid channels grew by 22% YoY, far exceeding the 2% growth in user acquisition.
- AI-Driven Creative Innovation: The number of creative variations produced by the average app increased by 40% in 2024 to reach no less than 839 per month, driven largely by apps with larger budgets. Measuring creative performance has become an essential feature to deal with the sheer scale of creatives that have to be produced to achieve success – and that will continue through 2025.
Methodology
AppsFlyer’s 2024 Mobile App Trends are based on an anonymous aggregate of proprietary global data, excluding China, across 35,000 apps spanning gaming, e-commerce, lifestyle, and more. The analysis incorporates 140 billion installs, 53 billion remarketing conversions and extensive app engagement metrics on iOS and Android platforms.
About AppsFlyer
AppsFlyer helps brands make good choices for their business and their customers with its advanced measurement, data analytics, deep linking, engagement, fraud protection, data clean room, and privacy-preserving technologies. Built on the idea that brands can increase customer privacy while providing exceptional experiences, AppsFlyer empowers thousands of creators and 10,000+ technology partners to create better, more meaningful customer relationships. To learn more, visit www.appsflyer.com.
