Google Play and messaging apps are driving mobile app growth in emerging markets, with Brazil, Indonesia, Turkey and India leading the way, according to new research.
This is according to App Annie and MEF, which believe these countries’ mobile infrastructure and rate of development are creating significant new opportunities for app publishers.
In a new report, based on App Annie’s Intelligence data (which analyses app downloads and revenues across Google Play and the iOS app store), China is highlighted as the largest of the growth markets as identified by MEF – its downloads growing 10% in the last year, second only to the US. However, this growth was overshadowed by Brazil whose app downloads doubled between Q3 2013 and Q3 2014.
Outstanding growth was also seen in Indonesia, Mexico, Turkey and India within the same period, where downloads increased by 70%, 60%, 60% and 30%, respectively. This remarkable rise of apps usage in emerging markets was a key contributor to Google Play’s impressive global download growth over the past year, which is currently 60% higher than the iOS app store.
“Emerging markets offer a huge opportunity for app publishers. However, moving into new markets is not always as simple as translating an app,” explains Olivier Bernard, VP EMEA at App Annie. “As different cultures may respond differently to different monetization models or feature updates, local content and an understanding of the local app market, local competitors and local expectations is key to making the most of these rapidly growing opportunities.”
MEF’s CEO, Rimma Perelmuter added: “Through our global community and ongoing commitment to market analytics, MEF has identified key growth markets across the globe that are driving both mobile innovation and mass-market consumer adoption.
“The findings of this joint report show how the dominant App Stores are mirroring these market trends and present real opportunities for all stakeholders. The strength of growth markets in the international mobile ecosystem will be a key feature at next month’s MEF Global Forum 2014 in San Francisco.”
As highlighted in App Annie’s Q3 2014 Market Index, the growing popularity of Google Play in these emerging markets exerted a strong influence on the countries’ download rates. Brazil and India trailed only the United States in Google Play downloads in Q3 2014. WhatsApp Messenger was a notable example of a top messaging app that gained the majority of its downloads on Google Play from emerging markets.
In regards to revenue, the emerging markets featured in the report also experienced strong gains between Q3 2013 and Q3 2014. However, they remain small relative to more established markets while their download growth continues to outpace revenue growth. In contrast to its flat download performance, Germany, one of the more established markets included in the report, showed the largest gain in revenue. App revenue in Germany increased 80% between Q3 2013 to Q3 2014, a trend representative of the more established markets in the app economy.
The report is entitled ‘App Annie & MEF: Emerging Markets and Growth in the Global App Economy’ and available for download here (registration required).
