App retailer spending is continuous to develop, though not as shortly as in years previous. According to a brand new report from Sensor Tower, the iOS App Store and Google Play mixed introduced in $39.7 billion in worldwide app income within the first half of 2019 — that’s up 15.four% over the $34.four billion seen through the first half of final yr. However, at the moment, the $34.four billion was a 27.eight% enhance from 2017’s numbers, then a mixed $26.9 billion throughout each shops.
Apple’s App Store continues to massively outpace Google Play on client spending, the report additionally discovered.
In the primary half of 2019, international shoppers spent $25.5 billion on the iOS App Store, up 13.2% year-over-year from the $22.6 billion spent within the first half of 2018. Last yr, the expansion in client spending was 26.eight%, for comparability’s sake.
Still, Apple’s estimated $25.5 billion within the first half of 2019 is 80% larger than Google Play’s estimated gross income of $14.2 billion — the latter, a 19.6% enhance from the primary half of 2018.
The main issue within the slowing progress is iOS in China, which contributed to the slowdown in complete progress. However, Sensor Tower expects to see China returning to constructive progress over the following 12 months, we’re advised.
To a smaller extent, the downturn might be attributed to adjustments with one of many top-earning apps throughout each app shops: Netflix.
Last yr, Netflix dropped in-app subscription sign-ups for Android customers. Then, on the finish of December 2018, it did so for iOS customers, too. That doesn’t instantly drop its income to zero, after all — it would proceed to generate income from current subscribers. But the quantity will decline, particularly as Netflix expands globally with out an in-app buy possibility, and as lapsed subscribers return to resume on-line with Netflix straight.
In the primary half of 2019, Netflix was the second highest-earning non-game app with client spending of $339 million, Sensor Tower estimates, down from $459 million within the first half of 2018. (We ought to level out the agency bases its estimates on a 70/30 break up between Netflix and Apple’s App Store that drops to 85/15 after the primary yr. To account for the combo of previous and new subscribers, Sensor Tower elements in a 25% lower. But Daring Fireball’s John Gruber claims Netflix had a particular relationship with Apple the place it had an 85/15 lower from yr one.)
In any occasion, Netflix’s contribution to the app shops’ income is on the decline.
In the primary half of final yr, Netflix had been the No. 1 non-game app for…