Consumers in Asia the faraway leaders in in-app purchases: AppsFlyer study

• They spend 40% more on in-app purchases than the rest of the world
• iOS users spend nearly 2.5 times more than Android users

 
ASIAN users spend 40% more on in-app purchases than the rest of the world, although North Americans spend the single highest amount – in shopping apps, according to a new study by San Francisco-headquartered AppsFlyer.
 
In addition, iOS users spend nearly 2.5 times as much as Android users: US$1.08 to US$0.43 in monthly on in-app purchases per user, per app.
 
Not only do they spend more, but iOS users are about 50% more likely to spend any money in apps than Android users, the mobile marketing attribution analytics company said in a statement.
 
AppsFlyer said its State of In-App Spending report has details from the in-app purchase (IAP) behaviours of more than 100 million mobile app users across over 1,000 apps.
 
The report examined data from April and May 2016, studying nearly 30 million purchase events conducted by over 100 million users across over 1,000 apps that have in-app purchase activity.
 
The total spend analysed in the report was US$300 million worth of in-app transactions.
 
The study found that only 5.2% of users spend money on in-app purchases, but that the average paying user spends US$9.60 in monthly transactions per app with purchase activity – more than 20 times the average spend of all users combined.
 
The report provides a regional breakdown as well, and includes a breakdown for games, shopping and utility apps, AppsFlyer said.
 
Some of the specific findings include:
 

• The average user spends US$0.50 per month on IAP per app with purchase activity (the average paying user spends US$9.60 per month);

• The average purchase amount is US$12.77 on iOS, US$6.19 on Android, and US$8.80 overall;

• 7.1% of iOS users make at least one payment per month; 4.6% of Android users do;

• Asian users spend a monthly average of US$0.70 per user per app; Latin Americans spend the least, at US$0.16;

• North American shoppers spend 2.5 times more than the average European app shopper, and 3 times more than Asian shoppers; and

• The average monthly in-app spend for gaming apps is US$0.32; for shopping apps it is US$2.68.

“As app developers lay out their development, marketing and engagement strategies, it is critical for them to understand the differences in in-app spending behaviours across different platforms, geographic regions and app categories,” said AppsFlyer marketing vice president Ran Avrahamy.
 
“Our data shows that in-app spending continues to present a significant opportunity for app publishers and marketers.
 
“While only a small portion of app users actually spend money on in-app purchases, app developers and marketers can capitalise by ensuring they always offer an optimal in-app experience, and by constantly measuring and optimising their activities in order to build a strong base of loyal, valuable users,” he added.
 
To request the full report, go here.
 
Related Stories:
 
Google ups the app ante, embraces iOS
 
How developers can ‘bypass’ Microsoft to sell Windows 8 apps
 
Mobile9 launches ad network for apps
 
Indonesians just love their free apps: Baidu-GfK study
 
 
For more technology news and the latest updates, follow us on Twitter, LinkedIn or Like us on Facebook.