According to a new analysis on the rising African mobile app business, Nigeria has grown by 43%, fueled by a developing fintech space, a rise in “super applications,” and the COVID-19 pandemic, among other causes.
AppsFlyer, the global marketing measurement leader, and Google collaborated on the research; between Q1 2020 and Q1 2021, the report looked at over 6,000 apps and two billion installs in South Africa, Nigeria, and Kenya.
It discovered that the African mobile app market has had strong growth, with overall installs up 41%. Nigeria recorded the highest growth rate, at 43 per cent, followed by South Africa at 37 per cent and Kenya at 29 per cent.
In-app purchasing income surged by 136% between July and September, compared to the preceding three months, indicating perhaps the most significant development. This accounted for a third of total income for the year, demonstrating how many African customers were willing to spend within applications, on everything from retail purchases to gaming.
During the same period, South Africa’s in-app purchasing revenue increased by a whopping 213 per cent, while Nigeria and Kenya also saw significant increases of 141 per cent and 74%, respectively. According to the data, overall app installs increased by 20% in Q2 2020 compared to the previous quarter due to people spending more time at home.
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On a national level, South Africans were quick to use their mobile devices during the initial lockdown, with mobile app installs increasing by 17%. In Nigeria and Kenya, the situation was more muted, with increases of 2% and 9%, respectively.
Other key findings include a 116% year-on-year increase in finance app installs in South Africa and a 60% year-on-year increase in Nigeria, as the need to reduce social contact has led to even more users adopting digital solutions for their financial needs.
Since Android has a larger market share in Sub-Saharan Africa, advertisers are spending more money on the platform. Non-organic installs increased by 54%, while iOS installs increased by 19%. Between Q2 and Q3 2020, the cost per install (CPI) on iOS increased by 21%, implying that iOS app developers received fewer installs for the same budget.
There was no increase in non-organic installs on iOS this year and into 2021, compared to 40% on Android.
In response to the report, AppsFlyer’s regional vice president, EMEA and Strategic Projects, Daniel Junowicz, stated, “Despite the turmoil of last year, the mobile app space in Africa is thriving.” Installs are increasing, and consumers are spending more money than ever before, demonstrating how important mobile can be for businesses in terms of driving revenue”.
“While it’s clear that mobile adoption is increasing, there’s still room for growth when it comes to app marketing, with many marketers in the nascent stage of their app maturity journey,” said Rama Afullo, Google’s apps lead for Africa.