NEW DELHI: Apple's App Store facilitated e-commerce worth $519 billion in billings and sales globally in 2019, with mobile commerce, goods and services, and in-app advertising contributing significantly, an independent study by Analysis Group has found.
Physical goods and services accounted for $413 billion worth of sales, and m-commerce apps generated most of the sales. Retail was the largest contributor with $268 billion. It includes brick-and-mortar stores such as Target and Best Buy, that have turned to mobile commerce, as well as online marketplaces that sell physical goods, such as Flipkart, Lenskart and Myntra.
Travel apps, including Ixigo, Cleartrip and Makemytrip, accounted for $57 billion, while ride hailing apps such as Ola Cabs made sales worth $40 billion. The share of food delivery apps such as Zomato, Swiggy and Freshmenu was $31 billion.
"In a challenging and unsettled time, the App Store provides enduring opportunities for entrepreneurship, health and well-being, education, and job creation, helping people adapt quickly to a changing world. We’re committed to doing even more to support and nurture the global App Store community — from one-developer shops in nearly every country to businesses that employ thousands of workers," Tim Cook, CEO, Apple, said in a statement.
The report found that billings and sales from digital goods and services including apps for entertainment, fitness, education, news and dating was $61 billion. Within this particular category, games was the largest generator of billings and sales. Mario Kart Tour was the most downloaded game of 2019.
In-app advertising sales accounted for $45 billion, and 44% of that came from games. Non-gaming apps with significant in-app advertising sales are often free to download and use.
Apple only receives a commission from the billings of digital goods and services. The study found that more than 85% of the $519 billion accrues to third-party developers and businesses.
Launched in 2008, Apple's App Store has almost 2 million apps and is visited by half a billion people from 175 countries every week.