The continued COVID-19 pandemic resulted in document adoption of cost and cash switch apps in america final yr, and the area remains to be seeing elevated raise in early 2021. Sensor Tower’s State of Cost Apps 2021 report, available now, is a deep dive into the evolving traits on this sector of the cell market, together with analyses of its prime publishers and apps.
Prime Cost, Cash Switch Apps Hit 34 Million Downloads in Q1
The highest 25 digital cost and cash switch apps within the U.S. noticed document installs in 2020, climbing 53 % year-over-year in Q2 2020 to achieve greater than 35 million. Though adoption slowed towards the tip of final yr, each classes have nonetheless seen quarter-over-quarter development and reached 34 million downloads in 1Q21, up 22 % Y/Y from 1Q20.
Since 2018, Cash App has topped the charts amongst digital cost and cash switch apps, and it has continued to guide the class into the primary quarter this yr throughout the U.S. App Retailer and Google Play.
Cash Switch App Adoption Stays Excessive
The continued pandemic has resulted in widespread monetary hardships, as evidenced partially by the surge in adoption of cash switch apps as shoppers search options to ship and obtain funds. Western Union’s cell app is the class chief in america, and its installs climbed 49 % Y/Y to 485,000 in April 2020. The subcategory’s installs stay elevated this yr, as January 2021 was up 44 % in comparison with the identical interval in 2020.
Though cash switch app installs outpaced these of digital cost apps early within the pandemic, the latter noticed a spike across the 2020 vacation season and has skilled continued raise. This can be as a consequence of brick-and-mortar institutions adopting contactless options that allow customers to pay utilizing their cell units.
Klarna Continues to Lead the Cost Answer Subcategory
Earlier Sensor Tower analysis discovered that the highest purchase now, pay later (BNPL) apps noticed their U.S. installs and month-to-month lively customers climb in 2020. Cost resolution app Klarna stays the class chief, accounting for 38 % of installs amongst prime apps within the U.S. final yr and 34 % of installs in 1Q21.
Though Klarna stays essentially the most downloaded cost resolution app, competitor Afterpay is gaining traction. Within the first quarter of this yr, the app grew its market share to 26 % of installs from roughly 25 % in 2020.
For extra evaluation from the Sensor Tower Store Intelligence platform, together with key insights on the efficiency of cost apps within the U.S. and the way publishers are specializing in App Retailer Optimization within the area, obtain the entire report in PDF kind beneath: