The mobile marketing industry continues to grow and is becoming more and more competitive compared to the web, for an instance. According to predictions set by AppAnnie, in 2021 the entire mobile marketing activity expects spendings estimated to $290bn USD. which is 21% higher than in 2020.
To understand what to expect in 2021 in the mobile marketing industry, Mobiteam Marketing Department performed separate research, in addition to the previous one that is related to influencer marketing trends but which is also closely related to the mobile marketing industry.
#1 Reduced commission rates in AppStore will increase the competitivity and stimulate prices
In November 2020 Apple announced a 15% lower commission rate compared to the previous year. The lower commission rate applies to developers that have a revenue lower than $1mln USD/mo, and its main goal is to get more startups on the platform. Overall, this move may lead to lower prices for apps so that developers could receive this commission discount, and to invest the savings in advertising as the competition will significantly grow.
#2 Alternative sale and advertising platforms
Yeah, Google Play and App Store are still the incontestable leaders in in-app sales, just like Google Ads and Facebook in advertising the products. Yet, 2021 is about more than staying strong on these marketplaces. Huawei’s App Gallery and Mac Store are worthy to be considered by the app developers if they want to spread the word about their product. Speaking of spreading the word – TikTok, email marketing and a solid website could help you break the ice in 2021. And yes, don’t forget about reviews.
#3 Big changes in IDFA lead to big changes in marketing, privacy, and platforms
To make it more simple – IDFA is the unique number that helps to connect the installed app on a specific device with a marketing campaign/ad campaign. Today, for IDFA tracking the app needs the user’s agreement, and all information that was collected needs to be placed on the developer’s page.
Previously, Apple promised to disable all apps that track user information without a prior user agreement. In order to avoid such situations and lose such a big market like App Store, developers might think about new ways of collecting data, and most probably, the importance of data platforms will also grow. This event will generate several consequences:
- ROI might be calculated in a different way than it is now
- Targeted ads could become cheaper, but the one on Apple Ads Search – more expensive
- ASO will also become more expensive.
#4 5G will demand apps with a more dynamic speed
On a large scale, we could expect 5G a bit later than the end of 2021. Yet the leading countries are already prepared to meet and implement 5G on national or regional levels. This means that users will get more speed, and to get more speed – we need apps that can offer this service. So, yes, directly 5G won’t have such an impact over apps. However, users are the ones that will appreciate the speed and comfort
#5 Subscriptions will take the lead
Pay once and get lifetime access to the product. Sounds familiar? Well, user preferences are changing, especially now with the lockdown and COVD-19 challenges, we all want higher quality apps that serve us all the time. Subscriptions are the best answer for both developers and users since the model is a mutual commitment where the developers update, fix, improve the app while users are ready to top-up a specific amount of money to enjoy the services.
In addition, subscriptions generate a stable income and a valuable way for monetization for the developers and also for platforms – Google Play and App Store gain a part of their income mostly due to subscription plans for which users opted.
Overall, these are the trends and predictions for mobile app marketing in 2021 that can be predicted at this point. However, the trends may change since the industry is highly innovative and generates several times more ideas and tools than any other marketing direction.
