Apple today published a blog citing how much sales they facilitated from billings & sales of services and products via the App Store in 2019, the total number being just over half a trillion dollars ($519 billion). The study was conducted by economists at the consulting firm Analysis Group.
Though Apple only made around $18 billion because they only take a cut of roughly 30% of the total revenue generated from digital-only goods (i.e. $61 billion) as commission, and that doesn’t include any physical items sold via an app.
“The App Store is a place where innovators and dreamers can bring their ideas to life, and users can find safe and trusted tools to make their lives better,” – Tim Cook, CEO Apple.
Of that total $519 billion, physical goods racked in the most, accounting for $413 billion, and within that category, m-commerce apps accounted for the vast majority. The study further shows travel apps like Expedia & United, accounted for $57 billion, ride-sharing apps like Uber and Lyft, bought in $40 billion and food delivery apps like DoorDash and Grubhub made up for $31 billion.
The digital-only category was primarily dominated by mobile games, as they facilitate in-app purchases, subscription as well as in-app advertising which alone generated $45 billion, and of that, $20 billion was derived from mobile games alone.
The study also showed trends in different app usage due to COVID-19. Social apps education and business collaboration apps have seen a boost as people are adapting amid all the lockdown and various restrictions. Food and grocery delivery apps have seen a boost in demand at the same time as apps that require in-person interactions have seen a sharp drop-off.