Data Snacks, Member Exclusive

Data Snack: As finance apps’ ad spend soars, their conversion rates are declining

  • The average ad spend on an app store by a finance app rose by 51% between 2020 and 2021, crossing the half-a-million dollars mark.
  • Conversion rates for finance apps fell across the App Store from 6.8% to 5.8%, and Google Play Store from 60% to 55%.
close

Email a Friend

Data Snack: As finance apps’ ad spend soars, their conversion rates are declining

The proliferation of fintech services into American consumers’ financial lives started building before 2019, but the pandemic dramatically accelerated the trend. Today, digital financial services claim 88% of U.S. consumers, challenging the 95% that traditional banks claim. In this environment, AppFollow’s new study reports on how the finance category is performing in terms of user engagement and satisfaction across the App Store and the Google Play Store.

“The category is growing like a jungle,” the app store optimization service found.

The finance category saw a trend of rising downloads between Q1 2020 and Q1 2021, as they increased from 5.9% to 18.6% on the App Store, and 5.4% to 17%.

In addition, the number of apps in the category with over 10,000 downloads a quarter rose by 21% between Q4 2020 and Q1 2021. Much of this can be attributed to financial services’ increase in ad spend, as competition in the space grew over the past two years. Average spending went up by 51%, to more than half a million dollars. The cost-per-install across the industry rose by 46% between Q3 2020 to Q2 2021.

 


This content is available exclusively to Tearsheet Outlier members.

Tearsheet Outlier information and signup Missing out? Subscribe today and you’ll receive unlimited access to all Tearsheet content, original research, exclusive webinars and events, member-only newsletters from Tearsheet editors and reporters and much more. Join Outlier now — only $49/mo. Already an Outlier member? Sign in to your account

0 comments on “Data Snack: As finance apps’ ad spend soars, their conversion rates are declining”

Green Finance, Member Exclusive

Green Finance Briefing: An intro to environmental sustainability in banking

  • For banks and financial institutions, sustainability initiatives present opportunities as well as risks, according to a new report on the current landscape of environmental sustainability in banking.
  • Sustainability is a business conversation - climate change is bound to create a shift in resources, bringing with it a reallocation of capital away from the status quo.
Iulia Ciutina | September 30, 2022
Blockchain and Crypto, Member Exclusive

Bankchain Briefing: How crypto firm Blockdaemon is bucking the “crypto bro” trend

  • This week, we explore the current state of gender equality in the crypto industry, and what firms in the space can do to counter the long-standing “crypto bro” trend and make way for a more egalitarian future.
  • We also discuss the current state of crypto regulation in the US, and look at how the lack of regulatory clarity is impacting the growth of the industry.
Ismail Umar | September 29, 2022
Member Exclusive, Online Lenders

Lending Briefing: Debit cards are taking over

  • This year, debit cards have emerged as the preferred payment method for the majority of US consumers, dethroning credit cards.
  • Younger generations are behind this switch – even though they're also getting credit cards, Millennials and Gen Zers prefer to pay with debit.
Iulia Ciutina | September 28, 2022
Member Exclusive

Why are regulators cracking down on bank-fintech partnerships?

  • A higher level of regulatory scrutiny is on the way for fintechs and the bank partners on which they rely.
  • Increased regulatory scrutiny could result in a safer and more resilient market to the benefit of consumers, says Brian Graham, partner at Klaros Group.
Lindi Miti | September 27, 2022
Innovation, Member Exclusive

Slack and Salesforce launch industry-specific digital solutions – what’s in it for FIs?

  • Slack and Salesforce have built solutions to help their customers make the most of their digital tools.
  • How will these solutions benefit financial firms?
Sara Khairi | September 26, 2022
More Articles