impact of COVID-19 on mobile app

COVID-19 redefined the word “normal.” It moved economies beyond all expectations, but it couldn’t affect the mobile app development industry. In reality, the pandemic proved to the boost this industry needed to climb the mountain of success.
 
To some people, COVID-19 is nothing less than a sucker punch. For conspiracy theorists, it marked the beginning of the end of the world. To every web and mobile app development company, however, it’s a jetpack that will carry them directly to the summit of the mountain of success. According to researchers, humanity has to adhere to social distancing measures at least until 2022 to keep COVID-19 in check. Does it mean all businesses will stay out of action? Obviously not! Business owners have mobile app developers and the services they offer at their disposal.
 
Of course, the pandemic paralyzed the global economy, but business owners kept fighting to keep their organizations alive because they knew it isn’t going to be a lost cause. The effect of the pandemic on businesses has been merciless, to say the least. However, if you dig a little deeper, you’ll find a socially distant yet digitally connected world with mobile technologies at the center as the power core.
 
The web and mobile app services offered by the best agencies turned out to be the vaccine needed by dying ventures to revive and get off the ground. No matter what anyone says, mobile apps and web development services can keep almost every business alive and kicking. Basically, the app development industry is like a boat that will float and will keep every business, even yours, above the deep and deadly ocean of the pandemic.
 

The effect of COVID-19 on the app industry

So, how did COVID-19 change the economy and face of the app development industry? Here’s a breakdown of the data gathered by market researchers and analysts.
 
(1) During the first quarter of 2020, folks across the world spent approximately 1.6 trillion hours using mobile applications. They didn’t have much to do at home. Understandably, they started spending more time on their mobile devices. While the impact of COVID-19 on the economy presents a hodge-podge picture, the byproducts of the results for the mobile app industry have been exceptionally good.
 
(2) Back in April 2020, users spent 27% of the time they remained awake on mobile phones. It was just 20% in 2019. The time between February and April witnessed an inestimable increase in mobile app downloads. Similarly, Android and iOS app stores experienced a record-breaking download rate of 12 billion. In 2019, it was just 9.1 billion.
 
effect of COVID-19 on apps
 
(3) This increment in the number of downloads wasn’t accidental or unreasonable. It translated into more spending on consumer-grade applications. For H1 2020, the combined purchase value via apps downloaded from both Google Play Store and Apple App Store amounted to $50.1 billion with $17.3 billion for Google Play and $32.8 billion for Apple. Now, you may be wondering, what they have been downloading and spending monies on. Well, for starters, Tinder became the highest-grossing app on both app stores by reeling in about $433 million. YouTube was at its heels. Folks in the United States displayed their tastes during the earliest days of the pandemic. Nobody can forego essential commodities, education, and work. These were among the most downloaded categories by the citizens of the US between 2nd March and 16th March.
 
From the data elucidated above, it makes perfect sense to work with a web and mobile app development company and lay the foundation of a startup business.
 

The effect of COVID-19 on apps

The SARS-CoV-2 virus unleashed a scale of economic uncertainty hitherto undreamt of. It exposed the problems affecting interdependent countries that shook the very core due to their dependence on a centralized hub of the supply chain, which is in China.
 
effect of COVID-19 on the app industry
 
With numerous disruptions affecting trading routes, only a few app categories managed to absorb and leverage the rise in consumer interests. These apps form the highlight reel of the effects of COVID-19 on the mobile app development industry.
 

(1) Fitness applications

As people couldn’t get out of their homes, they grew a conscience that made them do something to work their bodies and minds. In August 2020, people from all over the world downloaded about 656 million health and fitness apps designed by some of the best providers of web and mobile app services. The percentage value of the total downloads increased about 47% more than last year. One particular health and fitness app gained more than all others with a record 179.2 million downloads within the first 5 months of 2020. In short, even couch potatoes couldn’t help but acknowledge the benefits of working out. By using diet planning and fitness apps, they started on their quest to improve their immunity.
 

(2) eCommerce applications

Federal agencies enforced norms that made people stay at home or work from home. Understandably, everyone began shifting their preferences from the good old ways to online platforms. After all, the latter option allowed them to stay at home and receive whatever they needed or desired at their doorstep. Of course, the term e-commerce includes many categories, but the ones that gained more priority than others included hygiene products, food, medications, and clothing. One survey conducted by experts proved that around 52% of all Americans purchased products online due to the restrictions imposed by the government. The effect of the pandemic on app development has been so profound that every reputable app development agency got drowned in a sea of requests from clients to develop MVPs for e-commerce purposes. Some of these people just wanted to diversify by releasing newer subsidiaries, while others wanted to take their first steps in the field. If you hire a web and mobile app developer for an e-commerce project, it will prove to be as lucrative as it was a year ago.
 

(3) Video conferencing applications

Soon after the flattening of the curve at multiple locations and the ensuing lifting of restrictions, there has been an increment in second waves. Even with the availability of multiple vaccines, some countries aren’t being able to cope with the second wave. Also, some nations are struggling to put up with a third and fourth wave, such as Japan. However, the issues regarding distribution will remain, which, in turn, will need commoners to stick to social distancing. Offices have to keep their doors closed for indefinite periods, but it doesn’t mean they must halt their work. It’s precisely where video conferencing systems come in. They saved the skin of numerous business owners throughout 2020 and will continue to do so this year. For business purposes, applications like Skype and Zoom are perfect. Conversely, for informal occasions, apps like Hangouts Meet and Houseparty did the trick. The marketplace of video calling apps will possibly grow to a CAGR of 9.7% from 2020 to 2027 and may even increase to $10.92 billion by the end of this forecast period.
 

(4) Education applications

The closing of schools affected about 1.3 billion students all over the world. If you take a look at the growth rate of education or EdTech apps and startups, you’ll realize how significantly profitable this domain is. Among all the EdTech apps that appeared during 2020, Google Classroom outran them all and became the most downloaded app in July with 14.8 million downloads. It grew by 13.5 times, which was higher than the same time in 2019. Apps that followed Google Classroom closely included Duolingo, YouTube Kids, Cake, and Tips for File Transfer 2020. If you’re planning to invest in an education app now, you’ll need to hire dedicated developers with relevant experience, of course.
 

(5) Online food delivery applications

Back in 2019, online food delivery apps reached around $107.44 billion. The outbreak couldn’t affect the food delivery sector in the long run. In the beginning, it did experience a significant slowdown, but soon after that, people started ordering food from restaurants, all-inclusive meals from meal delivery companies, and groceries from online grocery portals. This event boosted these apps in 2020, and the overall food delivery industry garnered almost $111.32 billion. It points to a CAGR of 3.61% in just one year. However, experts believe it’s just one end of the stick that had to bear the brunt of the worldwide economic frailties. Once the commoners regenerate their power to spend more, the CAGR will increase to 11.51% within 2023. The cumulative valuation of these apps will reach $154.34 billion. If you consider penetrating the online food delivery industry, you’ll get a piece of this lucrative pie.
 

Endnote

From everything described above, you can probably contemplate the overall impact of the COVID-19 outbreak on the mobile economy. Despite bearing the grim visage of a curse, it turned out to be a boon for several businesses, particularly the mobile app development industry. If you need suggestions on how to build an app for your startup or existing business, or if you wish to rebuild or enhance an existing app, don’t hesitate to contact app development firms.

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At the core, Moon Technolabs is driven by the vision, sharpness and flourished under the leadership quality led by none other than the founder & CEO i.e, Mr. Jayanti Katariya. His simple-approach & never-give-up attitude is the virtue or rather aptitude that the entire team tries to grasp and follow. From client relations to business development, from industry updates to floor walking, he does everything in his power to provide support to the team.

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