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AppsFlyer Reveals Gaming App Install Ad Spend Reaches $26.7B Globally Despite Slowing Growth in Installs

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AppsFlyer has released its State of Gaming App Marketing for 2023, an in-depth report on key gaming trends for app developers, marketers and game studios to utilize as they navigate through a year of challenging macro trends, including the new age of data privacy.

As the post-Covid era unfolds, a digital slowdown, or return to pre-Covid conditions, is taking place. While the effects are becoming increasingly apparent in metrics like overall app installs by consumers, the gaming app economy still showed resilience with nearly $27 billion invested in ad spend by gaming marketers and developers worldwide in 2022 in order to acquire new users.

Overall, Android game app installs rose slightly, by 8% compared to 2021, whereas iOS game app installs showed a small decline, with a 5% drop.

Based on advertising investment, the United States remains the largest target market for gaming app marketers by a significant margin, followed by Japan, South Korea, Germany and the United Kingdom.

“If 2021 and the first quarter of 2022 was the golden age of gaming, the second half of 2022 and especially 2023 will be a time that marketers, developers and studios will need to overcome challenges to adopt highly-focused, efficient strategies for attracting and inspiring loyal, valuable players,” said Shani Rosenfelder, Director of Market Insights at AppsFlyer.

“Evolving marketing budgets coupled with drops in consumer spending across some genres mean game businesses are compelled to prioritize profits over growing the sheer size of their numbers of players. Despite the hurdles, however, mobile gaming remains a lucrative powerhouse nearing three billion players globally.

Marketers will continue to succeed by putting more focus on modern measurement capabilities, utilizing techniques that deliver an engaging experience while respecting user privacy, and leveraging remarketing and owned media channels further in order to offset increases in their cost-per-installs (CPI).

Additionally, they will need to dive deep into the complex yet promising SKAN 4.0 from Apple, and invest more in campaigns outside of the United States, as gaming is truly a global phenomenon.”

As for gaming app revenues, the State of Gaming report reveals that consumers spent the most on in-app purchases (IAP) in role playing and social casino (not real money) games. Purchases in these game categories declined mostly in the second half of 2022, leading to an overall drop in IAP revenues by 7% compared to the first half of the year.

The economic downturn appears to have impacted consumer behaviour in high IAP genres of role playing and social casino more than other categories like match or puzzle games, which rely more on micropayments. In-app advertising (IAA) remained the strongest driver of revenues for hyper casual, match and simulation games, though IAA revenues also declined across most genres towards the second half of 2022.

Key Insights from the 2023 State of Gaming App Marketing:

  • $26.7 Billion total gaming app install ad spend worldwide in 2022. The US commands nearly half at $12.2B thanks to its high-volume and high-cost media landscape; Japan is a distant second with nearly $2B in spend.
  • Worldwide, Android game app installs rose slightly in 2022, iOS game app installs showed a small decline. There was an 8% YoY growth in total app installs of Android games. A -5% YoY install drop on iOS reflects the continued challenges iOS app marketers are facing following Apple’s privacy changes (despite the improvement vs. the previous 2022-2021 YoY figure of -13%). In the US, still considered the most important market for gaming app marketers, 2022 saw a 19% growth in Android app installs and -1% decline in installs of iOS gaming apps when compared to 2021.
  • The second half of 2022 in particular was a struggle for in-game purchases with the economic uncertainty in the market. There was a -7% overall drop in in-app purchase (IAP) revenue in H2 2022 compared to H1 2022, with iOS down 9% and Android down 4%. Overall, in-app purchases on Android gaming apps were down -14% year-over year (YoY), while iOS was down -1% YoY. This was driven largely by a decline in Role Playing and Casino game genres that typically have high rates of in-app purchases, and where the economic downturn appears to have impacted consumer spend.
  • Categories that saw largest growth in 2022 vs. 2021: 48% growth rate for Android casino games, 3x more than second-place Hypercasual and 5x higher compared to the growth rate in puzzle and Role Playing games (RPG). Casino games led growth on the flagging iOS side, clocking an impressive 17%.
  • Cost-per-installs on iOS continue to climb: 88% is the increase in CPI on iOS from Q1 2021 to Q4 2022, shooting up $3.75 per install as iOS marketers continue to accept high prices to acquire valuable Apple users. YoY rates show a 35% jump.
  • Marketers increasingly leveraging owned media channels: As marketers look to get more value out of their budgets, the use of owned media strategies such as push notifications, in-app messages and cross promotion is seeing a sustained rise. This has led to a significant YoY increase in the number of owned media conversions, with a 16% growth on iOS and a 34% surge on Android.

“As gaming marketers continue to navigate their way through a shifting economic landscape along with privacy changes, particularly on iOS, they face fresh challenges and opportunities in regards to their app marketing efforts,” said Adam Smart, Director of Product, Gaming at AppsFlyer.

“Privacy restrictions on iOS limit the ability of marketers to leverage user-level data, which was previously the cornerstone of their ability to connect campaign performance to attracting new users.

“Yet despite a significant rise in media costs and measurement challenges, gaming apps are still investing heavily in capturing high-quality players on iOS, and are not shifting those resources to Android even if the approach results in attracting fewer users overall.

“This gives greater importance to the use of privacy-enhancing tech and data clean rooms in 2023 and beyond, and will also provide advantages to those able to leverage accurate and comprehensive data for making the timeliest decisions on where, when and how to optimally invest budgets in ways that attract and retain the most valuable players.”

“With Europe and North America often being a benchmark for African countries, it is safe to say that the gaming industry on the continent also follows the same trend. Overall, gaming app installs ad spend reached $26.7 billion globally in 2022, with a small portion of this attributed to Africa, primarily South Africa.

Based on AppsFlyer’s recent report on the State of Gaming App Marketing, we have seen that gaming app installs have decreased on iOS, while there has been a notable increase across android devices.

This is a sign of things to come for the African gaming industry, and we predict that more African countries will contribute to the overall ad spend on gaming app installs in the coming years.

“With the United States comprising almost half of global gaming ad spend at $12.2 billion, investing in the country is important despite the heightened competition. But, other countries have growing gaming populations and are not as competitive when it comes to hunting for paid installs. High population countries like South Africa, Indonesia, India, and Vietnam are always hungry for new content” he added.

 


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General News

Trump Ends Funding for Malaria, Other Global Health Programs

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The Trump administration has ceased funding for roughly 5,800 global health programs, including those that support providing vaccines, life-saving medications, and emergency health care to millions of people around the world.

Trump Ends Funding for Malaria, Other Global Health Programs

Donald Trump

On Wednesday, the U.S. State Department began sending out a wave of emails informing thousands of health groups, refugee camps, tuberculosis clinics, and polio vaccination projects that they would no longer receive funding from the U.S. Agency for International Development (USAID), per the New York Times.

The funding was distributed to a wide range of programs, including those for HIV treatment, malaria prevention in Africa, and maternal health care in Nepal.

More major projects now canceled due to the funding cut include: a $90 million malaria prevention contract, a project in the Democratic Republic of Congo that provided water for 250,000 displaced people living in conflict zones, HIV care and treatment in Lesotho, Tanzania, and Eswatini run by Elizabeth Glaser Pediatric AIDS Foundation, a $34 million medical supply management contract in Kenya, 87 shelters in South Africa that support thousands of women who have survived rape and domestic violence, a Yemen community health program in Yemen that identified malnourished children, and a severe acute malnutrition treatment project in Nigeria that serves millions of children and women.

“People will die, but we will never know, because even the programs to count the dead are cut,” Dr. Catherine Kyobutungi, executive director of the African Population and Health Research Center, said in a statement.

 

 

 


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NAFDAC Withdraws Registration of Artemether/Lumefantrine Oral Suspension over Stability Concerns

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Professor Mojisola Adeyeye, director-general, NAFDAC,
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National Agency for Food and Drug Administration and Control (NAFDAC) has announced the discontinuation of the registration of Multi-Dose Anti-Malarial (Artemether/Lumefantrine) dry powder for oral suspension.

NAFDAC Withdraws Registration of Artemether/Lumefantrine Oral Suspension over Stability Concerns

Professor Mojisola Adeyeye, director-general, NAFDAC,

The decision follows stability concerns, as studies have shown that the reconstituted formulations lose efficacy over time.

The announcement was made in a public alert No. 01/2025, released on the agency’s website.

NAFDAC confirmed that the suspension applies to all locally manufactured and imported Multi-Dose Artemether/Lumefantrine dry powder for oral use.

Consequently, the agency will no longer accept new applications, renewals, or variations for any local or imported Multi-Dose Artemether/Lumefantrine dry powder for oral suspension.

According to NAFDAC, stability studies revealed that reconstituted Artemether/Lumefantrine oral suspension becomes unstable after mixing, leading to a loss of efficacy.

“This loss can have severe health consequences, including treatment failure, increased risk of complications, and, in extreme cases, death,” the agency stated.

All NAFDAC zonal directors and state coordinators have been instructed to conduct surveillance and remove all affected products from circulation.

The agency has also directed importers, distributors, retailers, healthcare professionals, and caregivers to immediately halt the importation, distribution, sale, and use of these medications.

NAFDAC has urged healthcare professionals and consumers to report any suspected sale of these products or related substandard medicines to the nearest NAFDAC office or via the agency’s toll-free number: 0800-162-3322. Reports can also be submitted via email at [email protected].

Additionally, individuals are encouraged to report adverse reactions through the Med-Safety mobile app, available on Android and iOS, or via email at [email protected].

NAFDAC confirmed that this notification would be uploaded to the World Health Organization (WHO) Global Surveillance and Monitoring System (GSMS) as part of its regulatory measures.

 

 

 


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NITDA Empowers Civil Servants with IT Project Clearance Training

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In line with the presidential priority areas of reforming the economy for sustained inclusive growth and improving governance for effective service delivery, the National Information Technology Development Agency (NITDA) has commenced a training programme for 1000 civil servants from various MDAs on Information Technology (IT) Project Clearance processes in creating a digitally viable workforce in the public sector towards achieving the desired digital transformation mandate of the present administration.

The opening of the capacity building programme for ICT, Budget, Finance and Planning Officers of Federal Public Institutions, held at the Public Service Institute of Nigeria (PSIN) in Kubwa, Abuja, will be conducted in batches to equip participants with essential knowledge, skills, and best practices.

It aims to enhance collaborative planning, budgeting, and management of ICT system acquisition, deployment, operation, and sustainability in the public sector, ensuring a whole-of-government approach to digital projects.

In his opening remark with the theme, “Empowering Public Sector ICT Excellence Through Strategic Planning and Effective Funding”, the DG NITDA, Kashifu Inuwa CCIE, emphasised the critical role of strategic planning and funding in enhancing public sector service delivery.

While reiterating the agency’s commitment to digital transformation through the implementation of its Strategic Roadmap and Action Plan (SRAP) 2.0, the DG who was ably represented by the agency’s Director of IT Infrastructure Solutions department, Mr Oladejo Olawunmi, underscored the importance of equipping public sector employees with the necessary tools and knowledge to drive digital initiatives effectively.

Disclosing that NITDA is spearheading digital transformation efforts through its SRAP 2.0, he stated, “This plan aligns with national priorities and aligns with our strategic pillars such as talent development, digital infrastructure, cybersecurity, innovation, and policy-enablement to foster a sustainable digital economy”.

However, Inuwa acknowledged the challenges hindering digital transformation in the public sector, including inadequate collaboration among stakeholders, short-term project planning, poor ICT infrastructure maintenance, software licensing issues, and insufficient capacity-building. These barriers, he noted, have contributed to suboptimal outcomes in government-led digital initiatives.

Noting that most project stagnations or failures are attributed to inadequate integration of modern trends such as cloud computing, remote support, and enterprise network services into project planning, Inuwa averred that the agency has strengthened its IT projects clearance process to ensure that digital initiatives are well-conceptualized, planned, and executed in alignment with intended objectives.

“While there have been notable achievements, only 12 percent of Federal Public Institutions, FPIs comply with the process, necessitating a whole-of-government approach for full alignment with national digital transformation goals,” he revealed.

Emphasising that effective resource allocation ensures initiatives are adequately funded and properly executed to deliver real value to the public, he urged participants to manage public funds prudently and prioritise projects that yield measurable outcomes.

“We will explore how to optimize budgeting processes, improve financial oversight, and build systems that ensure transparency and accountability.

“This event has been structured with your professional development in mind, with sessions led by experts in the field, interactive discussions, and practical case studies that will provide you with actionable knowledge you can apply in your respective roles,” he concluded.

Highlighting the critical role of ICT, project, finance, and planning officers, Inuwa admonished participants to take full advantage of the program’s sessions, designed to strengthen their expertise in strategic planning, monitoring, evaluation, and financial management.

“Each of you plays a crucial role in the management and distribution of resources, the planning and implementation of programmes, and ultimately the delivery of services to our communities. Together, you form the backbone of efficient and transparent governance,” he concluded


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