Festive boost: 71% surge in Indian in-app purchases

India’s economic outlook for the year remains optimistic as consumer spending on in-app purchases rose during the first half of 2023. That’s according to the India Festive Report for 2023, an effort between AppsFlyer and Meta Platforms which highlights signs of economic recovery. Let’s take a look.

Festive season boost to IAPs

Consumer spending has been on the rise in India, leading to an impressive 71% increase in in-app purchase (IAP) revenue during the first half of 2023. This growth in IAP spending is expected to continue with the approaching festive season.

IAP revenue trend on Android

Source: AppsFlyer

“The festive season in India promises robust growth for mobile ecommerce. Projections from Redseer hint at a spectacular 18-20% growth this year, translating to an astounding GMV of INR 90,000 crores. With the surge, we anticipate nearly 140 million eager online shoppers gearing up for festive purchases. While Shopping and Food & Drink apps will undoubtedly see a spike, Gaming isn’t far behind in capturing user engagement,” says Aditya Maheshwari, Director of Customer Success at AppsFlyer.

India’s festive season is usually a good opportunity for marketers across various app categories. App installations follow a pattern, starting in August, peaking in October, and reaching the highest point in December.

Overall install trends by category

Source: AppsFlyer

September tends to see activity rise across sectors as users prepare for festivities. Marketers focus on installations and reserve later efforts for remarketing conversions. So, it’s wise for marketers to start user acquisition early and increase efforts as the festive season nears. Finance, Food & Drink, and Gaming apps are popular in October.