The app has been honored with the title of being the first non-gaming platform to cross the $10 billion revenue figure in terms of consumer spending. This is a combination of sales seen through both the App Store from Apple and Google’s Play Store.
The news was first unveiled by top intelligence-providing outlet DataAI who confirmed recently how the figures attained were the first of its kind seen in the non-gaming category. Other names that have been getting fame of a similar kind include gaming giants Candy Crush from Blizzard. The latter attained immense success, quickly turning into a major earner with a staggering revenue of more than $12 billion.
This particular report in question saw TikTok starting off the year with a bang, coming up with more than $6 billion in the consumer spending category. Meanwhile, another $3.8 billion was added as the year went on, allowing the platform to attain steady growth throughout the year, hitting the 61% growth spurt from when it first began to where it stands right now.
As per the data, the figure is nearly 15% greater than that observed in 2022, where it could achieve consumer spending totaling $3.3 billion. Before we forget, the data is solely limited to the Play and App Stores and not from other third parties found in China. This means TikTok’s overall consumer spending figures should be greater than this and that’s really a huge achievement.
This type of spending arises through the likes of TikTok’s famous and viral currently dubbed coins. The latter is the name given to a virtual mode currently where users can make in-app purchases through this means. They can purchase gifts throughout the platform for their favorite content creators as a means of showing their love and appreciation.
These kinds of gifts reward creators for the various types of content they produce and could be cashed at any point in time with real funds. Meanwhile, the app benefits by keeping 50% of the overall payout.
At the moment, several deals are trending online. This entails bundle offers featuring 1321 coins for nearly $20. And only that gives the app a quarter of the revenue generated from this method.
In the same way, the leading platform makes money outside of this realm too. For instance, they can do it via advertising or through e-commerce means such as the TikTok shop. However, this was not considered when generating this particular report.
Data.ai confirmed how both iOS users located in China and American consumers made up the majority of the spending found through in-app purchases. And that is what assisted the tech giant in terms of hitting the $10 billion landmark. Both these regions continued to drive 30% of the overall revenue or 60% of the total when put together.
Some other leading markets including KSA, Japan, United Kingdom, and Germany whose combined earnings were equivalent to 13% of the combined figure for in-app purchases on Tiktok.
While TikTok might be getting the honor as it’s the sole non-gaming platform to hit this milestone in earnings, plenty of other apps in the non-gaming category also cashed in billions but they are yet to reach the level of the app.
Some close contenders for the leading position included Tinder and video video-sharing app YouTube. But even then they were trailing by nearly two to three billion dollars as noted in the report.
Read next: From Gaza-Israel War To Lens Translation - Google Search Trends 2023 Unveils This Year’s Dominating Search Queries
by Dr. Hura Anwar via Digital Information World
No comments:
Post a Comment