Digital Revolution – COVID-19 And Its Impact On Mobile App Industry

COVID-19 Impact on Mobile App Industry-Scalex Services
June 18, 2020 | 8 min read

The COVID-19 has had severe repercussions on the world; along with its associated medical, social, and economic disruptions, it has also changed our consumption patterns. As more and more people confine themselves within their homes, a section of society is forced to seek alternatives. With movie theatres closed, no restaurants to dine in, all public gatherings called off; people have been spending more of their lives online.

While on the one side, the pandemic has depleted supply chain operations and international trade, on the other side, it has opened up a new line of business opportunities boosting innovative take on entrepreneurship. The mobile app industry, mobile apps, in particular, have been predominantly helping to keep everyone’s routine intact. People are turning to mobile during this time as they are required to stay home to seek information, continue working, keep themselves entertained, foster connection, and fill the gaps of regular life.

In this article, we will see how the demand for mobile apps has grown, top industries benefited during the pandemic, and emerging mobile app development trends.

The growth of mobile app industry – Demand for mobile apps and usage

Where lockdown is forcing people to stay at home, the mobile app industry is rising at the fastest-paced. Mobile app technology has taken a curvature that is beyond imagination.

Statista reveals in 2023 mobile apps are projected to generate approximately 935 billion US dollars, which is double 461 billion US dollars in 2019.

Statista report Worldwide mobile app revenues


As consumption habits, shopping patterns, socialization ways, and work mechanisms are transforming drastically due to the ongoing disruption, the only option left for people is to use mobile applications to quench their basic needs and push businesses to enter the on-demand industry.

Despite the whirlwinds affecting everyone, mobile app spending is expected to double by 2024. As stated in TechCrunch, by 2024, the mobile app downloads are predicted to reach 183.7 billion, showing a lift of 9% over the forecast made before COVID-19.

Techcrunch report Covid19 impact on Mobile app industry
Image Source –

Much of these downloads have increased this year, when first-time app downloads are poised to reach 140.3 billion, up 22% from 2019.

One thing is clear that the mobile app industry is growing without showing any sign of downwards.

Top industries benefited during the COVID-19 crisis 

Clearly, these are challenging times filled with uncertainty. As people stay home, they turn to their mobile phones to perform multiple activities, which present an opportunity for many verticals.

Companies, primarily those in manufacturing, energy, travel & hospitality, transport, and retail, have been impacted by unexpected losses in revenue. On the other hand, companies providing essential services like financial and medical services have seen increasing demand for products and services.

Now we know that online businesses have the potential to rise above the challenges of these times, modern technologies have stepped up as the answer to a lot of problems.

On-Demand Apps

On-demand apps are playing an essential role between consumers and businesses.

  • Grocery apps – Before the COVID-19 outbreak, grocery delivery apps were just an option. The demand for these apps has surged in the last three months. The growth in downloads is due to the choice available to people to buy groceries via a grocery app, and it has become an absolute necessity.
  • Healthcare apps – The forecast from Statista has revealed that the global healthcare market will reach $90.49 Billion in 2020 from $21.7 Billion in 2018. But, the coronavirus pandemic has pushed this industry to the next level and is projected to generate higher than 33.7% revenue. Where hospitals and clinics are filled with virus cases, people are opting for medication apps, healthcare apps, fitness apps to maintain a healthy life.
  • Entertainment apps – Since people are locked in their houses, consumption of live television, on-demand streaming, and video apps have seen an 8% to 22% rise in viewership.
  • Educational apps – Surge for education apps have gone a notch higher in the market. Live online teaching has become one of the recent trends in the education industry.

People want apps that will help them pass the time, learn something, entertain them, or do some work and earn money. When meeting and mingling with people is dangerous, every business in the essential good industry needs to invest in on-demand apps.

Gaming Apps

Gaming apps have recorded a phenomenal rise in the period of lockdown. The average weekly download for the iOS and Android platforms for gaming apps increased by around 80 percent, which is 25 percent more than that of January. People are getting bored in the self-quarantine period, and to entertain themselves, they are inclining towards mobile gaming apps all over the globe.

Digital Payment Apps

Digital payment is the most preferred payment method in this pandemic situation as it is a very easy, secure, and safe option. The digital payment apps have shown tremendous growth in their download as normal banking activities are not possible due to restrictions. People use these apps to make payments of their essential purchases from grocery stores to doctor’s payments.

People are dependent on apps that help remote work, productivity, and usability to make the best out of work from home. In short, industries are looking for a reliable enterprise mobility solution. Thus, it’s the right time to create a mobile app for the remote work lifestyle.

Emerging mobile trends in a post COVID world 

Why do businesses need enterprise mobility solutions now more than ever?

The aftermath of COVID-19 will likely be similar to any other global crisis, it will significantly accelerate several major trends that were already well underway before the pandemic. As companies begin to shift their focus towards recovery, they must continue to invest in digital transformation initiatives by leveraging mobile technologies.

The crisis has opened the floodgates for some latest trends and technologies to swoop in that businesses should keep on their radar to help them adjust to a post COVID-19 world.

Cloud-based Mobile Apps

As people are forced to work and study from home, the demand for cloud-based video conferencing and teaching has skyrocketed. Cloud-based mobile applications were gaining popularity before the pandemic; their ability to access remote servers, and store large amounts of data without affecting device storage, has proven beneficial throughout the pandemic. More and more organizations are opting for cloud-based solutions, but still, a significant number of businesses are yet to experience the power of the cloud.

Cloud enormously helps in streamlining the app development process. There’s not just one reason to make this switch of technology, there are several reasons to choose cloud-based applications, i.e., easy management, distribution, and integration are few to name.

Strengthening Digital infrastructure using IoT, Big Data, and AI

The virus has provided a new start for digital infrastructure development. Using the cloud, big data, and AI (Artificial Intelligence) applications create room for businesses to develop and build new models that help citizens understand the severity of pandemic disease and ensure preventive measures.

More industries are seeking to combine the system with human intelligence. AI will be beneficial for those within retail and supply chain industries. AI will help these companies detect new purchasing patterns through machine learning and advanced data analytics and deliver a greater personalized experience to online customers. Using artificial intelligence in mobile app development can improve app building from previously collected data, identify issues, and troubleshoot them in real-time.

Virtual and Augmented Reality

Even after the lockdown ends, the behavioral change it instigated will last considerably longer. People will remain socially distant, but they will be virtually close using technologies and the extended reality. The time is right to scale these technologies.

COVID-19 pandemic is causing a behavioral change, and companies are serving consumers virtually. With augmented reality (AR) systems, people can shop for products and see how they look inside their homes. Over the next few months and years, more shoppers are likely to adopt augmented reality to shop for products. Virtual Events and conferences are happening with increasing frequency. Activations, product launches, and brand awareness campaigns are now hosted as live virtual events where thousands of people engage and interact.

Use of Chatbots

Chatbots have quickly become a preferred digital interface for consumers to interact with brands. Chatbots have been a great help, especially for banks, insurance, and healthcare companies in this critical time – to help spread information about the coronavirus and assist with customer queries.

As more and more trends become apparent, there’s plenty of room for businesses to adjust to the challenges brought on by the pandemic and come out stronger on the other end. So if you are still thinking that developing an app for your business is a complicated task for you, then it is the right time to approach a mobile app development company.

How can Scalex help your business?

Scalex is one of the top mobile app development agencies delivering top-notch mobility solutions that meet the business needs, industry, and end-users. We empower SMBs and startups with customizable mobility services. Scalex offers a complete spectrum of customizable app development services from application discovery to maintenance to accomplish your specific mobility needs.

COVID-19 Impact on Mobile App Industry_Scalex services

Our process is driven by building intuitive UI, ease of use, and keeping usability at top priority for the end-user. Our top UX engineers work as an extension of your team to deliver solutions that make a difference to your business. What sets Scalex apart is the end-to-end solution to create a unique mobile experience across multiple platforms and devices with continued support and maintenance to respond to your short-term and long-term needs.

We don’t believe much in blowing our own trumpet. Why don’t you check out yourself!

Stay Home, Stay Safe!

Smartphones and apps have gone from good to have to absolute essentials nowadays. Our lives now reflect around the smartphones and mobile apps connecting us with the world. The COVID-19 pandemic has shown us how vulnerable we are without technology and how apps are keeping us busy, sane, and informed.

About the Author

A Digital Marketer at Scalex, Nikita is devoted to her motto - to write simply and clearly about complicated things. Backed up with 6+ years of experience in marketing, she creates informative but exciting articles on technologies.


  1. Everything is very open and very clear explanation of issues. was truly information. Your website is very useful. Thanks for sharing.

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