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 is also causing changes in 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 the pandemic has depleted supply chain operations and international trade, the United Nations has projected a decline of around 1 percent in the global economy. But 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.

Demand for Mobile Apps and Usage

On the one side, where lockdown is forcing people to stay at home, on the other hand, 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 approx 935 billion US dollars that is double of 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
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Much of this download growth is happening 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 unplanned losses in revenue. On the other hand, for companies providing essential services, financial and medical services have seen increasing demand for products and services.

Since the basics are out in front of everyone. It is essential to understand the individual effects that mobile app categories are facing due to the COVID-19.

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 fact the choice available to people to buy groceries is 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, have an entertaining time, or do some work and earn money. At a time when meeting and mingling with people is dangerous, every business that operates 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 download on a weekly basis for the iOS and Android platforms for gaming apps increased by around 80 percent that is 25 percent more than that of January.  The people are getting bored in the self-quarantine period and to keep themself busy with entertainment they are inclining towards mobile gaming apps all over the globe.

Digital Payment Apps

Digital payment is the most preferred method of payment in this pandemic situation as it 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 are using 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 greatly 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 the digital transformation initiatives this pandemic has forced them to adapt by continuing to leverage 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

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 to be beneficial throughout the pandemic. More and more organizations are opting for cloud-based solutions, but still, there is a significant number of businesses that 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 but in fact, 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 particularly useful for those within retail and supply chain industries. Through machine learning and advanced data analytics, AI will help these companies detect new purchasing patterns and deliver a greater personalized experience to online customers. Using artificial intelligence in mobile app development can improve the procedure of 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 using technologies and the extended reality they will be virtually close. The time is right to scale these technologies.

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. COVID-19 pandemic is causing a behavioral change and companies are serving consumers virtually. 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 healthcare in this critical time – to help spread information about the coronavirus, and also assist with customer queries. While considering chatbot development, consider the multitude of different challenges you’d like to solve. Chances are there’s a chatbot that can help.

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 to discuss your project details and get a perfect solution in real-time.

How Scalex can 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. The COVID-19 pandemic has shown us how vulnerable we are without technology and how apps are in keeping us busy, sane, and informed. Our lives reflect around the smartphones and mobile apps that are connecting us with the world. In this dire situation, apps allow us to gather information at our fingertips.

About the Author

Nikita has extensive experience in developing data-driven marketing campaigns and strategies. She has worked with SaaS, IT, Travel, Software, eCommerce, and digital marketing companies in the past. She leads marketing teams and has been successful in attracting prospects through content marketing strategies and social media channels.


  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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