The Apple App Store reported remarkable growth in October, exceeding typical seasonal trends. According to data from Sensor Tower, shared with J.P. Morgan analysts, the App Store’s revenue rose by 2.6% compared to September, doubling the average sequential monthly increase of 1.1%. This follows a 2.3% revenue dip between August and September, marking a significant rebound.
Year-on-Year Gains and Seasonal Highlights
The App Store also recorded a 15% year-on-year revenue increase for October, up from September’s 14% growth. Analysts link this surge to Apple’s robust services portfolio, which is expected to bolster the company’s Q1 2025 earnings.
Downloads mirrored the revenue uptick, growing 3% month-over-month, surpassing the usual 2.4% average. On an annual basis, October downloads rose by 7.5%, slightly higher than September’s 6.6%.
Average Selling Prices and Device Demand
While the average selling price (ASP) for apps dropped slightly by 0.4% sequentially, it was an improvement compared to the typical October decrease of 1.2%. The ASP for October 2024 also saw a 7.3% year-on-year increase.
J.P. Morgan analysts speculate that higher demand for the iPhone 16 compared to its predecessor, the iPhone 15, may have contributed to these metrics. This aligns with Apple’s ability to drive ecosystem engagement through its hardware and digital services.
Apple’s App Store continues to be a cornerstone of its services sector, showcasing resilience and growth. With higher revenue, downloads, and ASP performance, the platform underscores Apple’s strategy of integrating hardware with services to sustain consumer interest and loyalty. These trends are set to play a key role in the company’s financial performance heading into 2025.
