Money management apps have seen a rise in use by consumers as the cost of living crisis worsens, according to App Radar market research.
The sector has gained over five million new Android users in the period 1st January to 7th June 2022.
That is a 46% increase when compared to the same period in 2021, which saw the sector reach just over four million app downloads.
This suggests that consumers are looking to tech to help their money go further as inflation rises to a 40 year high of 9% in April and petrol prices saw the biggest daily increase in 17 years on 7th June 2022.
“The cost of living crisis is impacting everyone and a lot of people are now more careful about how they spend their money,” App Radar managing director Silvio Peruci said.
Initial results for the Q2 of 2022 show 7% more new users (2.8 million) when compared to Q2 2021 (2.6 million).
When taking into account potential iOS users, total lifetime downloads for the sector could be around 78 million – or 10% of Europeans.
The fastest growing apps in the finance sector on the Google Play store were fintech banks Revolut with 3.8 million new users, Monzo (584k) and the recently launched Chase UK (401k).
Savings and budgeting platforms Plum (131k), Snoop (122k) and Moneybox (72k) added the most users, while in the deal comparison sector, Money Supermarket (75k), Confused (44k) and Raisin (14k) were top of the table for downloads.
“Budgeting and tracking your spending has never been more valuable. Inflation is hitting record high figures Europe wide, with increasing prices for petrol, utilities and food,” Peruci added.
“While consumers cannot control inflation and rising prices, they can control how they spend money.”
“Thankfully, innovation in the money management sector is ripe, especially ever since the introduction of Open Banking in 2018.
“It has never been easier to track your expenses, budget and compare deals. While this is not a solution to the cost of living crisis, it can provide some much needed help.”
“Fintech is a competitive app market. Startups are disrupting the area, but we also have traditional banks catching up with consumers’ needs – and the latter have the user base for user acquisition, as the recently launched Chase UK app has shown.”
“Innovation in functionality, ease of use are very important for consumers, but what is as important as development for this sector is marketing – and those that manage to prioritise both will emerge as market leaders in 2022.”