TikTok has become the first non-gaming mobile application to surpass $10 billion in user spending, setting a new record. This accomplishment comes on the heels of TikTok’s astounding milestone of achieving 1 billion monthly active users in 2021.
Traditionally, game apps such as Candy Crush Saga, Honor of Kings, Monster Strike, and Clash of Clans have dominated the domain of high consumption. TikTok’s ascension to the $10 billion milestone deviates significantly from this trend, demonstrating the platform’s enormous popularity and revenue-generating potential.
According to data.ai, TikTok began the year 2023 with a sizable customer spending base that already exceeded $6.2 billion. Throughout the year, the app’s revenue increased by $3.8 billion, highlighting its constant and strong growth trajectory.
The data include TikTok’s revenue produced only through consumer sales on the iOS and Google Play platforms. Notably, these figures do not include third-party Android app stores in China.
The absence of this information suggests that the actual overall spending on TikTok may be more than the claimed $10 billion.
Consumer spending on TikTok happens mainly by in-app purchases of “coins,” a virtual currency that consumers may use to purchase gifts for TikTok content creators. TikTok’s exceptional success in the competitive field of social media apps has been attributed to this novel method to revenue.
In conclusion, TikTok’s success of exceeding $10 billion in customer spending not only cements its place as a worldwide social media behemoth, but also establishes a new milestone for income creation in the non-gaming app category.
