60% of mobile ad spending is going into boring utility apps

There’s some serious money to be made from boring utility apps, according to the latest report from Beijing-based PapayaMobile’s mobile advertising platform, AppFlood. The firm collects data on Android ad spending, cost-per-install, mobile ad spend, and other factors. It reports utility apps accounted for 60 percent of all the money spent on mobile advertisements in the first quarter of this year worldwide, and China is leading the way.

"Utility apps are becoming increasingly popular and the way Chinese tech giants are going global," said Si Shen, co-founder and CEO of PapayaMobile.

While these apps aren’t making daily headlines like their social, ecommerce, and gaming counterparts, they also aren’t limited to the domestic Chinese market. Utility apps are a bridge to global users. Chinese tech giants are investing heavily in building utility apps like web browsers, Android launchers, and security apps for an international audience. Just look at Cheetah Mobile, which announced last September that its junk file management app Clean Master passed 100 million daily active users.

See: Why China’s tech giants are funneling money at battery boosting apps

Sungy Mobile also makes a suite of utility apps under its GO brand, including its popular GO Launcher Ex, which touts over 200 million downloads. Baidu’s biggest hit internationally doesn’t have anything to do with its search engine or online maps. Instead, Du Speed Booster and Du Battery Saver have about 100 million and 50 million downloads outside of China, respectively.

Not all utility apps are equal, however. AppFlood reports ads in customization apps were worth more than double the rest at US$0.70 per impression install. Speed boosters and security apps were worth less than US$0.20, while privacy and security apps, launchers, and battery savers all hovered around US$0.30.

Perhaps because these apps don’t target the international market, China doesn’t even make it into the top 10 countries when it comes to global app installs. Asia as a whole leads the rest of the world with 37 percent of the total, led by Indonesia and India. Thailand and Vietnam also make the top 10.

AppFlood reports half a million daily installs via its platform, with 800 million daily impressions.