China’s Top Four App Stores Are Taking Greater Market Share

The author is founder and CEO of T.H. Capital Tian X. Hou

The average cumulative downloads in mobile apps in China were about 132.2 billion in the third quarter, or 21.4 billion new additional downloads from 110.8 billion in the second quarter.

Among these total downloads, the top four vendors are taking 59.8% of the total market in in the third quarter, compared to 55.2% in the second quarter.

Among them, Baidu app store group takes about 23.4% share, Qihoo app store is about 16.8%, Wandoujian at 10.9% and Tencent at 8.7%.

Baidu, Qihoo and Wandoujian lead in terms of number of downloads, followed by Tencent. Baidu and Qihoo are in the leading position in terms of total incremental downloads in their app stores.

According to our proprietary data, Baidu App store group including Baidu App store, Android Market, 91 Mobile Assistant and 91Kuwan may also have incremental downloads of 5.8 billion in the third quarter from the second quarter, reaching total average cumulative downloads of over 31 billion.

Following that, the number of downloads in Qihoo App store increased by 3.3 billion in the third quarter from the second quarter to reach average cumulative downloads of 22.2 billion during the quarter.

Wandoujian is ranked No. 3 with about 14.4 billion total average cumulative downloads, vs. 13.0 billion in the second quarter. Downloads of Tencent’s app store may reach 11.5 bilion in the third quarter from 8.1 billion in the second quarter.

Most popular apps are in the areas of mobile game, social network, system tools, video and security. According to our data, 20.2% of the total downloads are from mobile games followed by social network at 13.2%, system tools at 10.5%, video at 9.2% and security at 5.3% in the third quarter.

Lastly, Taobao mobile adoption was up significantly. Total downloads for Alibaba’s Mobile Taobao, Tmall and Alibaba (B2B) apps reached about 2 billion in the third quarter, though the number is still small compared to other categories.

(The article has been edited for clarity)

Caishen.Co - Primary Data for China Secondary Investment and Stock Markets