We’ve acquired Video Game Insights (VGI)!
Sensor Tower · Seema Shah · December 2023
Neobanks' 2023 Growth Surge and Marketing Evolution
In 2023, neobank apps in the US experienced a significant uptick in adoption, with Chime and Empower leading the way in YoY download growth. Neobank apps shifted their marketing focus from social media to OTT platforms to reach their desired audience and foster greater brand awareness, prompting a 296% YoY increase in 3Q23 OTT ad spend.
Key Takeaways:
In the US, Neobank apps experienced rapid growth driven by increasing demand for digital banking. Throughout the first three quarters of 2023, the top five Neobanks (Chime, Dave, Albert, Empower, and MoneyLion) saw installs surge ~20% YoY, primarily driven by Chime and Empower
Neobanks, designed with a digital-centric approach, resonate strongly with younger demographics, notably Millennials and Gen Z, with an average user age under 34. This stands in contrast to the top 5 traditional bank apps, which cater to an older user base, with 5-14% more users aged 55+ compared to neobanks
Neobanks like Chime, Dave, and Empower have shifted their digital marketing focus from social media channels to OTT platforms. As of 3Q23, more than half of their total digital advertising impressions were generated through OTT channels
In ‘23 YTD, Chime has been the most downloaded Neobank app. More impressive: the vast majority of installs stem from organic or web, rather than paid mobile advertising. This stands in contrast to peers that generate a higher percentage of installs from advertising. Chime’s strategy is propelled by a dominant presence on top news sites, such as finance.yahoo.com, nydailynews.com, sportingnews.com, and news.yahoo.com
For more information, request the full report from reports@sensortower.com.
