In-app purchase revenue across the Gulf Cooperation Council (GCC) grew 41 percent between the first quarter of 2024 and the first quarter of 2026, nearly twice the global growth rate of 21 percent, according to a new report by Bidease and Sensor Tower.
The UAE recorded the highest growth in the region at 46 percent, followed by Saudi Arabia at 43 percent. Over the same period, app downloads across the GCC increased by 9 percent, meaning revenue grew 4.5 times faster than downloads.
The 2026 Mid-Year Middle East App Growth Report combines Sensor Tower market data with a survey of 400 app marketers across the GCC.
The report also found growing competition for app users. Rising competition was cited by 48 percent of marketers as the main reason campaign planning has become more difficult, followed by changing consumer behaviour at 44 percent.
Around 75 percent of marketers said they increase paid media budgets when growth signals weaken, while 86 percent continue to view Ramadan and the fourth quarter as reliable growth periods. However, only 54 percent consider these periods very reliable.
Anthony Bartolacci, Chief Strategy Officer at Sensor Tower, said: “The GCC numbers describe a market moving into a new phase. Revenue growth of 41 percent against a 21 percent global benchmark, running 4.5 times ahead of download growth, tells us users in the region are spending more, not just downloading more. The UAE and Saudi Arabia are the clearest examples of a fast-maturing, high-value app economy.”
The report said the changing market is also pushing advertisers to focus more on the quality and long-term value of users rather than simply download numbers.
Retention was identified as the most trusted metric by 32 percent of GCC marketers when market conditions change, ahead of CPA, CPI and ROAS.
The survey further found that 70 percent of marketers test new channels more aggressively when growth weakens, while 77 percent refresh their creative weekly or more frequently.
Shayan Rahimi, Managing Director MENA at Bidease, said: “That maturity is the opportunity. A market growing this fast rewards the advertisers who reach the right users first, and more of them are competing to do it. Nearly half tell us rising competition is the main reason planning has become harder. Growth still starts with acquisition, and it always will. What has changed is the standard for what good acquisition means. Winning in this market means reaching the users who go on to purchase, subscribe and return, and judging campaigns on the value those users create, with full transparency into where budgets go and what they return. That is how advertisers turn a competitive Q4 into a profitable one.”
