News
AI Drives 1.8X App Revenue for Saudi Retailer
Source: thinkwithgoogle.com
Published on October 1, 2025
Core topic: AI-driven app revenue growth
Keywords: AI, app revenue, Saudi Arabia, e-commerce, mobile apps, digital marketing, customer experience, Mega Sale, retail growth, AI transformation
Main keywords: AI app revenue, Saudi retailer, mobile apps, e-commerce growth, full-funnel strategy, AI marketing, app downloads, in-app sales, digital transformation, customer journey
Supporting n-grams: AI-powered campaigns, full-funnel strategy, app revenue growth, Saudi retailer, mobile app marketing, customer journey, AI in e-commerce, digital transformation, Mega Sale, app downloads, in-app purchases
Saudi Retailer Extra Boosts App Revenue with AI-Driven Strategy
Saudi retailer Extra achieved a remarkable 1.8X increase in app revenue during its annual Mega Sale by implementing an AI-powered marketing strategy. This success highlights the transformative impact of AI in enhancing app performance and driving digital growth.
The e-commerce market in the Middle East and North Africa (MENA) is rapidly expanding, with projections reaching $50 billion USD by 2029. Mobile apps play a pivotal role in this growth, contributing to 10% of global app traffic and revenue. Extra, a leading consumer electronics retailer in Saudi Arabia, aimed to capitalize on this trend by focusing on its mobile app during its annual Mega Sale.
The Opportunity
Extra sought a 50% increase in sales during the Mega Sale, recognizing the potential of its app to drive revenue. The company had a strong brand presence in Saudi Arabia, ranking fourth in branded search volume among top online retailers during the summer sale months. Among electronics retailers, it ranked third, and it held the second-strongest brand presence compared to omnichannel competitors.
Despite this strong brand recognition, Extra faced challenges. While app downloads increased by 10% year-on-year, competitors were capturing more of the market in both new downloads and in-app purchases. This represented a significant opportunity for improvement.
The Full-Funnel Strategy
To address these challenges, Extra revamped its app marketing strategy to encompass the entire customer journey. The original approach had focused primarily on the lower funnel, neglecting the exploration and evaluation phases. A full-funnel strategy was essential to guide potential customers from initial awareness to purchase within the app.
Extra partnered with Keyade, a media agency, to implement this strategy. The approach used AI to create a seamless path from initial interest to conversion, ensuring that every step of the customer journey was optimized.
AI-Powered Campaigns
For the consideration stage, Extra employed Demand Gen campaigns. These visually appealing, multi-format ads communicated sale details and sparked interest in the brand. Search campaigns ensured that Extra appeared prominently when people searched for related products, directing high-intent shoppers to the app with compelling ad copy and strategic keywords.
Performance Max campaigns further leveraged AI to maximize performance across Google's advertising channels. These campaigns efficiently identified new customers and boosted in-app sales, contributing to the overall success of the strategy.
The Results
The full-funnel strategy proved highly effective. Overall net revenue increased by 1.5X year-on-year during the Mega Sale. App transactions surged by almost 1.6X, and app revenue soared by nearly 1.8X compared to the previous year's sale.
This success underscores the power of AI in driving digital transformation and enhancing app performance. By connecting every step of the customer journey, AI enables businesses to gain richer data, create more intelligent customer experiences, and achieve superior business outcomes.
Looking Ahead
Extra plans to explore hyper-personalization within the app, using AI to tailor recommendations, offers, and the interface based on individual user behavior. AI agents could also streamline in-app support and guide users through complex purchases, ensuring the app continues to maximize value and accelerate future growth.
The future of app acquisition and revenue growth lies in AI-powered strategies that prioritize the customer journey. Extra's success serves as a blueprint for retailers seeking to leverage AI for digital transformation and sustained growth.