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Business Platforms Tips

Freemium beats Premium, says App Annie

App Annie Intelligence, which tracks more than 700,000 apps, reports that freemium apps – free apps that have in-app purchases – are experiencing impressive revenue growth worldwide, far outpacing premium apps in both iOS and Google Play stores. Over the last 24 months, worldwide revenues for freemium apps on iOS have more than quadrupled. In 2012, worldwide  revenues on Google Play have grown 3.5X. Now, apps generate 69 percent of the worldwide iOS app revenue and 75 percent of global Android app revenues. Meanwhile, premium revenues for both app stores remained relatively flat in these time periods.

This confirms earlier reports of this trend by Distimo, IHS iSuppli and others.

 

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Business Platforms Tips

Methods for Monetizing a Mobile User Base (or Are Mobile Apps the New Internet?)

Mobile apps are a huge and rapidly growing business. Mobile developers have access to a greater number of users and more simple ways of monetizing their creations than any software developers before them. However, selling digital content and services directly, or advertising to users of those services are only two of many, many ways of generating revenue through mobile apps. Which methods are likely to dominate in the future?

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Business Tips

Do Push Notifications Increase Engagement?

Push notifications are a popular tool for this purpose. With the vast majority of app revenue growth coming from in-app purchases rather than paid downloads, it’s more important than ever to keep users engaged with your apps. Updating users about new content or activity and driving them back to the app. At the same time the technology is controversial since unwelcome or excessive push notifications annoy users, who will either disable them or worse yet uninstall the app responsible. So is it worth the risk? Do push notifications work?

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Business Tips

The App Localization Opportunity

As we showed in our Developer Economics 2012 survey, there is a massive gap between the number of developers creating applications for local languages (other than English) and the demand for local language content. For many app types, app localization is only a relatively small incremental investment on top of the original app build costs and yet has the potential to generate significant new downloads and revenue. How should developers decide if it’s going to be worthwhile?

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Business Tips

50+ mobile revenue models

This hackpad (a collaborative list composed by 150 people) has an impressive list of web and mobile revenue models, ranging from the classic ad-driven models and pay-per-download to intermediaries and commerce models.
For Your Inspiration.

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Business Platforms Tips

Backend-as-a-Service – Should You Use One?

Many of the most engaging and popular apps connect to cloud services which either regularly deliver new content, enable users to interact with one another or both. Unlike a standalone application, such apps can incur ongoing hosting costs throughout their active usage life. Ideally your revenue model should mirror the cost structure. Using a Backend-as-a-Service (BaaS) reduces execution risk and time to market as well as removing server maintenance and scaling headaches, however, it typically increases the ongoing service costs making the revenue model fit even more important.  Obviously the technical requirements of the app constrain the selection of service and for basic backend features Cloudspring has a good overview article. The variation in pricing of backend services is even greater than the diversity of their technical capabilities but this post will provide some generally applicable advice.

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Business Platforms Tips

The Developer Platform “Lean Factor” and Why It Matters

There’s a lot of buzz about Lean Startups in the software community in general and amongst mobile developers in particular. How lean a startup can be is strongly influenced by the tools and processes available on their chosen platform. Which platforms enable the leanest product development processes? How and why does lean framework matter?

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Tips

What do people search for when looking for new apps to install?

Bryson Meunier from Search Engine Land compiled a list of the 100 most searched for keywords in both Apple’s App Store and Google’s Play Store, for new apps. The data was gathered in June using Google’s keyword tool, so it isn’t exactly perfect, but it’s good enough to have a discussion about what works and what doesn’t. Surprisingly, only 22 keyboards appear on both lists, which suggests that Google and Apple uses different algorithms to display apps. It also implies that Android users and iOS users look for different things. Take the search query “games” for example: it’s the 5th most popular term for Apple’s App Store, but on the Google Play Store it’s 15th. The top result in both stores is, unsurprisingly, Facebook.

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Business Tips

Google now allows developers to give users trial subscriptions

It goes without saying that people like to try things before buying them. Take magazines for example. No-one expects you to buy a year subscription to The Economist just so you can read it. You can check out a couple of their articles for free on their website, you might even buy an issue from your local newsstand. Then, once you’ve decided that their content is valuable, you buy a subscription.With apps and user trial subscriptions it’s a little bit tricker

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Business Tips

Developing for Android? You better choose your ad network wisely!

SwiftKey, makers of a third party keyboard for Android, joined up with two technology publications to survey over 17,000 smartphones users about the number of paid applications they have on their devices. Back in 2011, 12% of Android owners said they had zero paid apps on their phone. Only 10% had 20 or more paid apps. This year, those figures are now 7% and 19% respectively. Translation: Android users are slowly becoming more willing to pay for apps, but if any serious money is to be made here then you’re going to have to make free apps that are ad supported.