Categories
Business Tips

Crowdfunding: Leanest Way to Launch?

One question that divides opinion among developers is when to start marketing your app. Some say if you start marketing too soon, the early interest you create will dissipate before you actually have something to sell. Others argue that you can’t start talking about your app soon enough, build a following of early adopters and you have great word of mouth marketing and an initial sales boost to climb the store charts. What if you can have the benefits without any of the downside? It might just be possible with crowdfunding.

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Business Platforms

App Revenue – Android gaining on iOS fast!

App revenues for iOS

Android has long since passed iOS in terms of sales, installed base and even app downloads, while total number of apps available is now about level. Despite this app revenues for iOS developers have remained consistently higher. Is that about to change?

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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?

Categories
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.

Categories
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

Categories
Platforms

Revenue and cost breakdown per platform

In a previous article, we discussed revenue and costs for app developers overall. Here, we add some more detail for each platform individually.

Categories
Business Platforms Tips

11 revenue models that bring in more cash

Developers have a range of options to choose from when it comes to generating revenue. This choice is, to some extent, dependent on business model, scale and target market. Which revenue models are most popular, and which are most profitable?


Key insights and recommendations:

  • Selling your app B2B (commissioned apps or pre-loaded on a handset) is typically much more lucrative than selling the app directly to users through app stores.
  • Models with recurring revenue from users (subscriptions, in-app purchases) come out ahead of the ‘traditional’ models like pay-per-download, freemium or ad-supported. Despite this, they’re less popular with developers, although in-app purchases are on the rise across platforms.
  • You can use multiple revenue models concurrently. It’s not an either-or decision. On average, app makers use 2 models concurrently.
  • Your choice of revenue model should be tuned to the category you’re in and the platform you’re using.
  • For iOS, an opportunity exists to produce expensive niche apps. Also, in-app purchases are more popular on iOS than on other platforms.
  • It’s more difficult to make money on Android. Your best bet is commissioned apps or a subscription model.
  • The viability of revenue models changes extremely fast. Keep a constant eye out for trends in your category.

Related tools: In-app purchasing and virtual goods | Ad networks and mediation engines


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Business Community Tools

Will you rise above the app poverty line? (Or: what everyone else is earning)

Most app makers are not primarily in the game to make money. The primary reason for developer platform selection is not app monetisation, but reach; irrespective of platform, 54% of developers adopt a platform because of reach, while 43% cite low cost and 30% cite revenue potential. Moreover, out of the eight types of app developers we identified, only three segments (Explorers, Hunters and Guns for Hire) are directly motivated by money when committing resources to a new platform.

Among those of you that are in it for the bling, developer profitability is a hotly debated topic. Apple’s iOS is generally thought to support greater revenues per application, compared to Android, but the evidence is mostly anecdotal. Many stories of overnight successes circulate the internet, but it’s not clear if they are replicable.

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To stay above the app poverty line you need to make a sensible budget plan for your app.  This requires that you have realistic expectations about the costs and revenues that you can expect. Based on VisionMobile’s Developer Economics 2012 survey, we can now offer you an informed opinion.