Why does the App Store generate more revenue than the Google store? - CYDIAPLUS.com


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Friday, 18 November 2016

Why does the App Store generate more revenue than the Google store?

In the mobile world there are two clearly featured partners: Apple with iOS and its App Store and Google with Android and its Play Store. It is obvious that the market share of Android worldwide is, today, unattainable for Apple, but despite this, developers are faced with a significant and very important detail for choosing which platform to choose when develop your applications: revenues. According to the report of App Annie , in iOS they are 75% higher despite having half downloads. What are the motives behind this? Let's discover them.

Google has the downloads, Apple revenue

Android is approaching a market share of 90% in some countries and as such, accumulates twice downloads the App Store. However, the main problem is that many of its users are in underdeveloped countries and they do not have credit cards to make payments and can not use Google services "legal" way. In addition, they use alternative marketplaces as in the case of China, where it is precisely one of the largest iOS markets as far as applications are concerned.

IOS users have a higher purchasing power

True is that on Android we find high end terminals such as the Samsung S series or the new Google Pixel. But the reality is that most Android users will spend an average of 250 or 300 euros on a smartphone unlike an iOS user who, to get some Apple terminal from previous years, will have to spend at least about 500 euros. This leads us to conclude that Apple users have higher incomes and spend money on applications not mean them any effort, something that is not so common among users of the operating system "big G".

More free apps in the Play Store

Of course everything is relative: if the Play Store developers do not earn income, they prefer to put their free application with ads or even throw it at a lower price. At the same time, there will be developers who will only launch their applications in the App Store as in the case of applications for tablets magazines, which are intended for practically iPad and where on Android we find a much lower number, which impacts on the sale Of tablets and in the number of developers creating applications.

The key is in-app payments

Finally, one of the main sources of income are the payments by monthly subscription, especially in applications such as Spotify or Netflix, where Google or Apple part carried (in the case of Cupertino 30%). The guys apple have always been the main promoters of these services by inviting their keynotes to members of different companies and, as happens with payments app, users with higher purchasing power are more likely to hire Netflix or Spotify .

For all these reasons, although Google has 90% more downloads, Apple is left with 75% of revenues, which is a very important figure is not expected to change dramatically in the near future.

And you? Do you think there are more reasons behind all this? Tell us what you think and if you agree with the article!

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