In the recent years, the mobile app market has grown significantly and industry gurus predict continued growth. According To Smart Insights - In 2014 Mobile internet usage surpassed desktops and 80% of internet users own smartphones and tablets. With such an exceptional numbers, it’s no wonder why Fortune 500 brands and companies are trying to get a piece of this today’s gold rush.
Let’s say, if you’re new to the app world, looking to get greater ROI with a really cool app idea. One of the first questions that come to your mind is likely to be return on investment related. As you know that a business-centric app will take plenty of time and effort. And, all you want to know is - Are you going to want all this work to be rewarded or not? Let’s take a look on a few points that need to be pondering upon for getting you a clearer picture on how much your app can earn:
The first and foremost factor that needs to be decided is – the platforms (or platforms) you should choose to design your app on. Choosing the right platform can greatly affect your app earning potential because smartphone market penetration and platform popularity is a crucial part of app downloads, and hence, app success. A recent report published by scribd shows those app developers earning $5,000 or more per month on their apps. And, the leader in this category is Apple’s iOS platform with over 25% of its developers earning over $5,000 per month. Android because of its continued market penetration and advancements is also a well stipulated platform. Approx 16% of its app developers earn over $5,000 per month in revenue. However, due to its increased popularity and rapid adoption rate, it is worth noting that Android is much more ‘top heavy’ in terms of earnings with much of its total revenue being earned by its top developers. And, the Apple’s iOS platform has its overall earnings more spread out, thus, increasing the chances to make money via their app market.
Some of the platforms that need to be avoided include Blackberry’s OS and Windows mobile platform. As Blackberry lacks popularity, thus, market penetration and its parent company RIM’s earnings and spotlight in the market is diminishing year on year. Because of strong corporate backing from Microsoft, Windows is on a safer side as compared to Blackberry. But, Windows lacks overall market penetration and popularity among end users. Moreover, selecting a more niche platforms can prove to be key points for earning a good ROI from your app. Once your app has proven profitable on a more widely used platform, you can port it to other platforms, thus, making it more viable.
Nowadays, apps have started branching out from the mobile platform and becoming a part of more integrated smart devices after the smart devices has started entering the technological space. Smart Watches, TVs and Glasses etc have already started to show their promise with 34% of internet users taking advantage of their connectivity. One of the most popular apps used on Smart TVs are Netflix and Hulu. These are the ones that already have a very large and existing user base. However, convincing people to download your app on Smart TVs can be a difficult task, but if it works smooth on the platform then it can be a potent companion tool. Hence, the expansion of platform not only increases exposure to your app but also helps in opening it to a new revenue streams.
In a similar manner, video game consoles such as the Xbox One, Playstation 4, and Wii U have their own app stores. Some apps can be easily found on each platform such as Netflix, Youtube, Hulu, and Amazon. Certain apps, however, can be exclusive to the consoles such as Spotify and BBC to PS4. These are the successful apps that have imbibed the strategy of offering their services on newer platforms, which in turn, helped them in making it more convenient for their users.
Another fascinating platform that is captivating attention is Smart Watches. However, as a relatively new and emerging device, their current usage numbers are small, with only about 9% of internet users reported that they are making use of them. But, tech giants such as Samsung, Sony and Apple entering into the SmartWatch market, it is one of the platforms to watch for in future growth opportunities.
However, offering your app services to Smart devices platforms is a great option, but not really viable for every app.
There is plethora of opportunities for fortune 500 companies in the app world. And, app market has experienced and showing substantial growth since their conception and it shows no signs of slowing down as well. However, the app market may have become a bit oversaturated but it’s promising to see that over 25% of iOS developers earn over $5,000 per month and Android developers as well see 18% of their faring good as well. Although, video game apps have a huge potential and still have multi-million dollar earners. But, there is still a lot of scope to be explored and enhanced for less intricate novelty and productivity apps. But, yes, we can say that the growing market of smart TVs and the emerging market in smart watches and glasses will further expand the app space.
Jas is a blogger, author and strategist and have worked with companies and brands to optimize their online strategies with digital content and social media marketing.