Tuesday 16 October 2012

The Shrinking Lead of iOS over Android in App Monetization

The statistics in app world are changing. Apple's iOS patform is no longer considered to be the best for application monetization.
 
The app market has stuck to the notion for a long time that iOS monetization was five times better than that of Android. The Android platform was undoubtedly bigger, but users who actually paid for apps were most likely using iPad, iPhone, or iPod. There were more free applications in Google Play, then in App Store but they were not driving in any profit. But, in-app purchases, traffic coming through social channels, and advertising are now changing the app monetization trend & Android is no longer as far behind.
 
A number of ways have evolved to let developers know who all are interested in their apps and how they can make money from users.
 
Josh Williams, President & Chief Science Officer at Kontagent said, "When we compared app downloads in Android and iOS across same geographic area and on smartphone versus tablet trend, iOS monetized only 40-50 percent more than Android, which is not a very big differentiator". He also added, “by focusing on the core objectives, developers & marketers both can make Android more profitable”.
 
The profitability on Android can be higher. Though it monetizes a little on a per user basis when compared to iOS, the acquisition cost on Android is lower on a per user basis. Businesses consider this acquisition cost factor and allocate their spending on marketing and development on the per user per install basis.
 
BlackBerry and Windows platform aren't able to get much attention from application developers. If a business is looking for real branding by approaching mass market, then it might consider developing apps on platforms other than iOS & Android.
 
More than 70 percent of the applications in iOS are meant for enterprises. Since, Buy Your Own Device culture is spreading, there are many users complaining about security issues on Android, which is working in favor of iOS.
 
We can't deny that iOS still is loved and preferred by most developers and Android will have to acknowledge all the concerns to get an equal or more market share.

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