how do these free popular apps make money?

[Che Castro]

like shazam & Pandora

I know they make money with ads but wouldn't they make more if it was like $0.99

they cant be makin that much money with ads cant they?

 

[jmann]

Some free apps with ads (lite verisons) get quite good revenue, some on par with the paid versions. At least this is what I've heard on the Teh Interwebs™.

 

[thegoldenmackid]

Pandora makes plenty of money off advertising.

 

[Che Castro]

Pandora makes plenty of money off advertising.

how much you think they make?

 

[-aggie-]

like shazam & Pandora

I know they make money with ads but wouldn't they make more if it was like $0.99

they cant be makin that much money with ads cant they?

I'm sure they did an analysis that showed the benefits of making it free (loads of people dl it and they make all that ad revenue) versus the benefits of making $0.99 per dl (and less people dl it and they make less ad revenue).

 

[LoganT]

Also keep in mind they make money on subscription as well. I pay 36 dollars a year to have it stream at 192 kbps and other stuff.

 

[Che Castro]

Also keep in mind they make money on subscription as well. I pay 36 dollars a year to have it stream at 192 kbps and other stuff.

Pandora?

What's the current Kbps for us free users?



Aggie we cool

 

[Jeremy1026]

As a developer with both free (ad supported) apps and paid apps in the store. I can say that my free apps make about 10x the revenue as the paid apps. Its all about user base. Having 100,000 people using one of my free apps makes a lot more money then the 5,000 using the paid version of the same app.

 

[labman]

Think of it this way

how is lets say Google a Multimillion dollar company in fact 157 Billion as of 2009 cirrent stock shares are $446.72 US. wish I would have gotting in early on that one.

 

[LoganT]

Pandora?

What's the current Kbps for us free users?



Aggie we cool

Right now it's 128 KBPS or 64 KBPs, not sure. But it allows you to stream for 5 hours without touching it (free is 1 hour). Also as of now after the whole royalty board thing happened free users get 40 hours if they go over that they need to pay an additional 1 dollar to continue listening that month.

Read this find out more http://blog.pandora.com/pandora/archives/2009/07/important_updat_1.html

Also this is Pandora One: http://www.pandora.com/pandora_one

 

[harrystone]

That's really easy money!

 

[jecapaga]

As a developer with both free (ad supported) apps and paid apps in the store. I can say that my free apps make about 10x the revenue as the paid apps. Its all about user base. Having 100,000 people using one of my free apps makes a lot more money then the 5,000 using the paid version of the same app.

Just curious here, I have both purchased and free apps. Of the free apps, I never, ever, ever venture towards any ads or anything except what the app is. How do you make money off creating an app that has built in ads in which nobody ever goes to the ads? Seems like a great racket.

 

[Jayden0606]

Just curious here, I have both purchased and free apps. Of the free apps, I never, ever, ever venture towards any ads or anything except what the app is. How do you make money off creating an app that has built in ads in which nobody ever goes to the ads? Seems like a great racket.

You don't, but users do click on them.

 

[dougdawson]

like shazam & Pandora

I know they make money with ads but wouldn't they make more if it was like $0.99

they cant be makin that much money with ads cant they?

What in the name of God makes you think that any app is making money (i.e. approaching or above breaking even) right now?

Doug

 

[Jeremy1026]

Just curious here, I have both purchased and free apps. Of the free apps, I never, ever, ever venture towards any ads or anything except what the app is. How do you make money off creating an app that has built in ads in which nobody ever goes to the ads? Seems like a great racket.

You may not ever come near the ads, but about 5000 people a day do. Its all about the numbers. Have a huge user base means that there is a much higher chance of users touching the ads.