iOS App Store Booming: Per-Device Downloads and Average Sales Price Increasing

Discussion in 'MacRumors.com News Discussion' started by MacRumors, Jul 11, 2011.

  1. MacRumors macrumors bot

    MacRumors

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    Fortune reports on a new note from Piper Jaffray analyst Gene Munster, who for some time has been keeping tabs on the performance of Apple's App Store using calculations of download rates and other metrics against number of devices sold. According to Munster, iOS device owners are increasing their usage of the App Store in 2011, downloading more apps as the average sales price for paid apps has rebounded after dropping last year.
    Munster reports that 82% of App Store activity is from free apps, while the 18% of downloads that are paid apps carry an average selling price of $1.44. Munster notes that the recent increase in average selling price seems to be driven by the iPad, which in general sees higher average app prices than the iPhone and iPod touch.

    Apple last week announced that the App Store had reached 15 billion downloads since its inception three years ago. Still, App Store revenue represents only about 1% of Apple's overall revenue and is viewed primarily as a driver of Apple's hardware sales.

    Article Link: iOS App Store Booming: Per-Device Downloads and Average Sales Price Increasing
     
  2. Slurpy2k8 macrumors 6502

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    Fantastic news. Means users see value in mobile apps, and dont view them as trash, useless, or worth nothing. These kind of metrics are just as important, if not more important than unit sales, etc. Android may be ahead in pure sales, which is inevitable, but it is leagues behind in ecosystem and the investment than users actually place in the os once they own it.
     
  3. Mattie Num Nums macrumors 68030

    Mattie Num Nums

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    The App Store would make a lot more money if they had a multi-user licensing model in place or corp purchase model. If Apple did this we could save millions of dollars a year relying on third party purchasing companies and purchasing staff. As it stands now we can't even use the App Store due to licensing.

    We budget in the millions for software per year across our company.

    On another note I still haven't bought anything from the Mac App store.
     
  4. *LTD* macrumors G4

    *LTD*

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    The only truly viable App Store.

    The best apps. The most apps. And devs actually make money. :eek:
     
  5. huntson macrumors member

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    #5
    20111 - really?
     
  6. talkingfuture macrumors 65816

    talkingfuture

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    #6
    I would assume that the cost increase is covered by the increase in iPad apps which tend to be priced a little higher than their iPhone counterparts
     
  7. MacSock macrumors newbie

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    #7
    The correct direction.

    It's good to see that even though there is a fast resource of apps, they are still quality. The Atari fell into flames because they pushed out many useless games. Apple will not repeat history.
     
  8. roadbloc macrumors G3

    roadbloc

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  9. skellener macrumors 68000

    skellener

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    #9
    I was going to say the same thing!
     
  10. Popeye206 macrumors 68040

    Popeye206

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    #10
    That's what it's all about. Developers have to make money. Free only goes so far before you have to pay the bills and eat. :D

    Apple is doing a good job helping developers make money by making it organized and easy for millions to buy.
     
  11. ghostface147 macrumors 68030

    ghostface147

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    #11
    Great, more apps to consume more restrictive data caps for new customers. Good thing I'm unlimited with AT&T.
     
  12. RoelJuun macrumors 6502

    RoelJuun

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    #12
    First you find that free apps are amusing and fun (and still you sometimes ask yourself why these apps are free at all), then you find out that some apps are actually worth their money and make life easier. I think that it takes some time before people actually notice this until now. The whole iDevice ecosystem is booming.
     
  13. freedevil macrumors 6502a

    freedevil

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  14. ralphdaily macrumors regular

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    #14
    Can't put apps on wife's mac

    I'd use the app store if there were a way to put apps on my wife's mac other than my creating an account on it, which is ridiculous.
     
  15. Popeye206 macrumors 68040

    Popeye206

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    You don't use your WiFi connection for downloading? Seems like a better deal all around.
     
  16. Popeye206 macrumors 68040

    Popeye206

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    You realize that with most software licensing and protection schemes this is hard to do at all with traditional activation schemes.

    My point being... you're upset about something that's restricted under most methods. :)
     
  17. seinman macrumors 6502

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    #17
    Not everyone has Wifi. My brother is interested in getting a smart phone as his only internet connection. He does not have internet at all in his apartment. He does not have wifi at work. Sure he could go to the local coffee shop or something, but doesn't that defeat the purpose of buying a mobile phone?

    I really hope Apple steps to the plate with this. Imagine if they said "okay here's the new iPhone... but you can't sell it unless you offer an unlimited data plan that isn't ridiculously more expensive than your current plans." The providers would change their plans damn fast, I bet.
     
  18. Wickedgardengtp macrumors member

    Wickedgardengtp

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    As long as you don't stream music 24/7 or watch movies everyday on your 3G network, you don't really need an unlimited data plan.
     
  19. kdarling macrumors P6

    kdarling

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    Yep, some devs make money.

    $2.5 billion in royalties paid out over 80,000 paid iOS apps.

    Other viable (and older) app stores are the ones for BREW apps for dumbphones. Verizon's is probably the best known. $3 billion in royalties paid out to the developers of just 18,000 apps.
     
  20. applefanDrew macrumors 65816

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    Wirelessly posted (Mozilla/5.0 (iPhone; U; CPU iPhone OS 4_3_3 like Mac OS X; en-us) AppleWebKit/533.17.9 (KHTML, like Gecko) Version/5.0.2 Mobile/8J2 Safari/6533.18.5)

    I wish I was getting paid some. The problem with my apps is they have no visibility. I'm an individual developer, not a huge company. I don't know how Andreas Illiger did it. Lol I need ways to advertise my apps.
     
  21. dethmaShine macrumors 68000

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    Wonder why you are down ranked for speaking the truth. :confused:
     
  22. foiden macrumors 6502a

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    It's funny how folks will keep bringing up the old 80's videogame crash to a scenario that doesn't exist today. Apple avoids this due to today's industry being much more robust against a flood of bad games making people lose interest. And oddly enough, it isn't Apple that did it. Though it does help by having an App Store rating system.

    However, since all published software, these days, gets ratings all over the place. In magazines, on Web software review sites, etc, people aren't having to go in blind on their purchases like they did back in the 80s. Back then, the convenience of finding out what is good or bad, before you buy it, wasn't quite there. You see a game like "Back to the Future" on the shelf. You loved the movie, you see the coolio images on the box and you hope to get some interactive experience relating to what you saw. Back then, many wouldn't know that it doesn't, until you take it home.

    So quality control, and consumer quality control is maintained to a higher standard thanks to all the people out there who dive through titles to give us the information on them, first.

    I mean, I could go through the App store, looking for stuff I may want, with the good assurance that I wont make the mistake and buy something as bad as Action 52. If it remotely goes that way, it gets bad ratings. (Which is interesting, given that that game came out after the crash, and lots of games like it, yet the industry was fine)
     
  23. diamond.g macrumors 603

    diamond.g

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    I wonder how much usage would go up if they removed the 20MB cap on app downloads.
     
  24. ghostface147 macrumors 68030

    ghostface147

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    Not at work. We have filters that block many things on their wi-fi. I do use 3G to stream things and watch news.
     
  25. chocolaterabbit macrumors regular

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    #25
    because it's not true. there is more than one viable app store out there
     

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