Newsletters
Customer Relationship Management News NewsFactor Sites:       NewsFactor.com     Enterprise Security Today     CRM Daily     Business Report     Sci-Tech Today  
   
Home CRM Systems Customer Service Business Intelligence Sales & Marketing More Topics...
Build Apps 5x Faster
For Half the Cost
Enterprise Cloud Computing

On Force.com
Digital Life
24/7/365 Network Uptime
Average Rating:
Rate this article:  
Apple
Apple's iTunes App Store Beats Android Market on Pricing

By Mark Long
February 23, 2012 4:51PM

Bookmark and Share
The iTunes App Store is a mature but still very closely controlled retail environment while Google's Android Market remains more open but also less secure and consumer friendly. Given the differences between iTunes App Store and Android Market, "developers and publishers use the stores in different ways," said analyst Tim Shepherd.
 

Related Topics

Android
App
Apps
Apple
iPhone


A new study released by Canalys Thursday demonstrates that the world's most popular iPhone apps are being priced significantly lower in Apple's iTunes App Store than the top paid Android apps in Android Market.

In the United States, for example, the average price of Android Market's top 100 is $3.74 per Android app, vs. $1.47 per iPhone app in the iTunes App Store.

Though it is a plus for developers to apparently be able to charge more for their apps on Android, the reality is that fewer people are willing to purchase apps on Android than on iOS today, said Rachel Lashford, managing director for mobile and Asia-Pacific at Canalys.

"Developers and publishers need to balance the iOS volume opportunity with a potentially greater value per download opportunity on Android -- where more apps command higher price points," Lashford said.

Though selling more apps at higher prices is the Holy Grail for developers, achieving big volumes on Android is no small challenge, Lashford said.

"More aggressive price competition around Android apps would help to encourage more consumers to make their first app purchases, drive greater download volumes, and ultimately be good for the vibrancy of the app ecosystem," Lashford said.

A Much Bigger Audience to Monetize

There are several key factors that are likely influencing the mobile app price discrepancy between Android Market and the iTunes App Store, said Al Hilwa, director of applications software development at IDC. For example, the early market leads that Apple gained when it launched its iconic iPhone and iPad should not be overlooked.

Developers price their apps "based on the volumes they anticipate to sell," Hilwa said. "The bigger the demonstrable audience to monetize over, the lower and more competitively you can set a price."

What's more, Apple has not only captured "the upper end of the user-base" but also has the ability to provide developers with access to a much less fragmented smartphone or tablet audience. "[This] creates a much bigger effective audience to monetize over," Hilwa said.

Yet another important effect is the level of promotion pricing. "In retail the price set is not always the price paid and so a promotionally oriented will show much higher average prices," Hilwa explained. "I think this is a big contributor to the effect."

Price Competitiveness Is Crucial

The iTunes App Store is a mature but still very closely controlled retail environment while Google's Android Market remains more open but also less secure and consumer friendly. Given the differences, "developers and publishers use the stores in different ways," said Canalys Senior Analyst Tim Shepherd. (continued...)

1  |  2  |  Next Page >

 

Tell Us What You Think
Comment:

Name:



APC has an established a reputation for solid products that virtually pay for themselves upon installation. Who has time to spend worrying about system downtime? APC makes it easy for you to focus on business growth instead of business downtime with reliable data center systems and IT solutions. Learn more here.


 Digital Life
1.   'Like' Cheerios, Give Up Right To Sue
2.   Zynga Launches Mobile FarmVille
3.   Yahoo COO Gets $58M Parting Gift
4.   Teen Arrested for Heartbleed Hack
5.   Malware Targets Facebook Users


advertisement
BlackBerry Drops T-Mobile After Spat
Moving on to other carriers after snub.
Average Rating:
'Like' Cheerios, Give Up Right To Sue
General Mills policy forces arbitration.
Average Rating:
Yahoo COO Gets $58M Parting Gift
What was the company thinking?
Average Rating:


advertisement
Product Information and Resources for Technology You Can Use To Boost Your Business

Network Security Spotlight
Heartbleed Could Cost Millions, Could Have Been Prevented
Early estimates of Heartbleed’s cost to enterprises are running in the millions. The reason: revoking all the SSL certificates the bug leaked will come at a very hefty price.
 
Google's Street View Software Unravels CAPTCHAs
The latest software Google uses for its Street View cars to read street numbers in images for Google Maps works so well that it also solves CAPTCHAs, those puzzles designed to defeat bots.
 
Canadian Teen Arrested for Heartbleed Hack
One week after the OpenSSL Heartbleed vulnerability was unveiled, Canadian authorities have made the first arrest -- a London, Ontario teenager -- connected to exploiting the security hole.
 

Enterprise Hardware Spotlight
Vaio Fit 11A Battery Danger Forces Recall by Sony
Using a Sony Vaio Fit 11A laptop? It's time to send it back to Sony. In fact, Sony is encouraging people to stop using the laptop after several reports of its Panasonic battery overheating.
 
Continued Drop in Global PC Shipments Slows
Worldwide shipments of PCs fell during the first three months of the year, but the global slump in PC demand may be easing, with a considerable slowdown from last year's drops.
 
Google Glass Finds a Home in Medical Education, Practice
Google Glass may find its first markets in verticals in which hands-free access to data is a boon. Medicine is among the most prominent of those, as seen in a number of Glass experiments under way.
 

Mobile Technology Spotlight
Google Releases Chrome Remote Desktop App for Android
You're out on a sales call, and use your Android mobile device to grab a file you have back at the office on your desktop. That's a bit easier now with Google's Chrome Remote Desktop app for Android.
 
Amazon 3D Smartphone Pics Leaked
E-commerce giant Amazon is reportedly set to launch a smartphone after years of development. Photos of the phone, which may feature a unique 3D interface, were leaked by tech pub BGR.
 
Zebra Tech Buys Motorola Enterprise for $3.45B
Weeks after Lenovo bought Motorola Mobility’s assets from Google for $2.91 billion, Zebra Technologies is throwing down $3.45 billion for Motorola’s Enterprise business in an all-cash deal.
 

Navigation
CRM Daily
Home/Top News | CRM Systems | Customer Service | Business Intelligence | Sales & Marketing | Contact Centers | Customer Data | CRM Press Releases
NewsFactor Network Enterprise I.T. Sites
NewsFactor Technology News | Enterprise Security Today | CRM Daily

NewsFactor Business and Innovation Sites
Sci-Tech Today | NewsFactor Business Report

NewsFactor Services
FreeNewsFeed | Free Newsletters | XML/RSS Feed

About NewsFactor Network | How To Contact Us | Article Reprints | Careers @ NewsFactor | Services for PR Pros | Top Tech Wire | How To Advertise

Privacy Policy | Terms of Service
© Copyright 2000-2014 NewsFactor Network. All rights reserved. Article rating technology by Blogowogo. Member of Accuserve Ad Network.