In April 2017, the company Apple has invited more than 30 app developers in the luxurious loft in new York. They didn’t know why he was invited, but refuse the invitation Apple could not. It was obvious that the developers something can be useful for the company. On this day the revolution began in the Apple app store.
In fact, Apple wanted to give developers to understand that the business model of the application changes. Today, the makers of really high quality and useful apps do not want to get money from the user at boot time. They want to get money constantly as long as their app is used.
When the App Store was launched, there was a trend of lower prices for software. At the same time, increased the number of downloads. The developers appealed to the Apple for advice with regards to pricing and business models, but Apple could only shrug, because everything was new. Today the app store from Apple for 10 years. It is not new, and it is quite clear that anyone not satisfied with the application is or free application if talking about tools, not about customers.
With applications that can be called by clients, everything is clear. They make money on advertising. Applications that can be called tools, users have to purchase once. The problem is that the developers continue to improve them by providing updates that nobody pays. So it was decided to develop a subscription model, because it is beneficial not only to developers, but Apple. The company still receives a percentage of each transaction.
Returning to the meeting, in the framework of Apple said that only 15 percent of customers pay for App Store apps, and their number is decreasing. Developers need to make efforts in order to force clients to pay. For this reason, the company is ready to reduce the fee in the future for payments that are made to pay subscriptions lasting more than a year. The company clearly gave to understand that if developers focus not on subscription, and the sale of their business in the future is doomed to failure.
Today we can safely say that the subscription has transformed the products of the developers into a successful business. The creators loved the premium model because she makes you think about monetization in the development process. Subscription has the same benefits, but allows you to earn more and earn regularly.
What does it mean for us today? This means that we have to get used to paying subscriptions. Are you ready to read news from us in the app with a subscription? Just in case, tell us about it in the Telegram.