App developers should consider the way to make money?

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Apple has defined itself as a “close-friend” with startups and lately, they stated that Appstore will spend about 10 billion dollars for app developers to enrich the market for iOS users.

However, Ben Thompson – a Stratechery’s analyst, believed that the recent distribution model of App Store seems to be temporary and unsustainable for small application publisher.

Appstore expresses their generosity towards app developers

Take an example, the situation of “Paper” in 2012 – a very popular mobile app developed by Fifty Three. It has been rewarded the Apple Design Award – an annual event hosted by Apple Inc to recognize the best and most innovative iOS software and hardware. The prize goes along with 15 million dollars. Specially, “Paper” is considered as a big hit despite the fact that the group has only 5 members at that moment.

Unfortunately, after the big jump of Paper, some things did not go well. Lately, Fifty Three has done some changes and these changes which step by step killed their app with a decline in the number of users. Paper is a free app with its full version but now they are sold at the price of $8.99 on Appstore.

 What happened?

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Too many updates may make users confused

It’s true that when app developers run out of ideas, all they do is just changing the color of the app or adding some new effects to renew themselves. Besides that, every companies also want to make benefit for themselves. When they offer a new updated version with a charge for payment, some users who currently use the free version will refuse to update. That’s the point!

Additionally, this action might put their apps at risk by reducing the number of loyal customers. They will get bored if there’s nothing new for the apps purchased or updated and they would feel that it doesn’t worth the money they spent anymore.

 How to solve the issue?

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It’s a drawback of offering users to update new versions with a charge for payment but without any significant changes inside apps.

The fact is that every app development groups need the fixed amount of money only using for costs incurring for new improvements. Even though iPhone and iPad users pay for their apps, it’s only a drop in the bucket compared to their needs and expectation from an app. As a consequence, developers have to keep updating and bring changes to satisfy users’ needs. Developers should find another way to make benefit from their apps rather than just changing the look outside.

Besides that, some developers choose to develop and extend hardware system go along with software. This is a smart move because it’s beneficial to the company instead of only selling apps. At the moment, many enterprise app developers are trying to apply this method effectively to bring customers new alternative choices as well as to increase organizational profits.

Time goes by, people change and nothing ever stay the same. The job of a developer is to anticipate these changes for their apps in the future. After debut at the market, application developers need to investigate carefully the forward steps that bring both benefits for company and value to users.

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App developers should consider the way to make money? at: August 7th, 2013 by Huy Do