Monday, April 30, 2012

The cost of selling iPhone apps

iPhone App Downloads Fell 30 Percent in March | News & Opinion | PCMag.com:

"the cost of acquiring a loyal user, or one who opens an app three or more times in a month, fell slightly from $1.31 per user in February to $1.30 last month."

So, with Apple taking 30%, an app needs to cost at least $1.99 to cover marketing cost alone, or if it is free it needs to make at least that much from advertising per user! Does not appear to be sustainable, same as real-estate market or .com mania didn't during their bubbles.

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