Android App Revenue

Apps are expanding consistently however Android still lags behind Apple in app revenues. Challenges also are present with consumers pointing to advertisements as being unfavored via smartphones and tablets. According to Flurry, when faced with the choice between free apps with ads, or paying even $.99 for apps without ads, consumers overwhelmingly choose the free apps and tolerate the ads.

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According to Flurry, overall app use in 2013 posted 115% year-over-year growth. (In this context, we define app use as a consumer launching an app and recording what Flurry defines as a session.) Every single app category has shown growth over the last twelve months. In the chart below, we have focused on the categories of interest to most. Utilities and Productivity apps posted 150% growth in use year-over year, as smartphones and tablets became personal computers and productivity apps, such as Evernote and Quip, gained sophistication and adoption. Even Gaming, which was feared to reach saturation levels in 2013, posted 66% year-over-year growth in use.

Consumers are still choosing iOS apps over Android apps. iOS has been around longer than Android apps. The report by Flurry indicates that Android users want free apps. The demographics also point to Android users as being  less affluent and less willing to pay for things than iOS users.

When offering mobile apps, customers would most likely look for value-seeking offers and organizations that can cater well in digital rewards offers like these will succeed. Companies are now working to expand their technologies, meeting competitive demands in emerging trends such as integrating gamification, video conferencing, high speed networks and leveraging mobile. By 2014, worldwide mobile commerce will reach $352.7 billion.