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Google Play is Catching
Up with iOS App Store
in Terms of App
Revenue
Few days ago we wrote a blog post on App Store Revenues
few weeks ago(which can be read here). Apple App Store
was 2.6x more profitable for developers when compared to
Google Play Store in terms of revenue. While Apple is still
profitable, Google Play is catching up quickly.
According to a new report from App Analytics firm, Distomo,
Google Play’s piece of the pie has increased significantly
over the past six months. While only 19% of the combined
revenue came from Google Play in November 2012, this
share went up by eight percentage points to 27% in April
2013. The Japanese and South Korean markets were the
main contributors for the growth in Google Play’s revenue
share.
Distomo study noticed a shift in revenue from the Apple App Store to
Google Play in general and for some applications and publishers in
particular.
Mobage is an example of a
developer quoted who generated
more or at least an equal amount
of revenue in Google Play
compared to the Apple App Store
in most countries. This applied
not only to Asian countries,
where revenue in Google Play is
sky high, but it applies also to the
U.S., which is still the largest
market in terms of combined
revenue in the Apple App Store
and Google Play.
The revenue distribution in the U.S. of all Mobage applications
together, and two of its top applications in particular, are shown in
the graph below. In April 2013, Mobage generated more than $5.1M
in Google Play in April 2013. The Apple App Store total revenue
during April 2013 in the U.S. was $5.6M, which was slightly higher.
This equates to a revenue share of 48% for all Mobage apps in
Google Play in April 2013, while 52% of revenue came from the
Apple App Store (iPhone and iPad).
Looking at the application level, Rage of Bahamut and Blood
Brothers (RPG) were popular Mobage applications in Google Play
and the Apple App Store and had similar revenue levels. Rage of
Bahamut gained a total of $2.3M in both stores combined: 56% in
the Apple App Store and 44% in Google Play. Blood Brothers
generated more revenue in Google Play than in the Apple App Store
in the United States.
What	
  about	
  Global	
  Trends?
The	
  U.S.	
  is	
  not	
  the	
  only	
  market	
  where	
  Google	
  Play	
  is	
  winning	
  ground	
  in	
  terms	
  of	
  total	
  revenue.	
  
Many	
  popular	
  applica>ons	
  appeared	
  to	
  have	
  internal	
  Apple	
  App	
  Store	
  vs.	
  Google	
  Play	
  baAles	
  in	
  
terms	
  of	
  most	
  revenue	
  per	
  country.
Final	
  Fantasy	
  III	
  by	
  Square	
  Enix	
  and	
  World	
  at	
  Arms	
  by	
  GameloH	
  are	
  two	
  illustra>ve	
  examples	
  of	
  
this	
  trend.	
  The	
  two	
  world	
  maps	
  on	
  following	
  slides	
  show	
  which	
  applica>on	
  store	
  is	
  winning	
  in	
  
which	
  country	
  in	
  terms	
  of	
  total	
  revenues	
  in	
  April	
  2013	
  for	
  each	
  applica>on.
This	
   first	
   world	
   map	
   presents	
   the	
   revenue	
   of	
   World	
   at	
   Arms.	
   The	
   pink	
   colored	
   countries	
  
represent	
   countries	
   where	
   this	
   applica>on	
   collected	
   more	
   revenue	
   in	
   the	
   Apple	
   App	
   Store	
  
during	
  April	
  2013,	
  and	
  blue	
  countries	
   represent	
   those	
   countries	
   in	
  which	
  more	
  revenue	
  was	
  
generated	
   from	
   Google	
   Play.	
   The	
   countries	
   in	
  which	
   GameloH	
   generated	
   more	
   money	
   with	
  
World	
   at	
   Arms	
   in	
   Google	
   Play	
   compared	
   to	
   the	
   Apple	
   App	
   Store	
   were:	
   United	
   Kingdom,	
  
Germany,	
   Spain,	
   Finland,	
   India,	
   Thailand,	
   Korea,	
   Vietnam,	
   Israel,	
   Ireland,	
   and	
   Hong	
   Kong.	
   A	
  
remarkable	
  finding	
  is	
  that	
  World	
  at	
  Arms	
  did	
  not	
  only	
  generate	
  more	
  money	
  in	
  Google	
  Play	
  than	
  
in	
  the	
  Apple	
  App	
  Store	
  in	
  some	
  Asian	
  countries,	
  but	
  actually	
  this	
  gap	
  was	
  in	
  favor	
  of	
  Google	
  Play	
  
in	
  some	
  large	
  European	
  countries	
  as	
  well.
World	
  At	
  Arms	
  gained	
  more	
  revenue	
  com-­‐	
  paring	
  Google	
  Play	
  to	
  
the	
  Apple	
  App	
  Store	
  in	
  major	
  countries	
  like	
  Germany	
  and	
  UK.
73%	
  of	
  Final	
  Fantasy	
  III’s	
  global	
  total	
  revenue	
  come	
  from	
  Google	
  
Play	
  in	
  April	
  2013.
ComparaMve	
  Study	
  for	
  an	
  App
A	
   more	
   interes>ng	
   case	
   study	
   of	
   how	
   a	
   popular	
   developer	
   is	
   aAacking	
   both	
   app	
   stores	
  
successfully	
   comes	
   from	
   WhatsApp,	
   which	
   uses	
   different	
   business	
   models	
   to	
   mone>ze	
   its	
  
mobile	
  messenger.	
  On	
  Android,	
  users	
  get	
  a	
  one-­‐year	
  free	
  subscrip>on,	
  but	
  then	
  have	
  to	
  pay	
  for	
  
the	
  app	
  aHerwards,	
  while	
  on	
  Apple’s	
  App	
  Store,	
  the	
  app	
  costs	
  $0.99.	
  Download	
  volumes	
  on	
  iOS	
  
are	
  high,	
  but	
  then	
  the	
  app	
  oHen	
  goes	
  on	
  sale	
  in	
  order	
  to	
  kick	
  those	
  volumes	
  into	
  high	
  gear.
The	
  long	
  game	
  –	
  hoping	
  to	
  mone>ze	
  Android	
  users	
  aHer	
  geng	
  them	
  fully	
  addicted	
  –	
  is	
  star>ng	
  
to	
   pay	
   off	
   in	
   a	
   handful	
   of	
   countries	
   for	
   WhatsApp,	
   including	
   Germany,	
   Italy	
   and	
   Spain.	
   In	
  
Germany,	
  Google	
  Play	
  earned	
  the	
  company	
  nearly	
  $290K	
  versus	
  $207K	
  in	
  Apple’s	
  store	
  in	
  April.	
  
Compare	
   that	
   to	
   the	
   U.S.	
   version	
   with	
   $355K	
   in	
   Apple’s	
   App	
   Store	
   versus	
   just	
   over	
   $41K	
   in	
  
Google	
  Play.
This	
  applica>on	
  should	
  con>nue	
  to	
  gain	
  more	
  revenue	
  in	
  the	
  Apple	
  App	
  Store	
  than	
  in	
  Google	
  
Play.	
   The	
   result	
   of	
   this	
   though	
   is	
   shown	
   in	
   the	
   world	
   map	
   below	
   by	
   country.	
   Again,	
   pink	
  
represents	
  the	
  countries	
  where	
  WhatsApp	
  made	
  more	
  money	
  in	
  the	
  Apple	
  App	
  Store	
  than	
  it	
  did	
  
in	
  Google	
  Play	
  in	
  April	
  2013.	
  Blue	
  represents	
  the	
  opposite.
WhatsApp	
  Messenger	
  generated	
  more	
  revenue	
  in	
  Google	
  Play	
  
than	
  in	
  the	
  Apple	
  App	
  Store	
  in	
  Germany,	
  Italy	
  and	
  Spain.
Is	
  Google	
  the	
  Overall	
  Winner?
Short	
  Answer:	
  NO.	
  
Although	
  the	
  examples	
  clearly	
  suggest	
  that	
  the	
  balance	
  is	
  shiHing	
  between	
  the	
  Apple	
  App	
  Store	
  
and	
  Google	
  Play	
  in	
  terms	
  of	
  total	
  revenue,	
  this	
  does	
  not	
  mean	
  that	
  this	
  applies	
  to	
  all	
  applica>ons	
  
and	
  publishers	
  -­‐	
  especially	
  not	
  in	
  the	
  United	
  States.	
  In	
  April	
  2013,	
  the	
  United	
  States	
  was	
  s>ll	
  the	
  
largest	
  market	
  in	
  terms	
  of	
  total	
  revenue	
  in	
  Google	
  Play	
  and	
  the	
  Apple	
  App	
  Store	
  combined.	
  The	
  
daily	
  revenue	
  in	
  April	
  2013	
  generated	
  by	
  all	
  applica>ons	
  in	
  the	
  top	
  200	
  grossing	
  in	
  Google	
  Play	
  
was	
  $1.1M,	
  while	
  the	
  daily	
  revenue	
  of	
  the	
  top	
  200	
  in	
  the	
  Apple	
  App	
  Store	
  (both	
  iPhone	
  and	
  iPad)	
  
was	
  4.6	
  >mes	
  higher	
  at	
  $5.1M.	
  The	
  vast	
  majority	
  of	
  applica>ons	
  in	
  those	
  two	
  top	
  lists	
  contained	
  
free	
  applica>ons	
   with	
  In-­‐App	
   purchases	
   and	
   this	
   business	
   model	
  automa>cally	
   generates	
   the	
  
most	
   revenue	
  in	
  both	
  stores.	
   The	
  higher	
  revenue	
   share	
  in	
   the	
  Apple	
   App	
  Store	
   compared	
  to	
  
Google	
  Play	
  was	
  also	
  characteris>c	
  for	
  long	
  tail	
  applica>ons	
  and	
  did	
  not	
  apply	
  solely	
  to	
  popular	
  
applica>ons.
The	
  Simpsons:	
  Tapped	
  Out	
  by	
  Electronic	
  Arts	
  are	
  illustra>ve	
  applica>ons	
  that	
  were	
  popular	
  on	
  
both	
  plaforms	
  in	
  the	
  U.S.	
  and	
  generated	
  much	
  more	
  revenue	
  on	
  iOS	
  compared	
  to	
  Google	
  Play	
  in	
  
April	
  2013.
The	
  graph	
  below	
  shows	
   the	
  revenue	
  share	
  of	
  The	
  Simpsons:	
  Tapped	
  Out	
  for	
  each	
  store.	
  This	
  
applica>on	
  generated	
  around	
  $4.8M	
  in	
  both	
  stores	
  in	
  April	
  2013	
  in	
  the	
  United	
  States,	
  and	
  the	
  
revenue	
   was	
   generated	
   only	
   from	
   In-­‐App	
   purchases.	
   The	
   vast	
   majority	
   of	
   this	
   revenue	
   was	
  
collected	
  in	
  the	
  Apple	
  App	
  Store	
  over	
  April	
  2013:	
  79%.	
  Only	
  21%	
  of	
  the	
  total	
  revenue	
  from	
  The	
  
Simpsons:	
  Tapped	
  Out	
  came	
  from	
  Google	
  Play,	
  which	
  was	
  s>ll	
  more	
  than	
  $1M.
You	
  can	
  also	
  reach	
  us	
  on:
	
   Facebook	
  -­‐	
  www.facebook.com/TechAhead	
  
	
   TwiAer	
  -­‐	
  www.twiAer.com/TechAhead	
  
	
   LinkedIn	
  -­‐	
  www.linkedin.com/company/techahead
At	
  TechAhead,	
  we	
  have	
  helped	
  many	
  clients	
  incorporate	
  mobile	
  payments,	
  
be	
  it	
  through	
  SMS,	
  Web/WAP	
  based,	
  NFC	
  etc.	
  Mobile	
  payments	
  and	
  
mCommerce	
  are	
  on	
  a	
  boom,	
  and	
  every	
  business	
  should	
  make	
  best	
  out	
  of	
  this	
  
opportunity.	
  If	
  you	
  are	
  a	
  business,	
  we	
  can	
  help	
  you	
  in	
  this.	
  For	
  any	
  mobile	
  
apps	
  development	
  requirement,	
  get	
  in	
  touch	
  with	
  us	
  
on	
  info@techaheadcorp.com	
  for	
  FREE	
  30	
  minutes	
  no	
  obliga>on	
  consulta>on	
  
with	
  our	
  mobile	
  experts($200	
  Value).
Credits:	
  hAp://techcrunch.com/2013/05/29/google-­‐plays-­‐app-­‐revenue-­‐share-­‐up-­‐8-­‐since-­‐
november-­‐but-­‐apple-­‐s>ll-­‐leads/whatsapp-­‐total-­‐revenue-­‐april-­‐2013/

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Google Play is Catching Up on App Revenue

  • 1. Google Play is Catching Up with iOS App Store in Terms of App Revenue
  • 2. Few days ago we wrote a blog post on App Store Revenues few weeks ago(which can be read here). Apple App Store was 2.6x more profitable for developers when compared to Google Play Store in terms of revenue. While Apple is still profitable, Google Play is catching up quickly. According to a new report from App Analytics firm, Distomo, Google Play’s piece of the pie has increased significantly over the past six months. While only 19% of the combined revenue came from Google Play in November 2012, this share went up by eight percentage points to 27% in April 2013. The Japanese and South Korean markets were the main contributors for the growth in Google Play’s revenue share.
  • 3.
  • 4. Distomo study noticed a shift in revenue from the Apple App Store to Google Play in general and for some applications and publishers in particular. Mobage is an example of a developer quoted who generated more or at least an equal amount of revenue in Google Play compared to the Apple App Store in most countries. This applied not only to Asian countries, where revenue in Google Play is sky high, but it applies also to the U.S., which is still the largest market in terms of combined revenue in the Apple App Store and Google Play.
  • 5. The revenue distribution in the U.S. of all Mobage applications together, and two of its top applications in particular, are shown in the graph below. In April 2013, Mobage generated more than $5.1M in Google Play in April 2013. The Apple App Store total revenue during April 2013 in the U.S. was $5.6M, which was slightly higher. This equates to a revenue share of 48% for all Mobage apps in Google Play in April 2013, while 52% of revenue came from the Apple App Store (iPhone and iPad). Looking at the application level, Rage of Bahamut and Blood Brothers (RPG) were popular Mobage applications in Google Play and the Apple App Store and had similar revenue levels. Rage of Bahamut gained a total of $2.3M in both stores combined: 56% in the Apple App Store and 44% in Google Play. Blood Brothers generated more revenue in Google Play than in the Apple App Store in the United States.
  • 6. What  about  Global  Trends? The  U.S.  is  not  the  only  market  where  Google  Play  is  winning  ground  in  terms  of  total  revenue.   Many  popular  applica>ons  appeared  to  have  internal  Apple  App  Store  vs.  Google  Play  baAles  in   terms  of  most  revenue  per  country. Final  Fantasy  III  by  Square  Enix  and  World  at  Arms  by  GameloH  are  two  illustra>ve  examples  of   this  trend.  The  two  world  maps  on  following  slides  show  which  applica>on  store  is  winning  in   which  country  in  terms  of  total  revenues  in  April  2013  for  each  applica>on. This   first   world   map   presents   the   revenue   of   World   at   Arms.   The   pink   colored   countries   represent   countries   where   this   applica>on   collected   more   revenue   in   the   Apple   App   Store   during  April  2013,  and  blue  countries   represent   those   countries   in  which  more  revenue  was   generated   from   Google   Play.   The   countries   in  which   GameloH   generated   more   money   with   World   at   Arms   in   Google   Play   compared   to   the   Apple   App   Store   were:   United   Kingdom,   Germany,   Spain,   Finland,   India,   Thailand,   Korea,   Vietnam,   Israel,   Ireland,   and   Hong   Kong.   A   remarkable  finding  is  that  World  at  Arms  did  not  only  generate  more  money  in  Google  Play  than   in  the  Apple  App  Store  in  some  Asian  countries,  but  actually  this  gap  was  in  favor  of  Google  Play   in  some  large  European  countries  as  well.
  • 7. World  At  Arms  gained  more  revenue  com-­‐  paring  Google  Play  to   the  Apple  App  Store  in  major  countries  like  Germany  and  UK.
  • 8. 73%  of  Final  Fantasy  III’s  global  total  revenue  come  from  Google   Play  in  April  2013.
  • 9. ComparaMve  Study  for  an  App A   more   interes>ng   case   study   of   how   a   popular   developer   is   aAacking   both   app   stores   successfully   comes   from   WhatsApp,   which   uses   different   business   models   to   mone>ze   its   mobile  messenger.  On  Android,  users  get  a  one-­‐year  free  subscrip>on,  but  then  have  to  pay  for   the  app  aHerwards,  while  on  Apple’s  App  Store,  the  app  costs  $0.99.  Download  volumes  on  iOS   are  high,  but  then  the  app  oHen  goes  on  sale  in  order  to  kick  those  volumes  into  high  gear. The  long  game  –  hoping  to  mone>ze  Android  users  aHer  geng  them  fully  addicted  –  is  star>ng   to   pay   off   in   a   handful   of   countries   for   WhatsApp,   including   Germany,   Italy   and   Spain.   In   Germany,  Google  Play  earned  the  company  nearly  $290K  versus  $207K  in  Apple’s  store  in  April.   Compare   that   to   the   U.S.   version   with   $355K   in   Apple’s   App   Store   versus   just   over   $41K   in   Google  Play. This  applica>on  should  con>nue  to  gain  more  revenue  in  the  Apple  App  Store  than  in  Google   Play.   The   result   of   this   though   is   shown   in   the   world   map   below   by   country.   Again,   pink   represents  the  countries  where  WhatsApp  made  more  money  in  the  Apple  App  Store  than  it  did   in  Google  Play  in  April  2013.  Blue  represents  the  opposite.
  • 10. WhatsApp  Messenger  generated  more  revenue  in  Google  Play   than  in  the  Apple  App  Store  in  Germany,  Italy  and  Spain.
  • 11. Is  Google  the  Overall  Winner? Short  Answer:  NO.   Although  the  examples  clearly  suggest  that  the  balance  is  shiHing  between  the  Apple  App  Store   and  Google  Play  in  terms  of  total  revenue,  this  does  not  mean  that  this  applies  to  all  applica>ons   and  publishers  -­‐  especially  not  in  the  United  States.  In  April  2013,  the  United  States  was  s>ll  the   largest  market  in  terms  of  total  revenue  in  Google  Play  and  the  Apple  App  Store  combined.  The   daily  revenue  in  April  2013  generated  by  all  applica>ons  in  the  top  200  grossing  in  Google  Play   was  $1.1M,  while  the  daily  revenue  of  the  top  200  in  the  Apple  App  Store  (both  iPhone  and  iPad)   was  4.6  >mes  higher  at  $5.1M.  The  vast  majority  of  applica>ons  in  those  two  top  lists  contained   free  applica>ons   with  In-­‐App   purchases   and   this   business   model  automa>cally   generates   the   most   revenue  in  both  stores.   The  higher  revenue   share  in   the  Apple   App  Store   compared  to   Google  Play  was  also  characteris>c  for  long  tail  applica>ons  and  did  not  apply  solely  to  popular   applica>ons. The  Simpsons:  Tapped  Out  by  Electronic  Arts  are  illustra>ve  applica>ons  that  were  popular  on   both  plaforms  in  the  U.S.  and  generated  much  more  revenue  on  iOS  compared  to  Google  Play  in   April  2013.
  • 12. The  graph  below  shows   the  revenue  share  of  The  Simpsons:  Tapped  Out  for  each  store.  This   applica>on  generated  around  $4.8M  in  both  stores  in  April  2013  in  the  United  States,  and  the   revenue   was   generated   only   from   In-­‐App   purchases.   The   vast   majority   of   this   revenue   was   collected  in  the  Apple  App  Store  over  April  2013:  79%.  Only  21%  of  the  total  revenue  from  The   Simpsons:  Tapped  Out  came  from  Google  Play,  which  was  s>ll  more  than  $1M.
  • 13. You  can  also  reach  us  on:   Facebook  -­‐  www.facebook.com/TechAhead     TwiAer  -­‐  www.twiAer.com/TechAhead     LinkedIn  -­‐  www.linkedin.com/company/techahead At  TechAhead,  we  have  helped  many  clients  incorporate  mobile  payments,   be  it  through  SMS,  Web/WAP  based,  NFC  etc.  Mobile  payments  and   mCommerce  are  on  a  boom,  and  every  business  should  make  best  out  of  this   opportunity.  If  you  are  a  business,  we  can  help  you  in  this.  For  any  mobile   apps  development  requirement,  get  in  touch  with  us   on  info@techaheadcorp.com  for  FREE  30  minutes  no  obliga>on  consulta>on   with  our  mobile  experts($200  Value). Credits:  hAp://techcrunch.com/2013/05/29/google-­‐plays-­‐app-­‐revenue-­‐share-­‐up-­‐8-­‐since-­‐ november-­‐but-­‐apple-­‐s>ll-­‐leads/whatsapp-­‐total-­‐revenue-­‐april-­‐2013/