Developers are digging their own graves? discusses the slowing growth of mobile app sales and provides strategies for indie app firms to sustain themselves over the next 18 months. The document notes that the mobile app industry is now 7 years old and markets for phones, tablets, and other devices are maturing. It recommends localizing apps for new languages, diversifying app portfolios across market segments, learning new programming languages, and buying source code to improve development teams as strategies to buck the trend of slowing sales growth. The conclusion is that while mobile apps remain competitive, focusing on optimizing features, growing content, and exploring business models like freemium, in-app purchases, and ads can help app firms survive in the maturing

1. Developers are digging their own graves?
Edward Tsang - CEO
OnDemandWorld

2. Contents
• Mobile app sales growth continues to slow
down…
• Why is it happening?
• Can it be avoided?
• How can indie App firms sustain the next 18
months?
• Which App market to follow?
• A few strategies to consider…

3. The Slowdown – Why is it happening?
• 8 years of iPhones, 10 models, many colours.
• Starting at $649 each, not cheap.

4. The Slowdown – Why is it happening?
• Hardware:
• Motorola & Nokia both leapfrogged by newcomers.
• Samsung is now losing market share.
• Software & Internet:
• Mobile app industry already 7 years old.
Microsoft(40), Apple(39), Google(16), BAT(15-16),
Facebook (11).
• Software & Internet are not “young”.

5. The Slowdown – Can it be avoided?

6. The Slowdown – Can it be avoided?
• Continuous maturity of the market is normal.
• “IT Doesn’t Matter” (Nicholas Carr - HBR 2003)
on commoditisation of IT, started Cloud
Computing.
• Just Crossing the Chasm is not enough.
• Keep Innovating and get on next big wave
“early”. Wearable? VR/AR goggles? Robots?
Automated Cars?

7. Bucking the trend
• How can indie App firms sustain the next 18
months?
• Which App market to follow?
• A few strategies to consider… from my new book.
Driving Revenue Reducing Cost
Localisation New Programming
Languages
Diversification Buying Source Code

8. Bucking the trend – Which App market?
Wearable Average Weak Weak
Mobile Phone Strong Strong Weak
Tablet Strong Average Average
Laptop Strong Weak Strong
Desktop Weak Weak Strong
Server/Enterprise Weak Weak Strong
?

9. Bucking the trend – Strategy 1
Localisation
• Many apps not fully localised. Missing revenue.
• Localisation is not just translation.
• Get native speakers to help.
• New languages are added to OS releases, follow
them.

10. Bucking the trend – Strategy 2
Diversification
• Don’t spam.
• Define your sector.
• Target right market segment with specific
products.
• Microsoft and Google both have 50+ apps on
Apple App Store.

11. Bucking the trend – Strategy 3
New Programming Languages
• Apple Swift, Google Go, Facebook Hack and
others.
• Designed for coding efficiency.
• Easy to learn.
• Active Open Source communities.
• Impressive adoption rate with Swift.

12. Bucking the trend – Strategy 4
Buying in Source Code
• Github, Bitbucket, Stack Overflow - great sites
for free sample source code.
• New market places to buy source code cheaply.
• Improving effectiveness of development teams.
• e.g. Chupamobile, Apptopia, Binpress,
codecanyon…

13. Conclusion – Lessons Learnt So Far
• Mobile Apps can be seen as just miniaturisation.
• UI/UX better than desktop apps.
• Optimise features, grow content.
• Freemium, IAP, Ads are mostly B2C until now,
B2B and O2O will follow.
• Highly competitive, but still exciting!