1. Apponomics
“If all the economists were laid end to end, they’d never
reach a conclusion.”
― George Bernard Shaw

2. You are here…
…it’s a treasure hunt out there
* Source : Forbes

3. Long Tail
How users will find & use apps will be significantly different from today

4. Change : Be Different
The app discovery space is continually evolving, & innovation is just
starting
• Alternative App Store
• App Discovery Apps
Indies
Amazon
Getjar
Slide Me
Mobango
Operator
Stores
Vodafone
Telefonica
…
OEMs
Samsung
Huawei
Firstouch
Social N/w
Facebook
Gree
Dena
Distribution DIY: Marketing, Bothersome Bureaucracy & Limited Resources

5. The Mix
Icon
Title
Engagement
ListenAnalytics
Don’t SELL
Networking

6. user behavior…
“but you are free to accept or refuse”
• Dr. Jesse Schell, of Carnegie Mellon’s Entertainment Technology Center, studies the
psychology behind why people play.
• ? people spend countless hours entranced playing Angry Birds or World of Warcraft
v/s dreading doing other things, like their day jobs or filing taxes.
• When faced with “haftas,” our brains register them as punishments so we take
shortcuts, cheat, skip-out, or in the case of many apps or websites, uninstall them or
click away in order to escape the discomfort of feeling controlled.
• Difference between things we want to do and things you have to do is,“the
difference between work and play … slavery and freedom … efficiency and
pleasure.

7. Why choice works
• Searching in the Apple App Store for the word “diet” returns ~3,235
apps
• One of the app, MyFitnessPal is rated by over 350,000 people.
• MyFitnessPal is simple enough to use. The app asks dieters to log what
they eat and presents them with a calories score based on their weight
loss goal.
• Keeping a food diary might not be part of your daily routine
• Forgetting to enter a meal makes it impossible to get back on the
program – the rest of your day thus is a nutritional wash.

8. Convenience
• Unfortunately, too many companies build their products betting users
will do what they should or have to do, instead of what they want to
do.
• Fail to change behaviors because they neglect to make their services
enjoyable for its own sake, often asking users to learn new, unfamiliar
actions instead of making old routines easier.
• By catering to existing routines, products stand a better chance of
changing user behavior as they move people to increasingly complex
actions and new habits over time.

9. simplifY…
Parking Frenzy by Games2Win...has emerged as one of the topmost
downloaded apps in US and UK with 10 million downloads from Apple
users. The Indian company admits to making $3000 dollars per day on
Parking Frenzy through advertising.
* Source : www.DeveloperEconomics.com

10. Mobile Advertising
• With free downloads continuing to dominate the scene, it’s clear that
mobile advertising should be at the top of your list.
• Indeed, Gartner forecasts that nearly 127 billion downloaded apps will
be free in 2014, that’s over 90% of all downloads (!)

11. Advertising Basics
• Accidental clicks are frustrating to users and virtually worthless to
advertisers.
• Don’t show interstitial advertising or videos more than once every three
minutes.
• If you are going to use video, try to integrate it into the experience
and make it subtly clear that this is how you are making money.

12. Going East
Asian markets are booming - but they can also be tough to crack.

13. Why Asia ?
• It’s the markets in Asia — specifically China, Japan and Korea — that are
reaching record numbers.
• According to a report issued by Distimo in December 2013, which ranked the
top 10 countries based on combined mobile app revenue from Apple App
Store and Google Play,
– the U.S. market managed to hold its number one spot,
– followed by Japan and South Korea,
– China came in 5thplace, following the U.K., which took 4th place.
• A deeper dive into the Distimo data reveals that Japan was the hottest
market for mobile apps, with revenue from apps skyrocketing by 759% (!)

14. China
• In February 2013 China overtook the U.S. to become the world’s largest
smart device market, according to IDC.
• The research firm counts 246 million devices in use in China, compared with
230 million in the U.S.
• What’s more, China accounted for 26.5% of all smartphone shipments last
year.
• According to Niko Partners’ 2013 Chinese Mobile Games Market Report,
– in 2012 there were 192 million mobile gamers in China
– 288 million in 2013
– & in 2014 there will be 390 million.
• Compare that to the fact that there are 314 million people – total – living
in the U.S.

15. All Things Chinese
• There are more than 500 Android app stores in China.
• Entering the app market is also hard because you have to accept the
censorship.
* Source : Techcrunch

16. Speak Their Language
• Yodo1 does co-production, helping foreign games enter the Chinese
market.
• For example for the Ski Safari game, they changed a little bit the
graphics, by adding pandas and other Chinese things, and changed a bit
of music too. They finally attracted 7 million users on IOS in three
months, and 12 million users on Android in one month.
• Customizing with Chinese avatars and timing launches with Chinese
festivals is a good strategy

17. Action Plan
• If you want Chinese users to download your app, you can’t ‘go it alone.’
• Distribution without a partner is frustrating from start to finish.You’ll
need to know which app stores to work with (around 20 of all the
500+ app stores count as major players in the overall ecosystem)
• & you’ll need to contend with monetization, and the Chinese
government’s 30% tax hit
• Or partner with an ad network that knows the local market and has
invested in building the relationships with the individual app stores

18. Action Plan
• In many ways, China is still a cash-based society. Android app
monetization requires you to integrate the local online payment options
that are popular, such as Alipay.
• About 75% of app payment in China is done through direct carrier
billing.
• Frequent updates to the app are also recommended, which will make it
difficult for hackers to keep up.
• Use local social media products like Sina Weibo, Tencent Weibo, Renren
and Douban.

19. Killer app
• But by 2017, Portio Research estimates than nearly 4.4 billion people
will be using mobile apps, and developers don’t want to miss out.
• Sheer Numbers & Variety Available … Consumers turn to friends &
social media…or something new would emerge
• Traditional Sales Tricks Don’t Work 
• ADAPT
It may sound silly, but Candy Crush generates an estimated $946, 788 /day.

20. kinnari@mofirst.com
developer.FirstouchMobile.com