The document discusses the potential for an iPhone app called iPrank. It provides information on the iPhone's launch and success, the App Store's downloads and revenues, and different business models for apps. It also analyzes the viral success of the app iFart and presents scenarios for how well an iPrank app could do if launched on the App Store.

1. iPRANK
Course 739 - Service Marketing & New Technologies
19310 - Jacob Leander-Olsson
19781 - Martin Sandberg
21440 - Niklas Olsson
Thursday, March 19, 2009

2. Voice changer
Pre-recorded messages
Hide your number
Voice collections that
allow user to ”dictate”
conversation
Recording & sharing
Downloadable
capabilities
content
Thursday, March 19, 2009

3. IPHONE
• Originally launched in June 2007
• 17.4m units sold
• Available in eighty-four countries
Thursday, March 19, 2009

4. Original iPhone iPhone 3G Coming soon
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5. USER DEMOGRAPHICS
-18 år
51+ år
0.5 %
11.5 % 18-25 år
20.0 %
41-50 år
13.0 %
26-30 år
29.0 %
31-40 år
26.0 %
Source: Spoiledmilk, Quick guide to iPhone apps, http://www.spoiledmilk.ch/blog/?p=551
Thursday, March 19, 2009

6. Thursday, March 19, 2009

7. APP STORE
• 500,000,000 downloads
• 25,000 applications
• 70% / 30% split
• 250m USD turnover in seven months
• Competition from other application
stores
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8. BUSINESS MODELS
• Paid
• Advertisment-supported
• Branded applications
• Freemium
Thursday, March 19, 2009

9. PRICING
Free
23.0 %
Paid
77.0 %
Source: Edible Apple, The iTunes App Store is thriving, http://www.edibleapple.com/the-itunes-app-store-is-thriving/
Thursday, March 19, 2009

10. PRICING DISTRIBUTION
Source: Edible Apple, The iTunes App Store is thriving, http://www.edibleapple.com/the-itunes-app-store-is-thriving/
Thursday, March 19, 2009

11. ILLUSION LABS
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12. ILLUSION LABS
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13. ILLUSION LABS
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14. ILLUSION LABS
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15. ILLUSION LABS
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16. IFART
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17. IFART
Date Downloads Overall rank
Dec 14, 2008 841 # 76
Dec 15, 2008 1,510 # 39
Dec 16, 2008 1,797 # 22
Dec 17, 2008 2,836 # 15
Dec 18, 2008 3,086 # 10
Dec 19, 2008 3,117 #9
Dec 20, 2008 5,497 #4
Dec 21, 2008 9,760 #2
Dec 22, 2008 13,274 #1
Dec 23, 2008 13,349 #1
Dec 24, 2008 19,520 #1
Dec 25, 2008 38,927 #1
Thursday, March 19, 2009

18. OUR BUSINESS MODEL
• Free or $0.99
• Paid application reach only 18%
• After-sale revenue equilibrium of $0.217
30000
$0.4
22500 $0.3
Revenues (USD)
$0.2
15000
Project cost
$0.1
7500
0
5k 10k 20k 30k 50k 75k 100k
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19. MARKETING STRATEGY
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20. OUTSIDE OF APP STORE
• Viral ingredients of application
• Sharing functionality
• Website
• Get a decent initial user base
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21. DIFFERENT SCENARIOS
$
• Scenario 1 - 50k free or 10k paid
• Scenario 2 - 200k free or 40k paid
• Scenario 3 - 7.2m or 360k paid
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22. ”There's no chance that the iPhone is going to get
any significant market share”
”I don't think anybody is going to be looking at
these phones in the same way again”
Thursday, March 19, 2009

23. ”There's no chance that the iPhone is going to get
any significant market share”
”I don't think anybody is going to be looking at
these phones in the same way again”
Thursday, March 19, 2009

24. ?
QUESTIONS
Thursday, March 19, 2009