App Store changes: the implications
June 13, 2016
#Opinion

To further improve consumers’ engagement with apps, Apple announced some major changes to the App Store just a few days ahead of the WWDC. Some of those change being: developers would now receive a bigger cut from subscription apps, faster app approval time and search-based ads.

 

While Apple said that any iOS app could offer subscriptions, it doesn’t mean every new and old app can suddenly jump on to a subscription model. As Apple notes on its Whats New page, the experience must provide ongoing value worth the recurring payment for an auto-renewable subscription to make sense.

A lot of paid apps currently have an asymmetrical model of costs and revenue, as the revenue is all covered in the initial download / purchase but the costs keep accruing over time, as most apps have a back-end / server-side component to them.

With more than 1.5 million apps on the App Store there’s a lot of competition. Getting discovered is not easy. Under such difficult circumstances will the new changes help developers in any way or make it even more difficult for them to acquire users?

Read the full version of the article for a detailed insight on the implications of changes made to the App Store on LinkedIn: “Will App Store Changes Improve User Acquisition and Retention?” By: @nikunjsanghvi

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