Our presentation from Appsterdam Lunch Lectures

1. MONETIZATION & ANALYTICS
IN APPSTORES
Gert Jan Spriensma
Analyst

2. MOBILE APP STORES
GREAT FOR CONSUMERS, BUT THERE ARE MANY…

3. WE KNOW APP STORES
1. DISTIMO COLLECTS FACTUAL AND TIMELY MARKET DATA, WORLDWIDE
2. DEDICATED TO MARKETS WHERE APP STORES ARE LEADING DISTRIBUTION CHANNEL
3. INDEPENDENT AND CROSS-STORE ANALYSIS, APPLYING SAME METRICS TO EVERY STORE

4. DISTIMO MONITOR
FREE APP STORE MONITORING
DISTIMO MONITOR
1. FREE CROSS-PLATFORM APP STORE MONITORING TOOL FOR DEVELOPERS
2. SUPPORT FOR ALL MAJOR APP STORES
3. TRANSACTIONAL DATA ALLOWS US TO BENCHMARK APPLICATIONS WITH THE MARKET

5. DISTIMO REPORT
DATA EXAMPLES
WORLDWIDE CONSUMER ACTIVITY IPHONE IPAD’S ROAD TO 75K APPLICATIONS

6. FOUR MAJOR MARKET SHIFTS:
WHAT DOES THIS MEAN FOR YOU?

7. QUESTION:
HOW DO YOU MONETIZE?

8. 1. NEW MONETIZATION
STRATEGY BECOME KEY
REVENUE DRIVER

9. IPHONE
OF ALL APPLICATIONS FEATURE
IN-APP PURCHASES
Based on United States – July 2011

10. Paid with
In-Apps Paid only
24% 28%
Free with
OF REVENUE COMES FROM APPS In-Apps
FEATURING IN-APP PURCHASES 48%
Based on 200 most grossing applications in United States – July 2011

11. THAT’S UP FROM 72%
28% LAST YEAR!
28%
2010-07 2011-07
REVENUE FROM APPLICATIONS THAT FEATURE IN-APP PURCHASES
Based on 200 most grossing applications in United States – July 2010 & July 2011

12. IN-APP PURCHASES
INTRODUCED TO ANDROID
MARKET IN MARCH 2011.
68%
OF 25 MOST GROSSING
APPLICATIONS USE IN-
APP PURCHASES NOW
Based on 25 most grossing applications in United States – August 2011

13. QUESTION:
WHICH STORES ARE YOU IN?

14. SHIFT IN
2. CONTENT LEADERS

15. STORES BY NUMBER OF APPLICATIONS
AND THEIR MONTHLY GROWTH RATES
1. (25%)
2. (78%)
3. (75%)
4. (61%)
5. (104%)
6. (242%)
Based on United States – May 2011 – July 2011

16. STORES BY NUMBER OF APPLICATIONS
AND THEIR 6 MONTHS GROWTH RATES
1. (25%) 1.
2. (78%) 2.
3. (75%) 3.
4. (61%) 4.
5. (104%) 5.
6. (242%) 6.
VERY DIFFERENT GROWTH RATES:
CHANGING WITHIN THIS YEAR
Based on United States – May 2011 – July 2011

17. BUT THE SHEER SIZE DOESN’T TELL THE WHOLE STORY
<100
71.9%
0.1% > 50,000
OF PAID 0.1%
APPS
1,000-50,000
SOLD OVER 7.3% 100-1000
50K TIMES
20.7%
PROPORTION OF PAID APPLICATIONS PER DOWNLOAD TIER
Based on worldwide Android Market downloads since launch of apps present in Android Market United States July 2011

18. BUT THE SHEER SIZE DOESN’T TELL THE WHOLE STORY
2 PAID APPS HAD OVER
500K DOWNLOADS TO
DATE WORLDWIDE.
6 PAID APPS HAD OVER
500K DOWNLOADS IN 2
MONTHS IN US. (IPHONE)

19. BUT THE SHEER SIZE DOESN’T TELL THE WHOLE STORY
43:1
Based on United States – Top 300 Free - July 2011

20. QUESTION:
WHAT IS YOUR MOST IMPORTANT
COUNTRY?

21. 3. IMPACT OF COUNTRIES
CHANGING RAPIDLY

22. COUNTRIES BY DOWNLOAD VOLUMES
AND THEIR GROWTH IN 2011
1. (-13%)
2. ?
3. ?
Based on transactional data from Distimo Monitor and analysis of top 300 free applications – November 2010 & April 2011

23. COUNTRIES BY DOWNLOAD VOLUMES
AND THEIR GROWTH IN 2011
1. (-13%)
SPECTACULAR GROWTH IN CHINA.
2. (46%) TOP 300 GENERATES OVER 1.5M
DAILY DOWNLOADS IN CHINA
3. (18%)
Based on transactional data from Distimo Monitor and analysis of top 300 free / paid applications – January 2011 & July 2011

24. A PINK WORLD - AGGREGATED BY REGION THE VOLUMES IN NORTH
AMERICA, EUROPE AND ASIA ARE ABOUT EQUAL
Africa North America
Based on transactional data from Distimo Monitor – Volume Top 300 Free - July 2011

25. QUESTION:
DO YOU CONSIDER PUBLISHING ON
OTHER PLATFORMS?

26. …
4. CHANNEL FRAGMENTATION:
GOING BEYOND MOBILE

27. DOWNLOAD VOLUME TOP 300 FREE – UNITED STATES
7.7:1
JANUARY 2011
Based on transactional data from Distimo Monitor top 300 free applications US – January 2011 & July 2011

28. DOWNLOAD VOLUME TOP 300 FREE – UNITED STATES
7.7:1 5.4:1
JANUARY 2011 JULY 2011
Based on transactional data from Distimo Monitor top 300 free applications US – January 2011 & July 2011

29. DOWNLOAD VOLUME TOP 300 PAID – UNITED STATES
3.9:1
JANUARY 2011
Based on transactional data from Distimo Monitor top 300 paid applications US – January 2011 & July 2011

30. DOWNLOAD VOLUME TOP 300 PAID – UNITED STATES
3.9:1 2.3:1
JANUARY 2011 JULY 2011
Based on transactional data from Distimo Monitor top 300 paid applications US – January 2011 & July 2011

31. REVENUE TOP 300 PAID – UNITED STATES
1.5:1
JANUARY 2011
Based on transactional data from Distimo Monitor top 300 paid applications US – January 2011 & July 2011

32. REVENUE TOP 300 PAID – UNITED STATES
1.5:1 1.3:1
JANUARY 2011 JULY 2011
Based on transactional data from Distimo Monitor top 300 paid applications US – January 2011 & July 2011

33. RECAP

34. Look beyond one-off fees to monetize your
app
App store content leaders of today are not
those of tomorrow
Impact of Asian countries on the rise
Mobile content also fit on other platform

35. ANALYZE YOUR PERFORMANCE.
LOOK AT THE NEIGHBORS.
DON'T SIT BACK.

36. ANALYZE YOUR PERFORMANCE.
LOOK AT THE NEIGHBORS.
DON'T SIT BACK.
GO TO MONITOR.DISTIMO.COM

37. THANK YOU
FOR ANY ENQUIRIES, PLEASE CONTACT:
Gert Jan Spriensma
gertjan@distimo.com
@gert_jan
Custom in-depth The free cross-
app store market platform app store
reports for carriers monitoring tool for
& manufacturers developers
For more info, visit report.distimo.com For more info, visit monitor.distimo.com