AppStore Economy session at the NASSCOM EMERGEOUT Conclave

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The "app economy" is a new generic buzz word that describes the value chain of the rapidly emerging new business model for software developers, technology providers and connectivity providers. The mobile AppStore - pioneered by Apple iPhone has become a phenomenan. Blackberry, Andriod, Nokia, Motorola have all launched appstores. Telecom providers - Vodaphone, Airtel, ATT have also launched appstores. Specialized application providers have their own stores.The AppStore economy has yet to hit India in a big way. While some Indian product developers have already published their wares to global appStores, specific localized/customized solutions for Indian consumers has yet to hit mainstream. However, the imminent launch of 3G services in the country promises to lead to a blossoming of the appstore economy.

Transcript of AppStore Economy session at the NASSCOM EMERGEOUT Conclave

  • 1. EMERGEOUT 2010: App Store Economy Session Arvind Jha, CEO, Movico Technologies Rahul Tygai, Sr. Mgr. Cognizant Technologies Barnes Lam, Director, RIM Sridhar Muppidi, CEO, PurpleTalk Lokesh Gupta, CEO, Spice Labs

2. 3. App Stores in Comparison iPhone AppStore Android AppMarket Blackberry AppWorld Palm App Catalog Nokia Ovi Store Windows Mobile Marketplace Launch Date 7/08 10/08 4/09 6/09 5/09 TBD # of Apps/ # New 250k+ 525/day 110k+ 600+/day 7K+ 500per month 1.5K+ 7K+ 800per month 2K Apps Downloaded 5B+ 30M per day 1.3B+ 1Mper day 67M 1.5M per day ? # of Developers 50k+ 50k+ ? ? ? ? % Free 28% 62% 24% 32% 15% 22% Developer Share 70% 70% 70% 70% 70% 70% 4. Barnes Lam, Director APAC Alliances Research in Motion [email_address] 5. About Research In Motion

  • Research In Motion Limited
  • Canadian. Founded 1984.
  • 550Carriers/Partners.175+Markets.
  • Fortune Magazine,Worlds Fastest Growing Company .
  • Revenues: US$14.95B (FY10, ending Feb 2010)
  • BlackBerry
  • Sold over 100M.50M in last 18 months
  • No. 1smart phone in theUS
  • No. 2in theworld(Canalys, April 2010),
  • No. 4 mobile phone vendor(IDC, July 2010)
  • 250,000+RegisteredDevelopers .
  • BlackBerryBrandis14th most valuable in the world (Millward Brown, April 2010)

6. The Smartphone of the future Is about having the tools to power a new level ofcommunication ,collaborationandintegrationthat will transform the way we work and live.It willempowerus by making us moreconnectedandengagedin every aspect of what we do. 7. Application Experience: A RIM Perspective When it comes to enterprise and consumer apps We focus on enablinghigh value , empowering experiences 8. Super App Experience

  • Always-onexperience
  • Seamless integrationwith native apps and 3 rdparty apps &Contextualized
  • Proactive,notification-driven
  • Socialandconnected
  • Efficientand intelligent

9. Where are the apps?.. enterprise eUNO R 10 :ECG On Mobile I can do that on my BlackBerry? 10. Apps for the individual 11. Super Apps Enablers

  • Multi-threaded Operating Systemwith background apps
  • APIs fordeep, contextualized integrationwith Inbox, PIM, Camera, Phone, etc.
  • Richevent-based notificationmodel
  • Push servicesfor just-in-time data delivery
  • Platform to enable highlyengaging ,real-timeapps that act asnatural extensionsto the apps they already use

End-to-end solution: Smartphone, OS, App Dev Environment, Application Store, Enterprise Middleware, Accessories and Operator partnerships. 12. Developers are key!

  • RIMs commitment to increase our investment into
    • Platform and Tools
      • Comprehensive Resources, including Open Beta Programs for SDKs!
      • Dev days, forums, webinars
    • Developer Community
      • FREE Registered Developer Program
      • Super App challenge, rewards
      • Access local and world markets
    • Strategic Partnerships
      • Application consultant support and Joint Go to market plan with carriers, partners
      • Enable cross leverage of partners globally 13. India developers can drive mobile apps development globally

  • Raise the bar - engage deeply with BlackBerry ecosystem, use the latest platform technology andcreate Super Apps
  • Cut cost and time to market -develop reusable components / middleware
  • Leverage the BlackBerry App World andmarket your applications

14. Mobile Apps App Life Cycle

  • App Life Cycle - Phases
  • Inception of idea
  • Market Analysis
    • Feasibility of product and market segmentation
    • Pricing strategies
      • Revenue model
      • Paid App
      • Free App
    • Rollout/Promotion Strategies
    • Exit Strategies
  • Development
    • Flurry for analytics
    • AdMob Integration
  • QA
    • DeviceAnywhere
    • Mob4Hire
  • App Certification
  • Launch
  • Market Feedback
  • App Life Cycle - Typical Timelines
  • Avg. complexity app can take3-5 months from inception to launch
  • Inception and Market Analysis 2 to 4 Weeks
  • Development and QA 7-11 Weeks
  • App Certification 2-4 weeks
  • Launch 1 Week

15. Mobile App Pricing Model and ROI

  • Pricing :Free MoApp Model
  • Business Model
    • Free App , Ad Impression based revenue model
    • Free Lite version App and charge for Pro versions
  • Simple Free App
    • Inception to Launch typical cost:$20000-30000
    • 3-6 months of ROI
    • Monetization with mobile ad provider i.e.$3 per 1000 Ad Impression
  • Highly Successful Free App
    • Android Task Killer , de-facto presence on Android devices, millions of downloads
    • Yelp, location based app for iPhone and Android
  • Pricing: Paid MoApp Model
  • Business Model
    • Price per download
  • Simple Paid App
    • Inception to Launch typical cost:$20000-30000
    • 3-6 months of ROI
  • Highly successful Paid App
    • Trism , Made$250000in initial few days from launch!
    • Sling Player
    • Flight Track Pro
  • Pricing: Hybrid MoApp Model
  • Business Model
    • Free appand up sell content during usage of app, called as Freemium i.e. social games
    • Subsidized priceper download and earn revenue from Ad impressions
  • Simple Hybrid App, Hybrid apps are typically costlier
    • Inception to Launch typical cost:$30000-50000
    • 3-6 months of ROI
  • Highly successful Hybrid App
    • Mafia War
    • FarmVille

16. Mobile Apps Marketing Sridhar Muppidi, CEO, PurpleTalk [email_address] 17. The 20-80 Rule

  • Development (20) / Marketing (80)
  • Idea to App/Product (at least 5-10 people are working on the same idea)
  • UI Design and UX are the most important
  • Focus on simplicity
  • Clearly know the direction your app would take in the upcoming 4-5 releases


  • Rank is everything in App Store--Focus on getting to top 25 Rank in a category
  • Factors that determine rank:
  • 1) # of downloads (regular updates & push notification)
  • 2) Price (1.99 has 30% less downloads then .99 cents)
  • 3) Rating (not proven but works: use appirater API)
  • 1) App Advertising
  • Tapjoy (offer wall) Apperang (cash for Install)
  • Flurry (ads & offer wall) OpenfeintX (offer wall)
  • ad networks

Marketing Basics 19.

  • 2) App Store Marketing
  • Logo
  • Name
  • Price
  • Keywords
  • Great design & regular updates can get you featured


  • 3) Online & social media Marketing
  • Website
  • SEO
  • YouTube & SlideShare
  • Twitter account & Facebook fan page

What to do on AppStore 4) International marketing (increases your downloads by almost 50%) 5) Great Support a) Respond back to any support requests immediatelyb) Monitor App Store your comments section c) Monitor social networks, social media sites and discussion broads 20.

  • Example flow to launch an App
  • Set up Twitter account well before launch
  • Follow and RT interesting people
  • Set up Facebook fan page
  • Upload demo video to Youtube
  • Upload demo to SlideShare
  • Make app screenshots available on site for easy download
  • Re