Apple's App Store remains the mobile application market of choice for developers to get not only placement, but paid. Android Market is hampered by billing options, but Android users click on more ads.
Google's Android operating system may be riding high
in 2010, but Apple's App Store remains the mobile
application market of choice for developers to get not only placement, but to
also get paid.
Application users who frequent Apple's App Store download nearly twice as
many apps as those who go to the Android Market or the BlackBerry App World
Store, according to a Nielsen report
on the state of mobile apps.
Moreover, Apple App Store customers said that for every two free apps they
download, they typically pay for one.
However, app users who navigate the Android Market and BlackBerry App World
report more than 3.5 free apps for every one they buy.
There are key reasons for such details from the Nielsen report, based on an
August 2010 survey of more than 4,000 mobile subscribers. Nielsen opined:
"This may be due in part to the browsing interface on the Android
Market, which makes it easy to browse free titles exclusively. However, we also
know that Android owners tend to be younger and less affluent than iPhone
That obscures the more practical reason: Apple has far more apps and greater
Apple's App Store sports roughly 250,000 apps, providing more than twice as
many options as Android Market's 85,000 apps or App World's 10,000 or so apps.
The barrier for entry to paid apps on Android Market is significantly
higher. Android Market only enables developers
to sell apps in nine countries, compared with
95 regions for the App Store.
Moreover, Nielsen found app users prefer to have app charges appear on their
cell phone provider or credit card bills.
Only T-Mobile, the United States'
smallest wireless carrier, enables customers
to purchase Android Market apps
through their phone subscription accounts.
Nielsen's research about paid versus free apps dovetails with findings from
Royal Pingdom, which noted
that about 70 percent of the apps in Apple's App Store are
paid. Conversely, 64 percent of the apps in the Android Market are free.
There is also an interesting nugget about mobile ad behavior on the iPhone
and Android devices. As one might expect, teenagers are more receptive than
their elders to mobile ads.
Fifty-eight percent of teens said they "always" or
"sometimes" look at mobile ads.
Moreover, Nielsen said users prefer to view mobile ads within an app,
somewhat validating Apple CEO Steve Jobs' argument
that applications are where people want to find
Indeed, iPhone users are the least interested in having ads take them
outside of their application, Nielsen said. That bodes well for Apple's iAd
Yet here's an interesting morsel that may pain Jobs. Android users are more
likely to click on an advertisement within an app, presenting a nice
monetization strategy for anyone targeting the Android user base.
That's good for Google's AdMob and AdSense for mobile. If only Apple's iAd
found its way onto some Android phones to capitalize on this trend. But that
isn't going to happen because Apple's platforms tend to be self-contained.