Consumers will spend $6.2 billion (£3.8 billion) in mobile application stores in 2010, while advertising revenue is expected to generate $0.6 billion worldwide, according to the analyst, Gartner. The company’s report, ‘Dataquest Insight: Application Stores; The Revenue Opportunity Beyond the Hype’, predicts that app stores will exceed 8 billion downloads in 2010, 82% of which will be free to end users. Gartner is forecasting that worldwide downloads in mobile app stores will surpass 21.6 billion by 2013, with 87% of these being free.
Gartner notes that an application can be free because the developer is offering it at no cost to the consumer while charging for other things within the application. There are also applications that are free to use but that charge for physical goods that you can have delivered through the application. There are many applications that are free to users and derive their revenue from advertising. This can be done with banners as well as full page advertising between game levels, for instance.
Worldwide mobile app store download revenue exceeded $4.2 billion in 2009 and will grow to $29.5 billion by the end of 2013. This revenue forecast includes end-user spending on paid-for applications and ad-sponsored free applications. Ad-sponsored mobile applications will generate almost 25 per cent of mobile app store revenue by 2013, Gartner says.
“Application stores will be a core focus throughout 2010 for the mobile industry and applications themselves will help determine the winner among mobile device platforms,” says Gartner Research Director, Carolina Milanesi. “Consumers will have a wide choice of stores and will seek the ones that make it easy for them to discover applications they are interested in and make it easy to pay for them when they have to. Developers will have to consider carefully not only which platform to support but also which store to promote their applications in.”
There’s more information about the report here.
Gartner notes that an application can be free because the developer is offering it at no cost to the consumer while charging for other things within the application. There are also applications that are free to use but that charge for physical goods that you can have delivered through the application. There are many applications that are free to users and derive their revenue from advertising. This can be done with banners as well as full page advertising between game levels, for instance.
Worldwide mobile app store download revenue exceeded $4.2 billion in 2009 and will grow to $29.5 billion by the end of 2013. This revenue forecast includes end-user spending on paid-for applications and ad-sponsored free applications. Ad-sponsored mobile applications will generate almost 25 per cent of mobile app store revenue by 2013, Gartner says.
“Application stores will be a core focus throughout 2010 for the mobile industry and applications themselves will help determine the winner among mobile device platforms,” says Gartner Research Director, Carolina Milanesi. “Consumers will have a wide choice of stores and will seek the ones that make it easy for them to discover applications they are interested in and make it easy to pay for them when they have to. Developers will have to consider carefully not only which platform to support but also which store to promote their applications in.”
There’s more information about the report here.
Recent Comments