60 Percent Of The App Developers Incur Loss

[cinderella man]

[url="http://www.siliconindia.com/news/technology/Instagram-Acquisition-3-Lessons-for-Any-Startup-nid-111837-cid-2.html"]If you have been thinking of ditching your job and start build an application for the Android or Apple app store, you need to hold your horses a bit. Not every company can pull an Instagram and not many applications do their part to even sweep back the amount invested in them[/url]
An infographic survey by App Promo reveals that 60% of the developers fail to earn back the sum they had expended to develop the app, while 80% of the firms are struggling to generate revenue for establishing an independent organization
There are over a million of applications in the app stores across the web, developed by thousands of developers. Out of these, the app marketing firm picked hundred developers and studied their revenue and sales patterns. About 68% of the developers have generated less than $5000 as revenue till date. Only 12% have got more than $50,000 while 20% of the developers generated $5000 to $50,000.
Marketing is equally important as developing the application. As per the survey, the companies that generate high revenue spend about a fifth of their budget in marketing their application. More than 55% of the developers spend only 5% of the money in marketing, while most of the developers ignore the marketing and promotional factor completely. "A definitive correlation exists between the level of success a developer sees with their app and the amount of time and money they spend on marketing this product," the survey states.
A major drop in the number of downloads has also been spotted in the infographics. Only 4.45 million downloads per day were recorded in March by the top 200 free iOS apps compared to 6.35 million per day in February.


[url="http://www.siliconindia.com/"]http://www.siliconindia.com/[/url]