Is not gold that glitters in the market for mobile applications. A report from Gartner warns that most apps do not make money because consumers are not willing to pay for them, and many developers go bankrupt. Are we facing a new bubble?
Most apps do not make money because only one in three users pay for them Would you pay EUR 3.50 for a app that alerts you when going to rain? Or is 2.69 euros one that tells you where the plane you see in the sky is? Maybe yes you give 0.69 euros for a app that keeps others see when you connected to WhatsApp? Examples of hundreds of paid applications for mobile devices that are sold in stores apps ; but most end up being a commercial failure.
This was noted a devastating reportrecently published consultancy Gartner. Notes that 90% of the apps currently on sale gets less than 500 downloads and 1,000 euros of income; figures which will worsen further, to the point that in 2018 according to Gartner only 0.01% of market applications leaving succeed in generating profitability. The reason for this failure announced is quite clear: only 35% of consumers are willing to pay for an app.
Bubble mobile apps
The boom of mobile devices, the success of applications such as Candy Crush Saga or Apalabrados and how relatively easy it is to develop and put on sale a app for smartphones and tablets have made, according to figures from Gartner, nearly 200 businesses and millions independent developers currently competing to offer popular applications and generate revenue, either charging downloads, inserting advertisements or providing more complete versions of payment (model freemium ).
However, many of these projects are doomed to failure because the market is on the verge of saturation and users still prefer the free versions, albeit more limited and have advertising. Development costs are also rising due to competition by engaging the best professionals and diversity of platforms that coexist in the market: IOS, Android , Windows , Blackberry , Kindle , Firefox OS , etc. Therefore, we will soon see a burst of the bubble of apps for mobile, which will drastically reduce the number of existing applications.