Though it’s well-known that many of today’s mobile applications generate revenue through in-app purchases, a new report released on Thursda shows how powerful this money-making mechanism has become. Last January, just over half (53 percent) of iPhone App Store revenue in the U.S. was attributed to in-app purchases, but as of last month, that number has climbed to a record 76 percent. The figure varies by region, however. In Germany, for example, it’s lower – only 61 percent of revenue in February came from these in-app sales. Meanwhile, in Asian markets the number soars. In Hong Kong, Japan, China and South Korea, at least 90 percent of all revenue comes from in-app purchases. These findings are revealed in the latest report from app store analytics firm Distimo, which took a deep dive into the data in this month’s report.
About Shelly Palmer
Shelly Palmer is the Professor of Advanced Media in Residence at Syracuse University’s S.I. Newhouse School of Public Communications and CEO of The Palmer Group, a consulting practice that helps Fortune 500 companies with technology, media and marketing. Named LinkedIn’s “Top Voice in Technology,” he covers tech and business for Good Day New York, is a regular commentator on CNN and writes a popular daily business blog. He's a bestselling author, and the creator of the popular, free online course, Generative AI for Execs. Follow @shellypalmer or visit shellypalmer.com.