Mobile Application Store Market Predictions

The mobile application stores market, while complex, has stabilized on a retail store model. The players might change, but I don’t expect the model to change anytime soon. We have identified fifteen different stores.

Handset Vendors, Network Operators, development consortiums and others are all providing mobile application stores to capitalize on the wireless data market. All emerged to take advantage of the revenue potential discussed above.

The Marketing statistics presented show is that consumers are looking apps that are tools, productivity aid or entertainment/recreation value to them

What does this mean for the application store marketplace?

Who will succeed?  Who will fail?

There are many factors impacting these questions. The majority of stores available to the public are provided by the handset vendors to supplement the sales of their smart phone handsets.  So one of the key factors the success of the store, is the applications they offer on the handset platforms they support.  The higher selling Smart phones will attract more customers and there will be greater interest in acquiring applications for their Smart phone and thus generating more revenue.

Another key here is having a Smart phone platform developers want to develop their applications for. Again, popular selling models will attract developers, who will generate more applications and provide greater choices to consumers and increase sales.

Mobile Data applications have finally taken off. No one has greater interest in mobile applications than the network operators.  Applications that generate traffic are very important to them. The network operators want to attract popular smart phones to their networks and encourage the development of mobile applications that generate traffic on their network. The revenue they generate from applications is a bonus.  What they are looking for is applications that their subscribers will use regularly, generating steadily increasing monthly mobile data usage revenue.

With web based application stores, the cost to create and operate are minimal.  So we can see MAS continue to be deployed. But Apple iPhone Store and Android Market are the established leaders. With over 500,000 and 350,000 applications available to the user base (and growing) provides a consumer differentiator from their competitors.

The iPhone is being challenged by Android products for market share. But considering the number of models of Android products on the market, versus iPhones, you have to still consider the iPhone the most successful Smart phone.  This is due to Apple’s continued success to bring its unique design philosophy in creating a solid phone product, applications and support services. Apple’s brand loyalty among its customers has led to huge sales and that loyal customer base has not been disappointed.  The iPhone is popular with the youth market and those customers who want a device for personal use.

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About Mind Commerce

Analysis of telecom and ICT infrastructure, technologies, and applications.
This entry was posted in Apple, Applications, Devices, Google, Mobile Data and Applications, Value-added Service Applications. Bookmark the permalink.

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