Apple Makes Millions With iPad’s In-App Purchases

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Have you ever wondered why your iPad is such a remarkable device? Its sleek, attractive, full of latest features and so portable. Not only is the iPad making millions of dollars for Apple to stay ahead in the app-world. iPad has found a huge market in and outside the office premise. And the good news is – users are loving it!

iPad-In-app-purchase

#1.

I can confidently say this, with my article, which illustrates how users do not mind spending on their iPad apps, to manage every aspect of their lives. I here quote the example of Prezi – a presentation tool. Its iPad app has attracted nearly 20 million registered users and has added new audio feature to its iPad app. The growth has been tremendous and very much comparable to companies like Facebook.

Having an iPad app has been one of the key contributors to the success of Prezi. Here’s why; in the words of Peter Arvai, CEo and Co-Founder of Prezi, “The most important lesson was understanding that the iPad app (or our iPhone app) is part of a multi-platform family of products that require a seamlessly integrative user experience across different surfaces.”

What he means to say that Prezi’s paid attention to 2 different aspects of the app – consistency and a custom experience for every user. To make the whole thing work right they needed to have a strong foundation of how users shared ideas across platforms. Needless to say, this did the trick for them.

#2.

How iPad apps attract chunks of revenue for their companies is not a mystery at all? As per an interview with App Annie we learn that Apple has strategically priced and added features to its iPad Mini and iPad with Retina Display to completely monetize the booming app-market.

This move by Apple is significantly bridging the revenue gap between iPhone and iPad. App Annie says, that now iPad’s revenue is just 30% lesser than iPhone’s and is slowly covering up. Primary reasons of the growth of the iPad could be the inclusion of ‘games’ perfectly adhering to the size of the iPad screen. They offer a mix of complexity, fun and superb interactivity for an enriched user experience.

Remember our sweet old Minecraft game we used to play for hours on our desktop. When Apple offered this game on its iPad, it offered with a mix of innovation and style. It added more expansion packs and more frequent playing sessions (extra in-app purchases). Users grabbed it and have made it the top 10 revenue grossing app for the iPad. Moreover, it has sold over 5 million units with a $6.99 download price.

To Summarize

According to a study by Distimo in-app purchasing has become the greatest revenue gatherer for apps. In a recent study it suggests that “It (in-app purchasing) has reached 76% of all revenue in the Apple App Store and is above 90% for many Asian countries.

Not surprisingly the average revenue per app is higher on the iPad vs. the iPhone. The average revenue per download for paid apps is higher on iPad than on iPhone in the Apple App Store in the U.S.: $4.04 versus $2.25, respectively. In February the average was $4.46 for the iPad and $3.19 for the iPhone.”

It is good to know grossing figures about what you cherish (the iPad). However, it is equally important to enjoy technology and to make it a part of our daily existence. I believe that this ideology is behind the success of the iPad more than anything else.

P.S – I am stating facts here and not my sentiments as I happen to be a big Apple fan.

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Vishal Gaikar

Article by Vishal

I am Vishal Gaikar, Software Engineer, Web Addicted, Living in Maharashtra, India. If you like This post, you can follow Tricks Machine on Twitter, also you can add me on Google+.

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