Justine Pratt from Creative Algorithms wrote a brilliant piece on the history of mobile app distribution. She is making some excellent points on why despite all the problems, the Apple App Store still beats any other distribution system we have seen so far.
Although I saw the irony in Justine’s title (and I double-checked with her just to make sure its not only me seeing the sarcasm), with the way she ends her post I had a question in my mind: If things get worse, could we actually go back to using the App Store as a passive distribution vehicle? Or different, could one distribute apps without (counting on) the charts as a sales mechanism?
I know I am not the only one with that thought, especially as things get worse through the huge flood of apps we see these days, all fighting for the charts. A really good first analysis was given in Marco Ament’s famous blog post about the two App Stores, so I won’t repeat that here. But I want to emphasize one thought on both the idea of “going back to just using the distribution” or “going with App Store B”. And to forewarn you, it is not a nice thought.
No matter which approach you take, you will be listed in an environment that has a huge reputation with consumers for its killer low pricing structure. You can’t just decide you will take the “App Store B” route and “go back” to classic mobile app prices, $20, $40 or more. If you decide to try your luck without the chart gamble, that is not a carte blanche to set whatever price you want. You will most likely need to slash your pricing very significantly from what you would have done in any classic distribution channel.
Why? Too many small and big developers already did that. The expectation from customers is pretty much set. Setting a price that you would have called “regular” just a year ago will be perceived by your customer base in a way you neither want nor typically can afford, no matter how well you argue. In my career, I never saw a customer being receptive to statements that basically say “my prices are high because I am not selling a lot”. Really meaning “I am not successful”.
A reduced price is the real challenge of going back to classic distribution or taking your chances with App Store B. And while this might sound obvious, the consequences are much harsher than anybody seems to be ready to accept.Because when you skip the volume triggers of the App Store but still have a reduced price, you have a real ROI challenge for any project.
Summary: Achieving a (significant) chart position these days is getting harder and harder. NOT gunning for it is creating a business and success scenario for your app that makes almost any other platform look more desirable. And I agree to what Marco hints at, if you are a game developer, forget about path B right away. The only exception I can see at this point are highly specialized apps or extremely low budget apps.
So if you HAVE to aim at the charts, then you are part of the lottery game that Justine describes, especially if you are an independent developer without a lot of additional marketing support. Plus you have to get the pricing right.
Executive Summary: We can’t go back. Prices are ruined and success without a chart success will be possible for only very few exceptions.
