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Google Play has half the revenue of App Store with more downloads

Google Play has half the revenue of App Store with more downloads

Sun 03 Nov 2013 9:37am GMT / 4:37am EST / 1:37am PST
MobileGames

More people are downloading content on Google Play, but they're not paying for it

Apple

Established in 1976, Apple is a multinational corporation (corporate headquarters based in California)...

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Google Play has 25 percent more downloads than the App Store, but it's still behind in revenue by 50 percent. That's according to App Annie's third quarter 2013 report and the big difference seems to be in new markets like South America. Brazil and Argentina were big drivers of download traffic for Google during the quarter.

"The increase in Google Play's downloads was primarily driven by Brazil and Argentina with the former climbing one spot in the rankings to #4 behind the US, South Korea and India. Games remained the leading category in Brazil, but gains made by the Communication and Media & Audio categories also helped them achieve their Google Play download ranking," said App Annie in its report.

Though the App Store was ahead in revenue, its growth was in the Social Networking and Navigation categories, while Google Play's growth was in Games. The App Store's lead also shrunk from 2.3 times in Q2 2013 to 2.1 times in Q3 2013.

The App Store heavily benefited from users in China, which was number two in downloads for the quarter and number three in revenue. The US and China account for 40 percent of all App Store downloads, while the US, Japan, and China account for half of the revenue.

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In contrast, the Google Play Store had the US, South Korea, and India in the lead for downloads, with Japan, South Korea, and the US taking the top three spots in revenue. Taiwan grew from quarter to quarter, rising to the fifth spot in revenue; 80 percent of that revenue was gaming-related.

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7 Comments

Chris Murphy
Community & Live Manager

46 17 0.4
So...the report doesn't take revenue from in-app advertising into account.. I'm not particularly familiar with the differences between each store, but it would seem to me that with the Android market being slightly less restrictive, it probably tends to have more titles that rely on in-app advertising than Apple's market?

Posted:5 months ago

#1

Nicholas Pantazis
Senior Editor

968 1,161 1.2
Yes, there are far more ad-driven products on Android than iOS. That said, it seems likely that iOS maintains a revenue advantage even with this, for the moment. It also doesn't include money earned on stores other than Google Play, like Amazon's App Store, Humble Bundles, etc. So while there's probably a gap, it's also probably considerably smaller than it appears on just the metric or IAPs and sales on Google Play vs the App Store.

Posted:5 months ago

#2

Eyal Teler
Programmer

56 57 1.0
It's better than I thought. At least for games I heard in the past like a 10:1 difference in numbers between iOS and Android. So this may be good news (qualifying it because there are no stats for games in particular).

Posted:5 months ago

#3

Tom Keresztes
Programmer

632 223 0.4
It's better than I thought. At least for games I heard in the past like a 10:1 difference in numbers between iOS and Android. So this may be good news (qualifying it because there are no stats for games in particular).
Apple has less than 20% installed base compared to android. 1/5 of the devices making twice the profit indeed suggest a ratio of 1:10.

Posted:5 months ago

#4

Mihai Cozma
Indie Games Developer

123 34 0.3
You can sell your products or use IAP on Google Play only if you publish from a limited list that Google accepts. That is why there are many ad driven apps as they don't require you to use their add network.

Posted:5 months ago

#5

Eyal Teler
Programmer

56 57 1.0
Apple has less than 20% installed base compared to android. 1/5 of the devices making twice the profit indeed suggest a ratio of 1:10.
I meant that games sell 10 times more units on iOS. That's the figure I remember. It has nothing to do with the installed base. That said, a little googling showed that it's an old figure. This article on this site shows the the ratio was 3.5:1 for the last quarter of 2012, and it's likely even better now.

Posted:5 months ago

#6

Paul Johnson
Managing Director / Lead code monkey

787 931 1.2
In our case, Eyal, we now make slightly more profit from Android versions of our games than iOS.

I put that down to there being less stuff on the play store to get hidden behind, rather than any great insight into spending habits of one brand of phone owner over another.

Posted:5 months ago

#7

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