Google Announces Lower App Subscription Fees for Developers
It seems like every time we look at the news, Google is mentioned in some way or another. With a company as big and as powerful as Google, this is to be expected as they expand their global reach. This time around, the news is good, especially for app developers and consumers.
In a statement released this week, Google announced that they are going to lower the amount of money they charge app developers for mobile subscriptions processed through the Google Play app Store. Currently, the fee stands at around 30%, which Google is planning on halving down to 15%. This is mainly so that Google can compete with Apple and what they offer their iOS developers and so they can capitalise on upcoming trends as much as possible.
Going into effect in January 2018, developers will only be able to use the price reduction on customers who have already subscribed to the app for more than 12 months. What this means is that for the first year, Google will continue to take a 30% cut on subscription transitions. If this seems a bit harsh, Google did clarify that it is simply employing the same policy Apple is using for their auto-renew apps.
Following in Apple’s Footsteps
The announcement, which was greeted with excitement by Android developers, comes more than a year after Apple announced it was lowering the subscription cost through their own App Store. In June 2016, Apple released a statement saying that it was revamping the App Store with an innovative new revenue-share model for app developers. The new-look store would also include search-related advertising and would make playing online Roulette NZ games even easier than ever.
The move came as a result of a significant slowdown in the tablet market and plateaued sales of the iPhone. The new revenue model saw Apple reduce its share from 30% down to 15% for auto-renewed apps after the first year. We can see now that Google is just following the same lead. Why it took them, a full year to get on the same page, we don’t know. What we do know it that Google app developers will be delighted with the move.
In their press release, Google said that they hoped the new pricing structure will incentivise Android App developers to continue making exciting apps for the Play Store and Google Platform. Although Google has maintained its own app system separate from Apple, developers have been more inclined to take their products through to the competition. This is mainly due to the fact that iOS apps seem to generate more money.
Google Introduces “Try it Now” Button
As a side line note, Google also announced that it is shortening the free trial minimum length to just three days. This will have a marginal effect on users, but will give app developers a lot more scope and leeway on how they market their product within the App Store.
Another feature that will benefit developers is the notification feature they will receive when a user cancels their subscription. Google is also introducing the “Try it Now” button which allows users to instantly test out apps on the Play Store without actually having to download them. Apps with this kind of functionality will fall under the category of App-ready products in the App Store
