I'm planning to develop an application for both Android & Apple, but I have no clue how will I get paid? Your views would be appreciated.
Also can an app advertise (Like FB) when it gets listed on these platforms? How many days will it take to get the money invested in building this app. Cost of the app would be 1.5 Lakh.
Thanks in advance.
Start be reading the ppts and the blogs on this carefully - http://bitly.com/bundles/rodinhood/k
Hey!! Check this:
E - Economics
It’s important to take a step back and sometimes just reflect on the ‘economics’ of the business.
Consider the concept of pricing. I remember mentoring an entrepreneur who was on the brink of starting to charge his customers (for financial information), was benchmarking his introduction prices to ‘what seemed’ affordable. When I asked him if that made him profitable, he had no clue! There was this hurry to get into pricing and hence there was less thought to the overall ‘economics’ of the business.
Let me explain how we think of iPhone games.
|Description||Charged Game on itunes|
|Cost of making a game free game||US$ 3000||Cost of making a paid game||US$ 7000|
|Downloads possible||10000||Downloads possible per day||200|
|Consumers who play everyday||10,000||Revenue per game (99cents less iTunes share)||70 cents|
|Revenue from ads everyday (US$ 3CPM – 2 ads per play)||60 US$||Revenue per day||140|
|Break even time of the game||50 days||Break even||50 days|
|Possible shelf life of the game||200 days||Possible shelf life||100 days|
|Net Profit possible of the game||6000 US$||Net Profit||7000 US$|
|ROI of the game on the investment||100%||ROI||100%|
|Risk quotient (cost/profit)||0.5||Risk quotient (cost/profit)||1.00|
The chart shows that Free games can be more lucrative than Paid games!
So honestly, if you are not sure of a real Angry Birds on your hands, you may be better off trying to make simpler, ads supported games for iTunes’ customers who will reward you almost like they would if you had made a just about successful charged game, and that too with lower risks!
Thanks for sharing these useful information. Very informative and helpful.
Alok - This is brilliant. I remember we had discussed this briefly when you spoke about the Games economy at one of TiE events.
However, could you explain - why would the development cost of a free game be so less from that of the paid game?
basic game play - fewer levels