Apps Get Zapped In An Overcrowded Marketplace

The next decade will see the rise of app market, and you can thank Apple for that.

Apple is a brilliant forecaster of the future; its products are a mainstay of technology boasting record profits in the billions each year. Many see the potential of mobile market and Apple’s latest popular offerings the iPhone and the iPad and the rush to make apps is on.

In a post-television world where media buyers and DRTV solutions are faced with new challenges, can these new breed of app designers strike it rich? Several industry insiders say, “Not likely.” Take the Grimes family for instance. Shawn and Stephanie were a typical working couple, she a school teacher and he a programmer working for a large company. They were thrown for a loop when Shawn’s employer, Legg Mason, a prominent Baltimore financial firm, decided to eliminate over 300 jobs from its bottom line. With an eye on a new source of income, the Grimes did what many others are doing in this tough economy: They turned to using technology to create a business model making apps. They are not alone in their quest to strike it rich online.apps

Apps for all! Since the inception of the marketing of the iPhone in the summer of 2007, this area has ballooned into a network of over six million in the U.S. alone, and that does not include the now ubiquitous iPad. Apple, master of the closed-loop, didn’t realize that its App Store, the only place to supply iPhones and iPads with programs of every stripe, would be the center of a new economy.

Apple reports a whopping 6.5 billion in revenues generated by app developers worldwide, a large sum in which Apple tidily collects 30 percent of each app sold. This kind of money is all too enticing for tech-savvy entrepreneurs who want to strike it rich in the apps market. Success stories such as Ethan Nichols, who was one of Apple’s first million-dollar app developers, are hard to ignore. There are now over 70,000 apps available in the App Store at Apple, and each one of them hopes to have identical (or better!) results.

Of course, with more competition comes a smaller chance to make big profits.

Did you like this? Share it:
Leave a Comment