Many professional software editors have historically offered their software only in desktop version. Progressively, as professional uses evolve, these softwares are switching to SAAS mode, and some editors decide to propose a mobile version of their professional software, downloadable in the Apple Store or Google Play.
When deciding to switch to a mobile version, it is important to pay attention to the business model.
Indeed, Apple and Google take significant commissions on the purchases made within their applications.
This commission is generally 30% and applies to the purchase of content, features and services offered inside the application. It is essential for publishers to take this commission into account when deciding to implement in-app purchases in their application. Indeed, it will have a significant impact on the revenues generated by the application, and possibly on the whole business model.
For example, if a publisher wants to offer a monthly subscription within its application, it will have to determine a price that will allow it to cover its costs and make a profit, while taking into account the commission taken by Apple and Google.
It should be noted that some « tricks » are sometimes allowed by Apple and Google’s license agreements. The most common one is the one consisting in making a link, in the application, to the editor’s website to proceed to the payment. In practice, the authorizations of the license agreement will depend on the type of application. For example, the « reader » type applications, that is to say allowing to read content, will have a more favorable regime.
For the other applications, a simple user guide, not containing a link, could be authorized without triggering the commissions… With the disadvantage that this does not facilitate the life of the user and that it slows down the subscription of the service.
We can help you analyze the Apple and Google licensing agreements according to your specific situation, to help you secure your business model.
