Making money with an app is possible, if not always easy. When hiring a developer or designing your own app, it is important to understand how customers spend their money. All statistics here are from information gathering company Flurry.
Who spends app money
The age groups who spend the most time on apps are not the same as the group who spends the most money.
What the money is spent on
Most of the time, when customers do decide to spend money in an app, it is on a “consumable” good, such as points or in-game currency. Durable goods, such as the app itself or an upgrade, are second, while personalization isonly 2 percent.
What this means for you
No matter how you are involved with app development, these numbers can provide some much-needed direction. The 18-24-year-old customers who spend the most time in your apps will likely grow into customers who will spend money. The 25-34 year old age group will be the one most likely to spend money, so targeting your freemium content to that group will provide the best potential for income and conversions.
An important thing to consider is the type of transaction. If you make an app free in the Android market and you code your own in app billing you don’t have to give their customary Google 30%. Some iPhone developers have found ways around Apple as well. Not sure if Flurry took that into account.