iOS users will buy 61% more apps in 2011, pay 14% more

by Bryce Tarling | Apple

app store sales increase 2011To put the mobile and tablet app market in perspective, The number of apps in Apple's App Store exceeds 425,000 apps while the Android Market has 200,000. Also, while Google announced its 4.5 billionth app download in May, Apple announced it's 15 billionth as of late last week.

Apparently, iOS users are hungry for apps as Gene Munster, of Piper Jaffray recently published a report that suggests Apple users will download 61% more apps in 2011 than in 2010. The average iOS device owner will download 83 apps in 2011 compared to 53 in 2010.

Customers might be willing to spend more as well, as the average price per app has increased this year. After seeing the price of apps decline by 18% in 2010, they are up 14% for 2011. This increase in price is due to last year's race-to-the-bottom in App Store pricing — and also, due to the increase in iPad sales, where apps typically cost slightly more.

Despite the increase in volume and price for iOS apps, the App Store represents only about 1% of the company's total revenue. The average selling price of an app is $1.44 and 82% of apps are still free. Where the App Store gains its value is in building the sale-ability for Apple's iPhones and iPads, which currently lead in their respective markets.

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Bryce Tarling

Bryce Tarling

Bryce is currently studying in the Douglas College Print Futures Program in pursuit of a career in writing and editing. He has worked as an English teacher both in the Lower Mainland and in Japan. He has also served brief stints in the restaurant industry. In his free time he enjoys photography, consuming media in the form of books, film, and music, and finding delectable places for trying... more

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