Fascinating Insights on the State of App Developers 2016

02/19/16

On this blog, we like to point readers toward great industry insights, whether or not we’re the source of the information. inMobi just published a study of App Developers that warrants your attention. The survey, entitled State of App Developers 2016, queried more than 1,000 app developers worldwide, to better understand their demographics, businesses, platform preferences, concerns, opportunities and pain-points.

We can’t do justice to the study in a short blog post, but we’ll excerpt a few facts to whet your appetite for more.

Advertising Dominates App Revenue Streams

67% of app developers reported that they use advertising as a key revenue generator, according to the study. An additional 18% said they plan to do so in the future.

While some developers use advertising as their only revenue stream, others use advertising as one of several streams. As we have discussed here on several occasions, an increasing number of app developers appear to be leveraging more than one revenue model. This is particularly true for apps that are marketed internationally, because app users in different countries show different propensities to pay for apps and purchase virtual goods.

Marketing is the Toughest Part

43% of respondents rated marketing as the biggest challenge they face. This is perhaps not all that surprising, given that the app stores each hold more than 1.5 million options. But the finding demonstrates how promotion and trial are such critical aspects of launching a successful app. This is not a world in which “if you build it, they will come.”

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Related to that finding, app discovery remains a massive challenge for developers. Almost half – 49% – report that app discovery is a fundamental challenge. 36% said that acquiring the right users is such a challenge.

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Naturally, those two topics are closely related. App install quality is rapidly becoming a byword of our industry. We need the right sort of people to find and download our apps in order to be successful. We need our apps to be discovered by people who will frequently engage with them over an extended period of time.

Most Popular Ad Formats

Banners still top the ad format preferences for app developers, owing in part to their high levels of availability and efficiency. But the study also pointed to strong preferences for interstitial, native and video formats. At Apsalar, we see more and more of our clients expanding their advertising repertoires to include more ad formats.

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We’ve barely scratched the surface of this study here. Download your copy free by clicking this link.

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