Amazon Dominates Google in App Revenue: Thank Apple?

02.04.2012

It also doesn't hurt that both Apple and Amazon have experience in retail. Apple runs one of the most successful brick-and-mortar retail chains in the world, while Amazon is the biggest online retailer. Google on the other hand does not have this experience. It is a search company at heart.

The retail advantage also plays into why iTunes and the Amazon Appstore convert so many of us into paying customers: easy payment options. iTunes requires a payment method in order to download anything, and Amazon’s own one-click payment system ties into the Appstore.

If you want an app, it’s "click" to buy and download: everything is already in place to make that purchase. The Android Market and now Google Play however do not require payment information for downloading free apps, which puts developers at a disadvantage when attempting to hawk in-app purchases.

Developers have to worry whether or not users will take the time to enter the information, which it seems as if many are not from Flurry’s data. This may explain why there is such a huge discrepancy between revenues for Amazon’s Appstore and Google Play.

In any case, Amazon’s emergence on the market is definitely a positive for developers looking to make money with Android. As a result, Google may find it necessary to reconsider its strategy around Google Play in order to keep developers happy.