App Promo, a leading app marketing and strategy firm, has published the results from their First Annual Developer Survey that took place in April 2012. The most staggering finding from the survey was that 59% of participants indicated that the revenue generated by their most successful app was not enough to break even with development costs. In addition, 80% of participants confirmed that the revenue generated with their most successful app was not enough to support a standalone business.
The survey also found that the top earners in the group are seeing success because of the time and money they spend on marketing their mobile applications. The top earners represent 12% of participants who earned $50,000 or more with their most successful app. This group spent the most effort on marketing with an average of 14% of their time dedicated to promoting their app and also had nearly $30,000 set aside as the average marketing budget. This is a stark comparison to 52% of participants who spent as little as 5% or less of their time on promotion and had a marketing budget of $0.
“After two years of working with developers on increasing downloads and money for their app, we wanted to do this survey to dispel the myth that all you have to do is build an app and watch the money roll on in.” says App Promo CEO and Founder, Gary Yentin. “Our survey echoed exactly what we have been finding in the market, developers have to spend money and time on marketing in order to succeed. “
The goal of this survey was to shed light on the truth behind mobile app success in an attempt to educate and equip the app developer community with information they can use to better their app as a business. App Promo’s CEO, Gary Yentin, will be formally presenting the survey results at CTIA 2012 May 8th at the CTIA Executive Forum – QuickHits Track.
A summary of the results are readily available now for review and republish as an Infographic entitled “Wake Up Call – If You Spend It They Will Come” which can be found on the App Promo blog and a complete white paper covering all the data can be downloaded for free (with registration) from their website.
App Promo conducted their First Annual Developer Survey from April 4 through to April 23, 2012 and collected over 100 responses from qualified app developer participants.