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Android Cost Leader, Apple value differentiator?

August 22, 2012

Today’s chart shows a comparison of Android and iOS users regarding their willingness to pay for apps.

In the battle for smartphone platform supremacy, Android has recently extended its lead over iOS in terms of market share. According toIDC, Android devices accounted for almost 70 percent of global smartphone shipments in Q2 2012, up from 46.9 percent in Q2 2011.

The huge installed base of approximately 430 million Android smartphones should be argument enough for developers to treat Android as their primary platform. There is one other aspect though, that explains why many developers still favour iOS over Android: monetization.

According to the results of an OPA survey conducted in March 2012, iOS users are far more likely to spend money on apps than Android users are. 66 percent of the Android users included in the survey haven’t paid a single dollar for apps in the past year.

This helps explain why even with the second largest market share Apple has the highest profitability within the industry by more than a mile.

Is your strategy and execution aligned around either profit growth or market share growth? Having a clear strategy is good, but a completely aligned execution with the strategy is GREAT!


From → business, Strategy

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