8 years ago
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Life and death in the App Store
As last year began, the app developer Pixite held its company retreat at a converted Old West movie set outside of Palm Springs. They spent a few days dreaming about the future while eating barbecue and sipping whisky in the sun. But 2015 was not a good year, and by last month the company’s dreams had narrowed to survival. This year’s retreat took place at the company’s office in San Diego, a handful of rooms perched above...
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The app market is by design extremely volatile. Basing your whole business model on apps (photo editing apps, in this case...) is risky as hell. When you look at it, most consistently successful applications are clients for popular websites (Facebook, Twitter), companion apps for services (Uber), or games. Those are things people won't abandon on a regular basis. Simple tools like photo editing will get an initial adoption wave, then will either disappear or maintain their userbase, both things that don't pull in any revenue - which is why so much apps switched to subscription models instead of one-time purchases.