Developers are digging their own graves?

Edward Tsang - CEO

OnDemandWorld

Contents

• Mobile app sales growth continues to slow

down…

• Why is it happening?

• Can it be avoided?

• How can indie App firms sustain the next 18

months?

• Which App market to follow?

• A few strategies to consider…

The Slowdown – Why is it happening?

• 8 years of iPhones, 10 models, many colours.

• Starting at $649 each, not cheap.

The Slowdown – Why is it happening?

• Hardware:

• Motorola & Nokia both leapfrogged by newcomers.

• Samsung is now losing market share.

• Software & Internet:

• Mobile app industry already 7 years old.

Microsoft(40), Apple(39), Google(16), BAT(15-16),

Facebook (11).

• Software & Internet are not “young”.

The Slowdown – Can it be avoided?

The Slowdown – Can it be avoided?

• Continuous maturity of the market is normal.

• “IT Doesn’t Matter” (Nicholas Carr - HBR 2003)

on commoditisation of IT, started Cloud

Computing.

• Just Crossing the Chasm is not enough.

• Keep Innovating and get on next big wave

“early”. Wearable? VR/AR goggles? Robots?

Automated Cars?

Bucking the trend

• How can indie App firms sustain the next 18

months?

• Which App market to follow?

• A few strategies to consider… from my new book.Driving Revenue Reducing Cost

Localisation New Programming Languages

Diversification Buying Source Code

Bucking the trend – Which App market?

Wearable Average Weak Weak

Mobile Phone Strong Strong Weak

Tablet Strong Average Average

Laptop Strong Weak Strong

Desktop Weak Weak Strong

Server/Enterprise Weak Weak Strong

?

Bucking the trend – Strategy 1

Localisation

• Many apps not fully localised. Missing revenue.

• Localisation is not just translation.

• Get native speakers to help.

• New languages are added to OS releases, follow

them.

Bucking the trend – Strategy 2

Diversification

• Don’t spam.

• Define your sector.

• Target right market segment with specific

products.

• Microsoft and Google both have 50+ apps on

Apple App Store.

Bucking the trend – Strategy 3

New Programming Languages

• Apple Swift, Google Go, Facebook Hack and

others.

• Designed for coding efficiency.

• Easy to learn.

• Active Open Source communities.

• Impressive adoption rate with Swift.

Bucking the trend – Strategy 4

Buying in Source Code

• Github, Bitbucket, Stack Overflow - great sites

for free sample source code.

• New market places to buy source code cheaply.

• Improving effectiveness of development teams.

• e.g. Chupamobile, Apptopia, Binpress,

codecanyon…

Conclusion – Lessons Learnt So Far

• Mobile Apps can be seen as just miniaturisation.

• UI/UX better than desktop apps.

• Optimise features, grow content.

• Freemium, IAP, Ads are mostly B2C until now,

B2B and O2O will follow.

• Highly competitive, but still exciting!