Flurry Analytics Suggests In-App Purchases Generate More Revenue

In-app purchases are something we often don’t think about when playing a game or adding more features to the latest application. “This gravity gun is only an extra ninety-nine cents, and I love this game. So why not?” As customers spend on the latest upgrades, updates, and ad-free in-app purchases, Flurry reports that this model works considerably well. TUAW writes:

Previously to 2010, the games tracked were generating only a few bucks per user per year, but in January the total jumped to around $9, and it’s now in the double digits. Flurry says that money doesn’t include ad revenue – it’s strictly profit from in-app purchases, either unlocking features or selling virtual goods.

Flurry is reporting that as of June, they’re generating $14.66 per user per year. The idea is to get someone interested in your product, then give them the opportunity to add the features they need for an enjoyable experience. More often than not, in-app purchases turn a pretty good profit.

[via TUAW]

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