A study done by mobile analytics firm, Flurry, shows that the Amazon App Store generates more revenue per user on a daily basis than Google Play store. To perform the study, Flurry examined some top ranking apps across the iOS App Store, the Amazon App Store and the Android Market, which was recently rebranded as Google Play store. Combined, the apps averaged about 11 million daily active users. They calculated the amount of revenue those applications generated by comparing the apps in the Amazon App Store and Google Play store. Which means, they assigned the iOS App Store 100 percent revenue and found the Amazon App Store at 89 percent and Google Play at 23 percent of the App Store revenue. What this means is, for every dollar that the iOS App Store makes, the Amazon App Store makes 89 cents and Google Play makes 23 cents. Flurry had another report back in December, which showed that the Android Market generated 23 cents for every dollar that the iOS App Store generated.

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Scoring more than Google itself

Flurry explains the dominance of the Amazon App Store over Google Play store by the strategy that the retail giant employs. For one, the Amazon App Store, like Amazon itself utilizes the one-click method of payment and purchase. Users of Amazon already have their credit card information stored on the retail giant, which by-the-by arguably pioneered the one click method, which makes it easier for users to purchase applications from the Amazon App Store. Furthermore, Amazon promotes apps for their 'quality' and usually has promotions to give users an incentive to come back to the App Store every day. Flurry says, “Amazon, who invented the one-click purchase, perfected online shopping with data, efficiency, and customer service.” They also say that running a retail store is not one of Google's strong points.

Flurry believes that the success of Amazon with running an Android app store might convince other companies to get into the same game. They say that Samsung might be one such OEM that might use the Android platform to build a market of their own. 

Publish date: March 31, 2012 3:36 pm| Modified date: December 18, 2013 9:57 pm

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