| >You have now posited the requirement to support as many as 8 stores That's a surprising read of what I said. I named a couple of companies that might be interested in running a store. I do not belive for a second that all of them will, nor did I suggest that that developers are required to support every single one of them. I highly doubt that there will ever be more than three general purpose stores per platform, and perhaps some specialist ones that most developers don't use (e.g. for games, enterprise apps or to serve specific countries). That and the threat of possible new market entrants will be enough for stores to compete a little bit more for developers and lower their fees from the current egregious rent seeking levels. It will also reduce the risk of getting banned outright from your target platform. It seems the only point we really disagree on is the additional burden developers would face if there was a bit more choice. I understand what you're saying, but I believe your fear is grossly exaggerated. Yes, reviews will cost a bit more overall. But that will easily come out of the incredible margins of current oligopolists. |
Of course in principle they would be able to choose, but in practice, by doing so they give up a percentage of revenue.
If price competition brings commissions down to say, 15% on average, developers must support a combination of stores with a minimum combined market share of 85%, just to break even on where we currently stand.
Even if the majority of purchases are made from a few large stores, developers will likely be worse off unless they also support some of the smaller ones, and even then, the fragmentation means that the full cost saving of the reduced commission will likely never be realized.
And in this world where there are 3 major stores and some smaller ones. Every serious developer will be required to support all of 3 of the major stores to get close to the current revenue.
The improved margin just isn’t that much once you start losing access to addressable market.
On top of this, as I have said elsewhere, to actually get into all these stores, your app must comply with the superset of regulations.
I think it’s fair to assume that that Apple, even if they are forced to reduce commissions, will not be likely to ease regulations significantly.
The notion of a safe, well policed store, is a core value and one of the reasons people choose the brand.
Even if they only retain 20% of app sales, developers will still need to comply with their regulations if they don’t want to be worse off than before, and in addition will have to comply with whatever the other stores require.
I don’t think there is any gross exaggeration here.
There just isn’t as much gain to be had.
It would be a different matter if Apple could be pressured into reducing margins without fragmenting the store landscape.
My hope is that they do so pro-actively.