Making More Outside The App Store

In each of the four most recent quarters, Piezo brought in more revenue than it had in the corresponding quarter a year earlier. We earned more revenue when Piezo was available exclusively through our store than when we provided the App Store as another purchasing option.

This result might seem counterintuitive. Piezo’s price remained the same, and unit sales went down, so how could we have earned more revenue? The key to understanding this is remembering the cost of being in Apple’s App Stores — 30% off the top of every sale. Despite making slightly fewer sales, we earned more money by avoiding paying that oversized commission to Apple. Direct sales cost us just a few percent, so each direct sale of Piezo earns almost $5 more than a sale through the Mac App Store. As you can see, that really adds up.

Source: Rogue Amoeba – Under the Microscope » Blog Archive » Making More Outside The App Store

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