With the explosion of Smartphones, many companies are trying to cash in on creating and selling Apps. Many companies are splitting revenues with Smartphone companies 70% - 30%. For example, T-Pain has his own app (that gives its users the "T-Pain Autotone vocal sound"), so when a customer purchases one through his iPhone, the money is split 70/30 between the two. The possibilities are as limitless as when the internet first gained speed - clever apps can be made about almost anything. I personally would love an app to tell me exactly where I parked my car, especially for times in New Orleans or other big cities with big parking lots.
Some companies are experiencing problems with the purchasing experience. Clients typically purchase apps on a whim, impulse type buys. So if the process is not completely painless, many consumers will not follow through with the purchasing process. Android, for example, is experiencing tremendous problems because their customers are fed up with the fragmentation purchasing process. It's simply not seamless and painless enough for many of the Verizon customers.
Being a new user to the iPhone, i have found purchasing apps to be as painless and seamless as could be expected, and it was easy to learn to use.
In a strategy to make money off the apps, but being concerned about setting price levels, many companies offer "freemium" apps - basic functions are provided, and free to download, but customers are bombarded with annoying ads and prompts, in an attempt to annoy them to the point of purchasing the full version, for $2 - $5.
Companies' goal should be to keep the time period minimum, painless, and seamless, nothaving to leave the "app" itself. Purchase, download intall, and get on with your life.
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