Apple offers 50% off Apple Store fee
A new Apple Store program enables a 50% discount on fees charged when purchasing apps and selling services within apps. The Apple Store Small Business, as the program is known, is aimed at businesses that make up to $1 million a year.
The project that started in December 2020 aims to help small businesses in the process of improving their applications. Apple hopes that the funds reverted with these discounts will be implemented by companies in the development of new projects and innovative features.
Understand how Apple's proposal and program rules work according to a comment by the company's CEO, Tim Cook, in an excerpt from Apple's official website: "Small businesses are the backbone of our global economy and the beating heart of innovation and of opportunities in communities around the world. We're launching this program to help small business owners write the next chapter of creativity and prosperity in the App Store and build the kind of quality apps our customers love."
In a second excerpt of his speech, Tim Cook points out: “The App Store has been an engine of economic growth like no other, creating millions of new jobs and a pathway to entrepreneurship accessible to anyone with a great idea. The program brings that progress forward — helping developers fund their small businesses, take risks on new ideas, expand their teams, and continue to make apps that enrich people's lives."
Who is eligible to participate in the program?
The path that Apple has followed to lower charges for the provision of its services comes as a great opportunity for small businesses .
These changes do not directly affect the consumer regarding the amounts charged for the applications or services contracted, but they have a direct impact on the budget of the companies that make these products available.
In this way, it is possible to focus greater investments on improvements and encourage the development of new applications. Even though it doesn't reach all companies, the program covers companies that are most affected by fees charged within the platforms for selling Apple products and generates a healthy competitiveness among app development companies.
To ensure a company's eligibility for the program it is necessary to link all developer accounts associated with your business to the program.
It is also not allowed to transfer applications between accounts during a period of one year, this rule also applies to companies already participating in the program, which lose their link if one of their apps is transferred or if receipt of a transfer.
And lastly, all Apple Developers program participants who have their developer accounts active and have not earned more than $1 million during the one-year period among all apps developed under the linked accounts.
See what it takes to register
The person responsible for the company must be the holder of an account in the Apple Developer Program .
If there is one more developer account linked to your company's projects, you need to list them for verification of profits in all applications.
If your account billing is presented in a currency other than the Dollar, it is necessary to consult the monthly quotation for your currency, available on Apple's official website, and convert the amounts.
Micro and small businesses eligible for the program will receive a 50% discount on the commission charged by the Apple Store on the sale of software and applications. The reduction of this fee will also be made available for the purchase of services within the apps.
Currently, the amount of commission charged by the Apple Store is 30%, this amount is deducted from all services sold within Apple platforms, such as iPhone, iPad, Mac, Apple Watch and Apple TV.
By reducing this rate to 15%, small businesses that participate in the program receive a great deal of assistance, which represents a step forward in fostering competitiveness between applications and offering higher quality products.
The main purpose of the program is to make micro companies revert these values in technological applications, improvement of development teams and investment in applications .
With this, Apple hopes to offer in its sales channels improved software that increasingly satisfy the public and also wants to instigate small companies to develop their first projects, thus increasing the number of offers on the market.
Apple's visibility in the business of offering digital services
The size of the US giant's service distribution has made it one of the most recognized multinationals in the market when it comes to digital technology and services . The number of users of Apple products has been constantly growing since its foundation and has exclusive channels for the distribution and sale of apps.
The company is present in practically all over the globe, around 175 countries have commerce of Apple devices as well as its services. The technologies offered by the company are offered in more than 40 languages and have the most varied payment methods reaching around 45 different currencies and 180 different methods.
In the year 2019, more than US$440 billion were distributed among Apple Developers and companies of all sizes, through the global software commerce. Analyzing these numbers, it is possible to perceive the opportunity of owning a product in one of the most widespread sales channels in the digital product sales market.
The apple store is considered the most dynamic and secure app store in the world. It has the weekly interaction of 500 million visits . Store users have access to nearly 2 million apps that offer the possibility to enjoy a wide range of services.
Comparison between Apple Store and Google Play
A 2019 survey by Sensor Tower found an app spend of about $407 million on a single holiday. The distribution of this value took place between the two largest app merchants present in the current market. The Apple Store retained about $278.6 million in sales versus $129 million for competitor Google Play .
These profit percentages are repeated in other surveys that show that the Apple Store retains about 70% of the total amount spent on apps worldwide. This is due to the fact that IOS is a closed system, which makes it difficult to spread other sales channels within Apple products and makes it difficult for users to install pirated applications.
As a result, it is possible to see that to reach users of iPhones, iPads and other products of the company, it is essential to make the applications available in the exclusive sales channels of the IOS system, making this product more visible and circulating among the most varied users.
Growth opportunity for your company
Will you stay out of this? We at FWC Tecnologia help you seize the best opportunities and enter the digital business market. Through the development of exclusive applications for your company, it is possible to receive new tools to work within your business, in addition to generating a new means of income that is super high.
Take advantage of the opportunity that Apple has made available to you and contact our team to develop your newest application project.
Our software is developed just for you! We at FWC are an application development company that seeks to deliver the best projects using the latest technologies. We help your business leverage process and facilitate your customer's interaction with your products.
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