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How to take advantage of Apple’s and Google’s Reduced Commission Rate for Small Businesses

           Over the past year and a half, businesses have faced many struggles. From the pandemic, to slow economic growth, there have been many problems facing small businesses. Things have not all been bad news though. Both Apple and Google have lowered the commission rate for app developers who earn up to one million dollars in revenue per year. For small businesses, this is an amazing opportunity that can increase profits.

           While larger and more established companies will not be able to benefit directly from this reduced rate, it offers a sizable advantage to start-ups and smaller IT companies. For companies who are living on the edge and have had to tighten their belts in the past year, this is a chance to not only recover but to grow despite the bad situation globally.

           Even though 15 percent might not seem like a tremendous amount, for struggling businesses, it can make the difference between life and death (figuratively). For example, if you are an app development company that generates monthly income from mobile app subscriptions, then that’s 15 percent of your profit you will be getting back every month. This adds up and it helps a company to forecast cost and expected revenue.

           So how can a mobile app development company take advantage of this offer? Technically it is as easy as signing up. You will need to check your eligibility and see if your yearly total revenue exceeds the limit, but if not then you will be able to use this offer. While the offer is simple, there is some other information that can be helpful. Mainly: How does this change affect your mobile app analytics? And how can this information be used to help your platform experience growth?

           Although we can see the benefit in reduced costs, to get the full benefit from this commission reduction, a mobile app developer will need some sort of app analytics or subscription analytics service. If you are using an app analytics service such as Appflow, they will be able to tell you how this can be used to improve your product. Appflow can assist you in integrating this reduction into your infrastructure. All a company needs to do is select this option in Appflow’s interface. They offer iOS analytics as well as Android analytics, so it does not matter which device your app works with.

           In the IT world, a company must always continue to grow and improve, or it could be left behind. It would be unwise for any small company or start-up to not take advantage of this opportunity. For app development companies, this plus the ability to integrate the savings into other areas such as analytics will go a long way in creating sustained success for their platform.

           As the world returns to some sense of normalcy and the global economy recovers, there will be more and more opportunities for app developers to have access to the market. To enjoy these opportunities though, a business needs to take easy wins where they can get them. This is especially true for small and new companies. Combining this reduced cost with a mobile subscription analytics service will both reduce costs and increase monthly revenue. This is the dream of all companies, so using this advantage will increase your company’s performance.


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