Mobile Devices Are Creating Billions In Revenue Each Year. How?

In Op-Ed, Tech by msj4840 Comments

It’s quite obvious that the use of mobile devices is increasing; especially with the advent of extremely popular apps and games like Pokemon Go. Even for those that aren’t gamers or into using mobile apps… it seems like everyone is on their phone all the time, or talking about getting a new phone. This reality brings up the question of how to cash in on the popularity of mobile devices. Of course, that’s not a difficult question to answer; all it requires is a look at what’s being sold. While there’s more to the success and growth of mobile devices than what’s been mentioned here, below are three big sources of revenue for the mobile industry.

The Devices Themselves

With new smartphones coming out seemingly every year, and a quick Google search (the result comes up without even needing to click on a website) revealing that Apple alone sells around 667,000 iPhones per day, we see that phones themselves take up a rather large piece of the mobile market. Reports from 2012 and 2013 indicate a number for Apple around half of what it is now, with the added statistic that phones sold are higher than the birth rate. The average cost of a smartphone is $531, and it’s expected to be $567 in 2017. Just going off of Apple’s sales numbers and these prices, that’s billions all on its own; and we haven’t even mentioned the Android market.

Games and Apps

From the “lowly” .99 cent game and the free apps that come packed with ads or free games with microtransactions to those that cost $99.99 or even Google Play’s upper limit of $400, games and apps bring in a lot of revenue. Once again, even just looking at Apple is rather insightful: in 2015, Apple device owners purchased over $20 billion in the app store. If it seemed like counting mobile devices themselves as part of the money generated was cheating, it clearly doesn’t take the “billions” out of the title of this article. That said, games and apps may be one of the easiest ways to get into the cash flow for those who know how to craft them, or even have an idea and can partner up. And for those without either, the success of games and apps speaks to the probable effectiveness of a mobile ad.

Mobile Friendliness Required

As mobile friendliness has become an important component of SEO, as many digital marketing thought leaders like Nomvo are highlighting, businesses are finding themselves in a position where they either need to redesign their website to make them mobile friendly, or suffer lower rankings in search engines and less visitation from customers. Additionally, they are certainly taking notice of the above cash flow – and the probable effectiveness of a mobile ad. Creating apps as a method of adding value to their industry and connecting customers with their business and crafting ads to appear on apps is another big component of the revenue generated by the mobile industry.

“Billions” is too small a word to describe the all-encompassing mobile industry, especially when actually considering the sale of devices themselves, but it’s perfect for describing single aspects like games and apps, and conversions to include mobile devices as part of a digital marketing campaign. For those looking to get into the mobile industry, there’s certainly plenty of space and opportunity. With the success of a seemingly virtual reality experience in Pokemon Go and other billion dollar apps, it’s easy to estimate that the opportunity for mobile devices to continue to create new streams of revenue is only going to grow.

Care to share your thoughts?