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Smartphone App Developers in Australia Industry Market Research Report Now Updated by IBISWorld(December 16, 2013)
Melbourne, Australia (PRWEB) December 17, 2013
Five years ago, the Australian Smartphone App Developers industry barely existed. Since then, the industry is estimated to grow at an annualised 85.2% over the five years through 2013-14 to $391.9 million. This is mainly due to the increased use of smartphones in Australia and worldwide, raising the demand for app developers. Furthermore, consumers are more confident in shopping online, which has carried over to the purchase of smartphone apps. IBISWorld industry analyst Craig Shulman states, Many organisations have sought to take advantage of these trends by releasing branding tools, improving their overall product offerings or creating app marketplaces, which has boosted industry growth. Revenue is expected to increase 19.8% in 2013-14.
IBISWorld expects strong growth to continue over the next five years. Increased smartphone penetration and the introduction of Telstra's 4G network are expected to make smartphone app access and use easier and more convenient. Many industry players have established profitable business models where they generate revenue either through contract work or self-publishing and charging a price for the application, for bonus content or by including advertising. As the revenue base has increased, the industry's growth rates have decreased. According to Shulman, While the industry will continue to derive demand from increasing smartphone use, the scale of product innovation within the industry is expected to drop. Higher competition between Apple's iOS and Google's Android operating systems is also expected to increase costs for developers. Furthermore, the industry may be slightly slowed by the recovery of the global software publishing industry, which may entice some smartphone app developers to move towards larger projects, which will generate more revenue.
The Smartphone App Developers industry has a low level of market share concentration. The largest companies in the industry are games developers that not only earn sales revenue from app purchases and in-app purchases but also through advertising revenue. While these are the nation's largest and most prolific gaming studios, the remainder of the market is fragmented. Much like the Advertising Services industry, the presence of numerous digital agencies and owner-operators means that competition is intense between industry participants. Low barriers to entry mean that amateurs are lured to the industry, and funding for technology start-ups means that prospects are bright for new entrants. The industrys only major player is Electronic Arts. For more information, visit IBISWorlds Smartphone App Developers report in Australia industry page.
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IBISWorld industry Report Key Topics
Businesses in the industry develop and publish applications for smartphones and mobile devices. Apps are typically sold in a special app store that can be accessed through the device.
Key External Drivers
Industry Life Cycle
Products & Markets
Products & Services
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Basis of Competition
Barriers to Entry
Technology & Systems
Regulation & Policy
About IBISWorld Inc.
Recognised as the nations most trusted independent source of industry and market research, IBISWorld offers a comprehensive database of unique information and analysis on every Australian industry. With an extensive online portfolio, valued for its depth and scope, the company equips clients with the insight necessary to make better business decisions. Headquartered in Melbourne, IBISWorld serves a range of business, professional service and government organisations through more than 10 locations worldwide. For more information, visit http://www.ibisworld.com.au or call (03) 9655 3886.
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