From McKinsey Insight :
Monetizing mobile apps: Striking the right balance
Mobile apps are becoming big business. Analysts estimate that app-related revenues reached $25 billion last year to $70 billion by 2017.
A small but growing portion of app revenues comes from application programming interfaces (APIs) —gateways that, enable third-party app developers to leverage a company’s aggregated data or selected services.
APIs are generating revenues in one of three ways for the companies that choose to contribute their data.
1. Pay-per-use model (43% market share), a company makes its transactional data available to third party apps.
2. Subscription models (38%), fees accrue during a subscription period.
3. Resource-usage and revenue-sharing models (19%), generate sales of a company’s own products, from which the app developer too gets a cut.
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