Amazon Testing In-App Purchases

Posted on 04/06/2012 in Mobile App Testing by Mike Brown

spacer According to PCMag and other reports, Amazon is in the process of testing a new service that lets Kindle Fire users make purchases through mobile applications. Here are the details:

Google and Apple already provide in-app purchasing capabilities. Google launched in-app billing for Android apps in March 2011. In-app purchases have been available via Apple’s App Store since October 2009 and via BlackBerry App World since September 2010.

In-app purchases are expected to generate $5.6 billion in revenue by 2015, up from $970 last year, according to January stats from IHS iSuppli.

Users “overwhelmingly” prefer free apps over paid apps, and it’s becoming increasingly difficult for developers to justify charging an upfront cost for their apps with so many free options available, Jack Kent, senior analyst, mobile media for IHS, said in a statement. For this reason, developers are increasingly turning to in-app purchases as a way to monetize their apps. IHS predicts that soon, the dominant app monetization strategy will be to offer apps for free and then charge for in-app content.

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