Apple on Wednesday published the results of two independent studies showing the impacts of the App Store Small Business Program, which allows developers to qualify for a commission rate of 15% if they earn up to $1 million. Based on the analysis, the program has been contributing to the creation of new jobs around the world.
The App Store’s impact on the economy
The first analysis, which was conducted by the economists at Analysis Group, reveals that developer earnings have grown significantly over the past two years. However, when it comes to small developers, their earnings have grown 113% since 2019 – which is a much higher growth number than for large developers.
As a result, “thousands of small businesses” were created around the world in 2021 thanks to app developers. 24% of these businesses came from Europe, 23% from China, 14% from the US, 4.3% from Japan, and 34% from other regions including South Korea, India, and Brazil.
Since the App Store is available in 175 regions and is available for more than 1.8 billion devices, small developers have the opportunity to reach users all over the world. 40% of small business app downloads came from users in other countries. The research also points out that 45% of today’s large developers “were either not on the App Store, or had less than $10,000 in earnings, just five years ago.”
Another study, this one from the Progressive Policy Institute, reinforces how important iOS apps are to the global economy. It shows how millions of jobs in different sectors, such as software development, sales, and design, have been created thanks to mobile apps.
Together, this research demonstrates that as more businesses have used apps to reach their customers in innovative ways over the past two years, these digital and hybrid shifts have endured even as COVID-related restrictions have lifted in many parts of the world. These developers and their apps have helped people find new and often lasting ways to collaborate with colleagues, find entertainment, hone their creativity, and connect with friends and family.
Developers talk about their success
Apple also gave some developers the opportunity to talk about their success with the App Store. PokectSuite cofounders Chinwe Onyeagoro and Yang Forjindam told how they saw the opportunity to change booking and payment of professional services online with an app.
They knew they needed a mobile app where professionals who are away from a desk four to five days a week could manage their whole business. Forjindam, who was an enterprise software architect, explains, “I quickly saw that Apple was the easiest platform to develop on,” and taught himself to do so to launch PocketSuite on the App Store in 2016.
With the help of APIs like Apple Pay and EventKit, they were able to provide useful and easy-to-use tools for their users. Today, PocketSuite has a team of 25 members around the world, and the app continues to grow every day.
Other success stories highlighted by Apple include Rootd, an app to help people with anxiety and panic attacks, and Chamba, which helps people find jobs in the US.
More details about the App Store Business Program can be found on Apple’s website.
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