Have you seen the ads from FT (Financial Times) for the iPhone and iPad? FT’s new app is designed to bypass Apple’s iTunes App Store.
The site, apps.ft.com, states, “We have launched a new, faster, more complete app for the iPad and iPhone which is available via your browser rather than from an app store.” The site goes on to say, “We’re encouraging our readers to switch immediately to the new FT web app, as many new features and sections will be added over the coming weeks…”
With the new design, FT not only bypasses the App Store, it also saves 30% on fees to Apple for subscriptions, which it currently pays for the older app in the App store.
Is bypassing the App Store portentous for all developers of apps? It depends.
The two main reasons to be in the App Store are 1) marketing awareness and 2) your application needs to take advantage of an iPhone/iPad feature, like the accelerometer, which is not available any other way. Now, if you charge for your application, or have some type of subscription service that is part of the app, you pay Apple 30% of said fees for the privilege of being in the App Store.
For content services like The Wall Street Journal, FT, The Economist, Robb Report, and so forth, why give up 30% of your revenue to Apple if you really don’t need any special features on the iPhone/iPad device itself? Good question. I’m betting many content providers with a strong brand like FT will follow suit. Notice the emphasis on “strong brand.”
For many of the games on the iPhone (think Angry Birds) and applications like Starmap HD for the iPad, you want to be in the App Store. Once certified by Apple, your app can enjoy the benefits and magic of Apple’s marketing prowess. In addition, Apple takes care of all the e-commerce components (transaction, payment and download mechanisms). For many app developers, this is worth the 30% in fees to Apple and then some.
Back to the Financial Times. I am a frequent user of The Wall Street Journal (WSJ) iPad app. I found the new FT “Web” app on my iPad to be just as good as the WSJ downloadable app. I wonder how long it will take WSJ to launch its HTML5 Web app?
