Big news from Apple today:
Starting on May 1st 2017, commissions for all app and in-app content will be reduced from 7% to 2.5% globally.
Screenshot via @drbarnard on Twitter
Apple is reducing commissions paid to sites who promote our apps by 64%! That's a huge cut and they're only giving everyone involved 7 days notice.
The app economy has been tanking for the last few years. Apple must know this by now, even though they tout how great it is (maybe it is for a few big companies such as Niantic Labs, Nintendo etc). Personally I think this change in commission rate must be part of something larger, aimed to help rejuvenate the ailing app economy.
Back in June, 2016, Apple announced the first change in the percentage developers pay Apple, dropping the 30% rate to 15% but only for those using subscriptions, and only after a customer has been a subscriber for at least a year. For the most part, this would only have helped a few developers so far, since only a limited number of developers were even allowed to use subscriptions until the June changes. Those would be the Netflix/HBO type apps that are worth billions and don't need the extra help.
What I'd like to see at WWDC this year, is for Apple to announce they are finally reducing the 30% rate we pay to something more reasonable. Let's say 15%?
Assuming that's the plan, how about this as a proposed alternative? Instead of dropping the rate to 15% across the board, Apple could drop the rate to 15% for apps installed organically, and 20% for apps installed through an affiliate link. That extra 5% could then be paid to the affiliate who earned the sale. As a developer, I'm fine with that since it only helps those who help me.
I feel this would be a win-win for all involved. Developers get a much needed drop in their commission rate. Promotion sites such as iMore, touchArcade, etc will get a small bump instead of a drastic cut in their earnings, and Apple gets to keep the new 2.5% affiliate commission rate. I know dropping the developer rate isn't ideal for Apple, but it would make a big difference for the people who help keep their devices in demand.
What do you think about this proposal? Message me @DaveWoodX on Twitter.