Future Of Google Play Store Predicted

deepak abbot

Deepak Abbot
Deepak is AVP at Paytm. He had previously worked with companies like Reliance Entertainment-Digital, Zapak & Satyam computers.

Its a well known fact that Google is catching up with Facebook on offering mobile advertising solutions. Facebook with its native mobile App inventory has helped App publishers in achieving millions of app downloads. Google still relies on 3rd party publishers to generate its mobile inventory with much lesser control on the UI placement.

Google’s biggest owned inventory is Youtube App and without doubt they make tonnes of money with it. So why can’t they do this with Play Store? They have some great numbers going there:

Google made $1.3bn in revenues from Play Store last year. They will probably make $3bn this year. They can add another $1bn (calculations at the end on how I arrived at this figure) if they create a new property — AdWords for Play Store. Here is how it may look like:

Desktop Version: Homepage right side may be sold as fixed buys similar to Youtube Mastheads.
Apps Home right side is targeted based on audience profiling.

Mobile Version: Targeting based on user profiling
And this is how the advertiser panel in Adwords would look:

Setup your Native App Install campaign for Play Store

This is where you set the bidding & targeting parameters. Targeting can be based on user’s app download behavior
Advertising is in Google’s DNA so they must already be working on it. Only reasons for not doing so may include:

  • User Experience
  • Legal/Commercial issues with handset manufacturers
  • Upcoming Google mobile search upgrade may have a better app download solution

How I arrived at $1bn revenue projection: Total yearly downloads = 35bn approx. 2% paid downloads/year =700mn x $1.5 (average CPI) = $1.05bn. Since this inventory belongs to Google, they do not share this revenue.

You have reached your limit of free stories
Become An Inc42 Plus Member

Become a Startup Insider in 2024 with Inc42 Plus. Join our exclusive community of 10,000+ founders, investors & operators and stay ahead in India’s startup & business economy.

Unlock 60% OFF
Cancel Anytime
Unlock 50% OFF
Cancel Anytime
Already A Member?
Discover Startups & Business Models

Unleash your potential by exploring unlimited articles, trackers, and playbooks. Identify the hottest startup deals, supercharge your innovation projects, and stay updated with expert curation.

Future Of Google Play Store Predicted-Inc42 Media
How-To’s on Starting & Scaling Up

Empower yourself with comprehensive playbooks, expert analysis, and invaluable insights. Learn to validate ideas, acquire customers, secure funding, and navigate the journey to startup success.

Future Of Google Play Store Predicted-Inc42 Media
Identify Trends & New Markets

Access 75+ in-depth reports on frontier industries. Gain exclusive market intelligence, understand market landscapes, and decode emerging trends to make informed decisions.

Future Of Google Play Store Predicted-Inc42 Media
Track & Decode the Investment Landscape

Stay ahead with startup and funding trackers. Analyse investment strategies, profile successful investors, and keep track of upcoming funds, accelerators, and more.

Future Of Google Play Store Predicted-Inc42 Media
Future Of Google Play Store Predicted-Inc42 Media
You’re in Good company