Selling your app: The market for app deals
Check out Appsbuyout’s CEO & Founder, Claudia Dreier-Poepperl, in a video explaining the market for app deals.
The market for app deals
Here’s a summary of what she had to say:
“We’ve all heard about the big-ticket app deals like Facebook’s purchase of WhatsApp for 19 billion dollars… or Under Armour’s acquisition of My Fitness Pal for 900 million dollars, … but every day there are hundreds of smaller app deals, which we don’t hear about.
These are the deals happening in the more humble mid-to-low tier market…. And although the deals are smaller, this market is thriving.
Acquisitions in the mid-to-low tier market focus on software assets where buyers acquire apps with users, new apps or simply just the source code for apps, as opposed to the big ticket deals which include taking over a whole company including it’s staff, the ticket prices are much, much lower.
The apps that this market focuses on are standalone apps, which are typically bought with the aim of further investing in the apps’ growth and monetization potential.
It is mostly individual app developers or small companies who do not have the time or resources to devote to making a “hobby” or side-project app successful that sell their apps in this market.
These sellers have often worked on building and maintaining their apps for some time. If their revenues remain limited they might sell their apps simply because they want to get on with other things, or because they need to raise capital.”
In the next blog post, we’ll look at the market for lower-tier apps in more detail.
Follow us on social media to find out when the next instalment is out.