Indians willing to pay over Rs. 71 on in-app purchases: InMobi study

The new study contradicts the general belief that 'paid apps' don't work in India. According to the study, in-app is already growing as users spend to buy items such as emoticons, games, stickers and virtual currency

By Kul Bhushan Published Date
20 - Aug - 2014
| Last Updated
20 - Aug - 2014
Indians willing to pay over Rs. 71 on in-app purchases: InMobi st...

InMobi, independent mobile ad platform, has released a new detailed report on consumer behaviour   of mobile messaging applications on smartphones in India. The report reveals Indians prefer a price between Rs. 71 and Rs. 129 for making in-app purchases such as emoticons, games, stickers and virtual currency among others.
The InMobi  Mobile Messaging App study says one in five Internet users have already made an in-app purchase when using a mobile messaging/chat application, about 18% are likely to consider it. One-third of the users make in-app purchases mainly to get additional features.
The Mobile Messaging App study was conducted on device between May to June 2014, covered 455 smartphone users in India. The study showed that 95% of messaging app users in India access messaging apps multiple times in a day and that messaging apps were the preferred way for communication, bypassing even social networks and voice calls.
Young mobile users in the age group 18-24 are the largest consumers for messaging apps. Interestingly, the older generation (35 - 44 years of age) is also taking to these apps, driven by their ease of use, says the report
Top 5 factors that influence download of mobile messaging apps are -
Staying in touch with friends – 44%
Sharing photos and videos – 39%
Staying in touch with family – 30%
Group messaging – 21%
Cost – 18%
Browsing app stores, word-of-mouth and mobile ads are among top drivers of mobile messaging apps. Advertisements on TV and outdoor appear to have limited influence on driving adoption of mobile messaging apps.
Browsing the App Store – 47%
Word of Mouth – 43%
Ads on Mobile Device – 14%
Ads on TV – 9%
Outdoor Ads – 5%
The InMobi study further says the increased smartphone penetration in India has also pushed growth of mobile messaging apps in the country.
“A healthy average of three messaging apps per user indicates that messaging platforms are evolving into audience platforms that can be leveraged for entertainment and commerce.  With 38% of users likely to make a purchase on these platforms as well as a higher smartphone penetration, there will be an increase in offerings to enrich consumer experience. We also see advertisers using these platforms for emotional engagement as well as experimenting with launching services that they have already done in their home markets like Japan and China. Mobile advertising has definitely shown its effectiveness over other media for user growth,” said Jayesh Easwaramony, Vice President & General Manager, APAC, Middle East and Africa, InMobi.