Across the mobile app landscape, subscription-driven models still struggle to turn an early paycheck into enduring profitability. In a broad snapshot, many new apps bring in less than $50 per month a year after their launch, while a small minority rises to a level where returns are hundreds of times higher than the typical app in the market. This contrast echoes findings summarized by tech news outlets which cite a study conducted by RevenueCat and reported by MacRumors, highlighting how revenue distribution looks in practice.
The study analyzed the earnings of more than 30,000 mobile apps that offer paid subscription features. It found that apps developed by more than 18,000 developers on two major storefronts, Google Play and the App Store, together account for roughly 290 million subscribers. The total reported revenue across these apps stood at about $6.7 billion. Yet, only about 17% of the analyzed apps managed to surpass that overall figure, with roughly $1,000 per month as a benchmark. In other words, a sizable majority stay below the $1,000 monthly revenue threshold even as subscriptions scale.
From this data emerges a trajectory pattern: apps that already pull in $1,000 per month show a strong propensity to grow. In practical terms, there is a 59% probability that their revenue will climb to $2,500 per month. Once apps cross the $2,500 line, the odds of breaking the $5,000 monthly mark rise to about 60%. Those numbers illustrate how early gains can compound into meaningful scale, but they also underscore how challenging it can be to reach and sustain higher revenue bands without strategic adjustments.
Despite these insights, subscription-based markets continue to expand overall. Average subscription costs have risen by roughly 14%, climbing from about $7.05 to $8.01. At the same time, user retention after the first year has shown signs of softening. In 2023, the share of users who renew subscriptions after one year dipped, and renewal rates after the first month were around 60%. After the third month, renewal dropped further to around 36%, indicating that ongoing value and user satisfaction are critical for long-term revenue growth.
In the gaming and entertainment space, policy and platform adjustments also influence monetization. For instance, a recent update indicated that several popular titles would be available free to PS Plus subscribers, a change that can affect downstream expectations for paid content and the overall subscription ecosystem. These shifts reflect a broader reality: publishers and developers must balance upfront costs, ongoing value, and platform incentives to sustain a viable subscription business over time, especially in crowded markets where user choices are abundant.