New York-based app revenue management platform Adapty has launched FunnelFox, a groundbreaking solution that enables app makers to acquire customers through websites or web apps, bypassing the need to pay up to 30% fees to Apple or Google for App Store or Play Store distributions.
The innovative platform allows app developers to create quizzes or experiences on the web, which in turn helps them onboard customers. Once a customer makes a payment, they receive a link to download the app, effectively sidestepping the hefty app store tax. This approach has the potential to revolutionize the way app makers earn revenue, providing a more lucrative alternative to traditional in-app purchases.
According to Adapty CEO Vitaly Davydov, the idea behind FunnelFox was born out of conversations with top customers of the company's revenue tracking product. These customers had successfully acquired a significant chunk of customers through web-based acquisition funnels, prompting Adapty to develop a solution that would make web funnels more accessible to everyone.
Adapty has been testing FunnelFox with a closed set of over 100 customers for over a year, with impressive results. The company has tracked $20 million in revenue during this phase, with customers experiencing a doubling of revenue compared to direct revenue from mobile in-app purchases.
FunnelFox boasts a user-friendly drag-and-drop tool for building quizzes to acquire customers, as well as an AI component that suggests different questions based on the App Store or Play Store link of the app. This AI-driven approach enables app makers to create highly effective customer acquisition funnels with minimal effort.
Adapty's business model is comprised of two core components: an SDK that assists app makers with subscriptions and a platform for marketers to target audiences and understand the lifetime value of a customer. FunnelFox is the latest addition to this suite, and customers can utilize it separately from Adapty while using another app revenue tracking solution, such as RevenueCat.
FunnelFox operates on a revenue-sharing basis, with Adapty taking a cut on user acquisitions. Although the company has not disclosed exact pricing details, it has announced a tiered pricing structure for the platform.
Adapty has raised $2.5 million in capital to date and claims to be profitable. While the startup is not actively seeking funding, it remains open to exploring fundraising opportunities. With 10,000 applications under its belt and $1.2 billion in revenue tracked annually, Adapty is consistently growing in terms of both app count and revenue tracked.
Looking ahead, Adapty plans to integrate more AI capabilities into its products. The company aims to utilize AI to help app makers create payment screens that will yield better conversion rates by suggesting design and rates. This move is expected to further enhance the appeal of FunnelFox and solidify Adapty's position as a leader in the app revenue management space.
The launch of FunnelFox marks a significant shift in the app development landscape, offering a promising solution for app makers seeking to maximize their revenue. As the industry continues to evolve, it will be interesting to see how Adapty's innovative approach impacts the way apps are monetized and distributed.