Blog - Mobile

How can iOS App Developers lose money with Apple’s Pricing Matrix

Written by: Dan C, on 2014-05-06

All developers are aware that any app in the app store sends 30% straight to Apple, leaving them with a 70% cut. For international sales, that percentage may vary due to tiered pricing & commission structure for each country’s currency. Apple converts other currencies into the developer’s currency using the exchange rate, but its pricing matrix is updated every few months instead of real-time (according to fiksu.com).

A tier 1 sale in Canada of $ 0.99 will pay $ 0.70 in CAD. The current exchange rate ($ 0.91 USD for $ 1 CAD), will leave the developer with $ 0.64 check from Apple.

Tier 1 sales may also generate more than the 70% cut because the Euro nets $ 0.76, New Zealand Dollar nets $ 0.76 and the AUD $ 0.75.

The Russian Rubble: $ 0.63, Hong Kong Dollar: $ 0.64, British Pound: $ 0.64, Swedish Krona: $ 0.64 and CAD are the currencies where developers are most affected.
apple revenue from tier one sales when converted to USD