Today In Too Good To Be True

Here’s a post by an “Appreneur” who appears to have made good money selling Apps:

“In just over two years, I’ve created and sold three app companies that have generated millions in revenue. Two months after launching my first company, one of my apps averaged $30,000 a month in profit. In December of 2010, the company’s monthly income had reached $120,000. In all, I’ve developed more than 40 apps and have had more than 35 million app downloads across the globe. Over 90 percent of my apps were successful and made money.”

And the secret…

Don’t hate; Emulate! When you follow in the footsteps of successful apps, you will have a better chance of succeeding because these apps have proven demand and an existing user base. This takes the guesswork out of creating great app ideas.

I can’t stress the importance of emulating existing apps enough. It’s easy for people to fall in love with their own idea, even if the market doesn’t show an appetite for it. But this is one of the costliest errors you can make.

Unfortunately, developers make this mistake all the time. They focus on generating original ideas and spend a lot of time and effort creating those apps. When it doesn’t work out, they go to the next untested idea, instead of learning from the market. Often times, they repeat this cycle until they run out of money and dismiss the app game. This doesn’t have to be your experience.

Considering the wellspring from which his inspiration comes, it’s amusing that he spends almost an entire step (#6 of 10) discussing the NDA:

You must protect your ideas, source code, and any other intellectual property. These are the assets that will build your business, so you need to have each potential programmer sign an NDA before you hire them. Yes, it’s rare to have an idea stolen, but it does happen.

So let’s just say the ideas aren’t that important. How about all that development and design?

Coding your own app, especially if you’re teaching yourself at the same time, will take too long. The likelihood of you getting stuck and giving up is very high. It will also be unsustainable over the long run when you want to create several apps at the same time and consistently update your existing apps. After all, the goal is to get your time back and escape the long hours of the rat race. Therefore, programmers will be the foundation of your business. They will allow you to create apps quickly and scale your efforts.

Hiring your first programmer will be a lengthy process.

And his apps? Well he posts his “wireframes” of one of his apps and I found the real thing on iTunes:

Not too compelling. Here’s Chris Dixon:

A fundamental principle of business is that you do things in house that you think can give you a competitive advantage and outsource things that you don’t. At an early-stage technology company this means you do in house: product design, software and/or hardware development, PR, recruiting, and customer relations/community management. Ideally, most of these activities are led by founders.

All very sensible. But if this guy outsources ideas AND development AND the one app he referenced in the article appears to really suck (“An” Emoji app is also referred but there are many of these) what is making him all his money?

Finally, for those who’d like a copy of my NDA template (along with the checklist I use when hiring a new coder), email a copy of your receipt for App Empire, my comprehensive book on app development and marketing, to bonus (at) appempire.com. The book goes into depth on advanced marketing and monetization techniques, including how to put your business on cruise control (automate).

This calls for a new Word of The Day!

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