Pixelmator Makes a Million Bucks on Mac App Store

| Product News

Pixelmater announced on Tuesday that their graphics app for the Mac has hit the US$ one million sales mark in just 20 days on the Mac App Store.

After reporting the results, the company blog said, “What is even better is that the app is getting rave reviews on the Mac App Store (4.5 stars with over 275 ratings on the US store, 5 stars with over 128 ratings in the UK, and 4.5 stars with over 129 ratings in Germany). And, thanks to the Mac App Store, more people than ever are choosing to download Pixelmator.”

Pixelmator

According to the company’s FAQ, “Pixelmator is a fun, easy-to-use, fast and powerful image editor for Mac OS X. The application has everything you need to create, edit, and enhance images.”

Pixelmator co-founder Aidas Dailide told All Things Digital that they’ve sold over 33,000 copies at an introductory price of US$29.99 and that the company has “no problem” paying Apple the 30 percent fee.

There has been considerable debate about the merits and possible deficiencies of the Mac App Store (MAS). However, it appears that when the right product at the price becomes easy to purchase in the MAS, like Pixelmator, a developer can have considerable success.

Comments

FlipFriddle

I’d say that is some pretty powerful advertising for developers.

computerbandgeek

The next headline should be “A million developers make 1 buck because their app can’t be easily found on the App Store’s terrible search/recommendation system.”

mhikl

Well, there seems to be a minor difference here between Mac App Store and a Kool-Aid stand; Google’s Kool-Aid stand has lower costs and therefore greater profit ratios over expenditure (no 30% to Steve, thank you very much).

Seems that greedy App Store blows the kids off the street when it comes to actualizing revenue. Well, there’s whiners and then there’s winners.

Put that in your pipe and smoke it, Bosco.

mark

here’s where i think you miss the point.  the app store on the iphone works because consumers don’t want 100’s of crappy apps to chose from.  they want an app like pixelator, read the reviews, can look for others in google but in the end trust the app store.  success.  for the customer.  the developer.  and apple.

not to mention the prices are coming down.  finally!  every adobe app should be 99 dollars.  i’d buy the 5 i want for 500 bucks.  why the heck are apps still so expensive.  lower price, less copying.

Lee Dronick

The next headline should be ?A million developers make 1 buck because their app can?t be easily found on the App Store?s terrible search/recommendation system.?

Yes, it could be better. The iTunes Store as well, I would like to see more genres and multiple genres/keywords.

computerbandgeek

read the reviews

AppStore reviews have got to be the most useless text on the Internet. On unpopular apps there are only 5star reviews from the developers friends and 1star reviews from the developer’s competitors that plug the competing app. On popular apps there is so much idiocy that the reviews aren’t worth reading.

For example: Google Latitude has hundreds of 1star reviews because the app decreases the battery life of the phone. DUH, IT’S A GPS TRACKING APP. IF YOU DON’T LIKE THE IDEA OF GPS TRACKING, DON’T BLAME AN APP THAT DOES A GOOD JOB OF IT.

Or how about the Google Voice app? Oodles of 1star reviews saying “WHAT, I CAN’T MAKE CALLS ON MY IPOD TOUCH???” Duh, it’s not a phone! And the app description clearly states what the app can and can’t do.

Or my favorite example of a well-stacked app review: search for the app “Phone Tracker for iPhone and iPod”. It has gotten a little better, but for the longest times it was one of the top grossing apps on the store with a 4.5star review (it is now finally down to 3) with a misleading app description. But when you read the real reviews every single one of them is 1star when people realize that they have been scammed. Yet if you just look at a list of apps, this app shows up with a high rating.

dhp

I think Pixelmator made a bit of a faux pas here. They should have made an announcement with a nice round number of downloads: 30 thousand, 40 thousand - whatever. (You know, like Apple does.) Just announcing how much money they’ve made seems kind of tacky. It’s different when it’s a public company making quarterly reports for shareholders.

sflocal

Well, there seems to be a minor difference here between Mac App Store and a Kool-Aid stand; Google?s Kool-Aid stand has lower costs and therefore greater profit ratios over expenditure (no 30% to Steve, thank you very much).

Seems that greedy App Store blows the kids off the street when it comes to actualizing revenue. Well, there?s whiners and then there?s winners.

You sure know how to whine / troll.  Accepting your behavior is a good first step.

Google’s kool-aid stand is cheaper because no one wants to drink that tainted stuff due to water that is used for your kool-aid came from all the cheapskates pi**ing in it.

Get over it.  Developers that make a real living are not making money on Android.  It’s a reality and you’re just in denial.

paikinho

Developers that make a real living are not making money on Android.
———
Really. Do you have some stats or an article about it? Not being snide, I really don’t know and would like to see some data.

Casper

I think the real story here is that Apple made $300,000 in 20 days without really lifting a finger ? so to speak ? from just one app. That’s a brilliant business model from Apple’s point of view.

Baldrel

Reminds me of the days when Macpaint was the main selling point of the mac.

I like the mac app store, the only problems i have with it is the terrible searching and recommendation system and there is hardly any app’s there yet.

gnasher729

I think the real story here is that Apple made $300,000 in 20 days without really lifting a finger ? so to speak ? from just one app. That?s a brilliant business model from Apple?s point of view.

Since Apple has made about six billions in profit in the last quarter, these $300,000 are no story at all. Apple probably paid more for the bandwidth to all the customers who had to download MacOS X 10.6.6 first. And how do you think did Apple create this store “without lifting a finger, so to speak”?

But tell me, what do you think how much a developer would get if their application is for sale in a box for $29.99 in a physical store, once you subtract the stores gross margin, the cost of producing the package, and the cost of finding someone who convinces all these stores to carry the product?

Casper

Gnasher… don’t get me wrong. I think the app store is brilliant for developers… and yes… 30% of the retail price is a small margin compared to a bricks and mortar store. My comment was about Apple’s brilliance in developing this delivery vehicle. Of course they spend time and effort in developing it, maintaining it, vetting apps etc etc. But overall for each individual download that’s a proportionally miniscule amount making their profit margin a nice fat one. And good for them. The Pixelmator story is an example of one app and is used as such… aggregate this across all the apps and that’s where some of that six billion in profit you mentioned came from. Revenue was 27 billion I think. That’s a very nice, healthy margin.

Intruder

1 said:Well, there seems to be a minor difference here between Mac App Store and a Kool-Aid stand; Google?s Kool-Aid stand has lower costs and therefore greater profit ratios over expenditure (no 30% to Steve, thank you very much).1 said:Seems that greedy App Store blows the kids off the street when it comes to actualizing revenue. Well, there?s whiners and then there?s winners. You sure know how to whine / troll.  Accepting your behavior is a good first step.
Google?s kool-aid stand is cheaper because no one wants to drink that tainted stuff due to water that is used for your kool-aid came from all the cheapskates pi**ing in it.
Get over it.  Developers that make a real living are not making money on Android.  It?s a reality and you?re just in denial.

@SFLocal: I think you misread his post. You two agree.

Lee Dronick

how much a developer would get if their application is for sale in a box for $29.99 in a physical store

There are not many Mac programs for sale in the brick and mortar stores, even the ones that sell Macs.

Substance

AppStore reviews have got to be the most useless text on the Internet.

Well I’ve seen a lot more useless text than that on the Internet, starting with your post.

The iPhone App Store is no different than the reviews section of any other Internet store like Amazon, Best Buy, etc., there’s some useful reviews and some brain-dead ones.  Well I guess there’s one difference - aside from Amazon there most Internet shopping sites don’t have many reviews for their products at all. 

I could also say you’ll find more inane comments on any news site, be it a blog, newspaper, on-line magazine, etc.

Substance

should have made an announcement with a nice round number of downloads: 30 thousand, 40 thousand - whatever. (You know, like Apple does.) Just announcing how much money they?ve made seems kind of tacky. It?s different when it?s a public company making quarterly reports for shareholders.

I respectfully disagree, seeing that an app has already made $1 million certainly grabbed my eyeballs. 

Since this was an existing app that long pre-dates the app store, I would have liked to have seen some clue as to how many copies they were pushing before the Mac App Store.

Ion_Quest

Isn’t the Pixelmator $30 price on the Mac App Store a fraction of it’s prior price.  Race to-the-bottom again?

Lee Dronick

Isn?t the Pixelmator $30 price on the Mac App Store a fraction of it?s prior price.? Race to-the-bottom again?

It is listed at $59, but you can get a boxed copy for $39 at Amazon.

Last December I paid $149 for a boxed copy of Aperture 3 at Amazon. Had I waited I could have gotten it much cheaper at the Mac App Store.

mhikl

You sure know how to whine / troll.

Oops, me a troll? sflocal. Please read my post again.

I’m not always clear in my scribbling, I suspect. What I was trying to say was that profit ratios can be really high; but if you don’t sell much, then your revenues are squat.

Apple may take 30% but sales outdistance Android App sales exponentially thus Apple creators are the rakers of revenue. (Mud on my face.)

Lee Dronick

rakers of revenue. (Mud on my face.)

Muckraker? smile

How many units did Pixelmator sell via the Mac App Store to make that $1,000,000? Maybe 45,000 or more, I can’t do the math right now, I need ice cream.

mhikl

Intruder, thanks for support. I cringe at the thought of being thought of as a troll. The day I join the dark side my buds have been sworn to drown me which they would joyfully do.

Sir Harry. You do like to play with words. Besides a beer and a tickle ... never mind… the language sure offers a lot of opportunities. Must be because its such a mutt amongst languages.

Lee Dronick

You do like to play with words. Besides a beer and a tickle ... never mind? the language sure offers a lot of opportunities. Must be because its such a mutt amongst languages.

Yes, wordplay can be fun. And true our English is made up from a large variety of sources.

No ice cream for me tonight, I took the beagles for a walk and am now having a beer. Gotta go now and do some reading before getting some sleep.

Intruder

Aren’t you supposed to have cream cheese with beagles?

Lee Dronick

Aren?t you supposed to have cream cheese with beagles?

The beagles want cream cheese with bagels, but what they are getting is kibble.  smile

mhikl

I had a friend who went on a kibble diet and lost a lot of weight; kept throwing up. I have just put the Sade (Sadie) my corgi on the BARF diet. Somehow that means meat and bones. We’re both strict carnivores now. Thankfully, ice cream comes from cows and cows eat grain so indirectly, beer has something in common with cows.

Lee Dronick

ice cream comes from cows

And as the old saying goes there is no bones in ice cream smile

Kibble diet? Dog kibble is mostly grains, some animal products, we could survive on it, people probably have.

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