analysis on three augmented reality app business models
DESCRIPTION
There are so many AR apps in AppStores. Among them three outstanding apps are Layar, Sekai Camera and AcrossAir. Do you know what’s the main difference among them?TRANSCRIPT
© 2010 VisionArena Company. The information contained herein is subject to change without notice
Analysis on Three Augmented Analysis on Three Augmented Reality App Business ModelsReality App Business Models
Brad Cho (@brettcho, [email protected])
in April 2010
What is the main difference among these AR apps?There are so many AR apps in AppStores. Among them three outstanding apps are Layar, Sekai Camera and AcrossAir. Do you know what’s the main difference among them?
Three AR Apps
Difference?
Service Features are Different?Of course, their service feature and functionality are not same. Layar is a browser with many original AR contents such as artworks.
Service Features are Different?Sekai camera is a social annotation platform for users to enable tagging everywhere.
Service Features are Different?AcrossAir is a software house specialized for augmented reality. It provide a bunch of AR apps to fulfill niche customer needs.
Let’s look into their positioning firstLayar’s goal is being a leading AR (augmented reality) browser in mobile like Microsoft’s internet explorer in PC web. It separates its browser and 3rd party contents as web browser does.
Target Area
Around me Moving
Existing info Location database
New content, created for AR
“Where is..” City Tours
StorytellingAR GamesArt walks
New artMessages & Graffiti“What’s going on”
Most of the cuttent layers
Most interesting area for Layar!
-Lead: AR Browser
-Open Platform
-More than 1500 Content Providers
-More than 300 Layers*
-Development tool for developers
-3D Art, Storytelling, Game
Characteristic
* Layer: AR Contents displayed by Layar
Brands on Layar
ProfitModel
•Fees: integration, licensing, sponsoring, hosting/mtn.• will-be: premium content layers and advertising
Let’s look into their positioning firstSekai Camera is trying to make this world full of Tagging. The main contents are made by users themselves.
-Lead: Tagging the World
-User generated contents features
based on Air Tag
-Social Communication Features:
Life log, Profile, Tweet
-Social Networking based on real
world location
•Business Solution (Sekai Camera eX) Sales+ advertising (will-be)
-User Participative Platform Service
-Free version: for Consumers
-Paid version: Enterprise Solution
(Sekai Camera Ex)
Target Area Characteristic
ProfitModel
Let’s look into their positioning firstAcrossAir’s profit model was quite simple. To make and sell the app is main profit model. Now it launched AcrossAir AR browser which resembled Layar. But 3rd party original contents are rare.
-Lead: N/A (power AR s/w
house?)
-Many apps: Nearest Places / Wiki
/ Tube / Photos AR / TV Guide
-STELLA ARTOIS App: AR guide
to find a bar nearby (other apps
are similar)
•App Sales•App Development (Sponsorship)
-AR apps developing S/W house
-AR navigation and contents look up based
on location many subway station
navigator by cities.
Target Area Characteristic
ProfitModel
Their business model? Multi-sided market model This is preliminary business model of Layar. Many revenue pipeline can be seen. In-app purchasing of layers is another big revenue potential.
비즈니스 모델 유형 ( 예 )
(Biz Model Canvas from BusinessModelGeneration.com)(Source: Vision Arena)
AR Browser
Layar.com
Apple AppStore
GoogleAndroidMarket
Nokia Ovi(?)
Developer
BuildAR.com
B2C Customer
Platform
Developer API
Training
Premium Content
3rd PartyDev Tool Provider
Dev Partner for Premium
Content
OEM
License Fee
Hosting
Hosting fee
B2B Customer
Sponsoring Fee
Advertising Fee
Advertising Agency
DevelopmentCost
Platform Operation Cost
Their business model? Cross subsidiary business model
This is preliminary business model of Sekai Camera. It has more potential on advertising in the future.
비즈니스 모델 유형 ( 예 )
(Biz Model Canvas from BusinessModelGeneration.com)(Source: Vision Arena)
AR Browser
Sekai Camera.com
Apple AppStore
B2C Customer
Platform
Training
Solution Partners
(Hosting)
B2B Customer
Solution Sales
Advertising Agency
DevelopmentCost
Platform Operation Cost
WPS Providing Company
Solution Cost Advertising fee
Solution
Sekai Camera.com
Their business model? App Factory (simple)This is preliminary business model of AcrossAir. Its major revenue seems coming from app sales itself.
비즈니스 모델 유형 ( 예 )
Sponsored App
AcrossAir.com
Apple AppStore
B2C Customer
Platform
Sponsored App
Development
B2B Customer
App Sales Revenue
Advertising Agency
DevelopmentCost
Platform Operation Cost
Sponsoring fee
AR Browser
Advertising fee
Free
Paid
Sponsored App
Free
(Biz Model Canvas from BusinessModelGeneration.com)(Source: Vision Arena)
Their business model is more different than it looks.Three leading mobile AR app providers are having quite different business models and approaches to go to the market. More distant than its functionality.
Business Model is Different!
This is the end of document and the start of our discussion.
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