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Taiwan Is the Next Billion-Dollar App Market

Smaller markets can provide valuable testing grounds for new apps. With high smartphone penetration, a strong gaming culture, and users receptive to foreign apps, Taiwan offers overseas developers an opportunity to enter Asia's app ecosystem.

Historical article. Product claims, platform details, and timing advice in this article have not been verified for today.

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In brief

Taiwan offers foreign app developers a promising testing ground and entry point into Asia. The article highlights 78% smartphone penetration, an average of 40 apps per user's phone, and openness to international mobile games, while emphasizing that market entry does not guarantee success.

Since their development began in 2008, apps have faced considerable challenges in achieving major success. For app developers, testing the waters in a market with lower risk and a greater chance of success has become a crucial step before entering a new market. Smaller markets, which are sometimes overlooked, may offer an excellent testing ground for new apps.

Taiwan is one such thriving market. For foreign developers looking to expand into Asia, Taiwan will be the next billion-dollar app market。

To understand the advantages of Taiwan's market, we must first look at Asia's overall app economy. Cultural differences and preferences mean that Asia's app economy often favors locally developed apps, making it harder for Western developers to enter the market. Achieving meaningful localization inevitably comes at a high cost. China is a typical example: its app ecosystem is distinctive, and consumers prefer local apps, giving local developers an advantage. Whether in dating apps, ride-hailing services, or other categories, foreign developers find it difficult to gain a foothold.

What Makes Taiwan Special? High Smartphone Penetration, a High-Value Gaming Market, and Openness to Foreign Apps

With foreign apps struggling to enter Asian markets, why is Taiwan considered Asia's most promising app market? In the gaming sector, games have long been deeply rooted in Taiwanese culture. Taiwan's iOS and Google Play download rankings feature mobile games from around the world. Taiwan also has a smartphone penetration rate of 78%, with an average of 40 apps on each user's phone. This represents a substantial opportunity for foreign developers.

In 2015, Taiwan's revenue on both iOS and Google Play continued to grow, placing it among the top 10 markets by revenue on both platforms. Taiwanese players are familiar with games and accustomed to making in-app purchases. Forecasts indicate that the value of Taiwan's gaming market will grow fourfold over the next four years.

Many mobile games from around the world have already succeeded in Taiwan. Taiwanese users are welcoming toward apps from outside Taiwan and have no bias against them, giving foreign developers a greater chance of success in Taiwan's app market. Taiwan also demonstrates that developers can still find opportunities in a relatively small Asian app market. This also suggests that other emerging Asian markets, such as Thailand and Indonesia, may have a degree of influence in the future. Building a user base in these countries gives developers an opportunity to pursue larger Asian markets, such as Japan and China. Using Taiwan as an entry point into Asia's app ecosystem does not guarantee a product's success, but Taiwan is certainly an app market worth exploring further。

http://www.bnext.com.tw/article/view/id/40095

Frequently asked questions

Why does the article identify Taiwan as a promising market for foreign app developers?

It highlights Taiwan's high smartphone penetration, established gaming culture, and users' openness to apps from abroad. These factors give foreign developers a greater chance of success.

What smartphone usage figures does the article cite?

The article reports smartphone penetration of 78% in Taiwan and an average of 40 apps on each user's phone.

How did Taiwan's app market perform in 2015?

Revenue continued to grow on both iOS and Google Play. Taiwan ranked among the top 10 markets by revenue on both platforms.

How could Taiwan help developers expand into other Asian markets?

Taiwan provides a market in which developers can test their apps and build a user base. The article suggests that establishing users in smaller Asian markets can create opportunities to pursue larger markets such as Japan and China, although success is not guaranteed.

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