A recent court ruling has significantly altered the mobile app landscape, forcing Apple to allow developers to redirect users to external purchase options without the infamous 30% "Apple Tax." This landmark decision opens new opportunities for app developers and businesses to optimize their revenue strategies.
What's Changing?
- External Payment Options: Apps can now include links that redirect users to web-based payment flows
- No 30% Commission: These external purchases are exempt from Apple's standard 30% commission
- Flexible Pricing: Web payment flows allow for dynamic pricing and product changes without requiring App Store review
- User Notification: Users will see a standard disclosure message during redirection
This change represents a fundamental shift in the App Store ecosystem that has been dominated by Apple's payment policies for over a decade.
RevenueCat's Expert Analysis
Our partners at RevenueCat have been closely following this legal battle and have published an excellent analysis on the implications for app monetization. In their recent article "Apple Anti-Steering Ruling: What It Means for App Monetization Today," they highlight several key points from the court ruling:
- No Apple Tax on Web Purchases: Apple cannot impose any commission or fee on purchases made outside the app
- Unrestricted Linking: Apple cannot restrict the placement, formatting, or content of in-app links that send users to external purchase pages
- No Gating or Scare Tactics: Apple cannot interfere when users decide to leave an app to purchase beyond a neutral redirect notice
As RevenueCat points out, Judge Yvonne Gonzalez Rogers called Apple's previous 27% "work-around" fee "a gross miscalculation" and ordered immediate compliance with the new rules.
Apple's Position vs. Financial Reality
Apple maintains that the native in-app purchase experience delivers superior conversion rates compared to external web flows. While there's likely some truth to this claim, the critical question is whether any conversion advantage justifies a 30% revenue share.
Our analysis suggests that even if the native experience does convert better, the difference is unlikely to offset the substantial commission savings. We anticipate that market forces will eventually push Apple toward a more reasonable commission structure – likely around 10% – that reflects a legitimate premium for the convenience of their payment system without the excessive markup we've seen historically.
Anticipated Challenges: App Review Delays
One immediate consequence developers should prepare for: significantly increased App Store review timelines. As Apple adjusts to these policy changes, we expect:
- More scrutiny on apps implementing external payment links
- Evolving policies as Apple refines its approach to this new environment
- Potential bottlenecks in the review process as Apple's team adapts
Plan for longer review cycles in the coming months and consider this timing in your release schedules.
Implementation Strategy: Use Data to Guide Your Approach
While the financial benefit of avoiding Apple's 30% commission is clear, there's legitimate reason for caution when implementing external payment flows:
- External web checkouts introduce additional friction with app-to-web transitions
- The disclosure message required by Apple could reduce user confidence
- Mobile web payment forms typically have higher abandonment rates than native experiences
- Your specific user base may respond differently than industry averages
This is why analytics must be central to your implementation strategy.
Recommended Cautious Approach
Following RevenueCat's guidance, we recommend:
- Implement a Gradual Rollout:
- Set up two paywall variants to A/B test:
- Variant A: Your existing IAP-only paywall
- Variant B: Same paywall plus an external purchase button ("Best Deal")
- Target U.S. iOS traffic only initially using geolocation filters
- Let data (conversion rates, revenue, churn) decide which approach works best before global rollout
- Set up two paywall variants to A/B test:
- Build a Comprehensive Analytics Framework:
- Track conversion rates across both payment methods
- Measure completion rates at each step of the purchase funnel
- Analyze user journeys and identify specific drop-off points
- Compare net revenue impact (factoring in both conversion changes and commission savings)
- Test different messaging, UI approaches, and price differentials
This data-driven approach is essential for mitigating the risk of the new external checkout experience. By carefully evaluating performance before fully committing, you protect your revenue while still capitalizing on the potential savings. The goal is to find the optimal balance between conversion rate and commission costs that maximizes your bottom line.
How Rapptr Can Help
Our team at Rapptr has been preparing for this change and is ready to support your implementation:
- Strategic Implementation Planning: Our experienced team will develop a custom approach for integrating external payment flows into your specific app
- Custom Analytics Configuration: We'll help you set up the right measurement framework to evaluate performance across payment methods
- UI/UX Best Practices: Research-backed designs to maximize external checkout conversion
- Engineering Resources: Our skilled engineers can join your team to build and implement these new payment flows while ensuring App Store compliance
Leveraging RevenueCat's Solutions
RevenueCat has moved quickly to support developers with this new opportunity. They've launched a "Web Paywall Button" feature that allows you to jump users from your in-app paywall to a RevenueCat-hosted web checkout and then automatically unlock entitlements upon return to the app.
As part of our implementation strategy, we can integrate with RevenueCat's subscription management platform to help:
- Simplify the technical challenges of managing users across both payment systems
- Provide unified analytics across both native and web purchases
- Create an optimized, data-driven approach to maximize your revenue
We're ready to help you navigate this new opportunity to potentially increase your profit margins by up to 30% on digital goods and subscriptions.
Next Steps
If you're interested in implementing external payment options in your app, we're ready to help:
- Contact your Rapptr representative directly, or
- Fill out our contact form to schedule a consultation
Our team will help you develop a strategy tailored to your specific app and user base that balances convenience with profitability. We can have you set up with the right implementation and analytics framework within weeks.
The mobile app ecosystem is entering a new era of payment flexibility, and with the right approach, your business can be at the forefront of this opportunity while minimizing risk.