However, the proportion of paid downloads and the overall revenue still lag behind that of the United States and Europe. Distimo reports that customers in Asian markets are more inclined to download a free version of an app vs. pay for an ad-free version. The average download volume of the 300 most popular applications (free and paid) in all Asian countries combined is about equal to the average volume in the United States.
But for paid applications only, this ratio drops to one-third, showing that iPhone users in the United States are more eager to pay for applications. Excluding Japan, this figure even drops to one-sixth.
Distimo says that Japan actually generates the majority of the revenue in Asia regarding iPhone apps. The total revenue in Asia is about two-thirds of the revenue in the United States. This figure is higher than one-third due to the higher average selling prices of the 300 most popular applications in Asia ($2.62) compared to the United States ($1.48).
Moreover, in-app purchases have not yet taken off in Asia. For example, in China only 34% of the revenue from the 200 top grossing applications originates from applications that feature in-app purchase. But that doesn’t mean that in-app purchases could quickly scale in Asian markets in the coming year. In the U.S., in-app payments nearly doubled in a year. Distimo says in June 2010, revenue from applications that feature in-app purchase in the United States was only 39%, however by May 2011 it increased to 68%.