App developers face many challenges in India, with lofty in-app payment commissions being the chief, followed closely by high listing fees. Part of this stems from the duopoly of Apple and Google in the space, which allows them to charge up to 30% commission for in-app purchases in India.
PhonePe, a popular digital payments app in India (and owned by Walmart Inc.), aims to solve this problem with its homegrown app store. Called Indus Appstore, the platform offers developers an alternative distribution channel to release their apps and consumers an alternative store to download apps on their Android devices.
Here’s what PhonePe’s Indus Appstore does differently from the Google Play Store.
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A Launch Pad for New App Developers
Marketing new apps can be challenging. Indus Appstore has built a dedicated destination, which it calls “Launch Pad,” to address this.
As the name implies, the Launch Pad will help new developers on the platform by improving the visibility of their apps. In addition, it will also help them with search optimization so they can get their apps in front of more users.
Zero Listing Fees
Besides offering a Launch Pad, the Indus Appstore also promises to charge zero listing fees to developers. This appears to be a promotional offer for just one year—until April 1, 2025—beyond which the platform may start charging some fee. Considering the company’s objective behind the platform, the fee shouldn’t be exorbitant.
For comparison, Google charges commissions ranging from 11 to 26% depending upon the revenue generated by the developer.
Freedom to Choose Any Third-Party Payment Gateway
Another thing about Indus Appstore that will entice app developers in India is the freedom to choose any third-party payment gateway for in-app billings. This means developers can easily integrate their preferred payment gateway into their apps, and users can use them to pay for in-app purchases without any problem.
While Google also recently introduced a third-party billing system under the new policy, there’s some resistance from Indian startups as they believe that they will have to sign up for additional paperwork to use external payment gateways. PhonePe plans to fill this gap making the process developer friendly.
Zero Commission on In-App Purchases
Building on the freedom to choose a payment gateway, Indus Appstore also doesn’t charge any commission. So, no matter which external payment gateway developers implement into their apps, they won’t have to pay any cut for their sales.
Platform Localization
The Indus Appstore, being an indigenous platform, aims to cater to a wide Android user base in India. To do this, it has added support for 12 Indian languages (besides English), which enables people from different parts of the country to discover apps on the platform in their native language.
Mobile Number-Based Login
Most people in India prefer to use their phone number (over email address) to sign up for any new account or service since it’s easier to remember. Factoring in this usage behavior, Indus Appstore has created a new login system, which allows users to log in to the app market and access their account with just their phone number.
24/7 Customer Support for Developers
Indus Appstore promises to provide 24/7 support to its developers through its local teams, which can offer assistance over email or chat to help developers navigate their way through challenges.
Creating a Free Market Competition Won’t Be a Cinch
Alongside the above incentives, Indus Appstore also has some other elements, such as video-based discovery and targeted user cohorts, aimed at improving the app distribution and discovery experience for both developers and users. Put together, they make the Indus Appstore a promising alternative (for now) for the Google Play Store.
Of course, only time will tell how well these propositions materialize and fare over time. Till then, the job isn’t done, and Indus Appstore will have to focus on several areas—like expanding its app catalog, improving its reach, building a community, and last but not least, offering developers and users even more incentives to stick to the platform—to increase its likelihood of succeeding in its objective.
Indus Appstore is now available for download on Android devices running Android version 8.0 and above. At launch, it has over 200,000 apps and games, including some popular names like Spotify and Flipkart, across 45 different categories.
