Over the last few years, developers have increasingly complained about paying fees to Apple or Google for App Store or Play Store distributions. App makers have often said that both companies make it difficult for them to earn money outside of their systems. New York-based app revenue management platform Adapty wants to change that with its new offering called FunnelFox, which helps acquire customers through websites or web apps.
The idea behind FunnelFox is simple: it helps app makers create quizzes or experiences on the web to acquire or onboard customers. And once the customer pays, they get a link to download the app. This way, the app makers don’t have to pay up to 30% of the app store tax.
“A year ago, I had a chat with our top customers of the revenue tracking product and realized that they acquire a big chunk of customers through the web by building acquisition funnels internally. We thought that this is a big opportunity and decided to build FunnelFox to make web funnels easier for everyone,” Adapty CEO Vitaly Davydov told TechCrunch over a call.
Adapty has been working with a closed set of over 100 customers for over a year to try out FunnelFox. The company said it has tracked $20 million in revenue during this phase, and customers have seen their revenue double as compared to direct revenue from mobile in-app purchases.
FunnelFox has a drag and drop tools to build quizzes to acquire customers. It also has an AI component, which can suggest different questions based on the App Store or Play Store link of the app.
The startup has two core parts of the business: an SDK that helps app makers with subscriptions and a platform for marketers to target audiences and understand the lifetime value of a customer. FunnelFox is the latest edition of its suite. Customers can use FunnelFox separately from Adapty while using another app revenue tracking solution, such as RevenueCat.
FunnelFox works on a revenue sharing basis, with the company taking a cut on user acquisitions. Adapty said tiered pricing for FunnelFox, but didn’t specify exact details.
Adapty has raised $2.5 million in capital until now. Davydov said that the company is profitable. While the startup is not actively looking for funding, it is open to exploring fundraising.
The company serves 10,000 applications and has tracked $1.2 billion in revenue per year. This is up from 2,500 apps it tracked in 2022. Davydov said the company is consistently growing both in terms of number of apps and revenue tracked.
The startup wants to add more AI to its products. For Adapty, it wants to use AI to help app makers create payment screens that will give them better conversion rate by suggesting design and rates.
