PhonePe Strives for a Larger Share in App Store Market
Six months since its launch, PhonePe’s Indus Appstore — an alternative to Google Play Store — continues its fight for large-scale adoption by smartphone manufacturers and consumers.
The app store has recorded two million downloads since its launch, which is just 0.3% of the country’s smartphone users. According to analysts, the pace needs to quicken if it has to dent Google s near monopoly in the segment.
The biggest hurdle Indus faces is convincing smartphone manufacturers to pre-install it on their devices. Users have to download it from the company’s website, and also see a warning from Google’s Android that the file may be unsecured.
Google Play Store comes pre-installed in all Android phones.
Most smartphone manufacturers are evaluating PhonePe’s proposal to pre-install Indus Appstore, executives at smartphone companies said.
Demand from end-users, and privacy and security concerns are likely to shape their final decision.
One industry executive said they do not want to affect user experience by pre-installing apps that may not be required.
“The conversations are progressing very well. We are in advanced discussions with several other major smartphone manufacturers, which will further help amplify our reach,” PhonePe said in response to FE’s query. “Indus Appstore is a part of the PhonePe group and it will always prioritise user privacy, with the highest standards of security and clearly defined policies,” PhonePe said.
The company did not share any timelines on pre-installation in smartphones.
According to smartphone manufacturer Lava, while deciding on pre-installation or adopting any feature or app which has a consumer demand, the company goes through a complete testing cycle related to performance and security norms.
“At Lava, new adoptions rest on two key parameters: consumer requirements and the product qualifying our security standards. We have a zero bloatware policy as we strive hard to maintain the quality of our products alongside increasing the value proposition of our portfolio,” said Sumit Singh, product head at Lava International.
“We have invested in innovative solutions and shall continue to do that which assures good experiences and safety of our consumers,” he said.
Another industry executive said unless a manufacturer unbundles Google, which is “nearly impossible to do, you cannot create an alternative app store”. Unbundling would mean preventing or restricting its apps from being pre-loaded on Android smartphones, with users having a choice to uninstall them whenever they want.
Before being acquired by PhonePe, Indus Appstore was called Indus OS. It operated an app marketplace called App Bazaar, which partnered with 12 mobile brands in India and even powered Samsung’s default app store, Galaxy Store. However, it failed to make an impact.
“Most OEMs (original equipment manufacturers) have worked with the Indus team in the past and consider it as a relevant partner to build an India-focused app store, while solving for monetising this category,” PhonePe said.
The company said smartphone makers have strategies related to alternate app stores and app discovery platforms.
Key features of Indus Appstore include no commissions on in-app purchases unlike the 15-30% fee that Google and Apple charge. It allows developers to list their apps in 12 Indian languages, besides English. It supports third-party payment methods, and allows developers to upload media and videos to their app listings in these languages.
Other localised features offered by Indus Appstore include app discovery via short videos, and the easy login with mobile number instead of email address, and a 24×7 support for developers.