Internet users would pay up to $50 per year to use their favourite apps such as YouTube if these apps weren’t free.
That’s according to new research by McGuffin which measured the value of free apps users would place on them if a subscription fee was required.
YouTube attracted the largest average subscription fee of $4.20 per month (72% users) followed by Google Maps at $3.48/month.
Meanwhile, the largest majority of users (89%) would rather pay to use WhatsApp ($2.38 per month) than lose access to the app.
Facebook attracted the smallest share of users willing to pay (64%) at $2.92 per month. Facebook Messenger, Venmo, Instagram and Twitter were among the apps fewer users would be willing to pay for.
The study found that women would pay 20% more than men for Google Maps, Facebook and Pinterest. Millennials would be happy to pay 78% more for Instagram and 42% more for Google Maps compared to baby boomers.
McGuffin then calculated revenue projections if app companies were to charge a subscription fee versus their current advertising revenues.
Reddit would see the largest revenue increase of 10,771% followed by YouTube at 1,928%. Facebook’s revenues would increase just 16% given that the company already generates $46 billion from ad revenues.