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I'm developing a "free" iphone app for selling shirts based in an Asian country. The payment method is by credit cards or wire transfer, not by Apple's in-app purchases.

Does Apple allow this kind of app in their store? If so, do I have to share revenue with Apple?

Gilt also sells items online in their app. Do you know what's Gilt's business model? Do they share revenue with Apple?

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Please contact me, as I am very interested in your app, but in a discussion that is not relevant to onstartups.com (I would rather not get flagged or voted down). (contact me at ron @ (my domain, listed on my profile) – RonGa Nov 29 '11 at 14:54

4 Answers

up vote 3 down vote

AFAIK Apple don't allow you to have "In App" purchases without using their system and giving them their cut. Doing so is a ToS violation and could get your app pulled.

As far as I can work out you can do a simple link to a web page from your app.

Even Amazon had to comply

http://www.computerworld.com/s/article/9218629/Amazon_caves_to_Apple_drops_Kindle_s_in_app_button

http://www.pcworld.com/article/227899/apple_inapp_purchase_policy_has_consequences.html

http://www.pcworld.com/article/227899/apple_inapp_purchase_policy_has_consequences.html

(Disclaimer - I am really not involved with Apple/Mobile business so may be talking rubbish!)

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up vote 2 down vote

Apple in-app purchase is only for (and required for) non-tangible goods. For that, they get 30%.

IF you are selling tangible goods (shirts, etc) use other services like braintreepayments or zooz

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I have done research on this already and this particular answer is the correct one. Voted up! – Ali Jul 17 '12 at 11:46
up vote 1 down vote

I can't give you a 100% answer from experience, but Amazon has an app for the iPad, and there is no way Amazon is giving apple 30% or anything really. They don't have such big profit margins and would use a web app instead if they were giving up a percentage of sales.

I know recently (a few months now) Apple changed their terms, and this is no doubt why you are worried. At the time I spoke to Apple and couldn't get a straight answer, however I think comparing to what others are doing might be the best evidence you can find.

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Not sure you can take for granted that an unknown can get the same commercial terms from Apple as a company like Amazon. – Ryan Nov 18 '11 at 9:34
Good point Ryan, it certainly needs to be considered. I guess my experience was that you don't get a straight answer from Apple, they basically said submit your app and see what happens. With this is mind, other companies experience may be the best you get. – Joel Friedlaender Nov 18 '11 at 23:49
up vote 1 down vote

The TOS for apple is clear that IAP must be used when selling virtual goods, and cannot be used for selling tangible goods.

eBay will sell about $5B of merchandise this year via their app, without giving apple a cut from the sales.

While apple can always change the rules, under the current ones, you have nothing to worry about.

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