Digital Gabe
Cutting Edge Commentary On All Things Media

Forget In-App Purchases . . . Let’s Talk In-Skill Purchases

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Connected smartspeakers, like Amazon’s Echo and Google Home, have transformed how we interact with technology around us.  Instead of touching a keyboard or screen to give our devices a command we now speak to them.  This phenomenon has ushered in what’s now being termed the Age of Voice.

Given that backdrop we shouldn’t be surprised to see Amazon pushing the limits of Voice by allowing voice-based purchasing within third party skills.  Effective immediately skill developers (think next gen app developers) can enable voice purchases within their skills which live on the Alexa AI platform.  This feels like a strong native engagement play, because if a consumer enables a third party skill in the first place you know they’re predisposed to the brand behind the skill.  So why not take the friction out of the buying process by enabling voice-activated purchasing in that moment?

This is an exciting development for skill developers who have a new monetization tool, and also a smart business play for Amazon.  As the platform’s owner Amazon will take a 30% cut of all in-skill purchases made and rev share the remaining 70% back to the vendor on the other side of the purchase.  So it looks like everyone will be taking a piece of the new in-skill purchase revenue pie.

 

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