More seriously: It is a given that app stores primarily generate free content for the platform-owner and enhances the value of supported platforms. (Additional outlays for dev+test hardware+licensing+developer-hours add insult to injury) Surprisingly not many developers seem to care or account for. With the amount of free noise in there, it is not surprising that you guys experienced what you did. Thanks for confirming what we had deduced indirectly.
Our startup launched deliberately as a web-app even though it would've been easier to get more (initial) eyeballs with a mobile-first strategy. For reasons you develop (and more), mobile apps aren't part of our current road-map (although we do address form-factor related nuances). We did consider expending resources to go mobile a few weeks ago but it made more sense to focus on creating new "content".
Last, the level of control gained (as you allude to) by owning A-Z of the product+distribution is truly empowering. That said, there is an undeniable development and eyeball cost associated with it. We should acknowledge this.