Before I ask the question, I have gone through the Android In-App billing documentation, and some similar questions on StackOverflow like this. Also I am guessing this question may be closed or down-voted, as its not a direct programming question and is subjective in nature. But still, here it goes.
The implementation works fine. My question is what would be a good way to store the in-app purchases locally. In my case, there is only one one-time unlockable item which unlocks full functionality of the app, and does not expire or get consumed.
Shared Preferences seems a little too easy for piracy. Even though querying the Google Play works fine and seems relatively secure, is it good enough to rely on? Since the documentation recommends to make the call asynchronously, it doesn't sound like a good idea that the user who has paid for the unlocked features, might have to wait to get access to the unlocked features. Also, when the GP cache is cleared, it takes longer than usual (which might be a rare scenario).
But seeing that there are so many apps and developers, I am wondering how other developers handle it?
Actually i think that your question will be closed for a few different reasons, but i will give you some insights.
You have a few options, depending on the nature of the products, and in some other things.
If you take a look at the section "Consume a Purchase" of the guide purchase iab products you can read:
Once an item is purchased, it is considered to be "owned" and cannot be purchased again from Google Play while in that state. You must send a consumption request for the item before Google Play makes it available for purchase again. All managed in-app products are consumable. How you use the consumption mechanism in your app is up to you. Typically, you would implement consumption for products with temporary benefits that users may want to purchase multiple times (for example, in-game currency or replenishable game tokens). You would typically not want to implement consumption for products that are purchased once and provide a permanent effect (for example, a premium upgrade).
For consumable products:
It's your responsibility to control and track how the in-app product is provisioned to the user. For example, if the user purchased in-game currency, you should update the player's inventory with the amount of currency purchased.
Security Recommendation: You must send a consumption request before provisioning the benefit of the consumable in-app purchase to the user. Make sure that you have received a successful consumption response from Google Play before you provision the item.
Anyways, at any range i would recommend to keep track of all the products that an user buys and all the privileges that he has by yourself, since it is faster, and it could be useful for some other things like custom stats, reporting, etc.
You should use a backend web server if you're concerned about piracy. Google has a web api for checking if a purchase is legit. Have the device contact your web server. Have the web server validate with Google. If valid then let the device download your assets from the server.
If the in app item is not an asset, but a consumable item like in a game maybe have your server return an encrypted string that your app knows how to decipher.
If you rely completely on locally stored purchase info it will be very easy to spoof.
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