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iphoneguaco
Jun 7, 2012, 04:43 AM
Hi all, about to submit a new iPad app. It's moderately intricate. Was initially planning on setting the price at $1.99, but I was scoffed at by developer friends who say I should be setting it at at least $4.99. My concern - weighing volume against price point. Has there been any concensus as to what is the most lucrative model to use when setting a price for an iPad app submission?

I know for iPhone $.99 is the way to go, but there seems to not be as much concensus with iPad pricing. Please let me know your thoughts.


Guaco



driftwoodtea
Jun 7, 2012, 05:06 AM
Without knowing exactly what your App does, and who your target market is, creating a pricing strategy is difficult however, in theory:

Is your App worth $4.99?

Is it an App with mass market appeal or does it target a small specialist segment? Very generally profit will be maximised in the former by entering at a lower price and selling in volume. The latter - where your App performs a specialist service that is of benefit to a select group of individuals - are likely to be prepared to spend more were your App to save them time, money or make their life easier in the long run.

If there are similar Apps already available, how much are their developers charging for these?

At the end of the day it's far easier to enter higher and discount if sales aren't as high as you expect they could be, than it is to raise your prices later. This strategy has lots of benefits.

My advice without knowing more would be to enter higher and then discount. There are numerous stories of developers who've dropped their App price, only to see an exponential rise in sales that more than offset the loss in per unit sales.

Hope this helps.

James

BJMRamage
Jun 7, 2012, 08:12 AM
Starting higher then having a Discount day and Promoting it is a great thing that gets me to buy an app.

$5 to $2 is a 60% decrease in price.
Set it at $5 for 1-2 weeks. see how sales go, promoting it as you would. Then fro it for 2 weeks, or just one to $2 and see how sales go, promoting it as you would.

Through it back to $5 and see how the numbers -drop, rise, stay the same.

Many developers say they earned big bucks when the dropped their app prices significantly. the idea is is you say for Limited Time or until X Date and then people jump on it and if they like it, they help promote it...I know I've done that with apps I really like when they are on sale.

anjinha
Jun 7, 2012, 08:21 AM
Even if you make it up in volume by making the app cheaper having more customers also means more support to handle.

w00t951
Jun 7, 2012, 08:55 AM
Even if you make it up in volume by making the app cheaper having more customers also means more support to handle.

I've had iOS devices for years. I have honestly never Googled an app problem, let alone contacted the developer.

It would seem (at least to me) that customer service is a non-concern.

anjinha
Jun 7, 2012, 08:56 AM
I've had iOS devices for years. I have honestly never Googled an app problem, let alone contacted the developer.

It would seem (at least to me) that customer service is a non-concern.

You're not the average customer. Most people don't know how to find answers to their issues. I handle customer support for iOS developers. Trust me, it is a concern.

And it's not just problems but also feature requests, reporting bugs or crashes, complaining about something that they don't like, asking for promo codes, asking if the app will go on sale... Then there's people who are not very comfortable with iOS so they don't know they can re-download their purchases for free, they don't know how to sync with iTunes or backup the data in their apps, etc.

And for some reason the cheaper apps have much more customers that feel entitled to everything they want, so they're much more likely to email support.

w00t951
Jun 7, 2012, 09:07 AM
You're not the average customer. Most people don't know how to find answers to their issues. I handle customer support for iOS developers. Trust me, it is a concern.

And it's not just problems but also feature requests, reporting bugs or crashes, complaining about something that they don't like, asking for promo codes, asking if the app will go on sale... Then there's people who are not very comfortable with iOS so they don't know they can re-download their purchases for free, they don't know how to sync with iTunes or backup the data in their apps, etc.

And for some reason the cheaper apps have much more customers that feel entitled to everything they want, so they're much more likely to email support.

Well, learned something new. I guess consumers are really whiny.

anjinha
Jun 7, 2012, 09:08 AM
Well, learned something new. I guess consumers are really whiny.

Yeah, some. A lot of them are nice, just not very tech savvy. But there are a few that are very demanding and think paying $1 for an app entitles them to anything they want.

OP, this might not be a concern until your app gets fairly popular but it's just something you should keep in mind.

macbookflasher
Jun 9, 2012, 09:13 AM
I think it would be for 430$ ... Am I right friends?