So you’ve decided to release a non-free iOS app. But how much to charge for it and which payment model to choose? In this article we’re going to look at some options.
Finding the right price for your app is not easy because it’s all about maintaining balance. Obviously, you need to make enough money to cover your costs and earn, but you also need to price your app correctly to make it marketable. Plus there are other factors you should consider.
The bad news for developers is that the average app cost continues to decline. There are tons of free apps out there and paid apps are moving towards the freemium model. That’s when you give a basic version of your app for free, while charging for a more advanced version. The average price for a freemium upgrade is between $0.99 and $2.49. If you are thinking of marketing your app as freemium, make sure that the free version is not too restricted and offers some value. If it’s just a demo version that doesn’t do anything, you’ll keep getting low ratings and negative reviews instead of sales.
If you want to charge for your app upfront, you should do everything you can to prove to users your app is what they need and there is no free or freemium equivalent. You should also do all the hard work and make the app totally worth the price. Successful paid apps are known to perform as well as the free apps if the price is right for the functionality the app provides.
The exact price you set depends on the functionality + demand balance. You should also take into account offers from your competitors, so that your app is not more expensive than theirs without providing additional value.
