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How to price your iPhone app out of existence

losingfight.com

11–20 of 44 posts

Re: How to price your iPhone app out of existence

#11
I don't think its possible to raise the prices. I mean sure you are supposed to compete on things other than price...but most iPhone apps aren't rocket science. Anything you can come up with, can get copied very quickly. So why would someone pay $9.99 for your app, when they can pay $.99 for an app that has all your features, on top of whatever else they come up with

Re: How to price your iPhone app out of existence

#12
post #4

This post seems to gloss over the point about VALUE. Sure, sell your app for $9.99 if you want. But it'd better be worth it. And almost all of the apps ON the app store are little quick pieces of fluff, barely even worth 99 cents. Even the better pieces of software are mostly timesavers or memory aids, games notwithstanding. The problem seems to stem from the fact that there is this expection to spend a few weeks and…

Omnifocus for iPhone was 19.99 and worth every penny. I could of paid 199.99 and it would of been good value. This app lets me offload the kinds of thinking my brain is bad at into something I always carry. You can't put a price on having that in your pocket.

I'd hesitate to say I had any desktop apps more useful then omnifocus iPhone, which effects me more like a neural upgrade from a sci fi novel then a cell phone app. iPhone apps could be like primitive cyborg upgrades with a primitive MMI solution grafted onto the part where the human interacts with the machine part.

I hope people support apps with high prices and really cool stuff gets developed. the problem isn't price or value or anything like that, it's that no one has any interesting vision of what the future of this phone could hold.

Re: How to price your iPhone app out of existence

#13
post #3

I don't think I have a ceiling on the price I would pay for an iPhone business/productivity app. I would pay hundreds of £/$/€ if the app made me that much in return.

Target market comes into play in this case. Businesses make decisions this way, individuals don't.

Re: How to price your iPhone app out of existence

#14
post #4

This post seems to gloss over the point about VALUE. Sure, sell your app for $9.99 if you want. But it'd better be worth it. And almost all of the apps ON the app store are little quick pieces of fluff, barely even worth 99 cents. Even the better pieces of software are mostly timesavers or memory aids, games notwithstanding. The problem seems to stem from the fact that there is this expection to spend a few weeks and…

Some of the apps are genuinely useful - there's an app that will capture a sample of a song and identify it. I would pay at least a few bucks for that. Maybe not $10, but $5 easily. But on the store it's free , without ads. I don't get it. That's throwing money away.

Don't they use affiliate links for when you purchase the song from the (iTunes?) music store.

Re: How to price your iPhone app out of existence

#15
post #6

He may be right but I would have liked to see a deeper understanding of price elasticity of demand, as well as some data to back up some of his claims.

right, i'm not sure why the author feels like he has a god-given right to make $50,000/year no matter what kind of iphone app he/she develops. go ask any of the top 10 iphone application developers -- i don't think any of them are having trouble with the 50k/year barrier. the marketplace will be the same as the web: the majority of attention goes to a small number of sites. just because i put out a website of margina…

He didn't say that he has a right to make $50,000 year no matter what. He said that if you are not going to make $50,000 a year then your company is not going to survive, so you need to find a way to make at least that much money.

How much money the top 10 developers make is inconsequential to all the other developers that aren't in the top 10. The top 10 will always be filled mass-market applications. Most developers aren't developing applications with mass-market appeal.

Re: How to price your iPhone app out of existence

#16
post #11

I don't think its possible to raise the prices. I mean sure you are supposed to compete on things other than price...but most iPhone apps aren't rocket science. Anything you can come up with, can get copied very quickly. So why would someone pay $9.99 for your app, when they can pay $.99 for an app that has all your features, on top of whatever else they come up with

If you build a good app for $20.00 then somebody might clone it for $2.00. But, will they survive on their clone? Probably not, if they are living in a rich country. You just need to outlast these cheap knock-offs until their developers get bored and move onto something else. It might be a constant stream of knock-offs, but the longer you last, the better the reputation you build. Reputation is worth a lot, especially with people whose lives don't revolve around software development.

A good developer in SW Asia, SE Asia, Africa, or Eastern Europe will always have an advantage over you regarding price. $10,000 or $20,000 a year goes a long way in those places (I lived in Thailand for $1K a month without even trying to be cheap). But, that is the case with other parts of the software market and somehow Asian, African, and Eastern European companies haven't taken over the while software development market yet. Probably in the long term they will, but that is years off.

Re: How to price your iPhone app out of existence

#17
post #8

What the appstore needs is not higher prices, it needs fewer developers: if there are 20 apps doing X then each only makes enough money to get by, but if there were 2 apps doing X they both could invest into making new features. What we need is a serious recession with a healthy round of bakrupcies and mergers.

More people losing their jobs means more people with free time to build an iPhone app while they look for a new new job. Plus, a poor economy lowers the market for these unnecessary goods. So it is likely the result of a serious recession is more competition for fewer customers.

Apple could reduce the number of iPhone developers by charging more for the SDK, or by charging a larger transaction fee. I wouldn't be surprised if Apple did increase the costs substantially sometime soon. In particular, I wouldn't be surprised to see the standard transaction fee increase substantially, with tiered percentages based on price and/or volume (e.g. start $1 flat transaction fee + 30% of the price for the first 1,000 copies, then reduce the percentage gradually for each 10^nth copy).

Re: How to price your iPhone app out of existence

#18
post #3

I don't think I have a ceiling on the price I would pay for an iPhone business/productivity app. I would pay hundreds of £/$/€ if the app made me that much in return.

Target market comes into play in this case. Businesses make decisions this way, individuals don't.

smart ones do.

Re: How to price your iPhone app out of existence

#19
post #11

I don't think its possible to raise the prices. I mean sure you are supposed to compete on things other than price...but most iPhone apps aren't rocket science. Anything you can come up with, can get copied very quickly. So why would someone pay $9.99 for your app, when they can pay $.99 for an app that has all your features, on top of whatever else they come up with

If you build a good app for $20.00 then somebody might clone it for $2.00. But, will they survive on their clone? Probably not, if they are living in a rich country. You just need to outlast these cheap knock-offs until their developers get bored and move onto something else. It might be a constant stream of knock-offs, but the longer you last, the better the reputation you build. Reputation is worth a lot , especial…

Right, but the same could be said about the USA. My monthly burn is much higher than $1000 :-( BUT, living in rural Minnesota as I do, it really isn't hard to lower your living cost below $1000 if you want to and are single (When I lived in the city of Minneapolis, my monthly bills including mortgage totalled probably around $1,500). Being American and living here in the US gives me a huge advantage on understanding our culture and being able to design a UI that appeals to Americans and to be able to support them that a smart Thai doesn't have.

I am seriously thinking of getting into iPhone development even though I've only seen one once :-) Why? Because I already design & build mobile Bluetooth hardware and I can see many apps where the mobility of an iPhone would result in a great product. I don't care about consumer apps, but there are tons of small business applications that have been waiting for this kind of connectivity in your pocket!

Re: How to price your iPhone app out of existence

#20
post #6

Earlier quoted context omitted.

right, i'm not sure why the author feels like he has a god-given right to make $50,000/year no matter what kind of iphone app he/she develops. go ask any of the top 10 iphone application developers -- i don't think any of them are having trouble with the 50k/year barrier. the marketplace will be the same as the web: the majority of attention goes to a small number of sites. just because i put out a website of margina…

He didn't say that he has a right to make $50,000 year no matter what. He said that if you are not going to make $50,000 a year then your company is not going to survive, so you need to find a way to make at least that much money. How much money the top 10 developers make is inconsequential to all the other developers that aren't in the top 10. The top 10 will always be filled mass-market applications. Most developer…

He's still assuming that maintaining one app will consume a person's entire capacity for the lifetime of the app.

One app does not have to be your sole source of income.

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