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Stop Using The Cup of Coffee vs. $0.99 Cent App Analogy

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Re: Stop Using The Cup of Coffee vs. $0.99 Cent App Analogy

#21

Post by jsaxton86 »

jsaxton86 wrote: post #15

I agree with the idea that purchasing 99 cent app is a total gamble, even if I don't have much to lose. If I were writing a mobile app, I'd have a free version and a paid version. The only difference between the two would be with the free version, you'd have to look at a screen trying to get you to upgrade to the paid version, and you would be forced to look at this screen for at least X seconds, where X is proportio…

Also, by the time the user is willing to spend money on your app, they're hopefully willing to pay more than 99 cents.

Re: Stop Using The Cup of Coffee vs. $0.99 Cent App Analogy

#23

Post by smacktoward »

AznHisoka wrote: post #20

For a lot of people, a cup of Starbucks also feels like a "must-have". We all feel groggy in the morning, and spending $4 for coffee isn't a lot if it helps us survive the day. An app on the other hand, most of the time doesn't give us that same feeling. It's more of a nice-to-have, or nice to play with once and then forget. If it's an utility you use everyday like Evernote, it's different of course.

That sounds less like an argument against coffee analogies and more like an argument for making apps that are actually useful.

Re: Stop Using The Cup of Coffee vs. $0.99 Cent App Analogy

#24

Post by emef »

jgroome wrote: post #9

Sorry for going off topic, but... >In short, I know what I’m getting for $4 and I’m getting that same experience every time I hit the drive thru. Drive-through Starbucks? America, you are way ahead. Also, is $4 the norm for a cup of coffee? Is that standard filter coffee, latte, or one of their elaborate coffee-based concoctions? In the UK Starbucks will sell you a standard no-frills coffee for £1.50-ish.

$4 drinks are usually the sugary/milk filled drinks like a mocha. I think drip coffee is like 2 bucks or so at SB.

Re: Stop Using The Cup of Coffee vs. $0.99 Cent App Analogy

#25

Post by nirvdrum »

romey wrote: post #14

I'm not so sure about the argument that most people would forgo the $4 cup of Starbucks, given a free alternative. Every office that I've ever worked in provided free coffee, and half of the office would still regularly pick up coffee from the nearest Starbucks daily. I think there's something to be said for 1) Crafting the "image" of superiority that people get from purchasing Starbucks (having that nice branded Sta…

I've found in offices that a lot of the times the $4 coffee is just a nice reason to get out of the building and go for a walk.

Re: Stop Using The Cup of Coffee vs. $0.99 Cent App Analogy

#26

Post by rhygar »

This seems like a poor argument for being cheap.

"Starbucks Coffee is a Trustable Experience" Not true - I've had mixed results depending on time of day and what barista is making my drink.

"Your $1 App is a Total Gamble" Nope. You have every opportunity to read the reviews, look at screenshots, use Google, etc.

"Starbucks Has No Free Alternative" and "Free Apps Are Often A Great Alternative" I'm not sure how this matters - if you're cheap, it doesn't matter how good the app is. Do you tip waiters? After all, the alternative to tipping is great - you get to keep your money!

"Starbucks Craftsmanship Is On Full Display" Not really. I don't think anyone would agree that "craftsmanship" goes into making a Starbucks drink.

"App Craftsmanship Is Hidden Away" Like I said before, you have ample opportunity to read the app description, check out app store rankings, read user reviews, and look at screenshots.

Re: Stop Using The Cup of Coffee vs. $0.99 Cent App Analogy

#27

Post by heretohelp »

jgroome wrote: post #9

Sorry for going off topic, but... >In short, I know what I’m getting for $4 and I’m getting that same experience every time I hit the drive thru. Drive-through Starbucks? America, you are way ahead. Also, is $4 the norm for a cup of coffee? Is that standard filter coffee, latte, or one of their elaborate coffee-based concoctions? In the UK Starbucks will sell you a standard no-frills coffee for £1.50-ish.

~$2 for a cup of standard joe in California Starbucks and most other places.

$4 refers to the venti lattes and other sundry sugary crap. (ie, they're stretching the truth)

Re: Stop Using The Cup of Coffee vs. $0.99 Cent App Analogy

#29

Post by Foy »

jdechko wrote: post #6

There's another half of this argument though, and that is the people who complain that an app cost's $0.99, saying instead that it should be free. No one is standing outside of Starbucks protesting that the coffee should be free. Most times that I hear the app/cup of coffee analogy is in response to this complaining.

Anyone who argues that because it costs $0.99 it should just be free isn't worth debating with.

On the other hand there are documented cases where charging more like $9.99 instead of $0.99 increase sales because the higher costs increases it's perceived value. People are familiar with the saying: "you get what you pay for."

Re: Stop Using The Cup of Coffee vs. $0.99 Cent App Analogy

#30

Post by siglesias »

I used to develop apps for Dan Ariely and we would often chat about this topic. By the latest in psychological research it's less rational than that [1]. Additional factors:

Mental Binning—when we think about buying a $1 app, it doesn’t occur to us to ask ourselves what the pleasure that we are likely to get from this $1 app — or even what is the relative pleasure that we are likely to get from this app compared with a $4 latte. In our minds, those two decisions are separate.

Price Anchoring—we have been trained with the expectation that apps should be free.

1) http://danariely.com/2011/12/25/the-oatmeal-this-is-how-i-fe...

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