For over a year, we've experimented pricing our app from Free to $0.99, $1.99 and even tested $19.99. The app also has IAPs, so the free version could be monetized.
Here's our findings:
1) People who download the app for free tend to buy much less IAPs than people who paid for it. It seems they want the free app to stay free as long as possible.
2) We make much more money pricing the app at $1.99 than we do at $0.99. We do sell more units at a dollar, but only lose about 30% - 40% unit sales when we price it at $1.99.
3) People who pay for the app are more active users than people who got it for free.
4) We still made a nice profit pricing the app at $19.99, yet made substantially less than $1.99.
5) We removed the free "trial" version and saw sales increase. Our app got a lot of coverage (WIRED, TC, Mashable) so most people knew what they were getting into without the need for a trial version.
6) I think $1.99 and above is a fair price for devs who regularly update their apps. The good thing about pricing it above a dollar is, you can make 50% discounts every other month to drive sales on "on-the-fence" potential buyers.
Here's our findings:
1) People who download the app for free tend to buy much less IAPs than people who paid for it. It seems they want the free app to stay free as long as possible.
2) We make much more money pricing the app at $1.99 than we do at $0.99. We do sell more units at a dollar, but only lose about 30% - 40% unit sales when we price it at $1.99.
3) People who pay for the app are more active users than people who got it for free.
4) We still made a nice profit pricing the app at $19.99, yet made substantially less than $1.99.
5) We removed the free "trial" version and saw sales increase. Our app got a lot of coverage (WIRED, TC, Mashable) so most people knew what they were getting into without the need for a trial version.
6) I think $1.99 and above is a fair price for devs who regularly update their apps. The good thing about pricing it above a dollar is, you can make 50% discounts every other month to drive sales on "on-the-fence" potential buyers.