Nothing is impossible when it comes to setting app prices. Freemium models are on the rise in the US, UK and Germany. Staggered prices combined with cleverly communicated value boost customer loyalty.
The international App Store Study 2012 conducted by the global strategy and marketing consultancy Simon-Kucher & Partners in the US, UK and Germany analyzed the prices of 2,400 apps by price and category. Looking at the top 100 downloads and top 100 purchases in the Apple AppStore, the study shows consensus concerning price models and ranges across the countries.
Although upfront payment is the most common price model for apps (40%), freemium models are on the rise. Almost one-third of all apps use a freemium model already: a new trend in the industry. Looking at the price levels and the differences between upfront and in-app prices, prices strongly vary.
App developers have created two different freemium price models. They offer apps for an upfront payment...| Read more »