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Michael Tsai – Blog – Raising prices Promised App Income



Stuart Hall (via Michael Love ):

Then I received an app report indicating that I should run into my price. I would never really consider it. I haven't given the app much thought since I launched it. It worked just the way I needed and the value felt right at $ 1.99.

[…]

The results were quite interesting. Moving to $ 4.99 immediately resulted in a huge increase in revenue. The conversion rate fell only 2%. That means only 1 out of 10 people had an objection to paying 2.5 times the price!

$ 7.99 also provided a good revenue boost with only a slight decrease in conversion rates.

[…]

Possibly the most interesting future experiment subscriptions. Based on the feedback I received, users begin to subscribe.

App Store App Subscriptions Business In-App Buy iOS iOS App

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