a new app pricing model

Personally, I don’t like the idea of “in app purchases” which seems to be the norm these days in the current app pricing model. You get the app for free, try to use it and then find out that you can’t save your results unless you pay the author for this feature. If you’re like me then you usually feel like they’ve wasted your time.

I would suggest that a better model is how we now buy music.

Changes in the recording industry

You used to have to purchase the entire album just to get a single song, that was just how things were. If an artist or band had one killer song that was enjoying a lot of airplay on the radio and assuming that you really wanted that song then you had to pay the $12 or so for the entire album. And you just crossed your fingers that one or two of the other songs made it worthwhile.

With the advent of iTunes and similar websites, we now have the ability to sample and purchase exactly which songs we want to pay for. If half of the album isn’t worth it, you don’t have to buy all of it. If the artist only has one good song then there’s no reward for them to pad the album with a lot of junk.

A new model for app pricing

So why shouldn’t we just show our app’s prices up front instead of hiding them inside? Currently, a new customer can’t see how much of the app is crippled and how much is functional until it’s been downloaded and used. How many times have you downloaded and demo’d two or even three different free apps of the same kind, trying to find one that was reasonably useful?

What we need is a venue for selling our apps like musicians sell their songs. Theoretically, it might look something like this:

PayAsYouGo_734x466.png

More feature transparency

The biggest benefit to a model like this is that it shows the potential customer what’s included in the full program and the cost of each feature. If, like me, they’re not interested in the social connector feature then they simply don’t purchase it. You pay for what you need and nothing more.

As developers, we would distribute modules of functionality and charge the user on a per-module basis. I would suggest that features be priced differently based upon the perceived value. In fact, there’s nothing to prevent the price of a popular feature from increasing over time.

Like in the iTunes model, clicking a play button next to the feature ought to bring up a demo or screenshot of the feature in action.

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