One decision you need to make when you are developing an app is how do you monitize it. I won’t talk about pricing specifically in this post, but on the decision should you charge a user to buy your app. Let’s think thru a couple of options you have:
Paid app – if you have an obvious value prop, and there are a lot of other apps in the market which are priced, you may wish to just price the app. This will reduce the initial uptake of your app, but you can get mired direct feedback thru purchases.
Free app – this may make sense if you are just getting started, and you just want to get an app in the store. Note, a truly free app won’t make you money, this is a learning opportunity.
Free app with ads – it this group I include both directed ads and any app that uses information about the user to drive market insight or non app related revenue. Knowing the real reason for your app and want that data is worth makes this a very attractive option. This includes apps which actually require accounts on other platforms, like the web, where you want to drive more enablement.
Freemium app – this is usually used if your app has a simple use, which gains additional value to users thru in app purchases. This can be a very attractive offer, if you can parse the value to you users. However, don’t get into the trap where the base app is not valuable or so valuable that they don’t see the need for the in app purchases.
These are you four basic pricing decisions… They are not exhaustive… Are there other models that you favor?
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