{"id":1553,"date":"2016-10-05T05:54:53","date_gmt":"2016-10-05T05:54:53","guid":{"rendered":"http:\/\/www.octalsoftware.com.sg\/blog\/?p=1553"},"modified":"2021-08-05T08:48:40","modified_gmt":"2021-08-05T08:48:40","slug":"points-to-follow-for-setting-the-correct-pricing-model","status":"publish","type":"post","link":"https:\/\/www.octalsoftware.com.sg\/blog\/points-to-follow-for-setting-the-correct-pricing-model\/","title":{"rendered":"Points to follow for Setting the Correct Pricing Model"},"content":{"rendered":"<p style=\"text-align: justify;\">The primary aim of most of the app builders behind creating an app is to make money, especially when they see apps are the convenient mean of earning huge. However, this is the only one side of the coin. Its other side is full of hardship and money taking. Therefore, having an app created for fun and in a whim does not last long and cause the app fail to make any mark among users. We emphasize that app development is a serious endeavor and money spent in this process is of even higher significance.<\/p>\n<p><!--more--><\/p>\n<p style=\"text-align: justify;\">A lot of app developers find it difficult to set a price model for their apps; some of them overprice it and others make it available for free despite the fact that their app is worth buying. We have tried to reach to the depth of it and tried to compile the answer of the question in the following insight:<\/p>\n<p>&nbsp;<\/p>\n<p><a href=\"https:\/\/www.octalsoftware.com.sg\/blog\/wp-content\/uploads\/2016\/10\/Pricing-Model-for-Mobile-App.png\"><img decoding=\"async\" loading=\"lazy\" class=\"aligncenter size-full wp-image-1555\" src=\"https:\/\/www.octalsoftware.com.sg\/blog\/wp-content\/uploads\/2016\/10\/Pricing-Model-for-Mobile-App.png\" alt=\"pricing-model-for-mobile-app\" width=\"755\" height=\"375\" srcset=\"https:\/\/www.octalsoftware.com.sg\/blog\/wp-content\/uploads\/2016\/10\/Pricing-Model-for-Mobile-App.png 755w, https:\/\/www.octalsoftware.com.sg\/blog\/wp-content\/uploads\/2016\/10\/Pricing-Model-for-Mobile-App-300x149.png 300w\" sizes=\"(max-width: 755px) 100vw, 755px\" \/><\/a><\/p>\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_41_1 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title\">Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" area-label=\"ez-toc-toggle-icon-1\"><label for=\"item-6a19f4cd1ead5\" aria-label=\"Table of Content\"><span style=\"display: flex;align-items: center;width: 35px;height: 30px;justify-content: center;direction:ltr;\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/label><input  type=\"checkbox\" id=\"item-6a19f4cd1ead5\"><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/www.octalsoftware.com.sg\/blog\/points-to-follow-for-setting-the-correct-pricing-model\/#Make_it_Available_for_Freemium_Free_or_Paid\" title=\"Make it Available for Freemium, Free or Paid\">Make it Available for Freemium, Free or Paid<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/www.octalsoftware.com.sg\/blog\/points-to-follow-for-setting-the-correct-pricing-model\/#Charge_But_for_what\" title=\"Charge! But for what?\">Charge! But for what?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/www.octalsoftware.com.sg\/blog\/points-to-follow-for-setting-the-correct-pricing-model\/#Give_It_a_Try\" title=\"Give It a Try\">Give It a Try<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/www.octalsoftware.com.sg\/blog\/points-to-follow-for-setting-the-correct-pricing-model\/#Find_the_Location_of_Your_Users\" title=\"Find the Location of Your Users\">Find the Location of Your Users<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/www.octalsoftware.com.sg\/blog\/points-to-follow-for-setting-the-correct-pricing-model\/#Share_of_App_Stores\" title=\"Share of App Stores\">Share of App Stores<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/www.octalsoftware.com.sg\/blog\/points-to-follow-for-setting-the-correct-pricing-model\/#Their_Return_Policy\" title=\"Their Return Policy\">Their Return Policy<\/a><\/li><\/ul><\/nav><\/div>\n<h4><span class=\"ez-toc-section\" id=\"Make_it_Available_for_Freemium_Free_or_Paid\"><\/span>Make it Available for Freemium, Free or Paid<span class=\"ez-toc-section-end\"><\/span><\/h4>\n<p style=\"text-align: justify;\">The confusion starts with the very first step; whether make it available for free or charges should be attached to it. Generally, there are two ways to make your app live one is for free; in which users do not have to pay anything for downloading while the developer will be paid through ads, Cost Per Install, sponsorship, etc.<\/p>\n<p style=\"text-align: justify;\">Besides, \u2018Freemium\u2019 is the term molded in the industry for a service or a product, which costs nothing for its standard version, however, they pitch you to use its premium edition paired with the one you are using after paying a certain amount. The reason behind this is to let users taste the semi-premium app services at no cost and keep on persuading users to try their full-fledged version. However, it is true that a free app can drive more. You can <a title=\"hire mobile app developer\" href=\"https:\/\/www.octalsoftware.com.sg\/hire-mobile-app-developer\" target=\"_blank\" rel=\"noopener\">hire mobile app developers<\/a> to further have a profound insight on this.<\/p>\n<h4><span class=\"ez-toc-section\" id=\"Charge_But_for_what\"><\/span>Charge! But for what?<span class=\"ez-toc-section-end\"><\/span><\/h4>\n<p style=\"text-align: justify;\">Despite offering a number of features or going to offer, most of the app developers face the inability to decide what to put on charge and what not? To determine this, you can do some competitive analysis based on the questions like what is the on-going rate for such type of apps. What are the prices of apps in the same categories? The most convenient way of gaining traction and attention is to undercut competitors. However, if the app you have built is significantly more advanced or complicated, you still can charge users for your exalted offerings. Establishing user expectations is the key to set app pricing. Users pay for only those apps which offer them a great deal of value. The audience will come to know only when they install the app, but if they find themselves to be cheated, it is possible that they permanently disconnect themselves from you.<\/p>\n<h4><span class=\"ez-toc-section\" id=\"Give_It_a_Try\"><\/span>Give It a Try<span class=\"ez-toc-section-end\"><\/span><\/h4>\n<p style=\"text-align: justify;\">Remember, app prices are not certain. Give some leverage to the effort with which prices can be changed to experiment with a number of price points. You can experiment by releasing the app at slightly a higher price and then reduce it after some time. Remember, the initial release is the best time for any mobile app development company to draw the attention of users for your app. So, do not waste the rapport you have already built with them by charging a very bold price.<\/p>\n<h4><span class=\"ez-toc-section\" id=\"Find_the_Location_of_Your_Users\"><\/span>Find the Location of Your Users<span class=\"ez-toc-section-end\"><\/span><\/h4>\n<p style=\"text-align: justify;\">Those who are developing an app must pay attention to their target audience and market. For instance, a study found that users in Asia are remarkably less inclined to download paid apps than their Western users. The graph of in-app purchases is also down in the Asian market. Thereby, app developers often depend on in-app advertising as a chief revenue source in that region.<\/p>\n<h4><span class=\"ez-toc-section\" id=\"Share_of_App_Stores\"><\/span>Share of App Stores<span class=\"ez-toc-section-end\"><\/span><\/h4>\n<p style=\"text-align: justify;\">Many of you must be aware of the fact that app stores like Google Play and Apple Store from iOS have their fixed share when purchases are done using an app. For instance, Apple famously keeps its 30 percent commission on app sales and in-app purchases. Therefore, while fixing the price of your app, you must ensure including the cut of the app store.<\/p>\n<h4><span class=\"ez-toc-section\" id=\"Their_Return_Policy\"><\/span>Their Return Policy<span class=\"ez-toc-section-end\"><\/span><\/h4>\n<p style=\"text-align: justify;\">As an app developer, you must pay attention to the return policy of the app stores because if you price your app extremely high and result in a lot of returns once users do not get quality and bear basic functionality. The Android Marketplace permits users to drive back apps within 15 minutes of purchase. Apple App Store permits many of its users to return apps in seven days, especially to its Taiwanese customers. However, the refund policy of Apple in Taiwan is such to adhere to local law. For now, it can be speculated that Apple will gradually expand the same kind of trial and\/or refund method to their App Store in rest of the countries.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The primary aim of most of the app builders behind creating an app is to make money, especially when they see apps are the convenient mean of earning huge. However, this is the only one side of the coin. Its other side is full of hardship and money taking. Therefore, having an app created for [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":1554,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_editorskit_title_hidden":false,"_editorskit_reading_time":0,"_editorskit_is_block_options_detached":false,"_editorskit_block_options_position":"{}","_uag_custom_page_level_css":""},"categories":[216,4],"tags":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v19.13 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Key Points Governing Pricing Model of Mobile App<\/title>\n<meta name=\"description\" content=\"Mobile app development has become a quite common phenomenon everywhere . However, deciding upon its pricing is one of the big questions.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.octalsoftware.com.sg\/blog\/points-to-follow-for-setting-the-correct-pricing-model\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Key Points Governing Pricing Model of Mobile App\" \/>\n<meta property=\"og:description\" content=\"Mobile app development has become a quite common phenomenon everywhere . However, deciding upon its pricing is one of the big questions.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.octalsoftware.com.sg\/blog\/points-to-follow-for-setting-the-correct-pricing-model\/\" \/>\n<meta property=\"og:site_name\" content=\"Octal Info Solution\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/OctalInfoSolutionSG\" \/>\n<meta property=\"article:author\" content=\"https:\/\/www.facebook.com\/OctalInfoSolutionSG\" \/>\n<meta property=\"article:published_time\" content=\"2016-10-05T05:54:53+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2021-08-05T08:48:40+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/www.octalsoftware.com.sg\/blog\/wp-content\/uploads\/2016\/10\/banner_seo.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"1600\" \/>\n\t<meta property=\"og:image:height\" content=\"443\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Arun Goyal\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@https:\/\/twitter.com\/octalsg\" \/>\n<meta name=\"twitter:site\" content=\"@octalsg\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Arun Goyal\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"4 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/www.octalsoftware.com.sg\/blog\/points-to-follow-for-setting-the-correct-pricing-model\/#article\",\"isPartOf\":{\"@id\":\"https:\/\/www.octalsoftware.com.sg\/blog\/points-to-follow-for-setting-the-correct-pricing-model\/\"},\"author\":{\"name\":\"Arun Goyal\",\"@id\":\"https:\/\/www.octalsoftware.com.sg\/blog\/#\/schema\/person\/b705e907ce73f52b5f5a51ae670d20d5\"},\"headline\":\"Points to follow for Setting the Correct Pricing Model\",\"datePublished\":\"2016-10-05T05:54:53+00:00\",\"dateModified\":\"2021-08-05T08:48:40+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/www.octalsoftware.com.sg\/blog\/points-to-follow-for-setting-the-correct-pricing-model\/\"},\"wordCount\":828,\"commentCount\":0,\"publisher\":{\"@id\":\"https:\/\/www.octalsoftware.com.sg\/blog\/#organization\"},\"articleSection\":[\"Cost Estimations\",\"Mobile Apps\"],\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\/\/www.octalsoftware.com.sg\/blog\/points-to-follow-for-setting-the-correct-pricing-model\/#respond\"]}]},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/www.octalsoftware.com.sg\/blog\/points-to-follow-for-setting-the-correct-pricing-model\/\",\"url\":\"https:\/\/www.octalsoftware.com.sg\/blog\/points-to-follow-for-setting-the-correct-pricing-model\/\",\"name\":\"Key Points Governing Pricing Model of Mobile App\",\"isPartOf\":{\"@id\":\"https:\/\/www.octalsoftware.com.sg\/blog\/#website\"},\"datePublished\":\"2016-10-05T05:54:53+00:00\",\"dateModified\":\"2021-08-05T08:48:40+00:00\",\"description\":\"Mobile app development has become a quite common phenomenon everywhere . 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