Should You Actively Change Your App’s Selling Price

By now you likely know that there are free apps, and then there are paid apps. Assuming that you have a paid app, there can be a lot of hesitation around altering the price that users pay to download it from their respective app stores. This is especially true for those apps that have found substantial success selling at a particular price. So, whether your app is fairing well at a given price, or has been struggling, here are a few tips to use when considering altering your app’s selling price.

Upping The Price

Increasing the price of your mobile app has the potential to be a very risky move, especially if it has not been in the market for long. From the perspective of a mobile app user, an increase in price can mean a number of things. It can lead them to believe that your company is desperate for money, or it can conversely make them think that the app is popular and your company realized it can charge more money. Additionally, there is also the chance that users will simply not notice that you have increased the price. If they do, it likely means that they have been considering making the purchase for some time and consequently noticed that the price increased from when they originally started looking at your app. On the other hand, if some users simply do not notice the increase in selling price of your app, then it is likely because they already made the purchase and do not care to check its selling price, or they have not been actively monitoring the price and just recently took note.

When increasing the price of your mobile app you should be careful, but certainly should not rule the action out all together. In other words, if you believe that your app is undervalued in the market and can get more in terms of sales revenue, then by all means you should consider raising its price. In doing so, however, you should consider how prospective users will react. If there is a subsequent drop off in units sold, then you should calculate your revenue, and if it too is slacking, then you may want to return your app to its original selling price. While it may seem so at first, there really is no shame in doing so. 

Lowering The Price

Believe it or not, lowering the price of your app can be equally risky as increasing it can be. When lowering the price of your app you should always be sure that your customers know that you are doing so as a discount or sale. In other words, you do not want them to think that you are lowering the price of your app because you have overpriced it or because your company is not making revenue as it hoped. The last thing you want is for a customer to think that you have lowered the price of your app in the hopes that it will even out your financial statements. Instead, you want them to think that you have done so entirely for their benefit. Whenever you lower the price of your app, you should ensure that there is a “Sale,” or “Discount,” tag next to the lowered price. This way they will know nothing of your company’s financial status and will instead figure that you are merely doing them a favor.