Pricing of iOS Apps And Why Most Apps Are Free

Posted by Davzo Inc

Posted in Marketing

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It’s no secret that apps have changed the way we live. From checking local sports scores and weather to connecting with friends and finding great deals on the things we love – apps are here to stay. But there are some surprising findings in how we use the apps we download. Considering the wide range of apps available on the market, it turns out we only use around five or less apps per week. And despite the millions and millions of apps out there, only 10% of them have even been discovered – leaving huge untapped potential on the table.

The question then becomes, “How do I get my app developed so that it becomes one of the 30% or so that users consider “sticky” enough to keep? When you think about it, of all of the apps that users choose to keep on their phone, less than a third of them are (to the user), worth keeping long term. Why is this? If you have a creative idea for an app, you not only have to consider ways to avoid “app burnout” but also think of how to make your app worth keeping on your prospect’s device. That’s a tall order to fill when you’re having an app developed – but it’s absolutely possible, especially with the right iOS app development team. By working with a proficient, customer-centered app development team, you’ll be able to take your idea from concept to completion. Even when the app is finished, your work is still not done. In fact, many app creators would argue that this is where the real work begins.

The Best Way to Market Your App – Make it Free

If you’re thinking of having an app developed, it makes sense to do everything you can to make your app stand out on the marketplace. One way to do that is to make it free to download. Of course, many people balk at this idea since there are significant costs involved to create an app in the first place. First, you have to consider what type of app you’re looking to have created. Is it a data-driven app? One that centers on functionality? A game, or something in between? Even then, choosing a reputable team to develop your app can feel like a giant hurdle to overcome. This is especially true when you consider where the development team is located and take things like time zone and language differences into consideration. Take a look at the following infographic to get a better idea of general app development costs, including design for different platforms, front-end/user interface design and more:

iOS apps can be significantly less expensive than their Android counterparts and pricing varies significantly depending on location, expertise and the type of app you’re looking to have developed. Why, after knowing all of this, would you make an app free? It’s simple – exposure.

Despite the costs that go into having an app developed, making it available for free can greatly increase the chances of getting your app into the hands of the very demographic you’re looking to target. Rather than looking at your app from a monetary point of view – as in “I’m creating this app to make money” – look at it from the point of view of “I’m creating this app to reach my audience in a more customer-focused way”

The fact is, people have their devices and smart phones with them nearly all the time. An app is your path to make your brand part of their “always on” lifestyle. And forcing them to pay for the app up front essentially tells customers “I’m looking at you like a dollar sign – not an individual”. Who knew so much thought went into app pricing?

Your App as a Customer Relationship Vehicle

App users have already made it clear that they don’t want to pay for apps outright. And because competition is so fierce, those that do charge for their app will quickly learn that a competitor will come along with an equally feature-filled version that’s free. What’s more, app users don’t want banners or interstitial advertising in their apps either. It’s just as annoying as their web counterparts.

So what can you, the customer, do to recoup your investment costs?

First, look at your app like an investment vehicle rather than a destination. Making your app available for free puts it into the hands of more people – people who are very likely to try your paid service once they’ve had a “taste” of your free app. No matter what you’re selling – be it digital goods, services or retail products, you app is the way to get your product and your brand into the hands and minds of more people.

And there’s never been a better time to start getting your app developed than now. If you’re looking at ways to recoup your costs but still want to get your app on the screens of as many users of your demographic as possible, you may want to consider the Freemium model. Popular social media marketing dashboard HootSuite is an example of a Freemium product, as is wildly popular email marketing service Mailchimp. Both of these services are searched, downloaded and mentioned far more than their premium competitors, Sendible and Aweber, simply because those apps elected to charge first.

The “Freemium” Model for Enhanced Features

The idea behind “Freemium” is simple – giving the base app away for free while charging small fees (called micro-transactions) for extra features. Here again, the end user still benefits from the fact that the app is free, but has the flexibility and freedom to decide to upgrade should they want more out of the app. Oftentimes, the paid versions of the apps allow for greater customizability of some of the core features.

So while customers may be reluctant to be charged outright, building that all-important relationship with the user first can position your app as more of a gateway to creating trust, credibility and authority in your industry. When you consider all the pros and cons of iOS app pricing, having an app professionally developed is an investment in your business strategy and in forging customer relationships. Giving it away for free opens up all the benefits of reciprocity from your customers and paves the way for an improved return on investment in the future.

Even paid apps which went free for a limited time saw a surge in the number of downloads. People are much more willing to invest their time in trying an app for free than paying for it and realizing it wasn’t what they needed or wanted after all. Is that something you really want to risk with your own app?

To avoid this kind of hassle and headache, making an app free is actually a smart business decision and should be an integral part of your overall customer acquisition and retention strategy. Of course the next question then becomes – “Where can I find a team of app developers who can take my idea and turn it into an iOS app?”

Looking for a Highly Skilled Team of App Developers?

If you’re ready to take the next step toward taking your app from concept to completion, we invite you to get in touch with our dedicated team of iOS app developers. We’ll work with you to turn your ideas into an app that people can’t wait to try.
Our skilled team can brainstorm features, flesh out concepts and work alongside you to ensure everything is done precisely as you want it to be. We believe that you’re not simply creating an app – you’re creating a customer focused experience that begins with how easy your app is to use, how intuitive its features are, and how likely customers are to use it again. In short, we’ll work with you to help make your app engaging, innovative and easy to use – something users will want to use again and again – catapulting you into that coveted segment of apps that get regular use, are shared and downloaded often, and warrant the attention of reviewers and editor’s picks. Want to learn more or take the next step in getting a solid estimate on the cost of your app development needs? Reach out to us and learn more. It costs nothing to get a quote. Tell us about your app and let’s work together to make it happen!

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