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Pricing For Apps

While browsing through the App Store, you can see any variety apps and prices: the base $0.99, many at $1.99, $4.99, all the way up to the most expensive app currently on the store at $899.99. The maximum price for an app on the Apple App Store is $999.99; the infamous app “I Am Rich” sold 8 downloads in a single day before Apple pulled the plug.

Yes, this really did exist.

What the does price tell you about the game? Do you assume a $4.99 game is better than a $0.99 game? Of the top 25 paid games on the store right now, only six are not $0.99 (the most expensive top 25 paid app is $4.99).

It is difficult for me to say the price determines the value of the game. This is especially complicated by the fact that price changes can occur daily; in fact, this strategy is often employed to drive traffic during a “sale.”

What about iPad apps? There are HD versions of many iPhone games that sell for ten times the price. What is the difference? Good question—often times the games are identical except for higher resolution graphics. With the release of the iPhone 4, a device that boasts a better screen than previous generations, are we to see more different versions of games?

Let’s end this on a fun note. What app would you pay a thousand dollars for? Maybe you are one of the few that purchased “I Am Rich” and are out of the market for awhile.

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