iOS App Development and Marketing Strategies
15
Mobile App Strategies Pricing and Monetization
description
App pricing and monetization strategies are outlined.
Transcript of iOS App Development and Marketing Strategies
Mobile App Strategies
Pricing and Monetization
Pricing Strategies
The art and science of pricing
• Consider your app
– What do competitors charge?
– What sets my app apart?
– How can it be monetized? • Compulsion loop
• Engagement
More on pricing strategies at blog.w3i.com or twitter @w3i
Freemium vs. Paid
• iOS freemium games generate
$14.66/user * VentureBeat
• In 2009 free apps received more than 4x
number of installs over paid * AdMob
2
4
6
5
10
iTunes Top Grossing 11/9/2010
5 out of 10 top grossing iPhone Apps
are using the free-to-play model
Price cut. The magic of $.99
• EA Christmas 2010 Strategy
– #4, #7, #8, #10, #11, #12 paid iPhone apps
– #1, #2, #4, #7, #9, #10 paid iPad apps
• Support price cuts with publicity
Looking ahead
• W3i in collaboration with Distimo, will
publish pricing research in Q1 2011,
follow us for the latest.
@w3i
blog.w3i.com
The Monetization Puzzle
Paid Installs and App Monetization
Setting the foundation
• Are you sure its good?
– Compulsion Loops
– Engagement
– Value
Emerging Strategies
• Display Advertising
• In-App Purchase
– access/subscription
• In-App Purchase
– virtual goods/enhancement
Display Advertising
• For developers, easy way to monetize
impressions.
• For advertisers, high level of risk and
high cost of acquisition.
In-App Purchases
access/subscriptions
• For developers, an alternative to “lite”
version.
In-App Purchases
virtual goods/enhancement
• For developers capitalize on your game
mechanics.
• For advertisers, low risk, value add to
consumers.
Free 37 Paid
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App Store Top Grossing 100 -
11/12/2010
75% of
revenue
from
virtual
goods
How It Works
1 User Plays
Game
2 User Wants
Background
3 User Selects
App
4 User Installs
App, Gets Points
5 User Claims
Background
6 User Checks
History
Want more?
@w3i
hashtag #appschat
blog.w3i.com
Join the community. Contact Rob.
Rob Weber
Vice President and Co-Founder
(320) 257-7551
W3i, LLC
1900 Medical Arts Avenue S
Suite 200
Sartell, MN 56377
