January 22, 2009
99-cent apps a steal, but who's really being robbed?
A very interesting article from MacWorld on how much should iPhone applications cost, really?
It’s a difficult concept, as the society we live in has inculcated in consumers the desire to always get the best bargain, which too often is mistakenly interpreted as the lowest price... and cheap applications that usually go for 99 cents or less and often don’t do much.
t’s a tempting price point to hit, if only for psychological reasons. Apple itself knows that, having fought for years to hold onto the single price point for all music tracks on the iTunes Store. But producing a music track isn’t the same as producing an application—music companies not only sell a huge volume of songs, but the production costs are usually for an entire album. And music companies sell hundreds or thousands of different albums a year, making up losses on underperforming tracks with sales on hits.
A software developer, by comparison, often has only a few apps at a given time—possibly just one, if the developer in question is a single individual.
Read full article.
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