Why Discounting Your App Is a Terrible Idea

If you’ve been developing and selling apps for any amount of time, you might be tempted to discount the price. If you’re good at marketing your app, you can make a lot of money very quickly running a compelling discount.
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How I’m “Robbing the Bank” for My Customers.

Yesterday, I received an email from a customer thanking me because my app is only $29.99.

I’m a live sound engineer and video editor and this app peaked my interest. I hate CDs and linear editors are deadly on live shows. I use hardware options but they are pricy. This will put units like “instant replay” out of business. A $25 app does what a $1800 unit does and does it better because I can control the quality of the recording used for playback. With this unit you have to record directly into the unit live. No loading from a PC. You must have spoken to some pro engineers because this app is like robbing a bank for me. Thanks for doing this.

This is an example of my perfect target customer. Here’s why:

  • He’s a professional live sound engineer, that means he makes money and earns his living as a live sound engineer.
  • He invests $1800+ on professional equipment.
  • He’s experienced and know what matters to his work.

My app is a no-brainer solution

When you’re a professional and you’re already investing thousands of dollars in hardware, a $29.99 app is a no-brainer investment. Soundboard Studio is 98% cheaper than hardware offering the same features.

Struggling to Find Ideas to Monetize Your Free App?

Free app can be great! They’re a big part of what makes the App Store and the whole app eco system a success. They’re very popular with users, and they can be great revenue generators for your business.

I’m going to take some time to share my thoughts on some of the ways app developers earn revenue from their free apps.

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How to Make Your App Launch Matter, and Sell Hundreds of Units on Launch Day.

So over the last year I’ve launched three successful apps on to the App Store. As of today, those three apps have grossed $149,000.

Now I didn’t just wake up in February 2015 and decide that “oh, I think I’m going to launch an app”. No.

It’s taken years to learn these lessons. I’ve definitely learned the hard way, multiple times.

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My 2015 on the App Store, and What I'm Doing in 2016

2015 has been my most successful year ever both generally in business, and in terms of App Store sales. Teleprompter Premium and Video Teleprompter have both been very successful, and I’m proud of the positive impact that both products are making on so many different people’s work and projects.

Overview:

  • Total App Store revenue in 2015: $105,000
  • Total App Store royalties: $69,100
  • Best month: September
    ($16,800 in total sales with $11,000 in total royalties)
  • Best day: 8th September
    ($3,790 in total sales with $2,470 in total royalties)

Products:

  • Teleprompter Lite: 93,000 downloads – $0 royalties
  • Video Teleprompter Lite: 8,510 downloads – $0 royalties
  • Teleprompter Premium: 9,000 downloads – $50,900 royalties
  • Video Teleprompter Premium: 2,630 downloads – $12,900 royalties

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