Apple introduced a new App Store feature called Contingent Pricing – that will let developers fight for every dollar you spend for them.
This method will allow the App Store developers to offer discounted pricing to those users who subscribe to their competitors’ apps or other apps to lure and retain them. Apple is starting this new pricing model with a few developers and will expand to more in the coming months.
App Store Contingent Pricing
Though Google’s Play Store is the largest mobile app market today, earnings from Apple’s App Store are much higher. A part of this is because of the iPhone user base, who are more willing to pay for apps more than the Android users do.
While it’s visibly lucrative to sell apps on the App Store, Apple doesn’t let anyone get on the platform easily, at least without obeying it’s strict rules. Thus, every developer on the App Store would want to make the most when their apps are live and Apple is supporting them in whatever way it can.
The latest in this pursuit is the introduction of “contingent pricing“, where App Store developers can offer discounted pricing to iOS users who’re subscribed to their rival apps – and lure them. They can also provide discounts to their existing users to retain them.
While it’s a win-win situation for developers and users, it works only if the user is subscribed to some app. So, if they stop that subscription, they won’t receive any discounted offers from the developers.
9to5Mac notes that these competitive discounts will be visible to users not only on the App Store but also “in off-platform marketing channels” for easier finding of perks. Apple is experimenting with this model with a few developers and will expand to all in the coming months.
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