Before
"I'll make it free and figure out money later"
Better
Free with a $4.99/mo pro tier. At 5,000 downloads/month and 3% conversion: $748/month.
App pricing strategy
Calculate the right price for your iOS or Android app. Compare freemium, one-time purchase, subscription, and usage-based models. Get revenue estimates based on your target downloads and conversion rates.
"I finished my app but have no idea what to charge. Free feels wrong. $9.99 feels too high."
Your competitor charges $4.99/month. Should you match, undercut, or go premium?
You have users but no revenue — the freemium model isn't converting.
Apple takes 30% and you don't know how to factor that into your pricing.
Before
"I'll make it free and figure out money later"
Better
Free with a $4.99/mo pro tier. At 5,000 downloads/month and 3% conversion: $748/month.
Before
"$0.99 like everyone else"
Better
At $0.99 one-time with 5,000 downloads/month: $3,465/month. Same downloads, $6.99 one-time: $24,465/month. Price communicates value.
Subscription ($4.99-9.99/month) works best for apps that provide ongoing value (productivity, health, learning). One-time purchase ($6.99-14.99) works for utility apps with a clear single use case. Freemium works when you have a large user base and can convert 2-5% to paid. Avoid $0.99 — it signals low value and barely covers Apple's commission.
Standard rate: 30% for apps earning over $1M/year. Small Business Program: 15% for apps under $1M. Google Play: 15% on the first $1M, then 30%. Factor this into your pricing — a $4.99 subscription nets you ~$4.24 after the 15% commission.
Yes. You can change prices at any time in App Store Connect and Google Play Console. Existing subscribers keep their price (unless you raise it — they must consent). One-time purchase price changes only affect new buyers.
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