App users are prepared to pay for products, but there is no one “optimal price” – what works in one category may not be successful in another – according to a survey by consultants Simon-Kucher & Partners.
According to its study of more than 1,000 UK smartphone and tablet PC users, around 40 percent of respondents “indicate willingness” to pay more than £5 for an app.
“App users are generally very knowledgeable and willing to pay for good apps. The app range is however large, which is why there is no one ‘optimal’ price for apps”, senior director Annette Ehrhardt said.
According to Simon-Kucher & Partners, only 20 percent of respondents would not pay for an app, while more than 40 percent believe the price-performance ratio for apps is cheap.
The average price paid for users’ most expensive app is around £2, which is higher than the “seemingly typical low prices of £0.65 or £1.59 – certainly a good sign for providers”.
It was noted that the majority of respondents downloaded apps once or twice per month, and this behaviour has stabilised – users do not foresee any major changes over the next twelve months.
App selection is influenced mostly by top listings and the app price, in addition to recommendations from family and friends.