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📱 Paid App or Free with In-App Purchases?

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A lot of UK app developers are concerned with this question. Monetizing apps is serious business. It's what separates the professionals from the hobbyists. And, there are a lot of experts that are waiting to tell you the best way to do that. However, if I had listened to those experts, I would have significantly less money today. The truth is, there are no experts when it comes to publishing apps. They market just changes too quickly. You really need to experiment and try new things. For example, most experts will tell you to concentrate on in-app purchases instead of full versions of your app. Now, that makes sense when it comes to games or other types of apps. . . but for other, like mine, it does not. In this week's Minute of Overpass, I show you my stats for February 2015 and how most of my purchases are from paid apps. About Overpass: Overpass is a mobile app development company based in the UK that actually makes money from its own apps as well as creating money-making apps for clients. We have our ideas and build them. We can build your ideas too. If you haven’t started creating your mobile app yet, you are already behind. Our team consists of developers and designers with years of experience in various business sectors. We build apps in native iOS, Android, and Corona SDK. We are based in Wantage, Oxfordshire. Find out more about Overpass at www.Overpass.co.uk. Check out our educational games such as Mandarin Bubble Bath, Agent X, and Deep Sea Typing. Check out our spy apps like Ear Spy, Alarm Spy, and Eye Spy. If you are looking to get an app developed and want to discuss it, give us a call on 0845 834 1008 (+44 Country Code). Or email us at [email protected] Overpass on Google+: https://plus.google.com/+OverpassCoUk/ Overpass on Facebook: https://www.facebook.com/OverpassApps Overpass on Twitter: https://twitter.com/OverpassLtd About Eric: Eric Wroolie is the owner of Overpass. He has built software and web-based solutions for very many large and small companies including Macmillan Publishing, RibbonFish, BNP Paribas, Barclays Capital, Deutsche Bank, BBC Worldwide, CircData and Omega Logic. Before that, he was a Chinese Mandarin and Vietnamese Linguist for the US Army and then a school teacher. Now, he makes apps. Eric on Twitter: https://twitter.com/EricWroolie Eric on Google+: https://plus.google.com/+EricWroolie Add me on Snapchat! Username: eric.wroolie https://www.snapchat.com/add/eric.wroolie Okay. So the biggest concern you should have when creating a new app and the biggest concern I have when creating a new app is how you're going to make money from it. The wisdom at the moment with app experts is that they will tell you, don't worry about doing that full version of the app. Nobody is buys apps anymore. You're just wasting your time. What you should do is have a free version of the app and then use upsell in-app purchases in the app to get them to upgrade. However, I just want to show you my statistics for my apps here. Now these are for February, going back just a couple days ago. Here's the statistics for Google play. Now here you can see that 68% of people would prefer to buy the app out right. So they try the app. They like it. Rather than mess around with in-app purchases, they go find the full version and download the whole thing. It's easier for them. It's easier for me. It's easier for everybody. However, some people just prefer to buy bits and pieces. So like 31% use in-app purchases in the app. It's contrary to what a lot of people will tell you, at least in my case. For me, full sales work but you need that free version out there otherwise nobody won't buy anything that they can't try. For iTunes, it's completely different. iTunes, I only make 2% of sales through in-app purchases. 2% are through bundles of apps and 95% are just people going in buying the full version. So it's different from what you may see. Now the point that I'm trying to make is not that one is better than the other. In some ways, in-app purchases are much better than full versions of the app. So, if you have like a game you kinda expect people to play a game up to a certain level then go download a completely different app and then play the rest of it and other things that require customization. For example, you don't want to go through the whole experience again. They should just be able to go and purchase it. But the point I'm trying to make is be careful of what app experts are tell you. Now, there are no hard and fast rules in app development. All apps are different. All audiences are different. If I took other people's advice on what I should do with my apps, I would probably lose half the revenue because I'm going to get those full sales of the apps. #OverpassApps #AppBusiness
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Text Comments (10)
Night Coder (1 year ago)
hi thank for sharing sir. in case you do Paid version, it means that we have manage two app: free version & pro/paid version . and we will also have different app rank in store (let say; free version is already on top rank ) . do you consider these 2 things ?
Overpass Apps (1 year ago)
Yeah. The nice thing about Android Studio and gradle (if you use those), you can have different flavors for free and paid (and most code is shared). For most apps that are not native Android, we have config variable like "isFree=true" where we only show ads there. I think xcode uses different targets, but I'm not an expert there. Does that help?
W. T. O. (2 months ago)
Yep... Change the name. It's been 4 years since you created this video. What's today's consensus on this issue?
Rana Abdulhaq (11 months ago)
hello , very good , i have an question i hope you will reply me better . i am new app develpor . i have developed my apk . now i want to sell it on play store . and already i have purchased playstore account in 25$ . but now i need to help that what should i do to upload publish as paid app . i do not know what setting it in play console for receiving selled app earning . can i need to debit card or bank account etc ? tell me with detail . and send me youtube video link that helps better .
Bart Raca (1 year ago)
Great video Eri! Have you ever considered doing both advertising and in app purchases in one app (non remove adds option) and allow other features within the app?
Majid Poureftekhari (2 years ago)
Great as always.
Lyn Scott (3 years ago)
Amazing video.. Thanks. I'm a Developer from Venezuela. Should I develop as many apps as I can.? Or just focus on a few? I already have 7 Android apps + 1 for iOS
Ankesh Pandey (6 months ago)
@Overpass Apps Thank you for this beautiful reply
Lyn Scott (3 years ago)
That's brilliant, Really helpful.. Thanks again..
Overpass Apps (3 years ago)
+Lyn Scott Hi Lyn. Great question and a question I struggle with too. I have hundreds of apps now, but only a few do really well. Sometimes when a new feature comes out on Google Play or iTunes and I need to update the apps, it takes forever because there are so many.   But, I never know for sure what will work, so I try a lot. And . . . I don't like the way all my eggs are in the basket of a few apps. If something happens to them then it's bad news for my revenue. So I keep producing them.   Yet, I look at people who have 1 or 2 really popular apps and can focus on just those and I'm a bit envious. However, I know WAAAAAY too many people who have one app out there and no downloads. They spent too much and have all their hopes in this "sure thing" but they can't figure why it hasn't taken off. So my strategy is to be fast and loose. Be prolific (like Prince). And if something gets traction, you can build on it then. I also know people who are re-skinners and will re-skin apps and release one or two a week. But there is no heart in them (and very little originality). So, I don't want to do that either. I feel a connection with the apps we've produced. The way I see it, Walt Disney could have quit after releasing Snow White since it was a big success. But he didn't. He released movies that did well and more that did not-so-well at first. If you have it in you, keep making them. But don't forget to stop producing and focus on marketing once in a while. If you have one that does well, keep improving it and building on it. But if not one has found it yet, think of other apps to release. That's my opinion anyway :-).

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