Price influences behavior. In order to craft an excellent user experience, the price — and how your users interact with that price — must be central to the development of the product, especially applications. No user will welcome an application if the cost is prohibitive. This makes price every bit as important as design, information architecture and wireframing, and it goes deeper than just getting people to click “Buy.” By focusing on users in setting and maintaining a price, you will increase revenue, lower overhead and, most importantly, significantly improve the user’s (read customer’s) experience.
For just about a year now, between designing and developing client’s websites, I have been running a little app that I created with co-workers. In that time, we have launched, added features, raised the price, added more features and just now begun the early stages of marketing the product. So far, we have done all of this without borrowing a cent, and we have managed to at least cover our costs, if not generate some modest profit. I have no doubt that this success comes from our choices of model and price point.
This article is not about “How to price your app.” There are plenty of good resources for learning how to find the right number. Pricing for use is a framework for continually adjusting your price, when needed, to suit your profit goals and the experience of your users.