The app store has been a big success in terms of expansion and sales, but, among other things, Apple needs to fix some problems with the pricing/ranking system. Currently the iTunes store rates apps by the number of downloads, regardless of price. Needless to say, the 99 cent apps get the most downloads, so they rise to the top of the charts. This creates tremendous pressure to lower prices to get on the top 100 list. In fact, recently Hero of Sparta, originally $10, was reduced to 99 cents and went to the top of the charts. All well and good for it, but when $10 apps lower their prices, they push less advanced apps off the bottom of the chart or prevent them from getting on. Imagine if all cars were ranked by the number sold. The BMWs would have to lower their prices or become invisible through lack of exposure. That would then push the Fiats off the bottom of the charts (who is going to buy a Fiat that is the same price as a BMW). Basically we have a pricing landslide as referenced at Yappler.com which collects pricing statistics:
"-What is the average cost per app?
"-Did you know prices dropped over 10% since March?
The answer is a multitiered pricing model -- in other words, a top 100 list for $10 apps, a top 100 list for $5 apps, etc.. If a $10 app is at # 15 on the $10 top 100 list, it won't have to lower its price.
Another very needed improvement is better searching. People need to be able to find what they want when they search without having to wade through un-related apps.
Basically the Apple store is busting at the seams, but if Apple plays its cards right, developers will flourish and produce incredible software. However without needed changes, many developers will be pushed out of the market by pure economics.
Doug Hogg
Toy Kite Software
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Fixing the iTunes store
The app store has been a big success in terms of expansion and sales, but, among other things, Apple needs to fix some problems with the pricing/ranking system. Currently the iTunes store rates apps by the number of downloads, regardless of price. Needless to say, the 99 cent apps get the most downloads, so they rise to the top of the charts. This creates tremendous pressure to lower prices to get on the top 100 list. In fact, recently Hero of Sparta, originally $10, was reduced to 99 cents and went to the top of the charts. All well and good for it, but when $10 apps lower their prices, they push less advanced apps off the bottom of the chart or prevent them from getting on. Imagine if all cars were ranked by the number sold. The BMWs would have to lower their prices or become invisible through lack of exposure. That would then push the Fiats off the bottom of the charts (who is going to buy a Fiat that is the same price as a BMW). Basically we have a pricing landslide as referenced at Yappler.com which collects pricing statistics:
"-What is the average cost per app?
"-Did you know prices dropped over 10% since March?
"http://Yappler.com/Apple-iPhone-App-Store-Stats/"
The answer is a multitiered pricing model -- in other words, a top 100 list for $10 apps, a top 100 list for $5 apps, etc.. If a $10 app is at # 15 on the $10 top 100 list, it won't have to lower its price.
Another very needed improvement is better searching. People need to be able to find what they want when they search without having to wade through un-related apps.
Basically the Apple store is busting at the seams, but if Apple plays its cards right, developers will flourish and produce incredible software. However without needed changes, many developers will be pushed out of the market by pure economics.
Doug Hogg
Toy Kite Software