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Dev raises price of $3 app to $40 just to spite customers

I like the way Schiau Studios thinks -- when customers complained about the price of their $2.99US App Store game Alchemize, they raised the price up to $39.99. Over on the TouchArcade forums, they make their case: most devs, they say, when faced with complaints about price, will just lower their price even though their software is already cheap. So they wanted to buck the trend, and instead raised it up to almost $40 (which, incidentally, is slightly more than what you might pay for a handheld console game).

Lest you simply complain that they were greedy, they say they were only out to make a point: everyone who purchased the game at the higher price point will have all of their money go to charity, and now that the game's back at the $2.99 price point, 33% of all the profits to be gained will go to the same charity. Regardless of whether the game's any good or not, we like their thinking.

Can we all agree to stop griping about price points? I've actually heard this come up lately on a comedy podcast of all places -- when Chicago broadcasting legend Steve Dahl (and one of my favorites) started up a podcast about a month ago, and introduced an app to go along with it. Steve was inundated with comments complaining about the $2.99 price, which he responded to with a great argument on the show: he's put a lot of money into the app and the show behind it, and if you're already a fan of his, paying less than the cost of a cup of Starbucks should not even be an issue.

Sure, when the App Store first started up, it was the Wild West -- both prices and quality were all over the place. But at this point, Apple's review system has more or less settled down, and blogs like ours are full of recommendations, with enough free apps to last any rabid app user most of their iPhone time. If you have any interest in an app at all, a couple of bucks shouldn't be enough to give you pause -- either pick it up and make sure the dev gets their due (small as that may be), or move on to find an app you'd rather buy.

I like the way Schiau Studios thinks -- when customers complained about the price of their $2.99US App Store game Alchemize, they raised...
 

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alchemistmuffin

I'm sorry, but price is what matters.

I hope you know, we are in recession, and everyone is trying to save money in any way. Average consumers are finally getting smarter, that anything above 99 cents is overpriced, which I have to agree.

I have an iPhone review site, and I think I might be the only iPhone review site that also take price into consideration. For example, TTR 3 was going to be 11/10, but after they decided to charge 99 cents, I rated it 9.5/10, for price. (even though it was 99 cents, everyone expects that the game be free, so I took that into consideration)

I also nearly rated Beejive 1/10, due to overpricing, but that's when they decided to lower the price down, to $9.99. Even though it's still expensive, people can now save at least $5, from the original price of $14.99.

Price matters in the app store world. If you make it cheap, like 99 cents, people will download, and use it. I always tell developers to make the game avalible for the lowest price avalible in the app store, which is 99 cents. Why? Because people are trying to save money, and also are looking at high quality apps.

November 13 2009 at 8:44 AM Report abuse rate up rate down Reply
Martin

The only people to blame for pricing in the AppStore are developers. They are the only ones with authority to change what they are charging for their wares.

This temper tantrum was really unnecessary. And I don't think it was revealed until well into the weekend that proceeds would go to charity. At the very least I know his original argument did not contain that, so let's not make him out to be generous. If anything I'd say that was a response to the backlash he received (mostly on the TouchArcade forums).

October 14 2009 at 10:14 AM Report abuse rate up rate down Reply
LifeSux

funny how people fall for "to charity"

ok, I'll bite. Is it planned parenthood? the RNC? the catholic church? sierra club?

October 14 2009 at 6:01 AM Report abuse rate up rate down Reply
VanillaSpice

So now we're basically saying, two wrongs make a right?

I love the App Store and particularly I like the prices. I've bought heaps of $1.20 and $2.50 apps (Australian prices) without bothering to find reviews or videos online, and when there are no in-store reviews for them. Often the apps have turned out to be crappy. Did I care? No. Did I post a negative review? No. Did I complain about the price? No, of course not, I've spent more on bad coffee that I also didn't complain about at the time.

So I agree that people do not really have a reason to complain, but come on, when has that ever stopped people complaining about anything?

The developers response here is such a bad move. It was wrong, and you cannot say it was right just because the dev was responding to another wrong.

Let us accept a simple fact - the number of this dev's customers who complained about the price represents a tiny fraction of their total customers. We know that, because it remains a fact that 90% of people who buy *anything* will never, ever make a comment or complaint about it, even if they don't like it. It is that simple - the vast majority of people do not complain when they don't like a purchase.

What this dev has done is to lump together all their customers - the complainers and the vast majority - into a group that they clearly think of as "bad people". It was quite clear that this act was done in spite ... what kind of developer wants to spite the people paying for their product? It is crazy, and insulting to existing and any potential future customers.

You do not insult your customers, no matter what. It's, like, the second rule of business (behind, "don't sell for less than costs").

So many developers seem to think that only two parties matter when selling on the app store - them, and Apple. They have forgotten about the third party, the most important one since it is where the money comes from - customers. You ignore or mistreat this group at your own peril.

I certainly know that I will be looking out for apps sold by Schiau Studios and I will avoid them completely. It's rare that you get to know beforehand that the dev of an app you've bought doesn't think much of you as a customer, and I appreciate Schiau Studios being so honest and up-front about their disdain for their customers.

October 14 2009 at 12:15 AM Report abuse rate up rate down Reply
Twist

As an avid supporter of Microsoft's Xbox Live Arcade and Indie Games and a developer in training I have to say that $2.99 for a real game is CHEAP. I am used to paying a minimum of $10 for anything halfway decent on XBLA these days and most of the games worth having on the Indie Game channel are $5 (or at least launch at that price).

You really want to complain about game prices then you need to go into GameStop and look at the prices on some used two year old games that are only $10 less than their original retail price ;)

October 13 2009 at 5:45 PM Report abuse rate up rate down Reply
lanejasper69

TOTAL marketing Ploy! Any "NEWS" is good news. App sucks anyway. LOL

October 13 2009 at 5:30 PM Report abuse rate up rate down Reply
no name

i suspect this app works just as it looks, so paying ANYTHING for it would be a waste....

October 13 2009 at 5:27 PM Report abuse rate up rate down Reply
glad

the problems with Apple gaining the windows ppl as mac users is that they are a right bunch of cheap and i mean cheap Ba$*ards. I've even seen ppl complain $0.99 apps, admitedly of its a crap app the it's a crap app but some of the ppl just make me want to weep for humanity. I reckon some of them sit naked at their computers as they don't want to wear out the one pair of underpants they own!!

October 13 2009 at 4:44 PM Report abuse rate up rate down Reply
Slappy

To the people who claim $3 is a lot of money you need to remember this is on a $200+ appliance. That's like buying a Mercedes and complaining about the registration fee!

October 13 2009 at 4:41 PM Report abuse rate up rate down Reply
SIP

Most of my apps cost me £0.59 to £1.79 but I paid £2.99 for two apps, £5.99 for one, £11.99 for another and £54.99 for Navigon.

If you think that the app is worth the price, just pay for it and buy it. I'm sure that if the same apps were available for Mac, even as shareware, the price point would be much higher.

October 13 2009 at 4:37 PM Report abuse rate up rate down Reply
1 reply to SIP's comment
Peter

"If you think that the app is worth the price, just pay for it and buy it" - As others have mentioned the problem is there aren't many paid apps with free trials.

Almost every piece of Windows or Mac software offers a full-featured time-limited trial version so you can see what it does and if it if going to be something that meets your needs. The iTunes reviews are useless. The best way to see if its worth the money is to try it, but most devs won't let you do that. I agree there is no point in a trial for a $0.99 app, but for a $5 there should be. Apple lets you listen to a sample of a $0.99 song, why can't I sample a $5 app?

And to all of you who say people complaining about a $3 app makes you a cheap bastard, remember, the whole point of the app store is to get people to buy LOTS of $3 apps. When you buy 5 or 10, $3 apps that all suck (because there is no way to try them out) suddenly you're talking about real money. Either you price the app at $0.99 and make it an impulse purchase or you raise the price to a point where people will think about it before buying and you offer a trial version. People aren't cheap, they just want to know what they are getting for their money. Right now Apple provides no good way to do that.

October 14 2009 at 8:20 AM Report abuse rate up rate down Reply
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