Paid apps do better in the charts than free ones

Recently, we've seen a big trend of apps on the App Store going free because free apps tend to garner more attention and downloads (and in-app purchases mean that there's still a possibility of making a profit down the line). However, it turns out that there is one benefit of sticking with a paid app: they stay on the top of the charts for a longer period of time. Data (provided by a company called Distimo) for the month of May in the App Store shows that paid apps are "stickier" on the App Store charts; while free apps only lasted a little over a week, some paid apps stayed on the top of the charts for over a hundred days.

Why is this? My guess is that it involves something that we've heard a lot of talk about, which is that the habits of paying customers are different from those of "free app" customers. Customers who pay for apps are more likely to leave thoughtful reviews and spread the word about a worthwhile app, both of which will extend the time that an app is popular. Customers who use a lot of free apps tend to buy and dispose of apps quickly, while customers who pay are more likely to find the ones they like and stick with them for a while.

After all of the big news about free apps, it's interesting to hear that there are still reasons to stick with paid. As the App Store continues to develop, there are multiple working models for software sales unfolding.

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Source: http://appadvice.com/appnn/2010/06/iphone-paid-apps-top-char…

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iPhone SDK

Recently, we've seen a big trend of apps on the App Store going free because free apps tend to garner more attention and downloads (and...

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Aji

Both has its own pros and cons, Free is kind of allowing people to taste it, use it, scale it and then buy it. Example http://www.fusioncharts.com/free/ is free and it is cool for startup apps but when you need more flexibility you can check for the paid ones ... Not all frees are bad neither all paid ones better but I agree that paid ones have a better chances to be on their toes with up-gradations.

June 12 2010 at 4:56 AM Report abuse Permalink rate up rate down Reply

ChrisAdam

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June 04 2010 at 2:23 PM Report abuse Permalink rate up rate down Reply

Pete Bowie

I have no issues with free apps

June 04 2010 at 2:15 PM Report abuse Permalink rate up rate down Reply

iPad Weekly

I'm guessing that there's some sort of algorithm factor inhere. I'm sure that there are a lot more free apps than paid apps that are downloaded. Since there are fewer paid apps downloaded, there's less data available, making for a less volatile market.

iPad Weekly - http://www.ipadweek.ly/

June 04 2010 at 10:30 AM Report abuse Permalink rate up rate down Reply

Digaos

" Customers who use a lot of free apps tend to buy and dispose of apps quickly, while customers who pay are more likely to find the ones they like and stick with them for a while."

The analysis is about top downloaded apps, not what people keep installed in their iDevices for longer.

The reason why the free apps chart is more dynamic is because free apps are "no-brainer". You see or hear about some app, you go there and download it. Don't like it, you just delete it. There is no decision process whether to buy it or not.

That's why some really crap apps are in the top free charts while the paid chart tends to be more "selective".

June 04 2010 at 9:27 AM Report abuse Permalink rate up rate down Reply

1 reply to Digaos's comment

deviladv

Yeah, and free apps everyone downloads at the same time and then the number of downloads tapers off rapidly, where with paid apps downloads are more spread out over time.

If you stand on a corner and give out 1000 free sodas, they'll go quick, where as if you charge for them it will take longer to get rid of them. Basic economics.

June 04 2010 at 10:59 AM Report abuse Permalink rate up rate down Reply