EA's App Store price war
As we previously reported, EA dropped prices on most of its iOS apps this week, and that sale sent shockwaves through the App Store's holiday season. We've seen tons of awesome new apps hit the store in the past few weeks, but if you look at the Top Paid apps right now, most of them are older EA favorites. EA currently has 6 of the top 10 apps on the store (with Battlefield: Bad Company 2 leading the way -- a big name title released for just 99 cents), and it's peppered throughout the rest of the top 50 as well. The biggest recent release on the list is probably Infinity Blade, which, despite extremely solid reviews and lots of press about its release, is currently down at number 16.
In short, EA has kicked off a price war, and there's a time limit on this one. Apple is freezing the charts on December 23, which means that any games in the top 200 at that time will remain there over the all-important Christmas holiday, the point at which we've seen the biggest jumps in App Store sales (due to all the new hardware out there under the tree).
At least one big publisher has already responded in kind -- Gamevil has announced a price drop on many of its apps, including the just-released Illusia and Nom, although it couldn't make it down to the 99 cent price that EA is offering. I would say look out for more big sales in the next few days. Companies have had a lot of success with App Store sales in the past, and as we get closer to that holiday freeze and the ensuing burst of sales, they're much more likely to start pulling out the big guns.
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As we previously reported, EA dropped prices on most of its iOS apps this week, and that sale sent shockwaves through the App Store's...
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I've noticed this going on each time there's a new release of a device (iPhone, iPod, iPad) and before Christmas and assumed it was for the same reason, to get up into the top 10-25 list, raise prices, and then get all of those new users to download the applications.
I look at it as a bit of a "lie" because someone just getting a device must think that $5.99 is a good deal and that "lots of people have paid that so I will too." At any rate, it makes me like sites such as AppShopper that much more!
I grabbed Madden 11 and Scrabble for the iPad. Madden 11 is very good actually. Well worth the 99cents!!!
Scrabble for 99¢ is a great deal. The graphics look great, and the computer plays a pretty fierce game.
December 18 2010 at 10:16 PM Report abuse Permalink rate up rate down Reply@iGlad @Patriks7: strange, i've checked a few apps i'd like to buy in two countries' store and checked their price in the US store, result was: US store much cheaper...
December 18 2010 at 4:45 PM Report abuse Permalink rate up rate down ReplyPretty sure they don't freeze the chart. The only thing they said in the developer news was that iTunes Connect would close which means no new/updated apps and no price changes. The charts should still move. I'm sure that's just a standard algorithm which has no risk of breaking over the holidays.
December 18 2010 at 3:27 PM Report abuse Permalink rate up rate down ReplyI'd also be really surprised if their sale didn't end right before Christmas once the rankings have been locked, so you better buy now!
December 18 2010 at 1:04 PM Report abuse Permalink rate up rate down ReplyHere's to capitalism and a free market!
December 18 2010 at 10:59 AM Report abuse Permalink rate up rate down ReplyInteresting, didn't know about the chart freeze.
Does it happen in all app stores or just the US?
Do they freeze the charts during other holidays?
During the freeze can developers still lower/raise prices and submit updates?
How long is the freeze?
1. I believe it is all stores, but not sure on that.
2. The charts are frozen, possibly because the increased demand on Christmas they don't want to risk something breaking and having to make their US employees work to fix it over the holiday.
3. Price changes can't happen, and no updates or new apps will be approved until the 28th.
4. Until the 28th.
EA is using the freeze to their advantage. First get lots of sales at 99 cents to move all of their apps up the charts, then the 23rd they return them to normal prices. Everybody gets iPod's and iPad's for Christmas and they download all of EA's games at full price with their new iTunes gift cards
Result - EA gets huge profits on Christmas and the days after. Even with an app that was unranked last year I saw about a 5x increase in sales. The increase in sales of a top 10 app is probably even higher.
I wouldn't hold my breath on that one!
December 18 2010 at 9:19 AM Report abuse Permalink rate up rate down ReplyYou might add to the article that everything you wrote applies only to the U.S. version of the store.
Sadly :(
the UK store has many of the EA games at 59p and that includes iPad versions as i intend to buy an iPad 2.0 l will buy them now for later use and at 59p who can argue. note a chocolate twirl costs 60p and is gone in less than 2mins with me lol i will be hoovering up all the iPad app bargains lol my real disappointment is that fifa11 wont load onto my iphone 3G!!
December 18 2010 at 7:49 AM Report abuse Permalink rate up rate down ReplyIf they have the discounts in the SLOVAK store, then it's hard to imagine how they wouldn't have them in other ones. The Slovak store doesn't even have music or anything like that, only apps.
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