By the way, an excellent real world example of this effect in action in your market:
A friend of mine has an animated graphic novel system he sells. Its base on Unity and can already do iPad apps HOWEVER he si spending resources on html5 export for the iPad. The reason is because his marketing research has shown he cannot charge over $2.00 for a book delivered as an 'app" whereas he can charge $10.00 to $15.00 for the exact same book delivered as a "book." Its all about where the consumers' expectations of price are set. The actual product has very little to do with it. On Thu, Feb 16, 2012 at 12:23 PM, Jeffrey Kesselman <[email protected]>wrote: > > > On Thu, Feb 16, 2012 at 12:17 PM, Brian Conrad <[email protected]>wrote: > >> On 02/15/2012 08:06 PM, Nathan wrote: >> >>> >>> On Feb 15, 6:57 pm, Jeffrey Kesselman<[email protected]> wrote: >>> >>>> Unfortunately you have established a value proposition with the buyer at >>>> $0.99 It is very difficult to move price up on the american consumer. >>>> >>>> This is why low-balling is a bad idea in any market. >>>> >>>> >>>> >>> >>> I agree with your second statement but not your first. >>> >>> Just what buyer has Brian established the .99 value proposition with? >>> >> > YOU (the industry) have established this defacto price point with all the > app consumers. yes some apps cost more. But they have to either have a > name or strong justification that makes it seem "worth it" to the consumer. > > > And if you or other have already released very similar products, or > products of a similar level of perceived importance and/or complexity at > $.99, making that case to the consumer is difficult. Keep in mind that > American almost never pay a premium for quality. Those markets are very, > very small. The bulk of the population buys the cheapest possible crap at > WalMart. > > -- > It's always darkest just before you are eaten by a grue. > -- It's always darkest just before you are eaten by a grue. -- You received this message because you are subscribed to the Google Groups "Android Discuss" group. To post to this group, send email to [email protected]. To unsubscribe from this group, send email to [email protected]. For more options, visit this group at http://groups.google.com/group/android-discuss?hl=en.
