Milen Dzhumerov:

Developers hope that due to price elasticity, they can stay profitable by just selling more copies at a lower price. This encourages reducing the price more and more in the hopes that getting into the top charts would produce enough volume to compensate. Except it does not and cannot for two simple reasons.

App Store pricing needs to change. Some of it should come from Apple, and I don’t need to rehash the years of ideas and solutions that others have proposed at length. But some should come from the community. Q Branch just raised the price on Vesper from $2.99 to $9.99 and had their best revenue day ever (though, admittedly, with a $7.99 sale to promote going universal with iPad). Tyler Hall raised the price on Shutterbox from $1.99 to $7.99 and had his best sales day ever.

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