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While I understand bundling, what I don't understand is why bundling is relevant here. If you're at the position to be placing bids, you've already chosen a bes
by jonathankoren 8y ago
While I understand bundling, what I don't understand is why bundling is relevant here. If you're at the position to be placing bids, you've already chosen a bespoke price for the product (either by explicitly stating a price, or throwing stuff in for "free").
None of the precludes simply selling the very same code product (sans bundle) on the App Store at a price that's higher than your bid price. Doing so, increases sales (perhaps marginally, but more is more, and the opportunity cost is trivial), and it makes your bid price appear even lower.
The reason why Adobe doesn't bother is because they're a household name. People that want Photoshop, will just google it and go to their page and download it directly. The 30% acquisition cost simply isn't worth it when you've already cornered the market.
But Adobe is an outlier. They own a verb. Most people aren't in that position.