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When I was working in retail ages ago this was said many times as advice for new companies starting out. "It's easier to lower the price when you don't sell eno
by Moru 11y ago
When I was working in retail ages ago this was said many times as advice for new companies starting out. "It's easier to lower the price when you don't sell enough than to raise the price on something that is selling well."
Today it seems to work this way: "We start with free stuff and then we try to find ways to make money later". I think this is part of why we have the customers we have today. They expect everything to be free and then give you 1 star reviews if the background color is off a shade.
- scriptman 11y agoToday, that could be because devs tend to confuse how to measure success and keep a foot in multiple camps. If you are trying to create a viral app, then giving your software away for free increases your chances of hitting the jackpot. But it decreases your chances of achieving steady cash flow in the short to medium term. If you charge upfront, then you probably aren't going to go viral. But you might be able to pay your costs. Freemium is an each way bet. Everyone dreams of virality, but this dream might be sabotaging your nice, niche, steady earning app. You need to choose between your ego playing the app lottery or making small steady gains with real money. Sometimes going after virality is the right decision, but you have to look at your app and its target market and choose your charging model carefully. As for the customers having low expectations, if the developers don't think that their software is worth anything, then it's probably not surprising that the customers agree.
- untog 11y agoToday, that could be because devs tend to confuse how to measure success Devs/VCs. Or, rather, a VC is looking for a big sale down the road, not a company that makes steady income with low priced transactions.