How Price Changes Can Improve Revenues
Distimo recently published an interesting report (free, registration required) on how app price changes affect revenue for iPhone & iPad apps. They give a breakdown on the scale of price changes but only give the really interesting results - the download and revenue impacts - averaged across all price changes. The key result is...
Advertising to Existing Users - could re-engagement reap rewards?
Currently the vast majority of mobile app advertising is used to generate new installs. At the same time, for some of the most successful revenue models, a small fraction of the most active users generate the bulk of the revenue. Free-to-play games are a good example of this model but there are similar in-app purchase driven schemes in other categories. Whilst a user is still very engaged with an app it’s likely that the most cost effective way to increase their spend is within the app. However, if an existing user stops regularly using an app then might there be more value in tempting them back in than acquiring a new user?