Going on a cyber shopping spree and don’t know where to start? It’s easier than ever to shop and save online.
Online shopping is a form of electronic commerce which allows consumers to directly buy goods or services from a seller over the Internet using a web browser. … The largest of these online retailing corporations are Alibaba, Amazon.com, and eBay.
Thanks to the addiction accessibility of our smartphones, shopping for the latest and greatest no longer requires a trip to the mall. Skip the lines and cut down on search time just by shopping The Fifth Collection and keeping these top-rated apps at your fingertips! From gifts to gown rentals, your next amazing find — or routine purchase — is now closer than ever.
Consumers Are Irrational. One would think that with most apps being free or priced at $0.99, a $14.99 app would scare any potential users away. Au contraire! We, the irrational ones, always tend to value something more if that something is pricier. Exploit this irrational mentality to price your app higher. If you own a cool app that sits in a unique category, why should you give it out for free or sell it at $0.99? Why not put a premium on the app and make users perceive the app as valuable?
Consumers Will Not Have Perfect Information especially if your app sits alone in the blue ocean and is category-defining. Pricing your awesome app at $29.99 a pop may be a random act on your part, but consumers will have no idea. Why? Because there are no competing apps for them to compare your app against. How then would users react to your $29.99 app? If it’s pricey, it must be wonderful.
In the app world, all these are good and well only if your app is cool and makes a difference.
When copycats come in with similar apps at competitive prices, consumers will finally have something to compare your app against. And they will start making some rational decisions. Many will buy the cheaper, competing apps. And when you, at long last, run out of bullets in the price war, you will give your once overpriced app away for free, resulting in a second download spike, of course for this you also need to allow several payment options, from credit cards and paypal.
Then it’s back to the drawing board for the next killer app.
Consumer Decisions Through Scarcity and the Perception of Value by Yu-kai Chou
Featured art: rationallyspeaking.blogspot.com