Apple Updates App Store Pricing: Adds 700 New Price Points

On December 6th, Apple announced a massive update to the App Store pricing model by adding 700 additional price points and new pricing tools. Under the new pricing system, developers will have unprecedented flexibility and control to price their products in 45 currencies globally.

According to Apple, pricing has been the foundation for developers to choose from various business models, such as one-time purchases or recurring subscription types. The App Store’s commerce and payments system has helped developers grow their businesses, from frictionless checkout, transparent invoicing, and tax and fraud services to refund management.?

Apple stated that the new pricing enhancements will be available for apps offering auto-renewable subscriptions from December 6th and for all other apps and in-app purchases in spring 2023. Previously, the App Store offered minimum price points for developers. With the new system, the minimum app price starts at $0.29, while the maximum app price reaches up to $10,000.?

Here’s a table with the detailed pricing structure:

Source: Apple

These prices can be set based on each country’s currencies, allowing developers to respond to inflation and shifts in exchange rates. Developers can keep their local currency constant in any storefront of their choice. At the same time, they generate suggestions for prices for other regions and currencies—which they can either accept or replace with their own chosen prices.

Apple periodically changes the App Store's pricing system in certain regions based on publicly available exchange rate information. This most recent change allowed developers to adjust pricing at any time to react to tax and foreign currency adjustments.

This is by far the most significant update announced by Apple. Several factors paved the way or contributed to this change. This shift is believed to be an attempt to help developers in the Apple ecosystem cope with inflation and exchange rate fluctuations.?

These flexibilities will offer developers an opportunity to get granular and specific pricing for their apps.

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