Mobile Evolution - Thoughts, insight, and experiences related to the mobile software industry

Perhaps the most active part of marketing using the 4P's (Product, Price, Promotion, and Place (Distribution) is Promotion. Once you design your product, set your price, and select your distribution methods, not much additional effort in these areas is required. At this point, you must unleash your promotional tools.

Price selection can be the most difficult and elusive part of marketing. How do you know if your selection is right? What happens if it is too low? What happens if it is too high? What if you need to change it? Is it possible to market to all types of customers—those who want cheap, those who will pay more, or those who won't buy if the price is too low? Sometimes pricing feels like a shot in the dark, but it really doesn't have to be that way. This post will explore different ways of pricing software applications, how to modify them if needed, and approaches for setting pricing tiers to ideally attract as many customers as possible.

Does it make sense to distribute your mobile software via the Electronic Software Distributors (ESD's)? Are the commissions too high to be worthwhile? Can listing be a win-win situation? Many blogs and developers have vented frustrations about commission rate increases at the ESD's, typically those run by Handango and Motricity. In some cases, commissions and fees have doubled from 25% to over 50% in the past five years. Many developers have packed their bags and delisted. Others refuse to start listing. On an emotional and moral principled level, not listing may be the right choice. But does it make sense from a business standpoint? Can we quantify the effects of listing, not listing, and the commission hikes? This post will discuss the numbers as related to increasing sales by using (or not) the ESD as a distribution and promotional tool.