After a recent study done by the App Store analytics company Distimo, it has been determined that areas in the European zone (Austria, France, Germany, Italy, The Netherlands and Spain) tend to price their apps higher then other Android carrying regions (United Kingdom, the U.S. and Japan). The average price for an app published in Europe is $4.42, 49% higher than apps published in the U.S. ($2.96), with Japan at ($2.28), and the UK at ($3.31).
The numbers of publishers in each country are as follows:
- United States: 65%
- United Kingdom: 12%
- European Zone: 20%
- Japan: 3%
It’s easy to see why the number of publishers are that high in the United States, due to Android arriving first here. The European zone is high even though being some of the last to receive Android in their countries.
Any thoughts on the matter readers? Maybe a way to help fix the Android Market worldwide?
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The exchange rates plays an important role here.
For 2 reasons :
- euro is “stronger” than dollar these days, so price of european apps is higher once converted in dollars. Because currency rate is (debatably) not really on par with “real” costs .
A bit like the prices of electronic devices that often get a conversion from dollars to euros : 400$ too often become 400€. Selling companies consider it to be “equivalent”. But it works one way only. When you price something 400€ it will become 559 $ !
- numbers matters. There are psychological prices. Where a cheap app will be priced 0.99$, an european cheap app will be priced 0.99€ (1.38 $).
(that is what happened for example in france when Francs were replaced by Euros : selling prices of goods were “adjusted” to be more like 9.90 €, 4.90€,…. but roundings were always done to the advantage of sellers….)
That’s common knowledge to anyone who takes steps on each side of the pond. The US is cheep these days for a European, The US $ is obviously very low.
Really? Common knowledge? The US $ is obviously VERY low?
http://finance.yahoo.com/q/bc?s=USDEUR=X&t=3m&l=on&z=m&q=l&c=
From this morning:
http://www.moneycontrol.com/news/cnbc-tv18-analystcommodity/dollar-touches-6-12-months-high-vs-euro_438669.html