Apple is about to reveal some changes on how users and developers interact with the Apple app store. According to Phil Schiller, Apple’s senior vice president, Apple is looking to improve most of its services starting from its discovery process to the apps review experience. However, the most significant shift is the change in the business models and the room for subscriptions to all types of apps.
Some of the expected changes in the Apple app store
- All apps can be redesigned and developed to allow the use of auto-renewing subscriptions.
- Developers have the freedom to price their subscriptions at any fixed price point of the 200 different points.
- Developers have room to change the rates of different territories.
- Apps have the freedom to offer different subscription durations and different tires such as extra, premium and standard.
- Apps have room for some non-overlapping subscriptions for a variety of services or features.
- The subscription costs are bound to change. Also, developers have the power to inform you about any increase or grandfather your existing cost.
Will all Apple apps switch from purchase to subscriptions?
Apple’s spokesperson has noted that this can only fit some business models. A lot of apps have consumable purchases already. This refers to the purchase of an item that lasts for a specific period, but it is not renewed. A good example is a subscription to a 3-month VPN. The developer of the app will have to warn you about the expiry, and you will be required to buy the item once again in order to proceed using it. Neither the developer nor the user shall receive the advantage of a continuous, seamless access. Most are likely to turn into in-app purchases subscriptions.
The app types that will choose models of subscription
Any app that requires individual cloud-based servers’ commitment will need a subscription. Therefore, photo sites that require a subscription in order to make payments for the storage and log in through its own iOS app could allow subscription as well. Schiller provided enterprise apps that tend to develop continuously with additional features rolling them out as the examples.
What happens if the developer decides to raise the subscription fee?
Wearable technology developers have the option to decide to raise the subscription price for everyone or let old users continue paying the same amount provided they maintain a similar subscription. If the developer grandfathers existing pricing for older users, they will be required to indefinitely pay that rate unless they decide to downgrade or upgrade. However, in case the developer chooses to increase the price, Apple will be notifying the users.
What happens if you stop subscription fees?
Just like Netflix subscriptions, it is possible to lose access once you stop paying. However, some apps and periodicals will allow users to keep content released during the period of subscription. Apple is expected to make more clarifications on this issue. This change seems to favor the developers because they will be in a position to offer their games and apps at a monthly pay rather than the old upfront single pay.
Any more free trials in the Apple app store?
This is a decision for the developer to make. It is expected that some developers will be offering free trials for every in-app purchase. The free trial lasts from one week to a month. However, a good number of apps are expected to remain free in the Apple app store. They may as well be sold without IAPs and remain under the previous rules that do not allow demo and trial versions. Apple is not allowing apps to have demo versions. Apps that have subscriptions will be required to work with the available features during free trials or when a user is making a payment. If the developer has their app improved, then subscriptions could cover upgrade costs.
These changes are likely to witness more subscription. Developers will work to ensure that they update their apps and charge monthly fees instead of the old single upfront fee. They will also be looking to make additional games and apps that use the new model of subscription. This could earn them and Apple more money. Apps will increase, and you may start seeing app adverts when searching. Apple says that it will be easy to share app adverts on social media.