David Frampton, the developer behind Chopper (iTunes Link) which had reached as high as #2 on the top paid games list and #3 paid app overall as recently as Christmas, and Duck Duck Duck (iTunes Link) has posted a great article on his blog about what sales numbers he has seen as he has changed the price of his apps. He's got some great insight in this post.
Some of the findings he shares include info on what pricing your app at 99 cents does to the sales, and the reviews. What giving away your app for short periods can do. Here's an excerpt about pricing your app at 99 cents:
Many apps have dropped to $0.99 permanently, and my own DuckDuckDuck also dropped to $0.99.
I regret it.
One of the problems with hitting this price point is in the long term income. A month after the price drop, 6 months, 2 years… People who like an app, and then recommend it, are the best form of advertising. These wonderful, loyal customers perhaps unknowingly convince their friends to pay well for the recommendation. But not just yet. The tail of 1000 sales today lasts a hell of a long time. When their friends do happen to buy an iPhone, and then try out the App Store, and then buy an app or two, your app might be it. Hopefully it’s not $0.99.
Head on over and read the post, it's worth the time if you are interested in what developers experiences are with the pricing of their app.
[via Majic Jungle Blog]