Revenue optimisation provider wappier has unveiled Promotional Pricing, a new product designed to increase revenue for game and app developers by dynamically pricing in-app purchases based on a user’s willingness to spend.
Promotional pricing is a part of the company’s Pricing Optimisation Platform, which has been proven to increase paying customers by up to 70 per cent. On average, the platform increases transactions per payer by 15-20 per cent, resulting in 20-40 per cent more revenue for developers.
Promotional Pricing analyses a variety of economic and anonymised behavioral data to gain an understanding of each individual’s likelihood to make purchases. The platform then predicts the user’s lifetime value, churn probability, and other factors to generate each individual user’s optimal price point.
Developers can use the platform to increase conversion rates, transaction sizes, and overall revenue.
Live pricing
“In today’s app economy, the one-size-fits-all approach to pricing and promotions is simply ineffective,” said wappier CEO and founder Alex Moukas. “Players have different propensities to purchase based on a multitude of factors. Our Promotional Pricing analyzes millions of data facts and performs 1.65 trillion predictive and prescriptive ML calculations per day in order to determine in real-time the exact price for each individual so that developers can optimize IAP promotions all the way down to the user level.”
The new platform can be used in conjunction with, or separately from, wappier’s Global Pricing, which is used by several leading game developers and delivers upwards of 30 per cent in revenue growth by enabling developers to automatically adjust prices for every in-app product in each individual country, resulting in more transactions and greater revenue for developers.
Some companies, such as Nanobit, are already utilising Promotional Pricing.
“For over a year we have relied on wappier’s Global Pricing product to localize pricing on per country basis, and it has made a huge difference not only to our conversion rates and IAP revenue, but it also levels the playing field for our community and creates a fairer, more balanced user experience,” said Nanobit head of product Jure Rasic. “We are excited to build on this success with wappier by adding Promotional Pricing to our partnership, allowing us to optimize special offers on a per-user basis and boosting conversions and revenues even further.”
In June, we spoke to wappier’s Ted Verani to get his three best practice tips to level up your portfolio strategy.
