I thought it would be good to get opinions from everyone about going paid versus ad-supported in the iTunes App Store. I am just diving into producing apps and have some thoughts I would like to share and would love opinions and experiences as well.
For all of my apps am opting to use the ad-generated model (iAd) capability of MMF2 Developer for a few reasons:
1. It gets apps into the hands of more people which is my core hope.
2. It allows me to use different licensing for some assets (graphics, music, and audio) because for many licenses a free app is no longer a commercial product despite the ad integration. I recommend you work closely with your sources of media to be 100% clear on terms. The cost benefit can be substantial: a graphic under non-commercial can be used for a few dollars while the extended type licenses can run 80-100 dollars.
3. Apps that are paid tend to receive a lot of negative user and competitor feedback which can hinder adoption. If someone does not like a free app there is really not much to be said.
4. Create a niche app that requires little investment of time/money. I minimize the risk of my time/money investment to 20 man hours per app. This way I do not go deep down a path to make a game and discover on the other side it was a complete waste of time and money. If I spent 6 months creating a wonderful tower defense app and it failed, I can never get that time or money back.
5. In the end I think free markets itself. The iTunes App Store is clogged with competition and paid titles that never see the light of day despite being extremely good. I am not a sales and marketing guru and I have no desire to chase down reviews from websites in order to spur sales. I have another app I created in the iTunes App Store for a company that received glowing reviews from the New York Times and Wall Street Journal (print and web) and it resulted in a minor spike in sales, but nothing lasting.
6. More apps create more possibilities: Angry Birds is a 1 in 10,000,000 phenomena and was the 30th title created by Rovio. I am not going to create Angry Birds, but if I can create a niche app that appeals to a few thousand people in 20 hours x 52 weeks then I may just start to see the iAd revenue build up. If one of the apps really takes off I can then expand it and use the MMF2 Developer in-app sales feature to open the door to greater revenue.





















