Apple increases App Store prices in Europe

App Store prices increased for European consumers paying in euros to compensate for exchange rate changes, Apple said

Apple has increased the prices of apps sold through its iTunes App Store in Europe because of exchange rate changes, it said on Friday. The minimum price for an app in the Euro zone rose to ¬0.89 ($1.15) from ¬0.79.

App Store users who tried to purchase a new app from the App Store on Thursday night in Europe were notified that the service was temporarily unavailable. An hour or so later the service was back up, with higher prices in euros for all apps in store.

Apple forces developers to put their apps into one of a limited number of price "tiers", with Apple itself deciding what price will be charged for each tier.

On Thursday night it put up the prices in euros of all tiers, so apps that were on sale for ¬1.59, for example, now cost ¬1.79, while apps previously sold for ¬4.99 now cost ¬5.49. The proportion of the price going to developers stayed roughly the same, with Apple taking about 39 percent of the price and developers 61 percent.

Only euro pricing changed, said Apple spokesman Alan Hely in an email. "From time to time Apple adjusts prices of products in countries due to changes in exchange rates," he wrote.

Thomas Engel, Creative Director at Amsterdam-based mobile development firm The Saints, thinks value-added taxes may also have played a role.

"I think they compensated for currency and VAT changes," he said.

"App providers are probably glad," he said, as they get a little more money with the new prices.

A developer now gets ¬0.54 for an app in the lowest pricing tier, ¬0.89, ¬0.06 more than previously, according to a table detailing the pricing differences published by Apple Lounge.

Engel also thinks that the pricing for consumers is still right. "They haven't breached the magic ¬1 barrier," he said, which is important because that is seen as a psychological threshold by consumers. At ¬0.89 people are probably still inclined to make an easy purchase because the amount is small enough for them to not really care, he said.

"It feels like this is the new standard for the coming years," said Engel, who added that it isn't Apples style to update prices frequently. "We will have to accept it."

Besides updating euro app pricing, Apple also allowed buyers in a number of countries to pay in their local currency rather than in U.S. dollars as before. New currencies supported include Russian rubles, Turkish lira, Indian rupees, Indonesian rupiah, Israeli shekels, Saudi Arabian riyals, South African rand, United Arab Emirates dirhams and Danish kroner.

Join the Good Gear Guide newsletter!

Error: Please check your email address.

Tags applicationsconsumer electronicstelecommunicationiosMobile OSesiPhonesmartphonesmobilemobile applicationsApple

Struggling for Christmas presents this year? Check out our Christmas Gift Guide for some top tech suggestions and more.

Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

Loek Essers

IDG News Service

Most Popular Reviews

Follow Us

Best Deals on GoodGearGuide

Shopping.com

Latest News Articles

Resources

GGG Evaluation Team

Kathy Cassidy

STYLISTIC Q702

First impression on unpacking the Q702 test unit was the solid feel and clean, minimalist styling.

Anthony Grifoni

STYLISTIC Q572

For work use, Microsoft Word and Excel programs pre-installed on the device are adequate for preparing short documents.

Steph Mundell

LIFEBOOK UH574

The Fujitsu LifeBook UH574 allowed for great mobility without being obnoxiously heavy or clunky. Its twelve hours of battery life did not disappoint.

Andrew Mitsi

STYLISTIC Q702

The screen was particularly good. It is bright and visible from most angles, however heat is an issue, particularly around the Windows button on the front, and on the back where the battery housing is located.

Simon Harriott

STYLISTIC Q702

My first impression after unboxing the Q702 is that it is a nice looking unit. Styling is somewhat minimalist but very effective. The tablet part, once detached, has a nice weight, and no buttons or switches are located in awkward or intrusive positions.

Latest Jobs

Shopping.com

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?