South Africans will soon pay less for mobile apps bought via the App Store
- Apple has announced new pricing updates for apps and in-app purchases on the App Store.
- Prices in South Africa will drop by around 15% but this excludes auto-renewable subscriptions.
- Apple updates its regional pricing matrix “when taxes or foreign exchange rates change”.
- South Africa was on the other side of the coin back in October 2020, when App Store prices increased.
- For more stories go to www.BusinessInsider.co.za.
The price of apps and in-app purchases (IAPs) bought from the App Store will decrease in South Africa, according to a notice posted by the Apple Developer website on Tuesday.
“When taxes or foreign exchange rates change, we sometimes need to update prices on the App Store in certain regions and/or adjust your proceeds,” Apple told developers, in a move which will see prices decrease in South Africa, the United Kingdom (UK) and all countries which use the Euro.
The recent pricing update, expected to come into effect “in the next few days”, excludes auto-renewable subscriptions.
Apple uses a tier-based system to determine the prices of apps, IAPs, and subscriptions. There are currently 87 standard tiers and 7 alternate tiers, ranging from the entry-level, free purchases to ones costing almost R17,000.
And while South Africa, the UK and countries in Europe can look forward to paying less, prices in some countries have increased. In Georgia and Tajikistan, a new value-added tax of 18% sees a rise in App Store prices. In Italy, developers’ proceeds will be increased to “reflect a change to the Digital Services Tax effective rate.”
South Africa’s App Store pricing increased in October 2020 and has remained unchanged over the past ten months. The latest adjustments see prices decreasing by around 15%, although these reductions fluctuate according to the various tiers.
Prices for apps and IAPs in Tier 1 move from R19.99 to R16.99, representing a price decrease of 15%. Tier 50 purchases drop from R999.99 to R829.99, representing a decrease of 17%.
The full list of updated tier prices for South Africa can be found on Apple’s August chart.
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