Founder Playbook
Pricing
“we've actually lowered the price we didn't have the equivalent of the US prices that's something what I think usually app store sort of suggests they basically just do the exchange trade right and then calculate So no no we didn't”
Test below-exchange-rate prices in emerging markets
App stores default to currency-equivalent pricing, but Mojo found that testing below-exchange-rate prices in Brazil and Mexico outperformed the default on total revenue: lower prices drove enough additional volume to more than offset the margin reduction per user. Price testing in emerging markets is not just localization; it requires questioning the entire price floor. Markets with lower purchasing power often have dramatically higher elasticity than US or EU equivalents.
M
Michal Parizek
MojoGrew ARPU 60% in five months through paywall and pricing experiments as senior growth PM at Mojo, a top social video creation app.
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How Mojo Increased ARPU 60% In Just Five Months· 5:12