Thursday, November 1, 2018

A Discussion On Shopify Pricing App

By Patrick King


Installed apps continue to grow whether we like it or not. The merchant base for Shopify does the same. It makes us wonder how they decide which of them are actually worth their own price though. How do they do it? What are their expectations on a pricing model of a particular application? It is a bit hard to determine the Shopify Pricing App.

There an application there named Oberlo. This one is free too. If you are trying to look for a business kind of idea, or, hey, maybe you need products you want to sell? Use this. This helps you search for those marketplaces that have products which you can just import into your Shopify store.

Now, right before you pick on how much you want your application to be paid, determine first what kind of billing model makes the most sense for all the services you have offered. For those apps that have been made for Shopify, those charges are being set up and are processed through this thing called Billing API.

Billing API has resources that actually align with what is known as the four most common models for billing. They are used by most, if not all application developers. They are one time charges, example business model, recurring charges and example business models. They basically are behind all of it.

That way, you get to educate them about what they have been doing in your app and get the easy money without even cheating at all. They might even want an additional functionality that counts as something severely important to your app. Count yourself lucky. Demands mean costs and that means more cash for you.

As for the second one, let us call in an example. A hypothetical one. Order Follow Up sends out order confirmation emails to all customers that have ordered the product. Shopify handles all the invoicing plus that merchant payment. The one who made the app will get eighty percent from the revenue once the merchant has paid the invoice.

Regarding the recurring app charge, it uses more than the ninety percent of paid apps. This is best suited for those that have ongoing services to all merchants. They are billed every thirty days too. Their billing cycle is sort of independent from their subscription cycle, but the charge is actually rolled up at the same time as their sub.

As a side note, so you will not get screwed over by the people paying you, you need to get them to agree about any new changes and charges first. This is so they do not get shocked about anything new on their bill. That could turn ugly and will have them calling you out on unnecessary charging.

And in any case, they have additional credits. Those will be used to reimburse any errors in the billing. They could have those be paid in advance.




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