The Guardian have today released an updated version of their iPhone app that now employs a subscription-based model instead of a one-off fee.
The original Guardian iPhone app was launched in December 2009, and reportedly has had over 200,000 downloads. Around 75% of those that downloaded the app continue to use it regularly. The Guardian is eager to effectively monetise this section of dedicated readers by introducing a subscription model.
The subscription prices of quite cheap with two options available on offer. The first is a six month subscription at €3.99, and the second a year long subscription at €5.49. It’s highly likely that a good percentage of regular iPhone readers of the Guardian’s content will continue their commitment and subscribe to the new app; commitment they’ve shown in purchasing the original app.
If an estimated 170,000 regular users of the app indeed subscribe to the app for one year, this would represent almost €1 million in revenue for The Guardian. Even a more conservative estimate would still amount to sizable earnings for the company.
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