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This article was published on April 2, 2015


    Gondola’s analytics tool for games takes the guesswork out of pricing in-app purchases

    Gondola’s analytics tool for games takes the guesswork out of pricing in-app purchases
    Napier Lopez
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    Napier Lopez

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    Napier Lopez is a writer based in New York City. He's interested in all things tech, science, and photography related, and likes to yo-yo in Napier Lopez is a writer based in New York City. He's interested in all things tech, science, and photography related, and likes to yo-yo in his free time. Follow him on Twitter.

    In-app purchases are an integral part of monetizing many a mobile game, so pricing them right is crucial. But what if developers could set their prices automatically, per player? Gondola is looking to do just that with its ‘Dynamic Pricing Engine.’

    The tool analyzes a player’s progress through a game and will change prices based on his or her habits; the Dynamic Pricing Engine gradually tests the effects of various prices for the same goods on players with different levels of in-game progress.

    Gondola 2

    For example, players that are performing poorly in a game might see their prices reduced, whereas players who are willing to pay more might see slightly higher prices. This should, in theory, yield higher engagement, particularly as worse players are enticed with lower prices for in-game boosts and items.

    The company suggests that a change in price as small as 2 percent can yield 10 percent more revenue overall, so its tool runs ‘millions’ of multivariate pricing tests simultaneously while importing data from services like Google Analytics and Flurry. In fact, during its beta period, where it’s analyzed nearly 92 million players, it’s already been able to improve revenues by 12 percent.

    Devs can sign up to try the tool over at Gondola.io.

    Gondola.io