South Africans will soon pay less for mobile apps purchased through the App Store

(Getty Images)

  • 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 that excludes auto-renewable subscriptions.
  • Apple updates its regional pricing matrix “when taxes or exchange rates change.”
  • South Africa was on the other side of the coin in October 2020 when App Store prices increased.
  • For more stories, go to www.BusinessInsider.co.za.

The price of applications and in-app purchases (IAPs) purchased from the App Store will decrease in South Africa, according to a notice published on Tuesday by the Apple Developer website.

“When taxes or exchange rates change, we sometimes need to update prices on the App Store in certain regions and/or adjust your recipes,” Apple told developers, in a move that will see prices drop in South Africa, United Kingdom (United Kingdom) and all countries that use the euro.

The recent pricing update, which is expected to go into effect “in the coming days,” excludes auto-renewable subscriptions.

Apple uses a tier-based system to determine app, IAP, and subscription prices. There are currently 87 standard tiers and 7 alternate tiers, ranging from entry-level free buys to those costing almost R17,000.

And while South Africa, the UK and countries in Europe can expect to pay less, prices in some countries have gone up. In Georgia and Tajikistan, a new 18% value-added tax is driving up App Store prices. In Italy, developer proceeds will be increased to “reflect a change in the effective rate of digital services tax”.

South Africa App Store prices increased in October 2020 and have remained unchanged for the past ten months. The latest adjustments see prices drop by around 15%, although these drops fluctuate between the different tiers.

Tier 1 app and IAP prices drop from R19.99 to R16.99, representing a 15% price drop. Level 50 purchases go from R999.99 to R829.99, which is a 17% drop.

The full list of updated tier prices for South Africa can be found on Apple’s August chart.

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Casey J. Nelson