You’ve probably heard of both free apps and apps worth paying for on iPhone. But what about in-app purchases (IAP)?
IAPs are a way for developers to make money from their apps by selling digital content, subscriptions, or services directly inside the app.
You may have noticed that some apps offer “free” versions with ads but charge for an ad-free version, or they offer discounted bundles of items instead of charging one price for everything they sell when they build an online store.
But how can you make money through in-app purchases, and what additional features can you sell your customers?
Here’s everything you need to know about selling online and building an online store.
The Name for In-app Purchases Is a Bit of a Misnomer
The term in-app purchases refer to a variety of digital purchases made within an app. However, it can also refer to other forms of digital content, like virtual goods. These are not the same as physical goods or services you buy online.
In the App Store and Google Play, there’s no such thing as an “app purchase.” Instead, you’ll see items you might list under the “All” tab in your account settings.
All the items you can subscribe to are listed under the ‘Subscriptions’ menu. Subscriptions from iTunes used to be called iTunes content, but now they’re just Apple Music.
The Term In-App Purchase Refers to a Variety of Digital Purchases
Digital goods refer to anything that You can purchase within an app. These can range from something as simple as a game to a premium subscription.
You can also use in-app purchases to purchase physical goods within the app. These include food delivery services or movie tickets delivered digitally through your device. Builder.AI is one service you could use to assist you with in-app purchases.
It Is Possible to Refund an In-app Purchase
While it may seem like a good idea to purchase an in-app purchase, sometimes you get tired of the game or app. If this is the case, don’t worry.
If you’re within two hours of your initial purchase, you can cancel and get a full refund, but you will lose the app benefits soon.
You can do it through the App Store (on iOS devices) or Google Play (on Android devices). However, if this period has passed, it’s impossible to request a refund directly from Apple or Google. You’ll have to contact your bank instead.
If that sounds too complicated or inconvenient, another option is contacting the developer directly for custom modifications.
If you take part in an app purchase and decide it’s not for you, contact the developer to get a refund. Remember that many developers only provide rebates if you contact them within 30 days of making your first transaction.
Remember that building an app and offering an in-app purchase is just the beginning of your business.
You Can Build an Online Store Using the App Store
In-app purchases are a convenient way to purchase digital content and services. However, it would help if you were careful not to purchase something from the app accidentally.
It is also important to remember that some apps have in-app subscriptions and that there are ways to disable these purchases if necessary.
For more information on how you can build an online store and how to sell online, be sure to check out our guide to selling online.