Question

How does iTunes App Store handle trial versions?

Asked by: GLComputing

We work with a product  (Handheld Contact - www.GLComputing.com.au/HHC) that syncs ACT! by Sage data on to smart phones,  that we have been doing for the Blackberry and Windows Mobile devices for some years that is about to be released for iPhone (and maybe iTouch) and are discussing with the vendor to get it on iTunes App Store.

The the product is sold as a service... currently, people download a trial which operates for 14-days and, when satisfied, purchase s subscription.

The Apple developer license says no charge for free downloads and a % to Apple for paid... but as we don't charge at download, how does the licensing work?

As the software is free and fully functional to download and install, but they have to pay for a service to use it beyond 14-days, does Apple regard this as free (therefore no charge for us to put it on iTunes) or commercial (we have to pay them a %). If the later, how do they determine the charges?

This is our first solution for iPhone / iTouch, so would welcome any views on this

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Asked On
2008-12-06 at 23:39:02ID23963813
Tags

Apple

,

App Store

,

iTunes

Topics

iTunes Software

,

iPhone

,

iPod

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3
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31

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Answers

 

by: dalesitPosted on 2008-12-07 at 15:45:48ID: 23117969

I am not certain about this, but what I would expect (based upon other apps which allow you to connect to a web based service which has paid for content) is that if you offer the app as free, you can separately charge for access to the content that the app connects to. However, you would need to have separate billing mechanisms for that, and an external authentication mechanism that the app connects to with user details to then access this subscription content.

So, the application is free, but the access to your sync servers is what is subscribed to.

It is like a free Notes client - the iPhone App is free, but the cost of a Notes service is most definitely not free. You are supplying a free app to allow people to connect to a business subscription service.

Cheers,

Joel

 

by: psufanPosted on 2008-12-07 at 18:05:08ID: 23118349

Yes it is something like that. If you read the contact you sign to make apps, it says something like you are not allowed to have locked features. Basically because you could skip on apple getting 30% for the app. Sorry but you will have to figure something else out.

 

by: GLComputingPosted on 2008-12-07 at 22:47:31ID: 23118962

That sounds good... nothing is locked on the app except the 14 day limit. We already have the auth server that we've been using for 8 years on the other 2 platforms.

The other option was to have them pay via iTunes for the trial and refund if they decided not to go with it within 14 days... but that would be real messy.

Doesn't seem to cover that option clearly in the licensing.

In appreciation, I've bumped the points up to 500 and will leave it open another day in-case someone else has a thought

 

by: dalesitPosted on 2008-12-08 at 01:07:54ID: 23119279

Does the app stop working after 14 days? Presumably it is not the app that stops working, but the sync service. The app remains fully functional, but the sync service that it connects to will not sync anything unless the sync subscription is activated.

Cheers,

Joel

 

by: GLComputingPosted on 2008-12-08 at 01:28:52ID: 23119348

Correct... the app is still fully functional, but data entered on the device or ACT! will no-longer sync unless the subscription is current.

 

by: dalesitPosted on 2008-12-08 at 01:55:02ID: 23119440

You should be fine offering it as a free app then.

Cheers,

Joel

 

by: psufanPosted on 2008-12-08 at 13:52:47ID: 23124721

Id talk to Apple, I believe your violating their app contract.

There not going to let you get away with charging app for free and getting profit on the side. Other apps that charged per year have charged $150 for the app instead.

 

by: kguy18Posted on 2008-12-09 at 11:22:28ID: 23132412

I think that epocrates is going to do this as well when they release Essentials for iPhone. The way their service works is you have an online account with them that has all of your subscriptions to their different products and the software is free from the app store you just sign in to your account on the iPhone and it populates your subscriptions.

This is a link to the free iPhone software http://www.epocrates.com/products/rx/iphone-instructions.html but you'll notice they require an account. Might be a model to look into.

 

by: GLComputingPosted on 2008-12-09 at 16:31:16ID: 23135296

Psufan, I've looked at the contract and couldn't find anything clear on this... which is why the post

 

by: dalesitPosted on 2008-12-10 at 03:32:55ID: 23137919

I believe that since there is an already existing service, this would be a free app to allow you to connect to your subscription service. The app is an additional method to connect to the service, provided at no charge.

 

by: psufanPosted on 2008-12-13 at 06:41:53ID: 23164097

GLComputing, I havent looked through the contract, but Ive talked to iPhone devs who have told me they have had problems with apple trying to do something similar. He was trying to give free apps for people that bought it on the illegal installer.app. Apple wouldnt let him have registration codes to unlock the free lite edition and turn it into the full version.

 

by: GLComputingPosted on 2008-12-13 at 08:13:54ID: 23164364

Yes... "lite" editions are explicitly not allowed. That is not what this is about.

This is not a "lite" version that is unlocked with a key. In fact, there is no key ever added to the application.

 

by: psufanPosted on 2008-12-13 at 09:12:37ID: 23164598

Lite editions defiantly are allowed, and are used excessively.

The keys not the part they care about. The app designer told me that apple did not allow "LOCKED FEATURES". Your app would qualify as having locked features.

 

by: GLComputingPosted on 2008-12-13 at 09:22:53ID: 23164633

Actually, no feature on the software is "locked" and is fully functional from when it is downloaded and installed.

You must simply subscribe to the service in order to keep receiving sync after the trial period. All the data will be there for as long as you want for free.

 

by: psufanPosted on 2008-12-13 at 10:52:38ID: 23164953

Whatever, if you choose not to listen to me then I cannot help you.

Good luck.

 

by: GLComputingPosted on 2008-12-13 at 11:59:35ID: 23165215

Well... how do products that are only a service get sold on the App Store?

Are you saying that applications that are Software as a Service aren't supported by Apple? Is Apple that out of date?

There are no features locked and there doesn't seem to be anything covering this in the agreement.

 

by: psufanPosted on 2008-12-13 at 12:15:56ID: 23165260

I couldnt seem to find anything either.

But
- Apple reviews all apps before they get put in the store, as well as updates. Which is why 9 updates come out at the same time.
- Other companies that work from a monthly service have switched to a one time fee.
- Apple seems to have more rules then they tell you about in their contract. Developers have already had to remove the "credits" from their apps. Which wasnt stated in the developer agreement either.

Ask apple what you can do, or I can give you the email of the developer I was talkng to and he can tell you what hes run into himself.

 

by: GLComputingPosted on 2008-12-13 at 13:28:50ID: 23165528

I've asked Apple Australia, and they said they are pretty sure it would be ok... but didn't sound all that convincing.

Do you have contact details from anyone at Apple that might actually be able to provide a definitive answer?

 

by: psufanPosted on 2008-12-13 at 15:09:31ID: 23165891

I do have some Apple contacts, but none for that kinda thing. Look around on the apple developer website.

 

by: GLComputingPosted on 2008-12-14 at 00:44:51ID: 23167043

Asking other developers gives the same confusion as here... even asking Apple Australia doesn't give a conclusive answer.

So, you say it's not allowed but have no reason for your statement.

 

by: psufanPosted on 2008-12-14 at 07:43:40ID: 23167948

I told you why I think they dont allow it. Apple wouldnt get its 30% on the app if its free and your getting money on the side.

I contacted the developer I was talking to before, hopefully he can tell me where/how he got this info.

 

by: GLComputingPosted on 2008-12-14 at 10:12:25ID: 23168812

Apple specifically allow lots off free apps, for which they don't charge the developer anything. This is specifically allowed within the contract.

With the versions we have for the Blackberry and Windows Mobile, we don't charge for the software and there is nothing locked out of the software.... which seems ok under the Apple contract

 

by: psufanPosted on 2008-12-14 at 14:17:49ID: 23169682

1) Yes they dont charge anything after you pay $99 to be a developer
2) Forget about blackberry & windows, it has nothing to do with strict apple.
3) You cant seem to understand that if its only a 14 day trial period, and it doesnt work after the 14 days, then its LOCKED.

 

by: GLComputingPosted on 2008-12-14 at 14:23:19ID: 23169807

1. Paid
2. SaaS applications are not allowed on Apple? Wow... they'll be missing out on just about every CRM solution. Must not want the devices used in businesses.
3. It DOES work after the 14 days... nothing in it's use of the data that is then on the device, or the application is locked.

 

by: kguy18Posted on 2008-12-14 at 14:59:36ID: 23170279

Ok so I followed this thread and did a little research in regards to your CRM solution. Here it goes salesforce (http://www.salesforce.com) is a SaaS. They use subscriptions for their solution including a 30 day free trial. They also have an iPhone app, that is FREE (http://itunes.apple.com/WebObjects/MZStore.woa/wa/viewSoftware?id=281826146&mt=8). This is taken from their iPhone app page:

"Salesforce MOBILE License Required (free for Unlimited edition customers)
FREE 30-Day TRIAL
Sign-up when you first download the app or go online...."

So the answer [in my opinion] is YES you can have a SaaS and sell the app for free. I would assume you would want a subscription trial for 30 days but other than that you can charge for the service and not the app.

There are a few other examples out there I just cant remember them off hand.

 

by: psufanPosted on 2008-12-14 at 16:21:08ID: 23170555

All the ones you have to register for are free though. In that example, you said free for unlimited edition customers.

But if its optional to sign up for the service on your website, then I would probably agree, apple would probably allow that.

 

by: kguy18Posted on 2008-12-14 at 17:58:05ID: 23170859

Free for 30 days, but all of them cost something... (http://www.salesforce.com/products/editions-pricing/feature-comparison/)

 

by: GLComputingPosted on 2009-03-21 at 15:11:23ID: 23949159

Just thought I'd let you know I haven't forgot this thread... we should be launching the product next month and will see what Apple says. After which I'll post back

 

by: psufanPosted on 2009-03-21 at 18:45:01ID: 23949800

Good that you brought this up again. I saw that the new iPhone OS will include software to allow subscriptions. The example given was buying a daily paper. This might be able to be based on a 30 day trial.

 

by: GLComputingPosted on 2009-09-22 at 01:20:39ID: 25390552

Just as an update... we've had some issues with the application and memory leaks, but only on the actual device - no problem in the simulator.

Supposedly this is not uncommon.

Will post back when that's resolved and we try for release.

 

by: GLComputingPosted on 2010-10-12 at 14:22:57ID: 33889475

BTW: just saw this again and realised I forgot to update...

Yes, Apple allow trial apps for free with subscription for the service

20120131-EE-VQP-002

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