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An ongoing discussion of web app pricing strategies by Paul Farnell, founder of Litmus and Hiten Shah, founder of KISSmetrics.

Email Paul
paul@salted.com
May
19th
Tue
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Why would I charge $2.99 for the app when I could make it free and just have this massive user base?… The app store makes it as easy to buy an app as it is to download an app for free… People already have their credit card hooked up - it’s just magic. $2.99 is an impulse price.
— Loren Brichter speaking at Stanford about his iPhone application, Tweetie