For a $20 app the current model is that you pay Apple $6. If you waved a wand and made it 20% you pay Apple $4. So the difference in this case is only $2 (while you get $16). That's small potatoes.
> So the difference in this case is only $2 (while you get $16). That's small potatoes.
Is it? That's 14% extra revenue. And if you were comparing a 30 percent take to a 12 percent take, you'd be going from $14 to $17.60, which is slightly over 25% extra revenue! That could double or triple the profit margin of a healthy business!
> What percentage is reasonable?
I already answered that in a different comment. If I was going to wave a wand right now, with no further time to consider, it would be 25% for the first $20 and 5% after.
So look at something like Hey. Apple right now would charge $30 for a user's first year, then $15 for each year after. My version would be $8.75 for the first year and $5 for each year after. A pretty big difference.
I wouldn't be strongly opposed to a flat 12%, but I'm trying to be generous and give Apple some extra dollars upfront for the service they actually provide. But the service they provide barely increase as the price of an app increases, so they don't deserve 25 or 30 percent of larger amounts.
For a $20 app the current model is that you pay Apple $6. If you waved a wand and made it 20% you pay Apple $4. So the difference in this case is only $2 (while you get $16). That's small potatoes.