Local Pricing / Purchasing Power Parity (PPP) model consideration

Gem Lounge 💬
#1

Dear Opal Team,

I hope this message finds you well. I am an avid user of your application, and I am writing to you from South Africa, where your application has a growing user base.

Your solution has been instrumental in helping users around the globe streamline their digital lives and regain control of their time by blocking distracting apps. This functionality is vital in today’s world where digital distractions are becoming increasingly prevalent, leading to lower productivity levels and higher stress.

However, the current pricing model presents a barrier to the wider adoption of your tool, particularly in regions like South Africa where the average income and purchasing power are substantially lower compared to regions like the US and Europe. The current price, while perhaps reasonable in the higher income regions, is unfortunately beyond the reach of many potential users in countries with lower income levels.

I believe it would be beneficial for both Opal and its potential users if a Purchasing Power Parity (PPP) model were adopted for pricing. This model would adjust the cost of your service based on the average income levels and cost of living in different regions, thereby making your application more accessible to a wider audience.

Purchasing Power Parity pricing is a strategy employed by many successful global software companies, including giants like Adobe and Spotify, to widen their user base and boost their market penetration in emerging markets. It ensures fairness and global accessibility, which in turn generates goodwill and promotes a more equitable digital world.

Adopting a PPP model will not only increase Opal’s affordability and accessibility for users in countries like South Africa, but also has the potential to increase the total number of users globally. I am confident that this wider user base can more than offset the reduced rate per user in these markets.

I appreciate your consideration of this proposal and your continued commitment to helping us lead healthier digital lives. Should you require further details or wish to discuss this proposal further, please feel free to reach out.

Thank you for your time and attention.

Best regards,

5 Likes
#2

From Italy, still in the EU but in a much different situation than the Northern European countries face, I totally agree with you.

#3

Hi, this is a really good app that’s well built. But the subscription prices need to be appropriate to what people would pay in other countries. It would be really nice to see a decrease in the subscription prices in a country like Turkey where it is very expensive, and even in my country it costs 300. Hope to see a change and thanks!