Freemium Paid Price Point Calculator

How it is calculated

The tool works backwards from the revenue you want to the price each paying user must pay. First it estimates paying users: paying = free users × conversion % ÷ 100. Then price = revenue target ÷ paying users. The conversion is a percentage, so enter 3 for 3%. Revenue target, free users and conversion must all be above zero. The price covers whatever period your target covers: a monthly target gives a monthly price per paying user, an annual one gives an annual price. The result assumes every paying user pays the same price and that conversion stays fixed whatever the price, which is optimistic, because a higher price usually lowers conversion. Paying users are shown rounded to whole users.

Common mistakes

• Entering conversion as a fraction, such as 0.03. The field expects percent, and 0.03 means 0.03%, which turns 50,000 users into 15 payers and an absurd price.
• Mixing periods: a monthly target gives a monthly price. If you plan a yearly plan, use a yearly target.
• Using total registered users or downloads instead of active free users. Only users who could realistically upgrade should be counted.
• Assuming conversion stays the same at any price. A price near $13 may convert worse than the 3% you measured at a lower price, so treat the result as a check, not a forecast.
• Ignoring churn, app-store fees and taxes. The price shown is the gross amount per paying user needed, before those deductions.