App pricing with GDP in mind

A user from India reached out suggesting lower pricing for Visual Timer. It was a fair point — Google Play’s standard approach converts prices using current exchange rates, but doesn’t account for differences in purchasing power. An app priced at $1 in the US isn’t equally accessible everywhere.

In-app product pricing configuration in Google Play Console

The approach

I built a spreadsheet to calculate GDP-adjusted pricing by:

  • Comparing each country’s GDP per capita against my home country’s
  • Using both nominal and PPP (Purchasing Power Parity) models
  • Accounting for local currencies
  • Creating customized price points for different markets

Spreadsheet for calculating GDP-adjusted pricing

Challenges

Platform constraints prevent pricing as low as the calculations suggest. Google Play enforces minimum price thresholds that aren’t always transparent — and sometimes exceed what market-adjusted calculations would justify.

Result

I implemented adjusted pricing — in some cases 10x lower — and planned to track whether these changes would increase purchases in price-sensitive regions.