Hey JKB,
firstly want to say well done for the app, youve done a decent job so far. Just hope your update issues the massive problem of push notifications, which was really holding your app back!
Ok now its time to rant and give you some good solid marketing advice, coz its clear that your a bit weak in that department.
One of your earlier posts on this thread said you were less worried about the money and more worried about developing a solid user base. Now explain to me knowing that this is the way forward you would start charging for your app, a few days after Ping is released for free?!?! I mean seriously, that is just shocking. Fair enough ping has a better push notification service, but other than that there app is a pile of ****! Your app is far more polished, yet they are doing far better than you in the appstore mainly because they held out on charging their app.
Another thing is how on earth could you start charging for your app before the push notifications have been fully sorted?!? I mean that is just ridiculous, push notifications are by far and a way the most important features of this kind of app. There is absolutely no point to them if you dont receive all the notifications. You really should not have started charging before the update was released. Of course you have already done that so next is my advice as to the only way you can gain ground on Ping. Quite simply this update you are releasing needs to be released with a promotion, ie you need to drop the price for free. I understand this may affect cashflow, but if you can hold out for 2-3 weeks, ideally a month or longer, you will really gain ground on Ping! It is a MUST! ignore that advice at your peril!
As you said developing a user base is imperative, charging the app now will only give you short term gains, but if you want to be successful in the long term your going to have to rough it out for a bit and release the update as a free app in order to gain that user base.
If you need any advice regarding the business side of things I am more than willing to help! will be eagerly awaiting your reply to this post, however!