I have an app in the iTunes store that has full functionality. I attempted to release a Free version which contains half of the functionality, and contains a link to the full version if the user tries to use the other functions.
Apple rejected the app on the basis that rather than having two apps, I ought to have the main app released for free and have the extra functions unlockable using in-app purchasing.
That's fine; I can do this. The only problem is that since I released the full version initially, some people have already paid for and downloaded the full version. When I update this app so that it is free, it will be restricted by default. Those users that have paid for the full version will have lost the functionality they've paid for.
I don't really want to release a second version of the app since I intend on continuing to update the app and managing two release streams would be unwieldy.
Is it possible to somehow offer for free the in-app purchase to those users that have already bought the full version of my app when I update the app to the new (free, in-app supported) version?
Edit: An (unpreferred) alternative would be a way of refunding the purchases to the original buyers, along with a note explaining why. Any ideas how?
This is tricky due to section 3.3.3 of the license agreement and Attachment 2. I'm not a lawyer so I'll save my interpretation but, read them.
Another option would be to make the free version a new, different app and leave the original one in the store but unavailable. Then you can still publish updates to it but new users won't see it. Apple would probably allow this considering you are still only presenting one app to new users. The downsides are (1) you have to maintain two versions and (2) you have to start over in terms of reviews etc.