I’ve seen a lot of items on the marketplace making the version 2 as new item. What do you think? Is it better than making it as the current item’s upgrade?
It depends. If you’re mostly tweaking the things to fix the problems and add just few new things then it’s definitely an update. If you rebuild it completely from ground up with more new stuff than you had before – it’s definitely new item.
I’m not too sure about rules on CodeCanyon, but on VideoHive if you submit it as new item, but it’s not dramatically different – we reject it and ask to submit it as update to existing one.
If you’re planing to update a topseller you might want to release it as update. I’ve created second versions for both my topseller projects and both are improved a lot and looks and works much better than original – however people still buy the original more than new version.