Parents want to know if your app will put your child’s identity at risk, or if it includes something that will take them by surprise, like an in app purchase or advertisement. Here are examples of features to address so parents can make an informed decision before downloading the app:
Personal Information: Is your app collecting, transmitting or accessing personal information from the user to someplace outside of the app? If so, what is that information being used for? Personal information includes anything that can identify a user (name, location, contacts, photos, videos). It does not include information that is only stored locally on the device and not shared in any way outside of the app.
Purchasing: Can a user make additional purchases within your app, after downloading it from the app store? Whether this type of purchasing occurs via In App Purchase, subscriptions, or virtual goods - parents need to know.
Social Media or Plug Ins: Does your app include any integration with social media sites like Twitter, Facebook, or any other online service? If your app encourages a child to use an online profile, or to register on a back-end service - parents want to know.
Internet: Does your app have links to the internet or app stores? In other words, will links in this app take a user outside of the app, and into other online spaces? If so - parents need to know because other online content can be unpredictable.
Advertising: Does your app include advertising networks? Clicking on an advertisement inadvertently can present an unpredictable experience for kids. If your app includes advertisements - explain to parents why the ads exist and how the experience is constructed to insure the experience is appropriate for kids.
App Performance Reports: Does your app generate anonymous usage and error reports in order to improve the app's performance? Parents can be wary of apps that "track their usage", so if you are using analytics software, it's important to convey why you are using it and whether the data is anonymous and secure.
The Federal Trade Commission is the government agency focused on Children’s Online Privacy. They updated the COPPA Rule in December of 2012, and published several reports related to best practices for children’s online privacy, including how to address disclosures. Visit the FTC for an overview of their efforts.