How To Guide on Monetizing Mobile Apps for Revenue
Learn how to generate revenue with that App you just created with this complete guide on monetizing mobile apps to support your business model.
Congratulations on your newly acquired app!
You’ve invested a lot of time and effort into developing something that you believe will be successful. Now, the real work begins, and you need adequate knowledge about it.
How do you monetize your newfound creation?
As we all know, there are many different methods for generating revenue from apps (including ads, in-app purchases, and subscriptions), but each one has its advantages and disadvantages.
Let’s take a look at some of the most popular forms of monetizing mobile apps:
Advertising is often considered “the bottom rung” of app monetization options as, by nature, it provides immediate returns and brings only cash flow levels. However, ad networks require very little development time and effort and, in the long term, can provide a stable stream of revenue to support your app’s business model.
The most popular form of monetization for mobile apps is in-app purchasing options such as premium upgrades, virtual currency, and subscriptions. Although these provide higher levels of income than ad networks, they take more time to implement, which should be considered at the planning stage.
If you have an endless source of content that will keep users coming back to your app again and again (and maybe even bring them back through other platforms), then subscriptions could be one way to go. However, unlike ads or in-app items, it has the downside of removing the user’s ability to try before buying.
Select monetization model
With that in mind, here are a few more things you should consider when deciding on your monetization model:
1) Where are most of your traffic coming from?
If most of your users are downloading through an app store, then ads and subscriptions may be a viable option for you. In-app purchases could also work if you decide to use virtual currency or have additional premium features that can be purchased inside the app. When releasing updates, provide content that justifies an increase in price (e.g., new levels, new items, etc.).
2) How long does it take to get a return on investment?
In this day and age, where everything has to happen now, you need to keep an eye on the time it will take for your app to start making money. Be aware of how long it takes users to click and view ads, as well as spending levels if you’re using in-app purchases or subscriptions.
3) How loyal is your user base?
If you’ve developed a game with a small but loyal following that enjoys playing your apps multiple times per day, then consider including ad networks so you can increase awareness and engage new potential players.
4) What is your business model?
Each business model will have different monetization strategies – there is no one-size-fits-all approach. You should strive to find something that works within your budget and creates a win-win situation for both you and your app users. For database solution for your app refer to RemoteDBA.com.
Build a Community
In addition, don’t forget to work on building a community on Instagram around your mobile app, as this will likely be crucial for its success. You can do this through social media or continue engaging with your customers via email – keep them happy, and they’ll keep coming back!
In-app advertising is a marketing form that allows to monetization of mobile apps. To do this, you place special advertisement banners in the application interface. These can be simple text ads or full-screen advertisements. Some clients even display video spots without annoying overtones of loud noises and flashy effects. The thing is that users don’t have to deal with these daily, but they will undoubtedly perceive them as an additional option for generating income from their newly acquired free app.
In-app advertising is a form of monetization that can be used for free apps, and, at the same time, it brings a lot of income to those who start selling paid versions of their software. This method of earning on iOS and Android applications have come a long way since it appeared first on the Internet nearly ten years ago. You can run in-app ads on your website, but keep in mind that it requires a popular domain name with relevant content to generate any profits from this form of online sales.
If you want to make money from mobile apps even if they are free ones , then go ahead and monitor what competitors are doing or come up with an entirely new method of monetizing your product after it has been downloaded by tons of users. Just make sure you have something interesting to offer each potential customer before they decide not to pay the price for your app or opts to take a free alternative.
Monetize Mobile Apps
When it comes to monetizing mobile apps on Android and iOS devices, you have to understand how it works. You’ve probably noticed that most free applications have an advertisement banner in the interface of your smartphone or tablet. These are usually not intrusive and can be skipped by a single touch on a screen, allowing for a quick app launch without waiting for delayed ad content to load up.
Your first step is to make sure the targeted audience has some benefit from using your application more frequently than competing developers. This is why advertising is such a valuable tool, as you can test various ways of monetizing mobile apps before the launch. If you decide this feature will also require some cash and time spent on development, then remember about trying out different fundraising options before settling with one particular method of monetization.
A good analogy for this model of mobile app sales would be playing free online slots on websites like Tom Horn Gaming and winning virtual coins, which you can exchange for real cash at any time. Many developers, including those behind popular applications such as Facebook and Foursquare, do just that – they generate advertising revenue from their free mobile products with no intention to charge users or sell items in-app that could help enhance game progress.