If a business doesn’t have the ability to expand and scale, it will eventually die. But the question is that on what does such growth fundamentally depend? Money! A business cannot be sustained if an entrepreneur isn’t generating revenue. Mobile application development is gaining immense popularity. It is said that having a great app idea is not sufficient.In fact, there is a need to figure out the essential ways to earn money from your app.
There is no denying that app monetization is very difficult. A lot of diligence, patience, creativity and knowledge is required to come up with effective app monetization strategies and models.
A large number of right and established mobile app development agency are paying a lot of attention on mobile app monetization models and encourage everyone to consider app monetization. This blog post will give you sufficient insight into different strategies so that you can choose the best strategy.
Monetization Strategies for Mobile Apps
1- Consider Freemium Strategy for Apps
This is the highly popular option. A freemium app is given to its target market with limited features. This means that for additional features or for premium version, users have to pay a price. With this strategy, the price barrier to download an app is removed and you have the chance to show true value of your product.
2- In-app Advertising
This mobile app monetization strategy removes the price tag from an app. Hence, this makes it free to use. However, you can generate revenue through several ads displayed to users using your app or playing your game. These ads are generally for several other apps. This method is simple to use and thus, is gaining huge popularity.
This method focuses on getting access to content instead of features. In other words, users can access a limited amount of content before subscribing. The best thing about this strategy is to generate recurring revenue. This model is perfect for news and entertainment apps.
4- Pay per download
This way to monetize your app is pretty straightforward. Here, users have to pay a one-time fee for downloading the mobile app. This is a little difficult method as it is hard to convince users to pay for the app without trying it out. In order to attain success through this model, there is a need to show perceived value of your app with effective app listing. This includes screenshots or even five star reviews etc.
This is the newest arrival in the mobile world. This method entails partnering with advertisers who offer rewards for completing certain in-app actions. In simple words, app earns money by acquiring a share of the revenue from redeemed rewards.
6- In-app purchase
This strategy includes the selling of virtual or physical goods within your application. However, you have to make sure that your in-app purchase is a natural part of your app. This method is turning your app into a great sales channel for goods that are used in the real world or inside the app.
The level of competition in the app market continues to increase. However, the most important thing for any mobile app monetization strategy is to understand the user base. In addition, there is a need to make sure that your chosen technique caters to their behaviors. If you are able to achieve this, the success will surely follow.