With 57% of digital media use being through smartphones, it’s absolutely necessary to have a monetized app for your business.
What is monetizing?
Simply put, monetization is how to make money from your app.
And if you’re not sure how to start, you’ve come to the right place.
Read on for our top 4 app monetization tips to increase app revenue today!
1. One of the Most Basic App Monetization Tips: Pay to Download
It’s that simple. Users pay to download your app.
Most paid apps cost less than $5.
The biggest benefit of pay-to-download is that businesses get capital up front from every single user.
However, while app developers get an immediate pay-off with paid downloads, those types of apps are the least downloaded of all.
App pricing can be a hard choice for many developers, so take the time to consider if this will be the way you monetize your creation.
2. Ad Banners
This is the most popular form of app monetization with over 65% of apps utilizing in-app ads.
You provide your app for free in exchange for your users understanding that you will display occasional ads that may interest them.
You get paid to display ads, and your users still get free access to your high-quality content.
Be careful that ads don’t obstruct the view or function of your app. And take great effort in making your ads relevant to your users.
If the ads aren’t useful, your ROI will decrease.
This monetization strategy is good for salon services, gaming, entertainment, and e-commerce apps.
3. In-App Purchases
An app that provides in-app purchases will provide some high-quality content for free just for downloading the app.
But it also allows users to access premium or additional content or functions by paying a fee.
For example, many photo editing apps allow users a set of standard tools and filters just for downloading the app.
But they also advertise additional functions, packs, etc. for a small fee.
People who enjoy the app and are willing to pay a little more will purchase, and the developer makes money.
Many game apps utilize another type of in-app purchase.
When users download the free app they have to watch ads in between levels or in order to access more turns or lives.
If users want to forego these ads they can purchase an “ad-free” or “pro” upgrade that allows them to play without having to pause play to watch an ad.
This type of monetization model is sometimes called “freemium”.
4. In-App Subscriptions
Many blogs and news sources use in-app subscription models where users subscribe to premium content by paying a recurring subscription fee.
There is a lot of pressure from a subscription-based model to create frequent, regular, high-quality content.
Without it, users will unsubscribe and the app won’t make money.
These app monetization tips are just the start.
Be creative and continue finding new ways to increase revenue from your app.
Not sure how or where to get started? We can help you develop, launch, and monetize your app.
Contact us to get started today!