You have a great concept for an app. Awesome! Now the real question. Where will the money come from? We’ll tell you exactly how to make money with apps here!
Mobile applications are the new, modern-day gold mines. There are treasures (and money) to be found in the digital landscape.
It’s becoming increasingly apparent that the future is moving toward digital. And it will be incredibly mobile, for that matter.
We can now take whole worlds wherever we go — courtesy of our smartphones.
Mobile apps (applications) have ushered in a new economic era.
What was once only possible if you owned a physical business can now be done on a smartphone.
Now, more than ever before, you can certainly make money with apps.
Want to learn exactly how? Keep on reading to find out.
In-app Purchases Can Add Up
Most mobile apps, especially those built on gaming platforms, make their money through in-app purchases.
So, what exactly is an in-app purchase?
It’s a certain level, skill, digital material, etc. that can only be achieved or accessed by purchase.
Do you want to “level up” your character? Spend $2.99 to do it quicker.
Looking to start growing a new crop for your online farm? $1.99 can get you the in-game seeds to get that crop started.
Want the “pro” version of that mobile app? Cough-up $9.99 and it’s all yours.
This is how many free mobile apps can still be profitable, despite costing nothing upfront to the user.
If your mobile app can justify having in-app purchases, they’re worth using in your mobile app.
Upfront Costs Can Help You Make Money With Apps
While there are countless free applications, many cost a few dollars to download and install.
With upfront costs, you can ensure every download yields funds.
These paid for downloads are known as Costs per Installs (CPI’s).
If your mobile app relies only on in-app purchases, you may not financially break even with your app. Let alone make a profit from it.
But, by charging an upfront purchasing cost, you can rest easy knowing money’s being made on every download.
However, CPI apps are generally best for niche-type apps that solve a particular problem or make users’ lives more convenient.
More common types of apps, such as social media apps, are free and users expect them to be.
Subscriptions Can Make For A Constant Stream of Revenue
To make money with apps, charging monthly subscription fees can create a steady revenue source.
More than a few applications currently available rely heavily on customers buying into subscriptions to use them.
For instance, dating apps like Tinder offer $4.99 subscription fee for premium accounts.
Paying that roughly $5 monthly cost, users can make more “swipes” and see more “matches” within the app.
While Tinder’s basic account is free, it doesn’t offer the same perks as their subscription-based premium accounts.
App-based subscriptions offer a consistent means to make money. What’s not to like about if you’re making an app?
In-app Advertisements Can Pay Off Handsomely
Just like on websites, you can run sponsored content within your mobile app.
With these banner and pop-up ads, sponsors shell out earnings to you based on exposure. Basically:
The more often the ad “pops-up” in the mobile app, the more money you’ll earn from it.
The same can be said about click-rates of those ads, too. However, finding the balance between being ad-free and bombarding your users with ads can be tricky.
If you can find that balance, in-app advertising can pay off handsomely for your mobile app.
Have any more questions on how you can make money with mobile apps? Feel free to get in contact with us or leave your comment below.