Many app developers have a difficult time making back the money it took to develop their app. You don’t want that to be you. Focus on how to create your own app monetization strategy and start making money.
App creation is becoming very popular as more and more people view it as a great way to make money, but developing mobile apps can actually be much easier than monetizing them. In fact, about 25 percent of app developers end up making zilch off their efforts. With so much competition out there, most apps are fortunate to even make back the money it costed to develop them, never mind turning profits.
If you want to stand a chance at earning some revenue off your app, you need to understand how to create your own app monetization strategy. You should probably put even more thought into this strategy than you did into your app. Here, we’ll get into some important app monetization models and techniques to help get you started.
Paid Apps vs Free with In-App Advertising
Probably the most obvious way you would think of monetizing your app would be to have users purchase it, but this isn’t always the best strategy. Most people look for whatever’s free, so sometimes the better option would be to offer your app for free and then add in-app advertising or purchases.
One of the most popular app monetization models is offering your app for free and adding in-app advertising. According to this model, the most successful strategy is to build up a stable user base that you can collect data about. Once you really understand your niche and what your users like, sell some add space that will appeal to your users. There are different ways to do this, and a mobile ad company can always help.
The Freemium Model
Despite the ‘free’ in its name, this app monetization model actually raises your odds of making money. According to this strategy, you offer your app for free and then provide users with the option to unlock special features or levels by paying money. This is an excellent strategy, especially if you have a great idea that people will love using. Get them to feel like they really need those extra features and they will be likely to pay for them.
Consider Your CPI
Even if you aren’t charging users for downloading your app, consider setting a CPI for advertisers. What you set will be the price that the advertiser will pay whenever a user installs the application being advertised. There are platforms available that can help you manage your CPI-based campaigns along with other strategies that will maximize your app revenue.
There are countless app monetization models out there. It’s important for you to consider your app, your users, your niche, and put together the best money making strategy for you.