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Are you looking to create a mobile app?
The digital age of business created a landscape of e-commerce and websites. For many, making a website is the first step to creating your digital presence. Improving your website with SEO can also boost your ranking on search engines.
However, if you’re looking to take the next step for your business, consider making a mobile app! A mobile app can improve user experience and loyalty. When developing your app, it’s only normal to want to monetize it.
Not sure how to monetize the mobile app experience? This article covers some strategies for monetizing mobile app projects. Read on and discover your monetization options now!
If you’re wondering how to make money off an app, the first method you may think of is ad revenue. In-app advertising is one of the most common methods of app monetization. This is a great option for simple apps or if you want to remove paywalls.
There are three methods to use ad revenue if you want to monetize mobile app experiences. These are:
- CPA or Cost per Action
- CPM or Cost per Thousand Impression, and
- CPC or Cost per click
Many free mobile app developers use the CPM method of ad revenue. This method allows you to earn money from your app without requiring users to click on ads. In-app advertising also allows you to attract a larger audience base.
Ads can also help you gather data about your users. This allows you to create more targeted ads.
Offer in-App Purchases
Another great way to monetise app projects is by offering in-app purchases. This is one of the most popular methods for gaining revenue from apps. Many may consider this a middle ground between freemium and premium mobile apps.
Users can buy special services, content, or features to enhance their experience. This is often seen on photo editing apps like VSCO or gaming apps like CSGO. If you choose to offer in-app purchases, ensure that it doesn’t disrupt the user experience.
In-app purchases should complement a user’s experience on your app. Avoid cash-grabbing with your offers. Each purchase should add some value to your app.
For successful monetization, give your users an incentive to buy in-app offers.
Personalized push notifications will let your users know about a new product.
You can even offer great deals like limited discounts. Remember to thank users for purchases to make them feel valued and appreciated.
Freemium App Model
Freemium app models are available for free download. These apps usually offer basic functions. A user must complete a purchase to access special features or content.
Freemium app models are great for growing a large user base. If you want users to pay for your app, freemium models give them a basic experience. To monetize a freemium app, ensure that your users find value in the free version.
Find the balance between limiting certain features and offering too much. If your user is content with the free version of the app, they may not feel the need to purchase an upgrade. Ensure that your free content is valuable enough for users to want an upgrade.
If a user isn’t happy with the basic experience, they may not want to upgrade it at all. You may even lose customers if they don’t see your products’ worth.
Premium App Model
Free download apps can help you build a bigger customer base. However, premium app models can help you get bigger and faster profits. Paid apps also receive more user engagement.
This app model can be a great way to ensure customer loyalty. People who pay to use an app are more likely to use them for the long-term. The only drawback of premium apps is that these models see fewer downloads.
If you’re looking to create a premium app, look at your competitors. Determine if your app is a better alternative to another paid or free app. List down incentives why users would choose your app over others.
A good example of a premium app model is Procreate. The Apple industry is exclusive, along with its products. Your MacBook, iPad or iPhone have dedicated app stores.
Many apps available on the Apple App Store are exclusive to Apple devices. Procreate is an excellent example of this. The Apple iPad Pro offers illustrators and digital artists a unique on-the-go experience.
Procreate is the best drawing application for Apple users. Many iPad users pay for Procreate due to its vast capability. Since Photoshop isn’t available on the iPad Pro, many users opt for Procreate instead.
To ensure a premium app’s success, establish its value right away. Your app must have an impressive UI and feature set. On the store, ensure to include a compelling and convincing app description.
A subscription app model is a great alternative for premium apps. This gives users a choice to buy and back out if they’re no longer interested. Subscription app plans offer you a way to predict revenue.
This lets you plan marketing budgets and adjust your product development as needed. When making a subscription-based app model, consider creating different subscription tiers.
Hesitant users can choose a lower-tier subscription first. Then, you can upsell them over time with better offers. You may choose to offer different features and durations for each tier.
Subscription app models are great for converting users into subscribers. Stay consistent and offer subscribers new content and features to keep them with you.
Partnerships and Sponsorships
Looking to collaborate with another company? Sponsorships allow you to collaborate with advertisers. When users complete an action within your app, they get rewards from your sponsor.
This is a great model to use if you want to with both users and other brands. Sponsorship models are great if you already have a big follower base. You can collaborate with other brands that share the same goals.
Monetize Mobile App Experiences Today!
Looking for a way to monetize mobile app projects? Here are some methods to consider. Find the right monetization strategy for your mobile app.
Looking to start developing your mobile app? Contact us today and get started with your project!