How to make money from mobile apps
There are many reasons to expand into having your own mobile
app. A tailor made app will not only allow your
business to increase it's publicity, but could even be a business
by itself if managed in the right way.
Unless you're just making an mobile app for
sheer enjoyment and as a creative outlet you'll probably be wanting
to make some money out of it. Even if you're not in the game for
profit , creating an app can often be a costly business so a bit of
experimental money making can help you to recoup your costs.
Before you start selling off your intellectual property and
making binding contracts that you'll regret in the future you'll
need to analyse the following factors:
1. Do people engage with your mobile app regularly (use it quite
often and for meaningful periods of time)?
2. Is the app attractive enough to put a price tag on?
3. What do competitors in your niche and on your platforms of
choice do to make money?
If you're new to the app business we recommend trying to make
money after your app has been around for a while, if you're going
to follow any other strategy apart from straight up payment for
your mobile app. Once your app has been released and has a good
user base installed it might be time to start going down the route
to making money-we recommend using Google
Analytics as a means of seeing a lot of useful metrics about
your mobile app which will give you an idea of your future fiscal
policy. Once you've done the research on your app and you're
confident enough that there is enough engagement you can consider
one of the following strategies to earn back your time and
Paid Mobile apps
The simplest and most traditional way to earn from your apps is
to make them a paid download. We're not going to go into great
detail about this way of earning money as it is the type of topic
that could run into many volumes of research.We'll just give you a
few takeaway points to consider if following this method:
● If you saw your mobile app would you pay for it?
● Are there apps similar to yours that are free or are charged at
a much cheaper price?
● Which platforms are you targeting? The Apple Appstore has a tradition of being "friendlier"
to premium apps, whereas rival Google Play apps make money in less
● If you charge for your mobile app will you be limiting its
uptake and hence make it less viral?
Did you know that most of the 45 Billion dollars that Google has
in cash comes from ad revenue? Of course Google products (AdMob
is the Google product for app marketing) aren't the only ads that
can earn you money for a popular mobile app, other companies that
allow you to make money off the back of ads include:
InMobi: Serving over 550
million users this ad network has a great reputation and also
includes world class analytics software to check on all the
different metrics of your app.
Leadbolt: Recommended by many,
who for one reason or another want to move away from Google, this
library of ads is becoming increasingly popular.
Really if you think that your app has enough of an engaged user
base to warrant being ad supported then the choice of an ad network
is a very personal one and requires you to engage with the ad
network. Speak to them and find out what they can do for you, after
all the more popular your mobile app the more money they will make
Jargonbuster: To help you in your choice we've
got a small glossary for you to help you out when it comes to
selecting your ad network.
1 CPM- Basically how much you money you will make for every
thousand people who view the advert.
2 CPC-How much you will get every time a user "clicks" on the ad
3 Creative- The ad banner or logo that will be displayed on your
4 Fill rate-Will every ad space on your app be filled with a paid
ad or will there be free ads or even blank spaces there. The higher
the fill rate, the better.
A premium app is one that you will pay for. Freemium is an
exciting business model adopted by apps in recent times that is
proving to be a great revenue earner.
A quick look at the Appstore sees four of the top five grossing
apps being Freemium apps. In the week before Christmas popular game
Clash of Clans and its sister title Hay Day are bringing in revenue of
$500,000 a day for Finnish developer Supercell! The top app
purchases for Clash of Clans being a "pile of gems" which acts as
in game currency, the freemium model is, quite literally, a
goldmine for this app!
The premise behind this business model is that your app will be
provided for free. Hopefully thousands will download it and find it
crucial for their needs or immensely addictive. It's at this point
that they can purchase additional content, virtual goods,
additional features, longer play/use times. The combinations of
purchaseable content, when planned adequately and in an app with
larger uptake, can be very lucrative.
Subscriptions, sponsorship and more
If you come across an app you really like and use it constantly
only to find at the end of the month that to carry on using it
you'll have to pay a subscription you can look at the event in two
1 Be irritated that you're now being asked to pay money for
something that was initially free or
2 Be grateful that you had a months free use.
If you're an app developer with a great product regard your
first month as a great marketing tool and look forward to earning
from the subscription model.
Or perhaps you'd like to get some sponsorship from a brand. Just
look at the apps providing the mobile face of Ebay, Nike and untold
number of sports teams. Business really is interested in having a
high profile in the app world so creating a mobile
app with a business in mind and with their money behind you is
a route worth exploring.
Everybody in technology remembers the fortunes that were won and
lost when the Dotcom bubble burst. Comparisons of course have been
made between then and the booming app fad. Whether there is a
bubble to burst or not is besides the point, because reading this
you're part of one of the biggest money spinners on the planet
Whichever way you decide to monetise, or even make up you own
business model to do so, there are many fortunes to be made.
Ways to monetize your App
Tips how to make more money with your mobile app. Please, share if you like it!
Ways to monetize your App
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