7 Best Ways to Monetize Your App

  • Mar 01, 2017
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Application Monetization

The common misbelief is that as soon you throw a big graduation party for your brand-new app and your senior developer finally goes on holiday, the job is done. While your developer can indeed breathe out and start dreaming of a blond model spreading sun lotion on his wide shoulders somewhere on Bahamas, you have to build a strong marketing team and develop a strategy to make your app work.

Unless it’s a charity app and you are a philanthropist, of course. If you are not, you may find our selection of 7 most effective app monetizing strategies handy.

1. Advertising

The old-school and time-tested strategy. Advertising has always been there for us throughout the development of digital era – from the first radio waves in the 20-s to always unexpected pop-up windows of the modern ecosystem of mobile applications.

This strategy allows you build a wide circle of users and collect data on their behavioral patterns, which is extremely useful for targeted advertising. Even Facebook does it – why shouldn’t you?

Application advertising

2. Pay Per Download

Referred to as the PPD, this strategy is based on the basic abutment of capitalism presupposing absence of honey in the absence of money. No matter if your app is really good or you are just talented in marketing content writing and your «killer-features» do kill – every time someone pays for your app you can feel monetizing in action.

It’s a simple classic monetizing scenario that guarantees stable easy-to-track income which significantly simplifies the ROI counting procedure and adds-free environment for the users. However, considering intensive competition in catalogues, your app must be really extraordinary to start selling.

3. In-app Purchases

Perfection is boundless. Even if your app is good enough in its natural, default appearance, there always can be something extra to offer. Skype has phone calls on its menu, while WeChat sells stickers, and MeetMe boosts its cashflow by offering additional credits that may be used to magnet some extra attention to user’s profile.

App promotion strategy

4. Freemium

Freemium isn’t the now-how of IT industry. Instead, it was created and successfully implemented by the pioneers of drug trafficking – back to 60-s people could get cocaine for free and were billed by drug dealers only when they wanted more.

A standard example of Freemium in digital world is the famous Angry Birds that bills the gamers as soon as they get addicted to pig-smashing and want to unlock some customized features and levels.

5. Subscriptions

Another widely used business model based on offering «extra». But while under Freemium developers offer users extra app features, subscription provides them with additional content. However, not every app is content-oriented and therefore this business strategy can be applied to a limited amount of apps.

Business strategy

6. Patent Your Code

In case you want to guarantee free access to your app and don’t want to turn the users off with advertising, you may consider delivering value to other developers rather than users. If your app developed enough traction and buzz and is innovative you may sell the code to other developers.

The financial patterns of this business model vary from one installment payment pattern to longtime partnership with other developers.

7. Blend It All

They say one can’t have it all. We claim digital era has challenged this life theorem long time ago. While each of the above mentioned monetizing strategies has its advantages and disadvantages, they are not mutually exclusive and can be applied in a balanced mix.

You may try it all at the same time – in different proportional blends in order to test the effectiveness and understand which business model proves to be the most efficient for your target audience.

 

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