31 Mar
There are more than 4,000,000 apps available on the play store and Google play store? Do they make money? What are their top app monetization strategies? Let’s find out the monetization plan of apps. But before jumping straight into the monetization plan, we need to know
- The target audience,
- What are they looking for,
- How do they behave?
We will delve into ways to monetize apps for mobile app monetization, native, affiliate, and some other adverts.
Let’s get started with the monetization strategy.
How to Choose a Monetization Strategy
For that, you have to dive deeper into the below-given questions. The article gives you an in-depth analysis to go with the right approach and mindset for deciding the app monetization strategy.
- Are you advertising to businesses or individuals?
- How big is it, and what is the industry line if it is a business?
- Is your app for a company or private purpose?
- How essential and unique are your services?
- For individual users, what are their demographics?
1. Paid Downloads
Paid apps will characteristically yield better results when people already prefer your brand over others. Through Paid downloads, you ask people who believe in you to support you with the vision you are associated with.
2.In-App Advertisements
In-app advertisements come into consumables, non-consumables, and subscriptions.
Banner Ads
Mobile banner ads are images displayed in the form of a small rectangular portion of the mobile screen. Banner ads are not the new forms of ad formats. These are among the oldest and one of the most prevalent forms of in-app advertising.
Banner ads occupy a spot within an app’s layout, either at the top or bottom of the device screen. They stay on screen while users are interacting with the app, and can refresh automatically after a certain period of time. If you’re new to mobile advertising, they’re a great place to start.
Interstitial Ads
They seem to be quite different from the banner ads. In contrast to banner ads, the interstitial ads, as the name suggests, are designed to be placed between content, so they are best placed at natural app transition points. Implementations of interstitial ads provide should ideally provide good user experiences.
The best time to deliver an interstitial ad is at the end of a flow. For example, when a level is complete in a game app. Itâs also a good idea to utilize interstitial ads when the app is loading. This gives the user time to understand the ad and think about its content.
Native Ads
Ad unit appears as a continuous part of the app’s design to provide the best possible fit to the mobile app display. Native display ads are most effective for app monetization when integrated into the app content itself.Â
The publishers have the flexibility of incorporating the individual components of an Ad call to action text with more engagement from the users.Â
Affiliate Ads
Affiliate ads are getting popular as the most effective way to earn a decent income and reasonably good revenue. An app monetization method where you get good commission from other apps, products, and services.
Reward ads
App reward ads are popular, where users are rewarded for engaging with content in exchange for their time to watch the advert.
So, for example, in a game, you may be offered an extra life as a reward for spending your time watching a 30-second advert.
3. Subscription model
Some developers choose to create free apps with a subscription model where the app is free to download, but users opt into a plan which is paid to enjoy offered in that subscription.Â
4. The Paid app model
It includes e a unique functionality that meets specific user needs. Otherwise, building a loyal user base to generate revenue for your app gets very challenging.
5. Partnership model
Suppose an app is very popular in a particular niche market. In that case, companies in that space may approach the app developer for sponsorship opportunities. This is how exactly they get their brand in front of your app users. Therefore, the truth is monetization through brand sponsorship is an excellent way to make fair enough revenue.
Which is better: in-app purchases or paid applications?
Okay, so the biggest concern you should have when creating a new app and the biggest concern we as a top mobile app agency in the US have when creating a new app is how you’re going to make money from it.
Now, as far as we can talk from our experience being a top mobile app agency in Texas, the truth is only four ways of doing that. You could have a free version of the app with ads, have a free version with in-app purchases, have a full version of the app that people just outright buy, do something else like a subscription to a website or branding like Pepsi, for example.
Pepsi doesn’t make apps to make money; they make apps to get people to buy Pepsi.
You should have a free version of the app and then use upsell in-app purchases in the app to get them to upgrade.
Are paid apps better than free apps?
As mentioned above, paid Apps lead to a higher average revenue per download, have a more excellent perceived value, and users are more loyal to Apps they pay for. A paid app can be a blessing if you have a follower base.Â
It’s contrary to what many people will tell you, full sales work, but you need that free version; otherwise, nobody won’t buy anything they can’t try.
Free vs. Paid: Which Monetization App Model Should I go for my app?
Free or paid; what is the plan included in the business requirement? however your business tends to reach out to new users, the matter of fact is your business won’t grow unless you can keep customers coming back.Â
 The more opportunities you have for conversions, the longer a customer stays with your brand â which means higher customer lifetime value. With higher CLTV, you can ultimately make consistent revenues with your app exponentially. And since adequate retention helps you reasonably understand who your most successful buyers are and why they come to your app, that’s precisely how it has worked for many businesses to entice more of their customers.Â
Conclusion
Its does depend on the app and what you selling but all apps can generate revenue if you have good app monetization strategies.
With no monetization strategy expect to earn $0. With a proper strategy you can expect to earn revenue per day.
If you are looking for a mobile app agency to partner, you can send us the details about your app and our team can easily create an analysis of how should you offer a paid strategy for your customers.
Feel free to visit the website to hear about the latest innovation. Also, get the latest tech news from Soft Stings and customer success stories in-app monetization.
