6 App Monetization Strategies you Need to Know
The mobile application market is tremendous, with Google PlayStore and Apple’s App Store overwhelming the market by a huge edge. According to FinancesOnline, in 2019, there were almost 6 million mobile apps available for download in leading app stores: Google Play with 2.57M mobile apps, Apple App Store with 1.84M, Windows Store with 669K, and Amazon Appstore with 489M.
The thriving portable application market presents a phenomenal open door for mobile app developers and marketers around the world. While the mobile application market gets overwhelmed with creative applications presently, just creating and launching mobile applications won’t do. App monetization is significant to stay important in the dynamic mobile application market.
Application monetization is an unquestionable requirement basically because of two reasons:
- It helps support the application revenue.
- It provokes app developers to improve the overall user experience.
Regularly, the application monetization revenue relies upon the number of active users of a mobile application. Since the number of active users of an application is straightforwardly identified with the user experience, developers must pay special attention to improving the application’s UX. A decent UX configuration must be outwardly engaging, easy to use, featuring a well-planned information architecture and interaction oriented design.
What is Mobile App Monetization?
Mobile app monetization alludes to the way towards creating revenue from mobile applications. Generally, application monetization is tied in with changing active users of an application into substantial revenue.
Most mobile applications receive either the free-to-play or freemium approach for monetization. In-application ads, in-application purchases, one-time payments, and memberships are the absolute most popular app monetization methods.
Since you know about the significance of application monetization, we’ll take a gander at six application monetization procedures.
How to Monetize your Mobile App?
In the event that you wish to find out about the top mobile application, monetization trends, and strategies, continue perusing!
1. In-app Advertising
This is one of the least difficult and best-demonstrated application monetization strategies out there. By showing third-party ads in your mobile apps, you can gain three sorts of revenue – Cost per Thousand Impressions (CPM), Cost per Click (CPC), and Cost per Action (CPA). The most productive in-application advertisements include:
- Banner ads
- Native ads
- Interstitial ads
- Affiliate ads
2. In-app Purchases
As indicated by stats, almost 47% of mobile app marketers use in-application purchases for producing revenue for non-game applications. Interestingly, for gaming applications, in-application purchases establish for 79% of the revenue.
Applications like Candy Crush and Clash of Clans are two phenomenal applications that monetize by letting users make in-application buys. This model functions admirably for applications that utilize the free-to-play model.
3. Data Monetization
Mobile app users generally leave a path of information while utilizing your application. Each click, each subscription, form submission, and so on, is pivotal information as it permits you to comprehend the user purpose and online behavior.
By gathering user information and evaluating it, you will get important bits of knowledge into your target audience’s wants and needs constantly. This will make your personalization game more grounded, in the long run drawing in more clients and retaining existing ones.
4. Freemium Model
The freemium model is a hit with numerous application marketers. In this methodology, you permit users to download a mobile application for free, yet you likewise give them the choice to get to elite premium features by buying in at a nominal cost.
This model is incredible on the grounds that it doesn’t compel users to pay the subscription charges – users can decide to move up to better features at a cost. In this way, while you create revenue from premium users, you keep the application experience compensating for all users.
5. Email & SMS Marketing
As indicated by the most recent stats, by 2023, the number of active email users is determined to arrive at 4.3 billion. While 73% of millennials value email as the favored communication channel to think about business and promoting offers, almost 80% of organizations consider email advertising a demonstrated method to increase customer retention.
Then again, SMS messages gloat at a 98% open rate. Truth be told, customers redeem SMS coupons multiple times more than some other coupons.
In this way, both email and SMS showcasing can be a consistent revenue source for mobile applications when utilized right.
Sponsorship alludes to the way toward moving toward a potential partner with a similar customer base and working together to promote each other’s mobile applications.
For example, if you combine forces with an established company in your business line, it will both expand your customer base and increase your app’s revenue flow. Through sponsored content, you can exploit the fanbase of partner companies and explore new markets.
When it comes to mobile app monetization, you can’t depend on a couple of approaches to produce application revenue. It is vital to consolidate various methods like these in your application monetization technique. Try to make a steady and profitable user experience, track and screen monetization analytics, turn out ideal updates, and make a USP for your application.