You’ve built your app, now what? Of course you want to make money. Click here for the various ways on how to monetize an app.
Creating an app that generates cash can be tough. With over 2.1 million apps in the Apple App Store alone, you have some stiff competition.
There are a lot of ways to get paid for your app, and choosing a model for generating revenue through your app is the most important first step.
Let’s talk about how to monetize an app and get that money flowing into your pockets today!
How To Monetize an App: 6 Simple Strategies
Whether the app already has traffic or you are just getting started, monetizing can look different between apps.
Choose your business model wisely. There are a few popular ways to make money from your app.
Advertisements may be the most popular method of monetization in an app.
There are a few styles of ads to choose from. You can have video display ads that come before and after a game that users must watch, or banner ads that linger on the top or bottom of the page.
- Native advertising can also be used, which is the process of incorporating paid advertisements into the content being displayed to the user.
- Interstitial ads can be displayed on the full screen during moments of pause on the app, like when using a menu or after a round in a game.
There is a lot more to know about in-app advertising tools, so check it out if you think it is right for your app.
The benefits of using advertising are that all users of your app will be subject to seeing them, generating income every time the app is used. You can also make monetized options for people to get rid of the ads.
People do not like ads. If ads are the only option for people to use the app, and it is taking their time away from their use, you run the risk of users tiring of using the app.
Let’s suggest you are creating a game app. You can create in-app purchases for more resources, more lives, or more overall advantages over the competition.
Check out some of the best new features added to gaming apps for some examples.
Otherwise, you can create more features to be purchased. For example, if your app is used for time management, people can purchase a subscription, a new organizer, eliminating ads, or anything that can be useful to them that won’t come for free.
People can choose what they want, giving a sense of freedom to the user. Using in-app purchases will create traffic, give people what they need, and offer what they want.
It will not target everybody. Only a certain percentage of the users in the app will choose to make these purchases, leaving you with a certain percentage of what you could make with a way to target everybody.
However, adjustments to pricing is a great way to make up for this.
The “buy once, cry once” method. Some apps will charge an upfront cost to download with little or no in-app purchases. However, many app creators do choose to pair paid apps with ads or in-app purchases, generating more income.
Be aware that this can make the buyer unhappy, so proceed with caution.
Everybody pays their fair share and will be satisfied with the longevity of keeping the app. Users will be content without advertisements and being allowed to use all of the features for which they purchased the app.
Not everybody will buy the app without testing it first. Marketing the features of the app becomes more critical with this method. Also, there will be no consistent income from each user unless paired with another method.
How To Market Your Monetized App For the Best Results
Monetization is one of the last steps of the process. First, there is app development, then there is marketing. None of the monetization methods will generate profit if people are not downloading your app.
Here are some great tips for generating traffic, and how it can help your monetization style of choice.
Email channels are a great way to market your app by offering the best deals on in-app purchases. Users will see discounts in their inboxes and will be more likely to make the purchases.
People who wouldn’t have made the initial in-app purchase are more likely to buy them at a discounted rate. This helps you reach out and reap the benefits of those who are not currently creating revenue in your app.
Many people delete their emails frequently and ignore emails from the apps that they use. However, it is still a free way to create more revenue.
Team Up With the Competition
That does not mean you should hurt your business. However, if there is an app out there that reaches the same target demographic, this can be very helpful.
Try reaching out to the creators of the app and make a deal to advertise their app if they do the same for you.
This only works if both apps utilize advertisements of any kind. Native advertisements are the most efficient in creating brand recognition, as it comes from the content of a trusted source.
Everybody benefits from this process. The users may get more assistance with their needs, the other app developers get more business, and so do you! It’s a win-win.
Potential of losing business. Do not do this with an app that offers the same features as yours to eliminate this risk.
If you are looking to gain subscribers, the best way to do that is to provide options for your users. Whether it be SMS messages, emails, in-app reminders, notifications, or blogging and SEO, your customers will appreciate it, and it will go a long way for your business.
Now that you know how to monetize an app, there is no better time to start than now. If you are currently developing an app, now is the best time to choose how you will make money off of it.
Regardless of the type of app you are developing, there are ways to profit from it. Get creative!
If you are creating a gaming app, check out how gaming can help your mental health.