So, you have built an app and are looking for ways to make money out of it.
App Monetization helps you earn money within the app.
With proper strategy, your App can achieve maximum app revenues and increase customer loyalty.
Which are the best monetisation strategies for your mobile app?
Once the app developer has perused the pre-monetization cheat sheet, we can move on to the best monetization techniques for your mobile ads.
- Install heatmaps to track actual user behavior.
- Choose the right platform(s):(the one where your target audience is, not the one you assume to be more profitable).
- Perform App Store Optimization (ASO) service from Ad2brand.
- Enable Social Media Integration.
- Develop clear conversion funnels.
- Run usability or user acceptance tests (UAI).
- Test your app on different screens
- Develop a backup plan for post launch bugs(be ready to fix them as quickly as possible).
- Your app has 1-3 main features:
- clear roadmap for the app,
- simplicity and
- convenience (again its all about UX)
- Choose an appropriate mobile app marketing strategy from Ad2brand.
1. What is the Freemium Strategy for your mobile app?
A Freemium mobile strategy is when the mobile app is given away for free, but the users are enticed enough that they are willing to pay for some premium features.
- Usually used in games and educational apps which have multiple levels.
- Can be easily adopted if you have levels in your app.
- Helpful if you have a large user base.
- This is great for apps, which help address a specific pain point.
- Less than 2% users are generally willing to pay for premium features.
- If the premium features aren’t exciting enough, you stand to make no money.
2. Sponsorship Strategy for your mobile app
Finding a partner with a customer base similar to yours and partenering with them will help your mobile app make money.
For example, your partner can offer rewards when certain in-app actions have been completed.
Market research is required here to figure out the best sponsor depending on your mobile app users need.
- This is used mostly for travel, dating or event-based apps.
- It can be used for a wide variety of apps.
- For engaging content, customer engagement is high.
- Finding a right partner with your customer base maybe difficult.
3. In-App Purchases in your mobile App
Once a user downloads an app, you can sell physical or virtual items to the users for a fee.
- This is usually used for games. E.g: CandyCrush.
- It comes with less risk and high potential profit.
- It can also support affiliate programs or partnerships.
- Only some profits trickle down to the app users, the App Marketplace takes in a large share.
- Security should be maintained for in-app purchases.
4. Subscription services for your mobile app
The app is available for free, but will need a subscription for access to premium content which is time-bound.
- Used in apps that provide entertainment, music, dating, etc. For example, Hotstar.
- Customer engagement is high as the content is fresh.
- Subscriptions and auto renewal means steady income.
- It’s challenging to keep the content fresh and relevant.
5. In-app advertising via ad networks for your mobile app
This monetization strategy is used for free apps. Ads are run on the app and revenue is generated by advertising. Different types of ads can be run, the most popular Ad formats are:
- Native :Ads are integrated within the app content.
- Banner : Ads occupy a portion of the app’s layout.
- Interstitial : A full-screen ad that covers the screen.
Apps can partner with different ad networks or pay for an adserver like DoubleClick from Google which will serve their ads.
Some of the popular ad networks in the market are:
- Admob – Google’s Admob is the most popular ad network and extremely easy to use and leads the market.
- Chartboost – This is a popular ad network for Gamers.
- Facebook’s Audience Network – This will help you extend your ads beyond Facebook. Your ads will be served on all the phones that have the Facebook app downloaded.
- All different niches of apps can use this mobile strategy.
- Extremely useful with native ads and targeted advertising.
- Mobile advertising is nearly as popular as desktop advertising.
- Easy for mobile app developers to implement.
- Generates a passive income source.
- Some people may get annoyed by the ads.
- Some ads may take up the screen space.
- Not useful for apps which are used for emergency purposes.
Mixing App Monetization Models
Different app monetization strategies can be blended according to your business model.
Your free app, for example, can use in-app advertising and offer a premium version to users which is add free or once the user has subscribed.
Best monetization strategies are non-intrusive and ensure that a high level of customer engagement is maintained. Also, make sure that you keep updating your app and provide meaningful engaging functionality to the user.