This guide outlines factors and features to consider when you build a mobile app to ensure revenue.
When you have a cool idea with which to build a mobile app, you also need to think about the ways of making money with this product. Yes, we highly recommend you start thinking about monetization already at the stage of ideation and planning because some approaches to monetization may presuppose developing additional features or tools.
And, of course, it will be more feasible to include them from the very beginning when you start to build a mobile app, than to expand your app after its launch and invest additional time and money in it.
Turning your mobile application into an extra source of income for your business may be a very good initiative, especially amid the ongoing market situation which looks rather favorable for businesses that have their own mobile solutions.
According to Statista, the revenue in the application market is expected to hit the mark of $540 billion in 2023. By 2027, this figure may reach $752 billion. And you definitely shouldn’t miss your chance to make money when you build a mobile app. That’s why we suggest you have a look at the following approaches and ways to monetize your mobile solution.
Monetizing factors to build a mobile app
Freemium apps
Though launching a paid app may sound like a good and simple idea for earning money, let’s admit that not everyone is ready to pay for an application that is not known to him or her. But you can launch a free app that will have some premium functions.
And these functions will be available only to those users who have paid for them. For example, in the context of fantasy sports app development, you can offer advanced analytics tools and AI-powered predictions as paid functionality.
The main task for you when you build a mobile app will be to make your free app version attractive and engaging enough to push users to make a decision regarding the necessity to get access to an expanded range of features. This paid functionality should represent real value for them and should greatly enhance user experience.
In-app purchases
This approach is widely used by teams that develop mobile games. For downloading such an app, users do not have to pay anything. And even the entire functionality is free. But for getting additional opportunities (like the possibility to use upgraded weapons or wear premium clothes, or get unlimited access to the game levels), players should pay the set fees.
How is it possible to motivate users to make such purchases? These in-game items should provide players with a great competitive advantage, increase their chances to win, or allow them to unlock new experiences that are not available to people who prefer to use only free options.
In-app advertising
This strategy is well-known to every person who regularly uses mobile applications. There are different formats for presenting such ads on your app, like banners, full-screen ads, capture forms, notification ads, and others.
However, it is important to be very careful if you want to introduce this option when you build a mobile app, and not to make your ads too annoying and irritating which can significantly spoil the user experience.
Moreover, you can offer users to get an ad-free version of your application that will be provided for a one-time fee.
Sponsorships and partnerships
You can establish collaboration with another brand that has a similar target audience and can help you to enhance the experience for your users when you build a mobile app. You should think about ways to expand the range of the opportunities that are offered to users by means of working with another company.
By combining your forces, you will be able to greatly boost your profits and the recognition of your brands. Moreover, you can organize joint contents or special deals which also will attract the attention of users.
Conclusion
To turn your mobile app into a source of stable revenue you need to make sure that you’ve chosen the right approach to monetization given the specificity of your app and the peculiarities of your target audience. But even this will not be enough when you build a mobile app. You also should pay attention to the quality of your app itself (in today’s highly competitive market, apps of poor quality have no chance to succeed) and think about the right promotion of your solution.
When it comes to the promotion of mobile apps, you can apply as many creative approaches as you have. For example, you can launch campaigns on social media platforms, work with influencers, rely on SMS and email marketing, and buy ads on other apps.
Nevertheless, it is vital to take into account the interests of your audience. For example, if you are going to launch a fintech app for enterprises, it’s highly likely that your ad on TikTok won’t be a very successful one.
Let’s summarize the core ideas. To monetize your application and make sure that you will get stable revenue from it, you need to create a high-quality product and elaborate the right strategies for its promotion and making money on it.
