Turning your ideas into reality takes some doing! You always want an application to be completely developed. Likewise, you always want to get maximum returns on your investments. Isn’t it? No need to worry! Fortunately, there are various ways to make money through mobile applications. We will explain what you need to know about app monetization, whether you are creating a new app altogether or trying to generate revenue from your current mobile application.
Without a shadow of a doubt, the most commonly used method is direct monetization. It caters to the requirements of the vast majority of app monetization models. However, indirect monetization is widely used as well. Before we get into the specific details, we would like to swiftly explain the distinction between the two types of app monetization.
Direct monetization, as the name suggests, is revenue generated directly from your mobile application. When an iOS or Android user pays for downloading your app from the Apple App Store or Google Play Store, the cash will flow straight from the application. If anyone places an order using your e-commerce app, the sale comes from your app.
Not quite as black and white as direct monetization, you can also make money by making an app with indirect monetization. However, the whole monetary amount cannot be tied to the app itself. A particular product or utility that comes with a free app is a perfect example of indirect monetization. The app’s usage is secondary in this case. Whether the products are used or not, you will make money. An app interface makes the product more enticing for potential customers, also enhancing the overall user experience.
6 Incredible Ways to Earn Money from App Monetization
Let’s discuss six of the most effective ways of making money with an app. We will explain each one to assist you in figuring out the best way to monetize your app.
Charging customers for app downloads is one of the direct ways to make money from mobile applications. You have the right to charge the app with whatever you want. However, if you set up a download fee for consumers, it is within the amount they’re accustomed to paying.
App subscriptions are yet another commonly used way to generate income from an app. Both the App Store and Google Play Store make a payment business plan for your app that is suitable and convenient for you. Users only need to sign up once for a subscription. When they manually cancel the subscription, they can still get payments periodically. App subscriptions are set for monthly, annual, or quarterly billing periods. For longer subscription terms, a monthly rate is provided in most cases.
The in-app purchases are used for both free and premium applications. For physical and virtual goods, you can use various forms. Mostly, gaming applications use in-app purchasing techniques for simulated coins or developments to come across. For instance, users who play mobile games are accustomed to spending money on unlocking a new car, arm, map, or something along those lines.
A freemium software model is a blend of in-app sales and subscriptions. Technically, a freemium model can fall under either category, but it is certainly worth noting on its own. Hence, the first step for utilizing the Freemium Monetization Approach is to sell the software free of cost. Subsequently, you have the option to sell multiple models of the app — free and premium.
Ad revenue is a popular app monetization method in the majority of cases. By using this strategy, you are selling space for advertising within your app. If you view advertisements on your newsfeeds, you would surely be familiar with this way.
Product extensions are another perfect way for the product, service, or organization to raise revenue. However, the money doesn’t connect explicitly to actions inside the app itself. Using an app as an alternative to a product helps separate you from the competitors. For instance, if an app comes with a service and doesn’t provide a significant benefit, your brand would naturally be more valuable.
Get the Best from Invision Solutions!
At Invision Solutions, we provide the best app monetization and mobile application development in Canada. With years of experience, our team of experts have great technical understanding and strive to exceed clients’ expectations.
By choosing our services, you can make money through your mobile application and generate more revenue from our tailor-made mobile apps. Feel free to reach out to us and enjoy the best app monetization services in Canada from Invision Solutions.