Right App Monetization Method includes all the way in which a developer can earn money from their mobile app. If you’ve recently launched your app, then you should know that it’s nearly impossible to generate revenue instantly.
This task is far from easy. Currently, there are 2 million apps on the Apple app store and 2.5 million on Google Play. Only a small portion of these apps are generating any substantial money.
High user engagement is required for sustainable monetization so your app should be something that attracts a lot of users. However, that’s not enough.
To generate a high amount of revenue, you also need to choose the right monetization method for your app. In this article, we will provide you with some options, along with their compatibility with different types of apps.
Right App Monetization Method for Free Android App
ADVERTISEMENT BASED
Advertisements based monetization means that companies will pay you to deploy advertisements in your app. There are many methods that you can leverage if you opt for advertisement based monetization.
1. Interstitials
Interstitials are the most common form of advertisement based monetization. These ads appear on the screen and cover the whole app area. After some time, some options appear by which the user can either go back to your app or move to the advertising company’s website.
The timing of these ads can be changed to optimize them for the best results.
2. Banner ads
Banner ads are usually displayed at the top or bottom of the app in areas which are of not much use to the user. Usually, these type of ads don’t give good results in terms of conversions, but they can be used efficiently for marketing purposes. Banner ads should be of the best quality, or else they will be considered a hurdle in the users’ experience.
3. Rich Media
Rich Media advertisements consist of a variety of multimedia banners, interactive videos, QR codes and other social media constituents. This method can be used in many ways and can be customized by the developer.
List Ads:
You might have guessed it from the name. List Ads display a list of different advertisers at one time. In this way, multiple advertisers can be suggested to the user without making different ads for each.
PAY TO GET
The most straightforward monetization method is the pay per download strategy. This requires the users to pay a onetime fee in order to download your app. After buying the app, they have access to all the features.
Revenue generated by this strategy depends entirely on the number of downloads your app gets. In the early days, this model was considered the best for monetization, but now due to a large number of suspicious apps, this method of monetization makes users feel unsafe.
Moreover, it isn’t easy to make the users buy something they have never tried before. This is why a limited-time trial can be given to the user so that he or she can make their decision.
To make this model work, it is suggested that you advertise properly and get good ratings first. Your Android app development company can help you in this regard.
IN-APP PURCHASES
Most apps available on the internet are free of cost to use but they offer in-app purchases. The in-app purchases model is very popular because the app remains accessible to a wide number of users, allowing the app to engage massive numbers, and then in-app purchases can come into play, allowing the user to augement its experience.
This model is best for gaming apps. If done correctly, this model is the most user friendly and can give the user the feeling that he has had a fair deal. You can also give limited-time promotions to your users to increase sales.
Although this strategy is very effective but many users don’t make purchases. However, a recent study has shown that users are willing to purchase in-game items more with the passage of time. In-app purchases of all apps in 2019 were 17.1% higher as compared to the previous year.
If you want to use this method, you must first ensure that your users have a great experience so that they be compelled to buy items for an even better experience.
FREEMIUM
This model infers that your app is free to download, but the users will have to pay for additional features. This means that the users buy the premium version of your app to get a better experience. The advantage of this strategy is that the users get to try your app before making any purchases, opposite to the pay per download model.
This model is usually used in apps that provide a tool to the user such as a photo or video editor. The freemium method has grown popular in recent years.
However, a setback of this strategy is that the Android app development company might provide too few or too many features. This can either, upset the user or create unbalanced revenue.
SUBSCRIPTIONS
Subscriptions are another great way to monetize your app. This model is mostly used for content viewing apps. The users may watch the content provided by the app for a limited trial. After the trial is over, the user will have to pay a monthly or yearly fee to continue watching.
This model is ideal for news or entertainment apps.
SOME THINGS TO KEEP IN MIND
1. Nature of your app
The first thing to consider is the nature of your app. If you’ve made a gaming app, then you might want to go for in-app purchases instead of video advertisements because pop up advertisements can irritate and hamper the users’ experience.
If you’ve made a tool app, such as a photo or video editor, ads are a much more appropriate method. If you’ve made a music or streaming app, then a premium version (worth money) with more features would be adequate.
2. An audience study
After determining the nature of your app, you have to research the spending patterns of the audience. For example, users spend money on purchasing goods or currency in a gaming app.
You can also give a choice to gamers of watching an advertisement and getting some goods in return. In photo editing apps, users don’t make many purchases, so pop up advertisements are a better option. In music apps, premium versions are very popular.
3. Learn through a competitor
An efficient way to choose the right strategy is to look at competing or similar apps. You can observe the methods of monetization there and implement them in your own app too.
User experience matters! Don’t go too far with Right App Monetization Method! Don’t try to force them to pay. In gaming apps, you can make a store where users can buy at their will.
In other apps, constant ads can irritate the user and cause them to leave. In this way, you will end up losing users, and your rating will also decrease.
In this way, your app type plays a great role in optimizing your revenue
