Every second person has a Smartphone today. The mobile economy is increasing at a crazy speed.The top app stores have reported more than 8 million apps already! Global revenues generated from apps are expected to be $76 billion by this year end. However, only a pocketful of apps are making big chunks of money while the others are still wondering what to do. This article tends to answer the billion dollar question as to how you can start earning from you mobile app or game?
There is no other way you can expect to make money other than having a good reach for your mobile app. Ensure you concentrate first on reaching the maximum number of people in the target audience for your app. Even if this is by offering services for free or at a very low cost, it is initially fine. Once you have the numbers you want you can then start to make money out of your app.
In app advertising:
This is one of the most commonly used techniques to make money from the mobile apps.The apps are made free to be downloaded. It then asks users for their information and creates a data base of the users. Then they sell this data to app publishers who place specific ads in the mobile application. This is one of the most sort after way to monetize the mobile apps.
A lot of apps offer virtual of physical goods on their apps that can be bought. This helps them a good amount of revenue. The businesses use the apps as their storefronts and sell products through the apps. For example, the extra lives offered to you while playing games, or other such products.
Premium or Paid apps:
This was the first business model that came into being in the mobile app industry. The businesses would ask the user to pay a certain amount of fee to download and install their app. The business would get 70% of the revenue thus generated and the rest would go to the app store. However, very few apps follow this business model these days for app monetization.
This is called sponsorship advertising as well. This is the newest way of making money in the mobile app industry. The businesses partner up with advertisers who reward users after they complete certain goals in app actions. To be a part of your app the advertising agencies pay up and you take a share of the revenue redeemed by your users.
Selling the user data:
If your app collects a lot of user information like consumer habits and preferences then organizations for which such data is useful approach you to buy this data from your business. However, this kind of business model might not gain much popularity now as a result of GDPR that has come into effect from the 25th of May 2018 in Europe. Other places will also follow suit shortly.
A few apps in the app stores are available for free. That is, the user can download and install them for free. A user can also use them for free up to a certain level. Once this threshold is reached or if they want to use extra features then they will have to pay for it. This is gaining popularity in today’s market as once the app gains the trust from the use; they are ready to make use of the paid features of the app.
Hoping that this article will help you start earning from your app. For any queries feel free to get in touch with the team.
Development team at Yugasa Software Labs work like consultants instead of being coding bots. We can help you with more of such important insights about your products performance. You can reach us at firstname.lastname@example.org for discussing your mobile app project with us. We shall be more than happy to assist you in your product development.