Getting your mobile app ready for your users is just one part of the bargain; getting your returns on investment is another. The monetization model is a factor to be considered alongside the planning and development stages of your app, as it has a great bearing on the development of the app. There are numerous options, below are 5 of the simplest, most effective, and most popular ways:
5 Ways to Monetizing Your Mobile Application
Freemium Model
The concept of the freemium model of mobile app monetization is quite simple. One thing is common in most mobile apps that use this model, and that’s the ability to give enough to convince users that they need more. Users may be given the option of outright purchase of the exclusive features or allowed to subscribe for defined access to the features over a defined period. This model is by far the most popular and successful among app developers.
One-time Purchase Mobile Application
In this case, users only need to pay once to have lifetime access and possession of the mobile application. Depending on the app owner, the user may or may not be entitled to lifetime updates free of charge. One big downside of this model is that it cannot fetch money twice from the same pocket, the app owner must continually find new paying customers to purchase from. The core value of first use and minor updates on functionality, design, and UI is very important to be successful with this model.
Pay for Regular and Pay to Upgrade to Premium
This one is not a very common model among app publishers, but it sure works, depending on several factors. The idea is to have the functionalities and features of your app in grades and classes. This model is very tricky and may raise ethical concerns, but if your idea, service, or platform is unique, nobody would even remember they paid anything.
Free Apps with Advert
Although it isn’t the most profitable model, it has certainly been the most commonly used recently. The great advantage this model has over others is the fact that users are not required to ever pay any money for using the app. A lot of people don't find it convenient to buy or pay for anything online, while some only pay if there is no existing free alternative. The biggest downside is the fact that profit is heavily dependent on whether the users take action on the ads or not.
Bonus Model
Another smart way to monetize your app is by selling it to another company or individual who is willing to pay the right price to have it. Selling your app may be a bad or good decision in the long run, but in the short term, you did business without incurring any loss, and that’s good business. The profit can also be leveraged to build something better or more unique. On the flip side of things, there may be no need to sell all your stake in the app, you may only sell a mutually agreed percentage of its ownership.
Design the right app, get the ideal mobile app developer and employ the right strategy in branding and marketing your app. Then smile at the bank.
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