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How to monetize your mobile apps

Written by Artisan | Apr 29, 2014 11:00:00 PM

Monetizing mobile apps is a great way for mobile developers to gain a good revenue stream as well as a potential source of funding for future products. Unfortunately, many developers often find themselves in the dark when it comes to effectively optimizing their apps for mobile advertising.

Making Mobile Apps Work for You

According to Portio Research, approximately 1.2 billion people worldwide were using mobile apps on a regular basis at the end of 2012, with that figure set to increase to 4.4 billion by the end of 2017. It’s a big market that seems ripe for monetizing, but it has to be done the right way.

Monetizing your mobile apps isn’t just a simple matter of slapping a price on it and calling it a day. One of the toughest facets of monetization is figuring out the true worth of your app and whether people will think it’s worth buying. Not only do you have to ask yourself what your app is all about and what it does, but you’ll also have ask yourself about its key features and benefits, whether similar apps exist and their price points, which category does your app belong in and, most importantly, whether people will use your app on a daily basis.

Once you’ve answered those questions, you’ll want to take a look at your competitors and study their offerings. The key is to see how your product differs from theirs, which will give you some idea of where to position your mobile app within a competitive market.

Monetization Strategies

After finding out where your mobile app stands, you can put one of the following monetization strategies into play. Which works best for your purposes depends on your app and its audience:

Mobile Ads – Also known as In-App Advertising, mobile ads run on space sold within your mobile app. Like traditional web browser ads, you get revenue based on clicks and user impressions. These ads work best for mobile apps with heavy levels of use.

In-App Purchases and Subscriptions – Once a user downloads your app, you can offer additional perks, privileges and subscriptions for continued use for a small fee. This works best for apps that draw a very loyal user base and a constant influx of fresh content.

Pay Per Download – With this model, users pay upfront to download your app once it hits the market. However, users who pay for the privilege might not be as willing to put up with mobile ads or in-app purchases.

Sponsorships – You could get businesses or individuals to underwrite or sponsor your app in trade for an ad, logo or some other form of recognition within your app. Sponsorships can help get your mobile app off the ground, but don’t expect to rely on it as a steady source of revenue.

You’d be surprised how successful mobile apps give a big boost to web design careers, especially those involved in user interface (UX) and mobile web. Successfully monetizing your mobile app can open countless doors and reveal new opportunities. Contact us today to learn more.