Ways to monetize your mobile app

Vipin Jain
Vipin Jain, Co-Founder & CEO at Konstant Infosolutions
Published on Aug 31, 2016 in Mobile App Marketing
Ways to Monetize Your Mobile App, Konstant

Why should a business develop a mobile app?

There is no secret answer to it. It’s what you thought in the first place; it’s simple: to make money in this digital panorama.

Developing a mobile app is not that difficult these days. There are great app development companies that can deliver future-ready solutions for your business and create unique apps fulfilling your requirements. Konstant Infosolutions is one among the top mobile app development companies for both iOS and Android, and in this post, they explain how they make their mobile apps successful.

So, what is it more painful and crucial for your mobile business? It’s the Monetization. When you start earning money from your app it’s when the real competition begins. The app market is saturated with small, medium and large businesses as all of those business groups live with the same objective: making money.

And this can’t be done on papers; it has to be actually done.

It requires a smart and advanced brain and a lot of courage to risk and experiment. Just like traditional marketing, companies need to add value to their product and develop strategies that can pull maximum traffic across the industry.

To help you monetize your business app, we have the best strategies that always work:

E-mail signups/In-app subscriptions

E-mail lists always help you gather users, be it a website or a mobile app. If you have a newsletter or want to share some of your latest offers or updates with your users, send it through your app. Don’t be hesitant in drawing traffic from your app to your online or offline stores.

A less thought-of reason behind e-mail signups via your app is that people rarely change their mail addresses. You can reconnect with consumers that stopped accessing your services in the past few months, as you can be sure of they seeing or probably reading your content. It may trigger them again to join your network.

Regular e-mails stay prominent in user’s minds as they keep seeing you on their mail list. The best way to collect the e-mails is to start an in-app subscription form on the app. It will stimulate app users to enter their e-mail addresses, especially if they are tempted to any of your content, features or offers.

An engaging content strategy

Content plays a vital role in your app’s UX. The success of the app relies on how connected the users feel to your business model. Content is a great way to engage a variety of users and provide them amazing facts, figures and stories to read, which they could relate with their everyday life.

While advertising or writing the initial screens of your app, you need to be more strategic, precise and interactive in your content. Remember, users are smarter than you think. Update your content regularly; users love to read new and fresh stories. Even the non-paying users will possibly become premium customers.

Freemium model

Most times, most people do not want to pay to download the app (in the first place). If they see a free alternative to a similar kind of app, they will certainly go for the freebie.

The idea behind creating a freemium model is to offer an elemental version of your app that meets out the basic requirements of users they expect from your app.

In addition to this, a premium version is offered with advanced features than the account for in-app purchases. Just like you can watch a movie’s teaser for free, and then, to watch the complete movie you have to pay for it. App owners can make a best use of freemium model by providing a free version so intuitive that users don’t want to live without the app on their phone (excessively addicted) and are willing to enjoy a complete and much better experience by paying for the premium version.

In-app purchases

Since the app is partially free of cost and then paid, you can make money by introducing in-app purchases where users do not have to pay any upfront (download) cost but pay for the gated features. It’s a great monetization opportunity for businesses to prompt users buy premium features.

Similarly, users also get a change to purchase products directly from the app, which is much more convenient and quick via smartphones. The only hitch with in-app purchases is maintaining the fine line between what you are giving for free and billing for the few avant-garde features. Most gaming apps earn money through in-app purchases.

Advertise your app

While one way to earn through a free to download app is in-app purchase, the other corresponds to literally posting advertisements. A successful traditional approach of showing advertisements by partners and sponsors on television is the base for revenue generation digitally.

You can’t be sure of every user purchasing the premium version of your app, the percentage is reasonably small. In this case, you need to show ads that can be useful like suggestions and recommendations for respective users and the moment they see the ad (can be an offer on their most searched products on the internet), they click it. This could make a real difference in the numbers you are earning from a mobile app.

If advertisements are integrated well with the app’s content, they can build an incredibly large audience.

Before including any ads, determine the relevancy of advertisements by answering these questions first:

  • What can be more useful for users?
  • What kind of ads do the targeted users prefer?
  • Will these ads be too frustrating, potentially disengaging them from the app?
  • How can these ads ensure user’s frequent returns to your app?

SMS Marketing

Phone number subscription (together with e-mails) is also an effective way of contacting users. Send SMS and push notifications to listed phone numbers in your database, informing them about the latest discounts on your products or services, latest features and much more.

Since people carry their mobile phones wherever they go, it’s the most accelerated and sure-to-click means to gain audience’s attention, sending direct messages to customers and new users. It can also reactivate those users who have not used the app since long.

Referral management

Once you discover that your app makes sense to people and they use it once in a day or two, stimulate them to invite their friends so they receive free gifts or great deals and offers in return.

This would double your revenue as the number of people using your app doubles and you get an extensive network for experimenting all the above strategies. Referral management can be a massive source of monetizing your app (if used properly).

Partner with a similar customer base

Initially, to get hold of a customer base, you can partner with a similar service/business app and look for the best way to give away an integrated experience to customers.

As you incorporate partner’s offers in your app, it will benefit the users to a great extent, which, in return, will generate revenue for you.

Grow engagement by Gamification

Various gaming apps generate 90% of their revenue only from their 2% enthusiasts who are crazy for a specific game. Because they are too excited to unlock higher levels without any worries of paying the premium fee. This is the most profitable audience for you and your business.

Don’t let them ever leave you. Make proper retention strategies, give out luring offers and introduce engaging features to hold on to the most favorite users, the ones monetizing your app. Improve your data strategies and send right messages at the right time.

One thing is for sure, to keep generating money from your app, you have to keep experimenting with your mobile app marketing strategies.

For most engaging and user-centric apps that generate value for your business (and brand), get in touch with Konstant Infosolutions.

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About the author
Vipin JainCo-Founder & CEO at Konstant Infosolutions

Vipin Jain is the Co-Founder and the CEO of Konstant Infosolutions, a mobile app development company based out in India and the USA. His vision and decisions have molded the operations, plans, human resources, marketing, public relations and finances...

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