In today's age where internet penetration has reached the masses, all across the world, mobile applications have become the next step for businesses and developers to reach their customer base effectively on their smartphones, which they carry all the time with themselves. Today, we'll try to understand how we can monetize our mobile apps in the most effective ways, while simultaneously providing value to the customers because after all to provide value, a business needs to sustain itself financially.
Understanding the customer base
Before even starting to plan ways to monetize the mobile application, it is paramount to understand your customer base. It means that you need to first know where your customers are coming from, what they expect from you and how much money can they spend on your services. For the same, there are many tools that mobile app developers can use while developing the mobile app through which you can gain access to some essential details like location, age, gender, etc. Such details can help determine which way should you go while trying to monetize your app.
After determining your customer base, the following are the means and ways through which you can monetize your mobile app :
Free app/Paid app
The most direct way to charge your customers for your services is by making them pay to download your application and use it. Although it is the most direct and easiest way to your mobile app, it is to be noted that paid applications attract fewer customers to come and try your mobile app and download it while on the other hand, free apps attract more users, but then you will have to find other ways and means to charger users in the following blog we’ll discuss these ways. If your customer base is mostly working adults who come from urban regions, then you can consider paid apps, whereas if you are also looking to woo youngsters, there is more that you need to think about.
In-app Purchases
The most common way of charging your customers in your free apps is in-app purchases where you charge your customers for some extra features or certain enhancements that do not come with a free download. The most easiest example to this are game credits or unlocking certain characters in your mobile gaming app. Till now it has been proved that purchases are a good way to both get your customers to try your application and then move towards paying you as well, once they are on board with you.
Subscription Model
Another good way to monetize your mobile apps is to have a subscription model in place. For example, a premium subscription to a free app can get customers. Some premium features that free users will not get this way. You can have customers be in a recurring payment mode with you and become loyal customers of your mobile app and this is also because subscription models make customers habitual of your services in many ways, and this, unlike one-time payment that you may receive by making your app a paid app, you can get recurring payments from your customers and adjust how much you want to charge them according to the inflation rate in your economy and additional benefits or updates that you have developed in your mobile app. To make the subscription model possible mobile app development services will have to design the application in a way that can become a conducive possibility.
In-app Advertisements
Advertisements are a great way to monetize your mobile app, where you charge other businesses to show ads to your audience or customer base and promote their products. This usually works where your services may have an indirect connection with the other business that is showing advertisements on your app. For example, if your mobile app focuses on physical fitness, companies that sell supplements can advertise their products on your apps, and this way everybody can be in a win-win situation where customers see relevant ads and products, and both businesses benefit.
Trusteeship/Donation model
This model is specifically beneficial for mobile apps, focusing on journalism or giving knowledge to people. In this model, you can have your mobile application free for everyone while you can ask your customers to donate for the sustenance of your mobile app or business. A lot of media houses and websites/mobile apps have used this method to remain independent give value services to their customers and enjoy a personal bond with their customer base.
To make all of this possible, a business should have a strong custom software development company to help them design an application, which suits how they want to monetize their mobile app.
Originally Published At -
How to Monetize Your Mobile App: Tips for Developers
Visit our GMB profile - https://g.page/r/CYqS00cnOsiCEBA
