What are the Best Strategies for App Monetization?
Mobile apps have become an inseparable part of smartphone users across the globe. There is a huge impact of mobile apps on both the personal and business lives of people at different stages. With such importance, various businesses are coming up with exciting mobile apps. But building a feature-filled mobile app cannot ensure you meet the revenue-yielding objectives. If you have to stand out in the huge market of competition and gain profits, then you have to monetize the app as per the requirements. How do you plan to include the best strategy as per your app needs? Read below.
Best strategies for app monetization:
Freemium Model: These are apps that can be downloaded free from the app stores. In this model, users can employ some basic features but other features can be accessed only after paying them. Being a start-up if you are looking to access a big database, then you can pull the users initially using this model. AN ideal plan to monetize the app is by offering an ideal user experience and solving their problems optimally which will make them pay for additional features. While it is true that many users would want to download the app initially for its free features it is also important to have the best balance to give a balanced level of functionalities. If you commit the mistake of giving too many good features in the free version, then users will not have any intention to upgrade to get extra features. But vice-versa, if the features are not helpful, then they will not consider extra features worth to be purchased.
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In-app purchases model: In-app purchases are another popular monetization strategy where the basic features are given for free. But if the user wants to unlock the next levels, then he has to pay for it. This is highly useful in the case of apps like gaming where they will require extra purchases for getting more features. Some apps will provide additional features without any payments if they win certain levels of the game. While this will not be frequent but push the users to use the app for longer to gain the benefits. Majorly, the app engineers will provide only a few things for free while getting all others via in-app purchases. Some of the apps like gaming make proper sense for users, business owners must be aware that all types of users would not love this model.
Subscription model: A subscription model will also start with the free download of the app. They will get access to some of all the features for a precise time after which they will have to subscribe to the app by paying an additional fee for using the app. It is becoming one of the highly employed models since the app can be discovered easily in the app store and gain profits in the later stages. It is highly helpful for app owners to get access to a wider user base while converting them to subscribers in later stages. This model has shown that businesses will get a continuous revenue from the subscriptions which is more than another type of strategy in several instances. A user who subscribes to the app will use the app more frequently for the intended purpose. Once they are adjusted to the usage combined with the ideal user experience, they will not want to stop the usage.
In-App Advertising: This type of model does not require users to pay to use the features of the app. But there will be highly targeted advertisements for the users which will help business owners to gain profits while also meeting the purpose of reaching a wider user base. But it is important to have the right user balance when there is a showcase of advertisements to specific users. As in-app ads can provide benefits for business owners and also app users if they are relevant, but if they are pushy or annoying there are chances that users get dropped off from your product.
The paid app: These apps are available for download, only in the paid version but usually provide exclusive benefits. This type of monetization strategy is provided in apps that give high value for the service and meet the exclusive requirements of users in a much better way. If you fail to achieve this, then it is tougher to access a wider user base for generating maximum profits.
Choosing The Right Monetization Model for Your App: Choosing the best model that is ideal for your app and your business motives is reliant on a variety of aspects, but there will be the requirement of a clear monetization strategy before the release. Usually, a key factor in deciding the monetization strategy will be the business objectives. Business owners should start with questions about the purpose of their app, the problem it is intended to solve, the methods employed to solve the user problem. Another crucial aspect of deciding the monetization model is carrying out deep research on the competitor apps. User research is also a key factor in knowing the needs and behaviour of the customers. Who are your customers? What are their requirements? Are they looking to pay for getting extra features? are key elements in impacting your final decision.
There is the highest competition in the mobile app development market with several apps available in the same niche. Hence, if you want to attain maximum revenue from your mobile app product, you have to monetize it smartly. Further, it is important for keeping the users engaged with the app and getting maximum ROI. Businesses are understanding the importance of using multiple mobile app monetization strategies which are only possible if you associate with an expert mobile app development company like Brillmindz. If you want to adopt the right monetization model for your product to get maximum returns, then look nowhere else than one of the top mobile app development companies in UAE, Brillmindz.