Research shows that more and more internet users find mobile apps better than websites. They offer convenience, speed, rewards and personalized content; not to mention that it’s just more fun. What’s not to like about it?
As interest increases, companies are starting to launch new apps to generate more sales and retain customers. But how can you make money with your new app?
Influencer marketing
Influencers are people on social media with a dedicated following. They are usually experts in their niche and are therefore a great way to reach a specific audience. With influencer marketing for apps you increase brand awareness, achieve long-term partnerships, easily reach your target group and get more users. All this leads to one thing: making money.
By working with an influencer during the launch of your new app, you can build the hype and get people excited about your business. Whether you launch your influencer marketing campaign during pre-launch promotion, app launch or post-launch promotions, there are benefits to each stage.
If you do your research, determine your budget, and choose the right influencer for your niche, influencer marketing can be a strong strategy for monetizing your new app.
Ads
The most common (and easiest) way to monetize your new app is through in-app ads. Showing ads in your app is easy and may involve getting paid through third-party ad networks. This usually only happens when a user clicks on the ad or installs the advertised app, but some networks also pay per impression! There are four types of ads that can be served by your app:
- Interstitial ads – full-screen pop-ups that appear at different times, such as after you click certain buttons
- Banner advertising – displayed in different sizes at the top or bottom of the app screen
- In-app video ads – automatically displayed and used as a reward for the user to get additional features in the app
- Native ads – integrated to appear as natural elements in the app to promote a product or app
While ads are a great way to make money through your app, it’s worth noting that this model is only effective for apps with high user appeal. For smaller apps, other models may be more suitable.
Subscriptions
By implementing subscription and upgrade models in your app, you can increase the amount of money you make from it. A subscription is great for recurring revenue and is therefore considered the best and most useful app monetization strategy.
As part of the subscription model, you can choose to offer free content in the app for a limited time, or offer a limited amount of free content before charging users a subscription fee to get full access to the app content.
Subscription models are a great way to monetize your new app. It results in more reliable revenue and a more engaged audience. The Apple Store even rewards the app with a higher revenue split to retain customers for a longer period of time! However, it is crucial to know that a free trial is a must and continuously innovating features and content for app users is important to increase sales from your subscription-based users.
In-app purchases
In-app purchases are generally popular with game publishers and are great for monetizing your new app. This model allows your users to obtain a variety of popular in-app purchases in a game, music, movies or other digital goods directly from the app, which in turn improves the user experience or gameplay. However, in-app purchases may not be used to sell physical goods.
Implementing an in-app purchasing model is an interesting way to convert non-paying app users into paying app users without the intrusive commitment of a subscription. But that’s why you need to keep your users hooked so they keep paying!
Sponsorship
Although sponsorship is less commonly used than other monetization methods, it is a great strategy for making money through your app. With the right app for a targeted niche, sponsorships can be a powerful model.
App sponsorships are more exclusive than other ads because they are less random than your usual banner ads. Instead, sponsors may be interested in paying for a prominent spot to promote their business in your app. It’s worth noting that analytics is an important factor in a sponsorship model. To get an app sponsorship, you need to be prepared with solid data to sell the value of your potential sponsor using fact-based results.