Do you have an Android app that you need to monetize? Are you looking to discover the best monetization options? This article is dedicated to answering all these questions and more.
Whether you are a retailer or a news provider, game creator, or social networker, your app should act as an integral and profitable part of your business plan. Apps have become the preferred digital channel for your audience members, and given the growth in app usage year-over-year, your app should capitalize on growing behaviors and drive revenue.
The best time to monetize your app is when you are getting a decent number of downloads/installs and people use your app on very often. If your app does not have a high activity rate, then it would better for you to rely on in-app purchases or charging a small fee for your app upfront instead of relying on ads.
Many successful developers are launching two versions of their app. One light version with ads and another professional version without ads and with additional features.
There are three essential questions you need to address in order to set up an effective robust monetization strategy.
1. What is the nature of your app?
Get to know the value your app offers to its users, then think what your users might pay for or what kind of ads would work. Primary, you need to understand your audience and analyze the nature of your app. Depending on the type of app that you are launching, the monetization method differs.
2. Who are your potential users?
Discover who your app users are and how their preferences will be incorporated. Understand the behaviors and expectations of your users before monetizing your app.
3. What are your future goals?
You mainly need to determine the balance between earning profits and gaining new users. They relate to each other but a certain harmony between the two should exist for best results. In addition to that, you need to know your timetable and how much you can wait while accumulating users before earning revenue.
There are 4 different types of terms that you need to be aware of before starting up with mobile ads or advertising in general. You can find them listed below:
There are 7 popular different types of ads that you need to be aware of when monetizing your app. They have been listed below:
Check the infographics below for more clarifications on the different types of ads that you can consider.
There are 6 types of monetization models that you need to choose from when building your own app. Each one of them has its own advantages and disadvantages.
Description: Those apps charges the user an upfront fee before downloading and using the app. Those apps charge the user an upfront fee before downloading and using the app.
Those apps charge the user an upfront fee before downloading and using the app. Those apps charge the user an upfront fee before downloading and using the app.
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Those apps display a certain number of advertisements to its users. They are also offered for free.
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Those apps are offered for free but certain extra functions and features inside them are locked and require a certain payment or fee to use them.
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Those apps are offered for free but they contain paid items or goodies in their built-in storefront.
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This model is similar to the freemium model with the exception that the apps gate or lock content instead of features. Initially, those apps allow the users to view some content for free before asking for a subscription fee or a one-time payment to view more content.
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This model entails partnering with advertisers, who provide the app users with rewards and bonuses for completing specific in-app actions. It is an incentive system where brands and agencies pay to be part of. The app developer earns money by taking a share of the revenue from the redeemed rewards.
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Check up the image below for a friendly visual guide to the different monetization models.