Monetizing your iPhone and Android app

We are now in the middle of an incredible boom in mobile app economy. Approximately, 900 apps are submitted to the Apple app store each day and the app store has got little more than 700,000 apps. Google play store is not far either and has got 600,000 apps on its store. Businesses and entrepreneurs understand that mobile app presents a tremendous opportunity to sell their products and services to millions of customers worldwide. However, making your target audience finding your app and making them buy your products and services inside the app is a huge challenge.

I discussed about app discovery in my previous blog posting. In this blog, I am going to discuss about app monetization. Two ways to monetize the mobile app are:

1.Selling the app i.e. one-time selling fee when user buys the app. Average selling cost of a app can range from $0.99 to $9.99. However, this does not provide a revenue stream to iPhone or Android app developers. Newspaper and magazine companies such as Wall Street Journal, Financial Times are based on the subscription model which we can discuss in another blog posting. We can discuss about the subscription revenue model in another blog.
2. In-app purchase – This provides developers a tremendous opportunity to create a revenue stream over a long period of time.

In-app purchase – Most of the iPhone or Android games or content creators rely on in-app purchase to make money from their apps. Developers give away their games or limited content for free to their customers. Usually, these free games or content will be a limited version with a provision to upgrade to see the full content. This free limited version strategy builds a loyal user base for their apps. When users get interested in the games or content, they get hooked up to these games and would want to move on to the next level of the game or to access the full content. At this stage, users will be prompted to make an in-app purchase to continue playing the game or to gain full access to the content. So, the target audience keeps using the app and will be spending money inside the app over a period of time.

Key to building a revenue stream using in-app purchase is building a loyal user base. Loyal user base will be created only if developers provide them quality content and give them a reason to come back. At Orange949, we work with businesses and entrepreneurs who want to create a revenue stream from their mobile apps. Our mobile app developers in Jacksonville, Orlando and Miami will not only create your iPhone / Android app but will also strategize a monetizing plan for your app. If you want to work with a app development team that understands your business goals, get in touch with us.