In this article by SmartMoneyRichYou you will discover how to earn money with an app.
How to make money with an app: advertising
Advertising is the easiest and most common way to make money from an app. implementing ads in your app to monetize it is pretty simple. According to the forecasts of the Statista portal, by 2020, in-app advertising will have generated more than 100 billion dollars.
You can receive money each time an ad is displayed in your app (pay per impression), for clicking on the ad, or when a user installs the advertised app. The options are almost endless. This strategy allows us to create advertising campaigns when we want and for a specific period. Our ads will be seen in banner format, display, and videos. Still don’t know how to make money with an app?
How to make money with an app: pay per download
This option implies that the user pays directly for downloading the application. In this way, you will access all the content without having other monetization opportunities. However, as we have said before, more than 90% of the applications on the market are free, so this model represents a tiny percentage.
How to make money with an app: subscriptions
Subscriptions can be a beneficial monetization strategy. Many app developers offer free content for a limited period and then charge a monthly or annual fee. Users who pay this subscription fee can access the full range without restrictions. These strategies are often used for audio and video services such as the Netflix and Spotify platforms, which offer free trial periods.
The subscription model is one of the most used. The App Store and Google Play stores are making it profitable by offering automatic renewable subscriptions.
How to make money with an app: in-app purchases
This monetization model is also one of the most effective ways to earn money with an app. In-app purchases allow us to sell a wide variety of virtual items directly from an app.
Here are some examples, such as the ability to buy coins or unlock levels within a game. When we use these elements, they disappear from our power, and we can no longer use them. It’s what we call consumable items. In games, in-app purchases are often used to allow users to purchase items to enhance their gaming experience. This has led to free-to-play game platforms like Clash of Clans and Pokemon Go achieving remarkable success in recent years.
However, we can also purchase non-consumable items such as photo editing program presets and filters. The user pays for them, and they can keep and use them whenever they want.
How to make money with an app: sponsorship
Sponsorship is another method of earning revenue from a mobile app. This model is usually incorporated into those applications that already have regular users and is used to connect with brands in the same market niche.
Free with paid features or freemium
A user can download the application for free and pay to access certain features within the freemium option.
This allows us to bypass intrusive ads and is very common in health and fitness apps, where users can get premium options depending on their needs.
How and when will I collect the money?
You have to consider that when a user stop downloading an application or making a purchase within it, these payments are managed directly through the application stores. This means that, in Google Play, the charge is operated by Google, and in the AppStore, it is done by Apple. What’s the bad news? These companies usually keep 30% of the cost paid by the user for said purchase. Something very similar also happens with subscriptions.
Both Google and Apple keep 30% of their cost from each billing period. Is it always so? No, there are certain exceptions. For instance, when an app user purchases within an application of a good that can be consumed outside of it, the developer will be able to establish their payment gateway (Paypal, Stripe, etc.). Here,
Receive money from an app
In the case of application stores, we will have to configure a series of data within the developer panel to receive payments month by month. Each month we will receive the income generated during the previous month.
50 business ideas that you can start today (business ideas, easy business ideas, profitable business)
When a person aims to start a business, it is essential to think about the activity that he will develop and the expectations of success that he may have. To begin with, cost savings are usually considered. To start it up as soon as possible, it is best to start alone, with a business idea that allows it. So, for those who want to create a solo project, here are the 50 most successful and most accessible business ideas for a single entrepreneur.
Today numerous people are looking for business ideas to embark on a new career adventure. Although it seems complicated and you give it a lot of thought about what can work, the reality is that the current market offers hundreds of possibilities. The choice depends on the capital you have, the sectors you know, and your interests and skills. To help you decide, we have compiled some ideas with which you can be inspired.
