Make money from the app: which monetization model is right for you?

Introduction

Mobile application development is the newest trend in the world of digitalization. Since the introduction of smartphones, people tend to use applications for daily purposes and entertainment. A survey suggests that about 90% of the youth spend at least six to seven hours on mobile phones.

With the introduction of web series, people use applications more than television. They also tend to invest quite an amount of money for premium subscriptions. The huge business companies and other enterprises use mobile applications to reach the public and describe the products. The activities like shopping and food orders can all be done from applications. Therefore, app startup companies are growing in number. 

The development of the application is not an easy process. It takes a lot of gadgets, tools, and knowledge to develop a fruitful application. There are various models available by the custom mobile app development services that helps in-app monetization. The basic motto of developing applications is to reach enough traffic and generate revenues. It is also necessary to create brand awareness among the public so that they can use and share the applications developed by your company. Mobile applications are known as the best marketing tool and the brand awareness that can be created among the public can be utilized with a satisfying ROI.

The top 5 app monetization models for your business

Mobile applications are a serious business to invest in and if not taken seriously might turn up disastrous. It takes a lot of money to develop an application. Therefore, the returns on such a big investment are a must. A lot of hard work is required once the window app development takes place.

A proper and planned branding is required to promote the application among the targeted audience. A strategized promotion is very important to allow the audience to download the applications. The UI and other features must be built according to the preferences of the audience. Some of the business models best for the monetization of applications are listed below.

·        In App-advertisements

In Microsoft app development, this is a very common business model used in applications to generate money. These applications allow the user to download the application free and use it for their requirements. However, after a certain period of analyzing user behavior, these applications allow the other publishers to post advertisements that will be visible to the users and pop up as notification between the pages.

The publishers then pay the application owners for their advertisements. The great and successful example of such an application is Facebook. It charges a high amount for the publishers to post their ads in the application. It benefits both the publisher and the application to run their business successfully and smoothly.

·        Gated features or Freemium

This model is very similar to the in app-advertisement features. The freemium model is very simple. In this case, the custom mobile app development services companies allow users to download the application for free. It also gives them access to the free features of the application. However, the goal here is to engage the customers with the benefits of the free features while locking up the paid and premium features of the application. 

The application in such cases only has to engage the customers and show them the amazing paid features. The best example of such an application used worldwide is the hot star premium. This application provides various movies and series that are available for free. However, many new web series is available in the premium features. The application is widely accepted among users. 

·        Paid applications

Other applications take money to download applications. These applications need money for the use and it usually ranges between $1 to $999. Although many users do not download applications that require money to purchase. These business models find it hard to come up with the users.

However, the study and knowledge of various other similar applications help the Mobile application development companies to analyze the interest and behaviors of the users. Such an example is Netflix. It is the only paid application that is accepted by users worldwide. The famous killer features of the application compel the users to pay for their subscription amount. These kinds of successful applications are the best example of paid applications.

·        An in-app purchase of virtual or real goods

This business model is a feature that allows the users to buy virtual or physical goods inside the application. Such features are very common in mobile games. The famous game PUBG benefits the companies by incorporating in-app purchases. Many gamers tend to buy these extra features that are available with extra money.

In the window app development companies this highly benefits the companies with high revenues. However, the application stores tend to cut off a portion of revenues collected through virtual goods. In recent news, the government is likely to ban the sale of virtual goods due to accidental purchases made by the children.

·        Paywall

The paywall application is mostly like the freemium. This application is different as it does not have paid features but gated contents. This model allows the customer to enjoy free content for the basic first few pages. If the user enjoys the content, he or she can pay to see the entire content. The money is used as a subscription or as usually paid content.

Umano is an application that benefits from such a business model. This application transforms the stories into podcasts and allows the users to enjoy limited story editions. This feature allows the application to provide its users with such remarkable features for a certain period. Later, the user pays for the entire content.

Conclusion

It is not unusual for applications to generate money by using business models. The applications are the best way to generate money and with a little planning of monetization, it can help to generate monthly revenues. The Microsoft app development companies can raise their income by implementing the monetization models in their applications.