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Monetize your app the right way


Written by on Tuesday, October 11th 2016 17:11


Monetize your app the right way
With new mobile centric customer behaviors, monetizing one's app seems to be an attainable goal, now more than ever before. Yet, questions such as which positioning to adopt or, what are the solutions to consider to make a mobile app profitable, remain to be assessed. Ready for a quick overview?

First and foremost, it starts with knowing the market well and the context you are stepping into. Recent data indicates things are looking up, with an increasing number of businesses considering campaigns that are 100 % mobile in the year to come (27 % according to a Kantar report). Yes, social media still comes out on top, with a 66 % investment share. However, when it comes to repartition per channel, smartphone apps account for 34 % (just 3 points behind video platforms), and are well ahead of blogs (13 %).

Now the question is, how can you boost your mobile app revenue in a booming mobile advertising market?

On the stores

The business model of paid apps remains tricky. Game and niche apps aside (such as the famous bar exam app), selling an app for a fee is often risky. As for selling an app at a low price, between $0.99 - $1.99, it’s easy to image the high amount of downloads one would need for a return on investment. In that respect, Freemium apps seem to be the next best thing, featuring a free as well as a paid version of the same app, hoping to convince free users to migrate towards the paid version to unlock more advanced features. Yet, once again, the risk of seeing users turning away from the app (due to the limited features available with the free version), if not deleting the app, without downloading the final paid version is high.

A few new perspectives are arising though, such as Search Ads, the new App Store development to improve the discoverability of your app. The opportunity is, as of today, limited to US search results only, and, of course iOS apps as well. So, what about other platforms?

With advertising

To emancipate yourself from these sometimes precarious business models, advertising can be a safe option to monetize a free app. With the growing interest of advertisers for mobile, an advertising strategy for a mobile app can tackle most monetization problematics. From targeting specific audiences to promoting a brand, an app is a versatile solution in many ways.

To generate revenue with a free app, there are two solutions in particular: the possibility to connect with external networks or, displaying your own ads. Both strategies can actually work hand in hand to ensure your app always features running ads. Our app builder will let you manage your campaigns first hand, from setting up your own Admob, MobPartner, Swelen, Mobfox, or other external ad account, or creating your own campaigns and running them with our internal ad server. With advertisers favoring mobile over the desktop web, if you are creating content, now might be the time to consider native advertising, inside a mobile app.

Through an app builder

If your app builder offers advertising options, you will also want to pay attention to the format of the ads as well as the revenue. With GoodBarber, it is yours, 100%. As for format, we provide two options, splash screens, for when the app is launched, and banners, displayed at the bottom of the list and at the top of the detail pages. Why? Simply because they are the most user friendly. If you don’t want the user experience to suffer and users shying away from your content, stay clear of intrusive ads. Also, make sure that your advertising strategy is stays aligned with your editorial line and to always indicate a sponsored post when you include one amongst your usual content. If you follow best practices, you will be rewarded with your users’ loyalty.

On top of advertising solutions, your GoodBarber back office will also provide you with detailed statistics for each of your campaigns. Use them wisely, to track the performance of your ads and to get to know your users better. Improving relevance and adjusting the frequency of your campaigns is necessary for your monetization strategy to pay off. Plus, it goes without saying that all this information can be put to good use to improve your overall content strategy, beyond ads.

In the end, because monetizing an app is essential to the lifecycle of an app, we encourage you to make the most of the advertising options with your GoodBarber project. And if you still have questions, why not put your app concept to the test. Our free ebook Apps for Beginners How to Define your Concept is here to help you finalize your project:
 
Define your App Concept Ebook





1.Posted by Jonathan on 04/07/2015 3:22 PM
Hi

This is a question that I am mulling over right now - Free, plus Ad's or Small fee and keep the user experience clean.

Do you know of any resources that have stats and case studies around the two options?

Thanks
J

2.Posted by ahmed alrasheed on 10/11/2016 11:59 PM
guys any updates regarding the developers api....
we need to extend our apps...

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