How To Monetize Your App- A Comprehensive Guide (PART 1)
0 commentsMonday July 4th, 2016
The number suggests that over 60 per cent of apps don’t make money, or have no monetization strategy whatsoever. No wonder we hear stories of ‘grand failure’ in the app market every other day.
Unless yours is a business that can afford extravagant loss- at least for a short term- you should work towards making money from your supposedly amazing App from the get go, even though your main focus is just to expand your brand reach and communicate with your target audience.
Here are 2 ways to make money from your app that many online marketing companies vouch for-
Putting a price tag on your app
While making people pay to install and use your app is a very straightforward to make money, things might not work as planned unless your app is really (really) amazing with high utility.
Statistics show that about 82 per cent people factors price when deciding to download an app; and 3 in every 4 people expect apps to be of free of cost.
So the moment one labels an app with the price, the likelihood of the app getting downloads is pushed significantly below. Here are 4 important things that you should consider to work this method successfully-
The utility value– Your app must offer a decent amount of utility value. It must fill an important purpose that convinces people to actually pay for it.
Market competition– If there is a tough (or even slight) competition in your niche, pricing could be very difficult given your competitors might be offering low to no fee for their app. So why would people buy your app when they can get somewhat same at low or free cost.
‘Awesomeness’ factor– Even if the market competition is low, people wouldn’t pay for your app unless it’s straight-out awesome- unique, offering something exclusive and worthy of people’s time.
Target Audience– You must know about your target audience and where to find them. People are not going to pay for an app that they don’t require in the first place. So you must be visible strictly to your relevant audience who are more likely to buy it. Face book app marketing could be your great weapon here.
Partnering with someone of your niche
One of the biggest obstacles of finding a partner in your own niche is to actually recognize the difference between a potential partner and a competitor. Here are 3 things to keep in mind when finalizing on a partner-
Make sure they are not offering the same product or service as yours, but rather something that complements and supplements your offerings. (Like if you teach Math via your app to high schoolers, you can partner with middle school math teacher or high school English teacher.)
They are well established in the market with high reputation.
What they are offering is pretty awesome with high utility that your target audience will find valuable.
You simply dial your partners and workout a deal to either promote (via ads or contents) their brands or let them promote yours. Of course a lot of decision-making is involved here- like the money to be exchanged, mechanism to gauge conversion, how to promote, what to promote, when to promote and so forth. But if you have picked a right partner who needs you just as much as you need them, working through things becomes easy and smooth.
These are 2 simple and highly effective ways to monetize your app, often recommended by top mobile app marketing companies.
Read the second part of this guide (2 another amazing methods of making money from your personal and business app) from here- Making money from your App (easily)- A comprehensive guide (PART 2)