Running a mobile iphone app out on the market isn’t an easy thing to do. One of the absolutely inevitable and important decisions is the monetization model (or several models combined). Here you define how your mobile software provides profits. That must be done a long time before development, and the decision depends on many factors, including the substance of the iphone app itself, its individual features. And of course, look at the fact that almost all mobile iphone app users aren’t quite happy to pay — everyone would surely choose a free product. Here we wish to overview a number of common monetization models.
Paid applications. You create an iphone app that will charge a percentage from the beginning. Here you must learn more about the All-in-one Monetization Platform for Creators pricing policy of the unusual application store. The price should be carefully thought-over, it affects the application’s success and popularity with users. Many software owners conduct temporary price discounts for already popular products, or allow to download them for free, for a certain amount of time.
Free applications. How can you receive profits from a free iphone app? In a number of ways. Basically, a free iphone app will be an advertisement of of something which will be sold. Keep in mind that your free iphone app should be shiny, attractive and up-to-date — because it will provide users with the first impression — and it must be absolutely positive. Let’s look how you may generate revenues by using a free iphone app.
Freemium. A software product can be down loaded free (so-called ‘lite’ version), while its extended, ‘premium’ features and services can be obtained for a payment. That’s an alternative way to allow users to get acquainted with your mobile software; and if the iphone app attests convenient and a good choice for customers, they could buy the fully-packed version and revel in the full experience of their favorite iphone app. You have two options here: whether there will be two separate apps (‘lite’ and ‘pro’) or just one, where the features will try to be ‘unlocked’ after the payment. It depends on the software details.
Freemium can make the free version popular, bring you more reviews with users’ suggestions and wishes, so you could see what users exactly want, and give it to them. The free version actually promotes the paid one. Invest in both to maintain with the users’ needs.
We can also mention another popular way — trial. Users may download the free full version from the beginning, but for a restricted period of time (30 days is a widely spread example). There is hardly any difference, whether you should limit time or functionality — that is up to you. Anyway the users can realize your desire to get acquainted with your offers for free.
Ongoing (paid access). This monetization model hails from real magazines and newspapers, and is particularly very widespread. Now it goes beyond dues to digital media; for example, it’s associated with software-as-a-service model. You may sell content, extra support or extra storage space. If you have an already established iphone app and a considerable user base, you may sell third-party content and services (see ‘User base’ below).
In-app purchases. Not quite of a model, rather one tool, a solution that can be found in various kinds of mobile applications. Premium features and game modalities, in-game features and items, dues — there is a number of ways to implement in-app purchasing in your software, combine it with other monetization models.
Free-to-play. As the top iphone app category, games cannot be left without attention. Any user may enter the game and play it for free. However, the revenues from such games may be driven through in-app purchasing. A catchy, enslaving game may have additional paid levels, paid features, which allow further game experience, and more.
Ads. Ad banners, text messages, videos — this monetization model is constantly growing, capturing the market of free applications. For example, the majority of free applications on Google Play contain ad banners; these apps offer users to buy an ad-free version. Though some users are ready to put up with annoying ads, some are ready to buy an ad-free version of a truly great application, which, in fact, now seems not that expensive. That’s a very simple and intensely popular monetization model.
