Wednesday, September 10, 2014
How Much On an Average Can We Make Money Selling Free Apps?
In business we don’t just develop app for fun but to show off your business expertise, and make money eventually. Ever since the record of app development one of the widely disregarded topic – how do free apps make money?
Let’s talk about the ways you can make money when your app is free.
1. The Freemium Upsell
Having a second version of your app that’s paid, be it as the “Lite” and “Regular” or “HD” versions of an app, paired together. When the user clicks on the free app link it drives them to the iTunes store on their phone.
Initially, users can download your free app and get a sense of what you have to offer after which the full version could be purchased which will have lots more functionality and game play.
2. In-App Purchases
In-app purchases allow users to unlock features or purchase more as in like get coins. When you build an app, either you should set IAP (in-app purchases) to be a onetime purchase or an ongoing option like purchasing 20 coins for $0.99. Such apps have already drove millions of dollars in sales, even though it was free.
3. CPI Networks (Cost per Install)
Relatively a new marketing mechanism, CPI is the mobile equivalent to CPA (cost per acquisition) in the web marketing world. It is most often seen as a “pop-up” in games and apps through which prompting to “Get It Now.”
This actually works out to be a better deal than most developers report on advertising networks. In precise, it is directly proportional to the number of downloads and grows as your user base grows.
4. Mobile Advertising:
After reaching $31.5 Billion this 2014, many mobile ad companies have sprouted with various revenue models. It can be used in conjunction with apps that have in-app purchase and consequently allowing a free app to generate revenue even if the user doesn't make any in-app purchases.
The bottom line is the two ad networks are i Ads and Ad-mob – the first being Apple and the second being Google but requires a sizable amount of traffic to make it worth your while.