Can you make money with an App?
Nowadays, it is seen that most of the organizations that are into mobile app development are developing an app with an intention to earn money. But how many of them are being able to make money with an app?
The question arises in the mind of every startup and developer that can you make money with an app? It is true that the mobile app development industry can earn lots of money. Even by following the same process of mobile development but still all the apps are not being able to earn the revenue.
Can you make money with an app? Is this possible that an app can generate you revenue? Before looking into these questions you need to build an app first. For that, you have to decide whether you need to build an app in native, hybrid or web.
There are more than 3 million apps on Play Store and Apple App Store and many more are to come. There is a lot of competition in the industry. So, how can you make money in an app? Let’s find out.
Steps to be taken before Building an App
Before, building an app you need to take care of the few steps that will help your app to be a successful one. There are so many apps that have been built up, but not all of them turn out to be successful and provide you with the revenue. At that moment an organization thinks can you make money with an app?
Let’s look at the steps to be taken before building an app.
1. Know about your Market
The first and the foremost step before building an app is to know about your market. It encourages you to understand the competition, what strategies are they adopting, what is their USP. By doing market research you will be able to know your target market as well as what offerings you can provide to the users that makes you stand out from your competitors.
2. Define your Target Audience
A mobile application is progressively effective if the target audience is defined. Your application ought to be worked to fit the specific segment of the population that your business takes into account.
The deographic where you are releasing your app is an important step to be taken care of. The app should be made by keeping the target audience in mind. For eg if you are making an app for the children you should use more animations that attracts them.
3. Choose the Platform
Before building an app you have to choose the platform in which you have to make an application. You need to decide whether you have to make in native vs hybrid vs web.
Native Applications are mobile applications built explicitly for an operating system utilizing a programming language for eg. Java for Android and Objective C for iOS.
Web Applications are suitable to those whose startup is on a budget and doesn’t require complex functionalities or access to operating system features, at that point building a web application can be the most affordable alternative.
4. Promotion of the Application
The most well-known approach to promote your application is to put it up for download on your site. If you have a native application, you can put it in the application store of its foundation. Try to investigate important keywords and labels to ensure that your application looks after visibility.
Different methods for promoting your application are through sending an email impact to your client list, paid promoting and YouTube recordings.
5. Take care about User Interface and User Experience
This is a significant component of your application that will decide its prosperity or disappointment. Disregard every other thing; if your customers do not like your application’s UI and UX they will not use your application. Even if you have great content over your application, if its UI is not good it is not of any use. This is the motivation behind why top application improvement organizations invest such a great amount of energy in the UI/UX of the application.
How are App Payments done in the Play Store?
When discussing how much an Android application gains, the sum that your paid application gets credited to your record inside the pattern of 30 days. There is no base edge with regards to the sum you gain with applications in the Play Store. If your Android application brings in cash above $1, it gets credited to your record. Be that as it may, Play Store takes a shot at a 70:30 installment distribution ratio. On the measure of cash that you gain with applications, Play Store keeps 30% and credits the other 70% in your record.
How are App Payments done in the App Store
IOS App Payments are typically made in less than 45 days of the last working day of a month when the application purchases were made. To get the payments, you should give all the important bank and tax details and reports, and you ought to keep up the base payment level. Additionally, there ought to be a base limit sum you ought to have earned before getting the sum credited in your record else it conveys forward to the following installment date, till the base chose iOS application income sum is earned.
Stats about Mobile App Growth
Here are some of the facts and figures that will tell you more about mobile app growth.
1. Crowded Market
According to the third quarter of 2019, ”there were 2.47 million apps on Google Play and 1.8 million apps on the Apple App Store.”
The mobile app is growing at a very good pace. There is no end as far as anyone can tell with regards to the number of applications that can be created. In any case, as usual, the competition is furious.
2. Global Audience
According to Business of apps, “where most of the app downloads were taking place. 64% came from the APAC region, 19% from EMEA, and 17% from AMER. But China accounted for nearly 50% of global app downloads.”
3. Most Downloaded Apps- Social Media Apps
According to Sensor Tower, Whatsapp is the most installed app by the users with 223 million new installs and Facebook Messenger is the second one in the list with 209 million installs.
4. Design of the App
5. Future of Mobile Apps
According to research done by Cisco, “ 90% of mobile traffic will gravitate to these platforms. There will be a rise in powerful mobile apps that can retrieve data from the cloud and occupy less internal space of phones.”
Apps are integrating into the technologies like AI, ML, 5G, Blockchain.
How much money does an App make?
Since we realize what are the interesting points while mobile application development and how the payment framework functions in Play Store and App Store and the extent of creating income that both the stages bring to the table, let us presently comprehend the response to the genuine inquiry How Much Money Can you make from an application?
Following are the points that will help you to answer how much money does an app make?
1. Platforms of your App
The platform you build up your application for can majorly affect the cash gaining ability of your app. When it comes to noting how to bring in cash by making applications, Apple wins the race. Over 25% of the iOS App Developers procure over $5,000 from their application while just 16% of the Android App Developers can make anywhere around $5,000 from their Play Store Applications.
2. In-app Purchase Option
Fueling the Apps with in-app purchase options is a technique for the most part applied by gaming applications. The methodology has ended up being the best technique to bring in cash with an application for various application developers.
3. In-app Advertising
In-App Advertising is another certain shot method to bringing in cash with applications development. For example, you have tied up with an organization on Click Per View Agreement. For each ad, you charge $0.01 from the organization with which you have tied up. Presently, if you get 10,000 day by day users on your application and they see your ad to proceed onward to the following level, you will acquire 100$ consistently, on the greatest level.
4. Subscription Model
Tinder has a $9.99 month to month plan for the Tinder Plus membership and a $14.99 model for the Tinder Gold membership. This methodology has produced over $285.3 million for Match, Tinder’s parent organization. Tinder isn’t the main brand getting a charge out of the advantages of a membership model.
It is at the rear of its membership model that Netflix application has had the option to create over $11B in revenue.When your application offers something of genuine incentive to your clients, something that would keep them hooked up to your application, they incline toward going through cash month on month or on a yearly premise as found in Amazon Prime. By hooking your users to applications is the means by which to bring in cash off applications.
Which Mobile Apps are making the most Money?
According to Android PT, these are certain apps that have the highest sales revenue in IOS and Android platforms combined.
- HBO NOW
- Pandora Radio
- LINE Manga
- Sing! Karaoke
Create an App for Free and Make Money
Is it possible to create an app for free and make money? Having doubts whether it is possible or not. Let’s find out the strategies where you can create an app for free and make money.
1. In-app Purchase
Mostly, it has been seen in Gaming applications, in-app purchase model is where you connect cash to a product that your client would require so as to proceed onward the following level or for getting exceptional powers. Game developers have been making money on mobile applications by offering uncommon features and additional items to the users.
2. In-app Advertising
At the point when you permit another application brand to show their ad in your application, you charge them based on Click Per Impression (CPI) or Cost Per Click (CPC). You can take advantage of the system by making it compulsory for the users to see a promotion.
Freemium method of Monetization is the point at which you offer an advanced version of your application to the users as an end-result of an entirety of cash. By following this way, you can make money through free apps. The thought is to keep the best features in the locked version to let the users pay to take advantage of them.
One of the least observed models during the process of making money through free apps is that of sponsorship. This is the way it works – you initially need to discover a brand that is offering an application like yours to a similar set of crowd and afterward you approach them with the proposition of overhauling your application as per their application style, so both your and their client base increments.
How much money is made by Free Apps?
According to recent study, approximately top 25% of iOS developers and 16% of Android engineers make up $5k on normal every month with their free applications. This can fill in as a benchmark in the business. This additionally implies just 20% of the applications available bring a benefit dependent on their high caliber and skill to make a benefit from their free applications admirably.
Most of the top free applications use in-app purchasing and additionally promoting monetization models. The measure of cash each application makes per advertisement relies upon its acquiring technique.
Also in application classifications, free application games definitely make more than some other application sections. As indicated by App Annie, the top grossing applications in the US as of August 2018 are free games like Fortnite and Pokemon Go on iOS and Android stages, separately. The main Android applications overall are Pokemon Go and Candy Crush, which have earned $28.03m and $41.6m in 2019, individually.
Things to consider while choosing the Monetization Model for Free App
There are numerous ways through which you can make money through free apps. You can pick one or decide on a few systems immediately. In any case, there are a few convenient tips that will assist you with adapting your free application in the best manner conceivable.
1. Goals of your free app
Any application has a business objective, which implies it enables its users to take care of their issues. Accordingly, you should choose an adaptation procedure dependent on your application’s business reason. So, choose that method that matches your business goals.
2. Target Audience
You ought to acknowledge for whom you’re making a mobile application. Draw a client picture and choose what functionality clients need, how much time they’re probably going to spend utilizing your application, etc. Hence, a clear picture of your target user permits you to create an app according to their needs.
3. Know your Competitors
In case you’re considering launching a mobile application, you should do a competitor analysis. Analyze the application stores you’re going to offer your free application in and look for comparable applications. Further, discover what your competitors offer, what sort of plans they have and, all the more significantly, what adaptation strategies they use.
Therefore, this analysis will help you to know your competitor better and you will be able to learn from their mistakes, rather than repeating those same mistakes.
How can we Assist You?
We at Brisk Logic, take care of the customer preferences and needs. We believe in providing the top-notch quality to our clients by providing customized and robust solutions in mobile apps. Our mobile app developers will assist you in developing your dream mobile application as you desire. From building an MVP to the responsive application we provide our services to our customers. For further information contact us at www.brisklogic.co.
In Conclusion, there are a lot of apps that are made and are in the play store as well as app stores. But all of these apps are not making money. To develop an app that can make you money you need to go through the above strategies which we have discussed.
There are many factors that play a vital role in making money through apps like the platform which you are using, the nature of the application and also how much revenue you want to earn from that application. Hence, do not make a hurry in launching an app, do the proper research and the analysis for your app and then launch the app in order to make it successful.