Ways of Mobile App Monetization & Its Importance

By Abhishek Amin Mar 3, 2021, 11:38:22 AM , In Mobile Apps
Ways of Mobile App Monetization & Its Importance

In layman’s terms, it is a way of converting your app users into revenue sources. App monetization is a process of generating revenue from your app with the help of your customers. Mobile application development is a complex and expensive process. Nevertheless, the mobile app platform has its own benefits and is the best way to offer business products and services to customers or the target audience. The world has gone mobile and that number is increasing every second. 

Then why not leverage the goodies of developing a mobile application? Monetizing a mobile app could unlock new opportunities to generate revenue through the launched mobile applications on Apple’s App Store and Google’s Play Store.

The Cost Factor

One who needs to develop a custom mobile app has to consider the costs associated with it. The cost of a mobile app to be developed depends on the type, whether it is a native iOS mobile app, or a native Android mobile app, or a hybrid app that runs on desktop and mobile devices. Let us have a look at the various factors affecting the cost to develop a mobile app before we pitch into the ways of mobile app monetization.

  • Type of mobile application depending on the platform it is going to be developed- iOS, Android, or cross-platform development.
  • Nature of the mobile app depending on the number of features and functionalities.
  • AMC (Annual App Maintenance Contract) to upgrade and maintain the functionalities of the app.
  • Mobile app testing and QA process to ensure the app going to be launched is bug-free and flawless as expected.

Mobile App Monetization Tips and Techniques

App monetization is the last piece of the jigsaw of the mobile application development process. And it is as important as any of the other phases of developing a mobile application. Various ways to generate revenue through apps are listed below:

Email Marketing

Surprised? I know you might be, that’s normal. Emails and app monetization do not go hand-in-hand for many. However, we believe that it is the first thing to do while strategizing the launch of a mobile app. In fact, it is a brilliant and easy way to reach bulk customers to get started. People never change their email addresses and this makes email marketing campaigns a reliable way to engage the audience well within your network at once. You may never know if people in your network become your first initial customers.

In-app Advertising

Another phenomenal strategy to make revenues from a mobile app is in-app advertising. Depending upon the app’s nature and the industry it belongs to, you must think of including advertisements in your mobile application. It is proven that advertising via mobile apps has enhanced the communication between 3rd party advertisers and consumers. Get paid on the total number of advert impressions and upon clicks too. Video advertising generates more app revenues. However, you need to cautious with the length of the video adverts as the waiting time affects the user experience directly.


Consider an app like Tinder or Netflix, you may want to offer a free service, a basic subscription, and a premium service for different types of users. A user will use limited features for free, or access limited content for free. Even the app is free to download, a periodic subscription model can be introduced on monthly, quarterly, or yearly based memberships.

In-app Purchases

Often known as Freemium apps, where users can download the app for free, but pay to use some of the premium app features or to get rewards. If it is a gaming app, an in-app purchase strategy can be inserted to unlock the next levels. 50% of the apps include in-app purchases to generate revenue from the app. This strategy requires homework to be done in advance to identify the features that could be divided into unpaid and paid categories.


If you have got a partnership with a different brand, it is time to step up the revenue generation game. Find the right sponsors or partners with the same targets and white-label your app, which can be designed for brand colors in no time at all. Consider users using a different app found your brand logo with some engaging feature or element while using it. Or your partner can run your advert in their apps, there are substantial possibilities that users will click the advert and end up downloading your application. It is a great way to expand your userbase with paid sponsorships.

A Quick Tip

App monetization definitely benefits businesses but it is always important to bring a good balance between app monetization and user experience. You may use multiple app monetization ways into your strategy but that should not disrupt the user experience in any way.

Let us know your thoughts on using an app monetization strategy before launching your own mobile app. We’d love to hear your thoughts. Contact our industry experts at IndiaNIC for more information on end-to-end mobile app development and marketing services.

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