What Are The Best App Monetization Methods?

By Sherry Arjomandi content specialist, Etrexio

Etrexio
4 min readOct 18, 2022

If you are looking to start a new business or earn extra income, consider starting an app.

If you have an idea for a mobile app and want to start making money from it, there are many ways to do so.

Mobile apps are a great way for business owners to connect with their customers. They’re also a great platform for creative people, who have ideas for apps that could be the next big hit!

Everyone wants to make a successful application — but you should plan before you start development. If you don’t figure out your revenue models first, you could waste a lot of time and money.

What is app monetization?

App monetization refers to the process of earning money from apps. There are several strategies involved, and which strategy you choose depends on the type of app you create. Some apps focus on one specific area of app monetization, while others include multiple aspects.

How Does an App Make You Money?

The most common ways that apps make money are as follows:

  • In-app advertising
  • In-app purchases
  • Sponsorships
  • Affiliate marketing

Whether or not you are selling a product, service, or subscription, you will likely make money off of your app using ads or affiliate programs. Even if your app is free and you aren’t charging users to download it, these methods can still be used to make money.

In-app advertising

In-app advertising is a revenue stream used by mobile apps to leverage their real estate to show ads to users. In other words, ad buyers pay them for displaying ads within the app. Such as almost every gaming app.

In-app purchases

One of the primary monetization strategies app publishers use is in-app purchases (IAPs). An IAP is any fee in addition to the cost to download an app on a smartphone or tablet. According to several studies, users around the world spend about $380 billion on in-app purchases.

For example Tinder, a popular dating app is free to download and use as users swipe left and right to match potential dates. If another user has also swiped right, the pair matches and can message each other. Tinder limits how many swipes a user can make in a given period. However, users can enjoy unlimited swipes via in-app purchasing.

Sponsorship

Another app monetization strategy is sponsorship. Companies can sponsor your app, and they will receive branding on the start-up screen and content within the app. For example, Nike might sponsor a running app with their logo on the start-up screen and where their logo appears for every mile run by users.

Affiliate marketing

Affiliate marketing refers to earning a commission by promoting other people’s (or company’s) products or services. This is a very popular method of making money online which also applies to mobile apps. Skyscanner is one of the most successful affiliate marketing programs on mobile devices.

Wrap up

When choosing among the best app monetization strategies, you should consider your offerings, audience, and opportunities. Some app monetization strategies can be easily implemented, but other requirements must be considered when planning for app monetization at the initial stage of development.

We can Help!

Create a mobile app that will make you money by leveraging the experience of our team.

Leaving the hard work to us can help you get more downloads, money, and smiles.

At Etrexio, we go beyond just app development — we support our clients at every step of the way.

To find out how we can help you build your mobile app business, ask us here :

(90) 507 264 4836

hey@etrexio.com

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