Built an app? Here are the proven ways to generate revenue.
Monetisation Models
1. Paid Downloads
Users pay upfront to download. Works for premium apps with clear value proposition. Barrier to entry can limit downloads.
2. In-App Purchases
Free to download, pay for extras. Works well for games (virtual goods) and productivity apps (premium features).
3. Subscriptions
Recurring revenue model. Great for content apps, SaaS tools, and services. Provides predictable income.
4. Advertising
Free app supported by ads. Requires significant user base. Can hurt user experience if not done carefully.
5. Freemium
Basic features free, premium features paid. Lowers barrier to entry while monetising power users.
Choosing Your Model
- Consider your audience: Will they pay upfront?
- Consider your costs: Ongoing costs need recurring revenue
- Consider competition: What do similar apps charge?
- Consider value: Does your app save time/money?
Hybrid Approaches
Many successful apps combine models: freemium with ads for free users, subscription for premium, in-app purchases for extras.
Need help with your app business model? Contact PYCO IT.