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Advanced Software Development: from Monetisation Planning to App Advertising
We develop mobile applications for start-ups and mature businesses. We make native iOS and Android apps, implementing the back-end part and the front-end development. We combine design, technology and expertise to transform your ideas into top-notch digital products.
Mobile and web software development for all business needs.
We develop applications for the Android platform, which has already become the market leader (900 million devices).
iPhone and iPad
The complexity of developing applications for iOS is that Apple dictates its rules in design and functionality. The development of iOS software takes place apart in our company.
Smart TV is a new form factor that combines TV and the Internet. Content is delivered via an Internet connection. The applications for SmartTV are aimed at the entertainment segment. View videos, movies, listen to audio, view photos, games, etc.
The difference between our work in the approach: we do not have template sites and solutions. Each project is developed only on the basis of marketing analysis of competitors, the market and the needs of a specific audience. Complex projects we divide into small tasks and solve them step by step.
Smart Watch App Development
We develop the popular Smart Watch applications for Apple, Android and Samsung. Small powerful devices that are always on hand. A smart watch is a new platform for selling goods and services. The opportunity to be closer to your customers.
Our team creates applications for the "Internet of things". For future app advertising, we add all the bells and whistles at the beginning of the project to let your have a possibility to advertise your app with all technics, from promo-codes and social shares to lotteries and voites. We use modern Android technologies and develop individual solutions. Internet of things (iOT) promises to be a new platform, which is already used in such industries.
Monetise Mobile Apps
The goals of creating applications can be divided into two groups:
- Increase brand awareness, customer loyalty, or provide employees with a tool for work;
- Get the new revenue chanel
Let's talk about the second group. How can you make money on your mobile app?
Mobile App Monetisation in Figures
According to forecasts of Gartner in the coming years, only 0.01% of the total number of existing applications will be profitable. Already, in each of the Apple Store and Google Play stores there are more than a million products, for free applications accounted for 94.5% of downloads, and these figures will grow in the coming years.
This leads to serious competition for paying users, increases advertising costs and the threshold of entry to the market.
On the other hand, the emergence of new devices, such as smart watches, televisions, other specialized digital equipment, and new platforms significantly increases the prospects for the development of the mobile market. Well-thought-out strategy, taking into account the prospects of the market development, allows not only to create a mobile product, but also to earn on it.
Let's look at the business models of monetization.
The business model involves the creation of a free app with the ability to buy additional paid features. The most common examples of the strategy are:
- Game apps. The user can go through the game for free, overcoming numerous difficulties and slowly gathering resources. Either can buy clues, resources, equipment or other attributes necessary for rapid transit.
For example, in Mortal Kombat X, players can earn coins to buy equipment in quests and battles, and can replenish a game account with a credit card or through internet money.
The cycle of user interest in freemium-game on average is about a year. To extend the life of the app, you need to update the game and attract new users.
- Free app with separate paid functions. For example, in Skype or Viber, a user can completely chat for free or by voice communication with other users of the app. For calls to mobile or fixed phones, you have to replenish your account.
When monetizing mobile apps, you need to understand who will buy additional features. So, Skype offers favorable rates for international calls, but they are paid for by about 5% of users.
Earnings on advertising you can consider if you are doing a mass product. The app, which will be used by tens and hundreds of thousands of users. If the applications are classified as low-traffic, advertising will not bring enough money.
- If you do not have an advertising sales department, then use ad networks or mediators (grid aggregators). Each region has its own popular solutions. Popular AdMob, Unity Ads, MoPub, Appodeal, etc.
Note the eCPM metric, the cost-per-thousand-impressions metric.
- There is a model CPA (cost per action). When the advertiser pays you for the user's action. Examine the CPA network. Perhaps your app is suitable for this monetization model.
An example of advertising is in the online cinema MEGOGO. The user views the commercials before showing the selected movie or buys access to the displays without ads.
Another method of monetization with the help of advertising is the placement of banners and advertising inserts in the app. Applied in free apps, such as weather informers, currency rates, news, e-mail collectors.
- Horizontal banners at the top or bottom of the screen;
- Advertising inserts when downloading applications or cross-sections;
- advertising blocks in the information tape (most common in the news and social networks).
Access to all functions is provided, but for a certain period. Most often - from 7 to 30 days. Trial access is considered familiar. After studying the capabilities of the app, the user must decide whether to make a payment or to refuse the app. A popular marketing move that raises sales of software at times.
Subscription or SaaS Access
The method assumes a regular subscription fee for access to the service capabilities. It can be cloud storage, collaboration systems (CRM, project management), storage of movies, music, e-book libraries and much more. If the service is useful, the resources are interesting to the subscriber, the model will work. For success, it is important to determine the optimal cost of the subscription.
The user installs the program for free and gets access to the basic functionality. For additional options, it is suggested that you pay a premium monthly. In the absence of funds, the app continues to work, but in the basic functions mode.
This method of monetization assumes that the user after the payment will get maximum opportunities within the same app. For example, a pedometer program can offer extended training regimes, individual diets, personal trainer recommendations, selection of video exercises, for example, for premium-accounts. functions of a full-fledged fitness program and expert help.
As for subscriptions or Saas solutions, it is important to correctly choose the cost of premium access.
The business model assumes that the user will pay for the app once during the installation (purchase of the app).
An example of a successful monetization solution ios is a paid Calendar 5. Developers have convinced users that a corporate calendar with reminders, tips and scheduling of meetings for $ 5 is much more convenient than a built-in analog from Apple.
Paymium or Paidmium
A commercial solution used in the gaming industry. The business model includes a paid installation of the game (purchase of the app). In addition, the gameplay has built-in the ability to purchase resources, game items or tips as an additional monetization.
The model is not the most common, it is used mainly in "cult" games, for which updates are regularly released.
One of the newest methods of monetization, suggesting that in the app sponsor-advertisers will reward certain user actions.
For example, in the ZealStep running app developed by us, users get the Z-money coins for activity, which they can spend to receive discounts in partner stores, as well as prizes from sponsors for certain achievements and records.
Sponsors-advertisers receive additional advertising and increase in sales, the owners of the app - a partner reward from sponsors.
What Is the Right Way to Monetize Mobile Apps?
The choice of the method of monetization depends on the following parameters:
In modern conditions it is optimum to use a comprehensive approach. For example, one of the most famous instant messengers of Skype, along with paying for additional services, demonstrates to users contextual-media advertising.
On the other hand, in business apps, only a novice entrepreneur will agree to look at advertising. And after buying paid services, everything is subjected to critical attention: speed, convenience, design.