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Steps to Make Money from Your App

By SiliconIndia   |   Friday, August 31, 2012   |    1 Comments
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Bangalore: Every app developer dreams of making it big by having an app that can rake in big bucks. While building apps for Android and Apple is considered to help developers in monetary gains, a lot more planning is required for success.

John Manoogian, CTO at 140 Proof, writes on TechCrunch that app developers unfortunately have a bad habit of strategizing in the end. It is difficult for an app to gain visibility to begin with. App stores have millions of apps. To have one’s app discovered, to convince customers to buy it and to get the app popularized takes time and money.

Consumers prefer to use free apps that may be supported by ads for their Smartphones and tablets. Developers still don’t know how to approach this free or paid option. Knowing whether to pick an ad supported version or to charge for your app is a tough decision.

Developers claim to have four options before them: selling their app in an app store, providing a free app that is supported by subscription, offering a free app that has in-app purchases and providing an ad supported free app. Although it may seem like there are many gates to the gold, these four options boil down to two clear cut choices: get paid by your user or get paid by the advertiser. The simple fact is advertisers are more willing to pay the developers than the users, as they want to market their product. The spending on ads in apps is growing too. The revenue from mobile advertising drew in a grand total of $1.6 billion last year. Computer scientists from Cambridge University recently completed a survey which discovered that 73% of apps in the Android marketplace were free of which, 80% relied on advertising for revenue. They were also deemed to be downloaded much more.

One can conclude that free apps have the capability to draw more money than paid apps.


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Reader's comments(1)
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