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Any positive experiences with app monetization?

Discussion in 'Application Development' started by spyke555, Jul 5, 2010.

  1. spyke555

    spyke555 Active Member
    Thread Starter

    Dec 22, 2009
    Montreal, Quebec, Canada
    Hey all,

    In the early stages of development of an app I think will be worth releasing, but just wondering about what monetization options are out there prior to finalising the app design.

    Things are somewhat complicated for me as I'm living in Canada and can't just simply sell the app on the market. So what I was thinking was this:

    - Offer a free version of the app on the market
    - Provide a paypal link to buy the full app

    Next comes the question of what should the different between the free and full aps... This will be a service type application that sits in the background and reads data in from a source, parses the data, and then feeds it to the appropriate sinks. So no real opportinuty for expansion packs, level unlocks, or the like.

    Also a similar free app that is on the market now but does not offer all the features (reads the data and displays it but does nothing with it beyond that). This app has seen 1000 - 5000 downloads to date. Would expect that my app should be at least at this level if not more as it will actually do something useful with the data.

    I've been toying with these two possibilities:

    - An ad subsidised free version
    - A time limited demo / trial

    The first option is a little more complicated to implement, means I need to select the correct ad provider and integrate the ads into the GUI. Ideally, GUI desiign should take the ads into consideration so is does not end up looking like an add-on.

    At the end of the day though may not generate enough revenue to justify the effort... Details a vague on payouts and the like, but I mean even at a CPM rate of say $0.40 and say 1000 impresstions a day I'd be looking at a whopping $0.40 per day. At that rate I'll probably be waiting for 8+ months for my first $100 check. So really all I'd end up doing is annoy the users into either removing the app or buying it, right?

    The second option is much simpler to implement. Plus the app stands on its own merrits. If its good people will buy right? So if I get 50 ppl to buy at say $2 then I reach the same potential as the adds will reach in 8 months of annoying users. Seems plausible enough right?

    And I guess the other option is just to make the app free and offer a donate link. Those that think it's worth while will send a few bucks and the masses will juts leech and the app gets popular because it's free / useful... Anyone have any luck with that approach?

    At then end of the day I'm going to build the app no matter what, because I for one need it. I do know others need it as well from the posts I've been seeing here and elsewhere, so there is a demand.

    Just wondering what others have done and get a feel for what works and what is just a waste of time... Somehow I just can't seem to take the ad guys' word for it! ;)

    Any insight would be much appreciated!


  2. spyke555

    spyke555 Active Member
    Thread Starter

    Dec 22, 2009
    Montreal, Quebec, Canada
    Well for the few that checked this thread out...

    I've looked around and this morning found the following blog post:

    An Android Success Story: $13,000/month App Sales - Edward Kim

    Looking at his app he's using a trial of 15 runs and then a $4 paid app...

    I'm sure it helps that he placed 3rd in the second developer challenge too! ;-)

    Any other successful models out there?
    alostpacket likes this.
  3. 1nmapp

    1nmapp New Member

    Mar 29, 2011
    Hey Spyke555 - just wanted to reply to this answering your question about a new model. Push-notification ads are getting popular.

    A few companies I believe that are doing this include -

    Airpush - push-notification ads

    Xtify - notification promotions

    Good luck!
  4. alostpacket

    alostpacket Over Macho Grande?

    Nov 29, 2009
    Android App Developer
    hmm spammy necro... but dug up a good link to Edward Kim's blog heh
  5. RazzleFnDazzle

    RazzleFnDazzle Well-Known Member

    Sep 30, 2010
    I haven't that much experience. I've only used simple ad based models using AdMob (which is super simple). In order to make money on ads your app has to be really popular! Also it would mean they would have to be on it a decent amount of time. As far as asking for donations I don't think that is the way you want to go if you actually want to make money off your app. If you want to provide the app for people for the hell of it but are willing to take money if someone wants to thank you then you go with donations. One of my favorite apps uses the donation approach. They have an app for free that has over 250k downloads. Then they have a donation app you can buy to give them a donation. That only has 1k-5k downloads. Most people aren't going to donate. What seems to be the most popular approach is the limited version free edition and a full fledged charged edition. Also I would NEVER buy your app if I have to buy it via paypal to download and install it. If using the google market is out of the question can you use the Amazon App store? I would be willing to buy stuff off the Amazon App Store but for the most part I'd rather use the Google Market. Anything where someone has to go to the third party to get the app will greatly hurt your sales.

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