Ultimate Guide to Mobile App Monetization

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App monetization is actually the process through which a developer of the app get payment of it when someone purchases it through an app store or google play. If you have an idea related to the revenue generation, and then converting that idea into reality, this process needs execution, and when the app starts generating revenue this process is known as the monetization.

App monetization is very useful process that is going on nowadays, and people are getting or generating revenue through this. I will explain the process in detailed manner so that you can get every point clearly and this blog may help you out.


  1. Direct monetization.
  2. Indirect monetization.


Direct monetization is the process when a user downloads the app of any developer from an app store or google app, the direct cost goes in his or her account so this is the direct monetization, and after that the developer can easily get the money form his or her account.


Indirect monetization is the process, in which a developer can easily earn money whether the app is used or not, the best example of indirect monetization is a standalone product. The best examples of an indirect product are software product.


There are total 6 app strategies that will help you and guide you the monetization of the app. I will go through every one of the strategies to explain it in a better way so that you can easily understand the every strategy, and the strategies are mentioned below:

  1. Through Paid downloads.
  2. Through In-app purchase.
  3. Through Subscriptions.
  4. Through the Freemium model.
  5. Through Advertisement.
  6. Through Product extensions.


Charging the fee while anyone is downloading your app is one of the simplest forms of earning. In which a person who clicks on any app to download first have to pay the fee and after that the fee charges and that fee get in the account of a developer.

If we say that pay to download is a straight pay strategy so this would not be wrong. In paid download it’s mandatory to pay before getting the facility of any app and after paying you can easily enjoy the facility of that app easily.


In-app purchase is the strategy which uses in downloading the app. Actually, in this strategy or type, the client or customer can get the essential or more feature in the app, but for that, he or she has to pay.

This strategy is mostly used in the game’s category.


This is the best type of strategy to generate the revenue, in this type of app the person who is going to use your app first has to pay the subscription, the subscription can be in the form of weekly, monthly and annually.

This type of apps requires the subscription again once the subscription gets end as per the contract. Just like the example of this type of strategy is Netflix, whenever we want to use the Netflix we first have to get the subscription done and once it is done we can easily use the facility.


Freemium model is actually the model which falls between the free, subscription and in-app purchase. In this app, the customer can easily use an app but for more facilities, it requires a subscription.

The best example of this type of app is Grammarly. We can use Grammarly free but if we want to use it’s more feature we have to pay, so this freemium model works like that.


This is the most effective type of strategy that is going on nowadays. As we all have experienced this type of strategy when we want to watch any video on youtube, it happens mostly that we first have to watch the ad that is popping up at the beginning of the video and in that ad the strategy involves: –

  1. Cost per view (CPV).
  2. Cost per mile (CPM).
  3. Cost per install (CPI).
  4. Cost per action (CPA).
  5. Cost per click (CPC).

These are the strategy that has been used in generating revenue and it is playing a vital role in generating the revenue.

Advertisements that we see on roads are important but these strategies are very much used in generating the revenue. These are thing which actually works when we are clicking on any video or even on websites.


Product extension is same like as the indirect monetization of an app that has been developed or created by a developer.


Actually to give the right answer related to this question is that you need to research about the method that you feel comfortable with because every step or strategy is based on the app monetization but obviously you have to choose one app for the monetization, so the best way to proceed is to do first research for the strategy and then continue.

The app monetization is the process, which is getting very much popularity in this business and people are making money through this. Nowadays the advertisement has become or has adopted the face of advertisement through video because this is very much easier.

In this advertisement policy, you have to make an ad which has a good quality of visuals and interesting because is the quality of the video or ad will be good than the viewers will definitely see the full video or ad.

App monetization is the best way to earn and people all over the world is earning through this process and getting the money that they want to. Apps are necessary in today’s world and the high percentage of usage of mobile is based on the usage of the app and if apps would be monetized than the revenue will generate automatically.

Author Bio:

Olivia Marie is a Tech writer at Appstirr.ae. Writes on Blockchain, AR/VR, digital marketing, e-commerce, and mobile applications.

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