Freemium model favoured by majority of app developers for monetisation
The “freemium” model has outpaced all other monetisation strategies when it came to mobile app monetisation. This was revealed by Clutch in a survey, which showed that more than 61% of app developers recommend a “freemium” model for mobile app monetisation.
The survey also found that the most successful mobile apps do not only need expert recommendations for monetisation strategies but also a holistic approach that extends beyond development. It is suggested that firms need to concentrate on strategic internal planning, emphasis on one signature feature, and a proactive marketing plan which expands their existing brand narrative.
Marketing is held to be at the core of the app development process. Around 40% of the app development companies that responded to the survey stated that social media is the number one marketing strategy for driving mobile apps conversions. This finding implies that social media may outrun in-app advertising for app marketing. According to the survey, evolving best practices in user experience and changing consumer preferences were the reasons for which 8% of developers recommend in-app advertising.
The key to launching a successful app lies in selecting the most appropriate or right development solution, said the survey. Prior to choosing a development solution or partner, it is important for firms to keep make a note of certain things such as budget, desired app features and maintenance costs in the long run. Presently, around 70% of app development firms are in need of a discovery stage to clarify goals and design requirements. Firms are advised to strategically consider the potential costs and opportunities associated with an app.
Find the full survey results here.
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