Give It Away, give It Away, give It Away Now
I’ve been getting quite a lot of emails and questions about a topic widely ignored – how free apps to make money? It deserves attention considering that the free application clearly trump paid in terms of the number of downloads. The trick is to find ways to take advantage of the new user.
Di newLine you can learn more.
Without further ado, let’s talk about how to create an app and make money ?
- Freemium Upsell
This requires to have a second version of a paid app. Usually you will see this as a “Lite” and “Regular” or “HD” version of the app, paired together. Free apps will have a link that users can click that pushed them into the iTunes store on their phone.
This sort of feeder system – users can download the free application and get a sense of what you are offering, then they can easily purchase the full version (which will have many more functions and play the game.)
- In-App Purchases
In-app purchases allow users to unlock features or buy more of something, maybe coins in games like Tap Zoo or gold in games like Infinity Blade. In fact, 6 of the 10 best-selling applications in 2011 are free – they were able to use in-app purchases so well that they drove millions of dollars in sales, although the application is free.
In-app purchases can also be a subscription if you are in the market news feed. Apple Newsstand function in order to allow you to set up in-app purchases will automatically fill each month.
The second largest ad network that iAds and AdMob – the first Apple and Google into the second. I’ve talked to many developers and most agree that iAds pay is better. Usually it is small enough CPM (cost per thousand impressions) is below a dollar and CPC (cost per click), which can be a few dollars.
I did a quick experiment with open source tic tac toe game basis to see if it will make money with advertising. I skinned applications with Zombies and other strange things to see if I can get some downloads. I have installed the iAd framework and allow it. Since I was released, I had 157 downloads have translated to $ 1.88.
You might think they are small numbers, but actually they are not terrible. For other games I get several hundred downloads per day and making zero money sometimes. Some make $ 120 per day. It all depends on your ads get served and the number of people who clicked.
- Networks CPI (Cost Per Install)
Cost-per-install marketing mechanism is relatively new and is equivalent to the mobile phone CPA (cost per acquisition) in the world of web marketing. CPI is exactly what it sounds like – you pay per install you get. This example is Playhaven and Chartboost – they are third parties who have the software you install into your application.
I’ve talked to several networks about their prices and it ranges from $ 0.80- $ 3.00. This means that if you want to promote your app, you will pay this amount every time Playhaven someon installing your game.
It really works become a better deal than most developers are reported to the ad network (often reported CTR of 0.3% with CPI translates into $ 15). $ 3 is less than $ 15. Rocket science.
On the other hand, I get about $ 1 per install through Playhaven. So – the developers want to promote their applications and will pay $ 3 to have new users install it on their devices.
Sponsorship is a great way to make money in your free apps. The money was in front and you get a brand credibility with your audience.
Bids usually goes like this: You approach a company and say “I have an idea of this application, I have a plan, etc and I will be a white label for $ XXX.”
“I built this app a few months ago and had 50,000 downloads. I will be updating the graphics with your brand for $ XXX”
Etc. It can take a bit of time to get the right people and the company’s forward thinking enough to realize how powerful mobile platform, but it can work.
What is more interesting than the sponsorship money is their marketing horsepower. They most likely have a website with good traffic, email newsletters, and social media. If they sponsor your application, chances are they will be happy to promote it for you. It was a great value.
to more clearly you can to Newline