Posted by Unarguably, mobile app development has made the world a better place where everything is possible with utmost convenience and ease. When we look at the situation of app stores say Google play store or Apple store, it seems like businesses or entrepreneurs have put every app idea they come up with in a usable form (mobile application).
The businesses don’t straight move ahead with development and deployment as they come up with a unique app idea. Instead, they sit down to figure out the ways to make the app bring money. When businesses build an app just to take the services on mobile, they aim to improve user experience. The great app when developed by the appreneur with a one-of-a-kind idea, they look for ways to improve user acquisition and generate money.
The app will allow businesses to succeed with increasing profits (Profit = Revenue – Cost to operate the app). There are a couple of elements that make the app profitable.
The factors that can make the app generate bundles
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App with USP
With ample apps for every purpose available on the app store makes it’s essential to build an app with a unique selling point. The USP distinguishes the app in the crowded market and helps in attracting users. The USP highlights the uniqueness in your app that’s filling the void and there’s something that users won’t get anywhere.
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Quality content delivery
Thanks to the internet which has made lots of content available to the people at the flick of the switch. The apps need to deliver quality content to keep them glued to their services. For instance, Netflix stands out in the market due to the quality content they offer through streaming services.
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ROI surpasses the development cost
The profit comes out when businesses receive the amount in positive value after deducting the operational cost and app development cost from the revenue. During app strategy creation, the monetization strategies must be planned to ensure the investment pays off in dividends.
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In-app ads
In-app ads have also become a popular approach to making money through third-party businesses by allowing them to put ads on the distinct position and pages of the application. The customers are facilitated to choose the premium option to get an ad-free version of the app if they are interested in the app. This option is feasible when the app has scored enough popularity that customers are ready to pay more for the best experiences.
Which app development categories are fueling up the profits?
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Dating apps
Dating apps are providing a digital space for people to connect and meet new people based on their location, fairness, color, and other preferences.
The dating industry was revolutionized by the Tinder app making dating possible online or mobile globally. A decade back, no one has ever imagined that dating becomes a matter of swipes or taps. After Tinder’s launch, the dating app category gets a sharp increase in the new dating app launch (Bumble, Badoo, Hinge, Happn, and Meetic) and the number of dating app downloads.
All of these dating apps have gained different market shares in various countries. For instance, Badoo is the frontrunner in South America and Europe, while Meetic is leading the market in France. With an increasing number of downloads, the revenue from dating apps worldwide has gone southwards and shows no sign to go northwards in the future..
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Health and fitness apps
In the digital age, mobile has become a new healthcare professional for people to measure their health statuses such as blood pressure, heartbeat, glucose level, and others. Not only the handy measurements, but the apps also improve the accessibility to doctors by enabling mobile appointment booking, mobile consulting, prescriptions, and others.
Besides, the health freaks are increasingly looking for apps that allow them to stay fit and healthy without moving to gyms or hiring trainers. My FitnessPal, Strava, Fitbit, and Peloton are some of the health and fitness tracking apps.
The recent pandemic has increased the health and fitness app downloads to more than 40 billion and revenue by 84%. Here are the figures showcasing how fitness apps have registered positive growth incrementally every year.
The fitness revenue statistics display the revenue gained by different health and fitness apps.
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Music streaming apps
The mobile app has become a go-to option for listening to music. The mobile has changed music consumption habits too. Unless you are living under the rock, a few music streaming apps such as Spotify, Pandora radio, and others are not familiar to you. These two apps even fall in the category of top 10 apps making the highest revenue globally. There are plenty of music-streaming apps that offer music streaming, lyrics, audio editing, and other music-related services offered.
Spotify has acquired the market with 150 million paid subscribers, Amazon Prime with 55 million subscribers, and Apple Music is a leader but falls behind Pandora and Spotify in terms of paid subscribers. Music streaming has remained a primary source of revenue for the music apps which are growing at a rate of 49% since 2014.
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Game apps
Game apps are cited as the important category of entertainment app category, that’s drawing the attention of the users of every generation. The launch of innovative game apps and the growing number of downloads has made mobile gaming a lucrative industry to make bundles. The businesses are using various monetization strategies such as paid apps, paid subscription apps, buying in-app currency, and access to premium features. The record-breaking revenue in 8-figures makes entrepreneurs try their hands.
55 billion game apps are downloaded in 2021 from the app stores that have increased due to the recent pandemic. Different types of apps are contributing differently to generating revenue.
The subway surfers, angry birds, and other game apps are completely free to play, but the company has launched a few merchandise items as a part of its monetization strategy.
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Social media apps
Social media apps have made it easier for people worldwide to connect and communicate. With the launch of new social media apps, this industry has become a competitive landscape. With Facebook, Instagram, Twitter, LinkedIn, Snapchat, Pinterest, and WhatsApp out there, it’s becoming difficult for new fishes to play catch up with big fishes.
Facebook stands out as the top social channel that’s maximum downloaded by the 2.89 billion users and WhatsApp enjoys the virtue of having maximum active users (2 billion) monthly. However, Instagram and Facebook are largely used by businesses to promote products/services, target a specific segment of the audience, and sell socially.
Conclusion
Building an app from conceptualization to fruition is a long way, which should not be started without creating a monetization strategy. Some app categories that provide lucrative opportunities to businesses, but it doesn’t mean if you start building an app that falls in one of such categories, the app automatically brings profits.
The leading apps have come up with unique selling points that helped them gain high user traction and then they continue to engage the app with gradual upgrades. They started small but always aimed to impress the users and turned these opportunities into ways to capitalize.
Choose the app development category prudently and then move ahead with the right plan that help your business to generate high profits with mobile app development.