MONETIZING MOBILE APPS
MOHAMAD IQBAL
President of Nokia Indonesia Community Enthusiasts
Nokia Developer Champion
t: @ciebal
WHO AM I
A WordPress and Nokia Developer
A Community Influencer
Microsoft Student Partner, 2009
Nokia Developer Certified Trainer, 2012
Nokia Developer Champion, 2013
President of Nokia Indonesia Community Enthusiasts (nice.or.id)
PROLOGUE
Digital Content Business
DIGITAL CONTENT BUSINESS
Ring Back Tone
SMS Premium
Mobile Application
Music Store
Digital Ads
KENANGAN TERINDAH - SAMSON
3 Million Subscriber
21 Billion Revenue
BLACK OCTOBER
DIGITAL CONTENT BUSINESS
Ring Back Tone
SMS Premium
Mobile Application
Music Store
Digital Ads
CREDIT CARD
PYRAMID MOBILE PHONE USER
SUCCESS STORY
BATIK INDONESIA
Top Three
Download
WorldWide
> 30.000.000Downloads
KETO ADVENTURE
BEYOND THE WELL
HOW TO
Monetizing Mobile Apps
IMMEDIATE REVENUE
Paid Downloads
In-app Advertising
In-app Purchases
Try and Buy
Subscription
PAID DOWNLOAD
PAID DOWNLOAD
Simple: You set your price, people buy
Store keeps 30%
Higher Price != More Money
Don’t forget about ongoing costs: support, hosting, etc
IN-APP ADVERTISING
Monetize apps with ads.
Use your favorite ad solution to reach desired results
ADVERTISING
Typical with Free Apps
Need a lot of downloads to make any sizable money
Use your favorite ad solution to reach desired results
IN-APP PURCHASES
Integrate payment events for try-then-buy up-sell, subscription business models, digital goods,
& donations.
IN-APP PURCHASES
Easy way to sell digital content from within your app: virtual goods, subscriptions, add-ons, new levels
Convert free applications to paid ones by embedding try and buy
Seamless integration with operator billing
SUBSCRIPTION
SUBSCRIPTION
In Order to Get New Content, User Must Subscribe
Typically Magazines
LONG-TERM REVENUE
Branding
Service
BRANDING
Gameplay is a power, but character is more
GAMEPLAY
MERCHANDISE
SERVICE
CASE STUDY: SUMA MOBILE INDONESIA
TECHNOLOGY+
BUSINESS MODEL
KOMPAS AR
Angry Birds Magic
HOW TO SELL
Store
Big Company
StartUp Company
Government
Individual
Children
Groups
Students Political Parties
MONETIZING CONSIDERATIONS
User Expectations
Your Costs
Market
Do Some Math
USER EXPECTATIONS
Monetize and Price According to Category Expectations Simple Apps = Free + In-App Purchases or Paid
Niche Apps = Paid with Higher Price
News App = Advertising
YOUR COSTS
One Purchase == Customer for Life
Lifetime-Value of Customer Support, Infrastructure (Hosting, Bandwidth), APIs, Partners Instagram’s Monthly Hosting Bill: 2 nice cars each month!
MARKET
How Many People are in Your Target Market?
Now, How Many of those People Have Mobile Phones?
Next, How Many of those People with Mobile Phones will Purchase Your App?
DO SOME MATH
100 apps downloaded each day at $0.99 = $70 or $2,100 per month
$2,100 per month is $25,200 per year
Thinking of Doing Adwords? $0.25 per click + 25% conversion rate = cost $1.00 to make $0.70 Even worse with realistic 1-3% conversion rate
PARTING THOUGHTS
Each Monetization Strategy May Have Different Business & Marketing Strategies
Monetization Strategies Can Be Combined Together
Paid and Advertising are Easy to Dip Into
Just remember to watch your costs
Freemium will be the most interesting space to watch
QUALITY SPEAK
Make sure your customer want to use your product first and then we talk about business model. - @jpaine
Recommended
