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Monetization Of Mobile Applications at SMX Advanced in Seattle by Michael Martin of Internet Marketing Inc.
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Presented by Michael Martin of1
Monetization of Mobile Applications
Copyright © 2009 Internet Marketing Inc. All Rights Reserved.
Previous Means of Mobile Application Monetization
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2008 mobile app monetization had a near complete focus on the iPhone AppStore
• Trism - A $5 BeJeweled game made $250K in 2 months at a cost of $500 to produce
• Tap Tap - A FREE music playing game, makes from $5K – 10K a day via advertising
• “Fart” apps – Joel Comm made $40K in 2 days from iFart – XMas alone netted $30K
• “I am Rich” app - A picture of red diamond selling for $999.99 made almost $5K with 6 sales
• In 2008 most smartphone users spent up to $100 on applications
• 17% spent at least $100 on mobile applications in 2008 according to ABI Research
Copyright © 2009 Internet Marketing Inc. All Rights Reserved.
Current Mobile Application Trends from
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Pinch Media provided the latest report on Mobile Application use in a report called AppStore Secrets.
• Sport Apps are best at retaining users over the short term while game apps are best over the long term
• The average paid mobile application price cut increases demand by 140% thus if you cut the price by 50% or less you will make more money in the long run
• Average paid mobile application makes $.70 per user ($.99 selling price)
• Average free mobile application has 80 sessions for every 1 paid apps session
• A free app would need a $8.75 CPM to make the same – Typical CPM is $.50 - $2.00
• To justify going Free you need to effectively promote and generate buzz to increase the user and session use for the typical CPM rate – INTERNET MARKETING
Copyright © 2009 Internet Marketing Inc. All Rights Reserved.
The Way Going Forward
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2009 will see the rise of Google Android.
• Android is an Open Comprehensive Linux environment for mobile devices with NO license fees
• By the end of 2009 there will be 18-20 Android phones available versus 1 iPhone
• Android phone manufacturers in 2009 include HTC, Samsung, LG, Motorola, & Huawei
• Android service providers will include T-Mobile, AT&T, Verizon, Rogers, & Vodophone
Apple experienced something like this before
Copyright © 2009 Internet Marketing Inc. All Rights Reserved.
How to Capitalize on Mobile Application Growth
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The key takeaways for an Internet Marketer to maximize on the exponential growth of mobile phones and the application demands of 2009 onward.
• Best Target to Advertise – GPS Location based mobile social media – next/current evolution of Social Media
• How to Advertise in Mobile – AdMob DeckTrade and Medio as well Adwords • Mobile Display – HVGA – 320 x 480 resolution
• Mobile Site Presentation – User Agent detection rather than a separate TLD such as .mobi
• Great Mobile plugin for Wordpress sites is WP-Touch
• Branding - Mobile phone widgets to your company’s RSS feeds/articles
• App Exposure - Apple’s App Store, Blackberry’s App World, & Android’s Android Market + independent markets
• Search Engine Marketing - Retains importance in producing online buzz and visibility for mobile apps as well mobile searching for your product/service
Copyright © 2009 Internet Marketing Inc. All Rights Reserved.6
Thank You Michael Martin SEO Director of Project Management at
Twitter: GoogleAndBlog
Android Blog: http://www.GoogleAndBlog.com/