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How do you make money from an app? 6 business models

You’ve already got an idea for an app. You know it’ll be developed by enthusiasts, with an attractive design and a user-friendly UX.

Internet Stars Team

3 min read

How do you make money from an app? 6 business models
How can you make money from an app? 6 business models

It will certainly be better than many of the apps currently available on the market. But how will I make money from it, and how will my business benefit from it? Here are six business models that are commonly used for mobile or web apps:

  1. The freemium model: In this model, the app is available free of charge, but offers paid premium features or additional content that can be unlocked for a fee. This model allows you to attract a larger number of users by offering free access to the app, and then generate revenue from the sale of premium features.
How can you make money from an app? 6 business models
  1. Subscription model: In this model, users pay a regular subscription fee to use the app and its features. Subscriptions may be offered at different tiers (e.g. basic, premium) and with varying benefits for subscribers. This is a very interesting model, given that the basic tier usually allows users to familiarise themselves with the app, which increases conversion rates later on and provides a steady income.
  2. Advertising model: This model involves displaying adverts within an app or on a website to generate revenue. Adverts may take the form of banners, videos or pop-ups, for example. Revenue is generated based on the number of ad impressions or clicks. This is a route for advanced users; you need a very high volume of traffic to generate significant revenue.
How can you make money from an app? 6 business models
  1. Product/service sales model: In this model, the app serves as a sales platform for products or services. This may include the sale of physical or digital products, or services such as bookings, food delivery, car hire, etc.
  2. Platform model: This business model involves creating a platform on which users can create, share or exchange content, services or products. The platform may charge a commission on transactions or generate revenue from advertising, subscriptions or other sources. This model can be applied to many businesses.
  3. Partnership and collaboration model: This model is based on establishing partnerships or collaborations with other companies or service providers. This may involve integration with other applications or services, collaboration within an affiliate programme, or making features or content available to other companies in return for a fee.

It is important to bear in mind that the choice of business model depends on the specific nature of the application, its target market, its audience and its business objectives. It is also often possible to combine several business models to achieve a greater diversity of revenue streams. The most important thing is to define this business model precisely at the concept stage, which will enable you to predict with a high degree of certainty whether the app will be profitable.

Internet Stars Team

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