choosing your app monetization strategy
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CHOOSING YOUR APP
San Francisco | Bangalore
SOURCEBITS
© SOURCEBITS 2015. A GLOBO COMPANY.
Free Freemium Paid Paidmium
▮ Its the most difficult and vitally important decisions a developer or company will make.
▮ Getting the right pricing strategy is key to revenue.
Choosing The Right Monetization Strategy
▮ The mobile app market is estimated to generate over $77 billion in revenue annually.
▮ A small percentage of developers and mobile app companies earn the majority of mobile revenue.
© SOURCEBITS 2015. A GLOBO COMPANY.
Free
Freemium
Paid
Paidmium
© SOURCEBITS 2015. A GLOBO COMPANY.
FreemiumPaid
Paidmium
Free
© SOURCEBITS 2015. A GLOBO COMPANY.
PaidPaidmium
Free
Freemium
© SOURCEBITS 2015. A GLOBO COMPANY.
Paidmium
Free
Freemium
Paid
© SOURCEBITS 2015. A GLOBO COMPANY.
Source: Flurry Analytics and the Apple App Store.
84%
6%
80%
15%
90%
6%
84%
10%
100%
80%
60%
40%
20%
0%
$5.99+
$4.99
$3.99
$2.99
$1.99
$0.99
Free
2010 2011 2012 2013
90% of apps on the app store are free.
© SOURCEBITS 2015. A GLOBO COMPANY.
From year 2012 to 2013, App Revenue from Free Apps increased by 211%. While revenue from Paid Apps decreased by -29%.
Mobile App Revenue in Key Countries
2012
2013
200
150
100
50
0In App
Advertising
+56%
Freemium
+211%
Paid
-29%
Paidmium
-23%
Brazil, Canada, France, Germany, India, Japan, Russia, South Korea, UK & USA
© SOURCEBITS 2015. A GLOBO COMPANY.
Freemium is the No.1 Pricing Strategy In Most App Categories
Games
Social
Newsstand
Music
Entertainment
News
Education
Books
Productivity
Navigation
90%
88%
99%
65%
68%
95%
43%
77%
29%
22% 55%
70%
22%
56%
5%
31%
31%
5%
8%
24%
4%
7%
Free apps with in-app purchases Paid Apps Paid Apps with in-app purchases
© SOURCEBITS 2015. A GLOBO COMPANY.
Have questions about the best strategy for your app monetization? Sourcebits wants to help.
Email: info@Sourcebits.com Twitter: @Sourcebits
Let’s Talk
CONTACT SOURCEBITS
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