How Free Apps Earn Money
How Free Apps Earn Money
What Are Free Apps?
Free apps are applications that are available for free on the app stores such as Google Play, Apple App Store, and Amazon Appstore. They can also be found on other mobile app stores, such as GetJar, SlideME, and Mobango. Some of these apps are offered for free but contain in-app purchases, while others are completely free and ad-supported. Free apps are the most popular type of apps on the app stores, accounting for over 90% of all apps available.
How Do Free Apps Make Money?
Free apps can make money in a number of ways. The most common way is through in-app purchases. In-app purchases are virtual items that users can buy within the app. These items can range from virtual currency, to new levels or characters in a game, to subscriptions for premium content. The app developer sets the prices for these items and keeps a percentage of the revenue when a user makes a purchase.
In addition to in-app purchases, free apps can make money from advertisements. Ads are typically displayed as banners or popups within the app, or as full-screen interstitials. Ads can be targeted to users based on their location, age, gender, and other factors. Advertisers pay the app developer for each ad displayed, or for each click or action taken on the ad. Ad networks such as AdMob, InMobi, and iAd are popular sources of ad revenue for free apps.
Affiliate Marketing
Affiliate marketing is another way free apps can make money. This involves the app developer partnering with an affiliate network such as Commission Junction, Linkshare, or Clickbank. The app developer then embeds tracking links in the app, which direct users to products or services offered by the affiliate network. When users purchase these products or services, the app developer earns a commission.
Sponsorship Deals
Sponsorship deals are another way free apps can make money. Under this model, the app developer partners with a brand or company and integrates their product or service into the app. The brand or company pays the app developer for each user that engages with their product or service. For example, the app developer may be paid for each user that watches a video advertisement, or for each user that signs up for a trial of a product or service.
Conclusion
Free apps can make money in a number of ways, including in-app purchases, advertisements, affiliate marketing, and sponsorship deals. Each of these methods can be lucrative, depending on the type of app and the level of engagement from users. By understanding the different ways to monetize a free app, app developers can maximize their revenue potential.
