How to Monetize a Web Application?
Developing a web application is one thing. Ensuring that it reaches the targeted audience and gives you the return of investment is another.
Whether you have developed or planning to develop your web app, you may get confused about how to generate money through it? Then you have reached the right place.
Firstly, you need to ensure that your web app reaches the potential audience. For the same, you can do web app marketing.
Here, you need to make a specific amount of investment. In web app marketing, Advertising your web app or using it as a tested platform for marketing campaigns is one of the most crucial things to do if you want to get a return on investments.
After doing web app marketing, you can proceed further for web app monetization. In this blog, we will focus on how to monetize a web app.
As of now, there are various methods of monetizing a web app. Here, we will walk you through some of the best web app monetization methods.
Before we move on with that, let’s starts with the basics:
What Is Web App Monetization?
Web app monetization is the process that developers and publishers can utilize to generate money from a web app.
Here, one can earn money through the web app using different methods, such as in-app purchases, advertising, subscriptions, referral marketing, etc.
What Should You Know Before You Start Monetizing Your Web App?
Before choosing a proper monetization method, you need to know who is your target audience. Secondly, you need to understand the audience’s behavior.
By knowing all of these things properly, you will be able to find the perfect way to monetize your web app.
Monetization Methods You Can Utilize For Your Web App
Unfortunately, most people will install a free web app over a paid one. However, if your web app is free, that does not mean you cannot make money off of it.
Firstly, you have to understand how much web app development costs. That will be your starting point.
By knowing the web application cost, you can understand how much money you want to get back. It is a classic example of the return of investment priority you need to set.
Now we will move on towards the most important part, how to monetize your web app.
So, let’s get started:
In-app advertising is a most popular monetization method for your web app.
Although this method is quite debatable, one thing is certain: without this method, many web apps we know today would simply not exist.
For instance, the majority of big corporations make a big profit by implementing this monetization method.
However, you should be careful not to overdo it. The reason being, the majority of users and visitors wouldn’t like to shut down popping ads on your web app. Some of the main in-app advertising methods are:
- Video ads – You get paid when the user views a video ad.
- Banners – Displayed constantly on the screen, yet do not have high efficiency.
- Notification ads – Displayed in the form of pop-up notifications to make the user aware of the ad.
- Offer walls – Rewarding the user with in-app content or reward after viewing an ad.
This monetization method is a great way to utilize a simple strategy for your profit.
For example, you have created a web app game.
The game is “free to play”, yet you create a “pay-to-win” option. This allows users to purchase a specific thing within the web app to make things easier. Apart from a gaming web application, a great example of this would be upgrading your account to “pro”.
In this situation, the user will pay to be granted access to new features that will make the web application usage easier, efficient and beneficial.
This method allows you to earn money when a user purchases a specific product using the link on your web application. However, this method is only good when you know your audience.
By offering links to a specific website or service relevant to them, you have a higher chance of increasing your revenue. Affiliate marketing might currently be the most effective method of advertisement.
Moreover, by using this method, you not only increase the revenue but website traffic as well.
Last but not least method of web app monetization is sponsorship. Getting a sponsor for your web app is a great way to increase the ROI. Learn more about ROI.
Whenever you offer relevant rewards to users for specific actions, they get engaged with your web app. You can use this engagement of users for your monetization.
One of the excellent advantages is that sponsorship offers personalization and engagement from the user side and can help you achieve the highest monetization efficiency.
You can achieve this by creating partnerships with different products, companies, and businesses that are relevant to your web app.
The Financial Times, one of the leading publications, uses the subscription-based model in their PWA. Besides this, various well-known web apps worldwide have integrated this model.
In this model, you provide access to various services, content, or features when they purchase your subscription. It is also referred to as a recurrent revenue generation model as the users have to renew their subscriptions monthly/ quarterly/ annually.
The subscription-based model works mainly in two modes:
1. Non-renewing subscription: Users need to purchase a subscription plan and access it for that period. As soon as the subscription gets over, users get a message to renew or cancel the subscription.
2. Auto-renewable Subscription: Users need to buy a subscription plan. Further, it gets renewed automatically as soon as the subscription is over.
Based on your web application and the industry, you can integrate this monetization model.
We hope that you have understood how to monetize a web app. By applying the monetization methods we have shared, you can start generating money through your web app.
You should choose the best monetization methods for your web app based on your target audience, business goals, and budget.
If you are unable to choose the best monetization methods for your web application, you can contact us.
GuruTechnolabs offers the best web app development services to startups and all kinds of businesses worldwide. Moreover, we have a team of professionals who have in-depth knowledge of marketing and monetization. Hence, we can understand your business needs and provide you with the most suitable solution.