Get More Apps Developed to Drastically Earn More Revenue as Google increases selling price limitation to quite a height – Supporting Startups with Android App Development

A lot of start-ups are joining the bandwagon with the “mobile first” attitude. Instagram is an excellent example of a successful mobile first start-up. The reason for going mobile first is the wide range of opportunities for marketing your app, and giving it a boost of mobility. When it comes to mobile app, you can go for free apps, or set a price for downloading the app.

What kind of app revenue model should you choose, depends entirely on the app and the kind of product model you are creating. It also depends on the target audience for your app. There is also the freemium app, wherein you offer most of the services for free, but charge for certain special features.

Let’s understand what factors determine the type of application development to consider for your business.

Factors Determining the App Type

When you set out to develop an app, you need to first figure out the type of app you are planning to develop- free, freemium or premium. Here are certain factors, which if you consider, you will know the type of app you can develop

• The Product: This is the first factor that will determine the app type. What kind of product are you planning to develop? Consider the cost factor for developing the product. If the product development is going to be a costly affair, then you just cannot have a free app. If you want to give a paid app, you need to create a product that is worthy of the price you are asking your users to pay
   
• Target Audience: When you are developing an app, you need to understand the perspective of the audience, and the gaps that exist at present. Create a product that offers a solution to the pain points experienced by your customer. When deciding the freemium, premium or free apps for the users, you need to look into the complexity of the product, how your user base is in terms of their app behavior, and the value for money as per your users. You need to understand how your users think of free and freemium, and would they pay for the special features? When determining the app type, you need to consider this factor particularly. An economic app development will help reach to your audience and improve your profitability
   
• Value of Free Users: If you are thinking of free apps, then you need to figure out other ways of monetizing your apps. In case, you are planning for freemium, you need to understand the free users. Will they pay for the special features, which you will be charging for? Evernote is an excellent example of freemium mobile app development, which offers most of the features for free, and charges for some of the special features
   
• ROI: This is an important consideration when creating an app for your users. If you are a start-up, and plan to deliver an app, you need to ensure you have a model using which you get good return on investment. In case, you don’t have an ROI plan, consider it before choosing the app type. This plays a pivotal role in the choice of app type

Revenue Models

There are different revenue models governing an app. The most popular revenue model, used by most of the businesses is in-app ads. In this, you can schedule ads, and earn revenues per click. The second popular model is paid apps. You set a price on the apps. 32% of the apps developed are paid apps, and this revenue stream is sure shot. Subscriptions, in-app purchases, and freemiums are other popular models of revenue which have been established by start-ups. These models are the most favored by start-ups. Most of the revenue models have led to profitable app development.

Google has structured a price rate for the paid app downloads in android app development, which offers a certain set revenue for the app. But, till date the price set by Google did not really match the quality of the apps. Most start-ups worked on the product in a way that quality was delivered to the users.

Google had set somewhere between one to five dollars for the apps on playstore. Till date, the top price observed was around $200. But, Google seems to have revised the structure for paid apps recently.Now, the top price has been doubled for both apps as well as in-app purchases. The price is of course set as per the location. The maximum price is around $400 now. This has eventually doubled the revenue from playstore.

With this increase in price, Google has definitely set newer and better targets for start-ups. This is just the time for start-ups to indulge in creating apps, and going “mobile first”. The ideal revenue model would be paid apps, but of course they need to consider the factors that will help them get the ideal return on investment. Now is the ideal time to consider comprehensive app development for android platform.