Indie developers, startups and enterprises alike need to have a clear understanding of app monetization strategy, one of the most important aspects of mobile app marketing, in order to reach their financial goals. With various methods of app monetization available, choosing the right approach is one of the most difficult - and vitally important - decisions a developer or company will make.

1. CHOOSING YOUR APP
San Francisco | Bangalore
SOURCEBITS

2. © 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.

3. © SOURCEBITS 2015. A GLOBO COMPANY.
Free
Freemium
Paid
Paidmium

4. © SOURCEBITS 2015. A GLOBO COMPANY.
FreemiumPaid
Paidmium
Free

5. © SOURCEBITS 2015. A GLOBO COMPANY.
Paid
Paidmium
Free
Freemium

6. © SOURCEBITS 2015. A GLOBO COMPANY.
Paidmium
Free
Freemium
Paid

7. © 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.

8. © 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
0
In App
Advertising
+56%
Freemium
+211%
Paid
-29%
Paidmium
-23%
Brazil, Canada, France, Germany, India, Japan, Russia, South Korea, UK & USA

9. © 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

10. © 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