How to make money from mobile apps

Mobile apps are known as the next gold rush and we are seeing the growth of apps in Africa as well. Tanzania is ripe for mobile apps due to an exploding population of more than 53 million people and high Internet penetration of about 40%. Take a look at some of the most popular ideas on how you can start making money from your mobile app:

1) Advertising: You could run advertisements as a way to generate income for your mobile app. You will need an advertising sales team to do this but this is another good idea for developers who want to generate income and revenue from their apps. You should look for different types of advertisers so that you have a wide range of revenue eg. Google and Kwanza Advertising network (A local advertising network in Tanzania, which also provide API for local publishers and developers to receive local ads).

2) In-app purchases: Your favourite mobile games use this method. This is where you allow consumers to purchase products or gifts from inside your mobile app. This can be done through their mobile wallet, for example. In-app purchases are how developers make the bulk of their money in the West. Think about how your in-app purchases could work in Tanzania and let users top up their wallet via mobile money and cards.

3) Subscription: This is a red hot revenue generating model for Tanzanian apps because people can subscribe based on daily, weekly or monthly needs. You can also predict your revenue by knowing how many subscribers you will have for your app.

4) Branded apps: You can create branded apps for companies and organisations who want to dip their toes in the mobile app world. Developers have the knowledge while large companies have the brand recognition that consumers want.

5) Data monetisation: You could monetise off data such as asking downloaders to complete a survey or by other ways. This is a more complex method but it is also being used by developers as a way to bring cashflow to the table.

6) Paid apps: Some mobile apps are completely paid for which means you automatically have to pay for it in order to download it onto your phone. Even though this is a riskier way of generating money, you will get income that you can count from day one. This method is popular in the diet and fitness industry.

With these ideas, your mobile app can generate revenue depending on what category your app is about. Need more revenue generation ideas?

Edwin Bruno is the founder and CEO of SMART CODES LIMITED, a full-service digital agency that focuses on the intersection of technology and advertising. Email: [email protected] Twitter at @iEdwn.