Mobile app developers face a unique problem these days: Smartphone users love free apps. They just aren’t willing to pull out their credit cards to pay. That means developers face a conundrum when attempting to profit from their creations: They want to create a top-quality app experience but need to earn money to improve and make a living. So what’s the solution?
The infographic below, compiled by StartApp, spells out strategies developers can use to profit from their creations without disrupting the in-app experience or otherwise annoying users. StartApp, a monetization and distribution platform for mobile apps, is a search engine add-on. Its mobile solution is now being used in more than 15,000 apps and surpassed 500 million downloads this month.
Some key takeaways from the infographic include:
In 2012, mobile apps earned $30 billion, but 89% of all app downloads are free
From 2011 to 2012, there was a 27% drop in paid app revenue
In-app advertising (a free app featuring in-app advertisements) is 11 times more effective than banner ads