Choose Monetization Models
Earn more revenue with a flexible monetization strategy that adapts to your audience and markets.
Why it works
To maximize your revenue, consider multiple monetization models for your app. Different audiences have different preferences for paid apps, in-app purchases, subscriptions, ads, and e-commerce.
- In-app purchases: Use Play in-app Billing to sell items and additional features, or to remove ads. Take advantage of automatic conversion to local prices—with options to round for local pricing patterns or set local prices yourself—pricing templates, promotion codes, the In-app Billing Sandbox, and the ability to sell both durable and consumable virtual goods.
- Subscriptions: Use Play in-app Billing to offer users ongoing access to content or services for a recurring fee. Use features such as flexible billing frequencies, free trials, introductory and local pricing, payment grace periods, upgrades and downgrades, conversion analytics, and billing reports and dashboards.
- Advertising: Get paid for showing AdMob ads, including features such as native ads that allow you to match ads to your app’s look and feel.
- Paid apps: Set a price for your app that the user must pay before they can download and install it. Here, you can also take advantage of automatic local pricing (or set prices yourself), promo codes, and pricing templates.
- E-commerce: Use Android Pay to sell physical goods and services from your app. Take advantage of user familiarity with their payment methods and a simplified checkout while continuing to use your clearance provider and processes.
Best Practices for setting your initial monetization strategy:
- Research other apps in your category. Learn how other developers charge for their apps and content. Consider whether there are benefits in breaking from the norm and offering users alternative ways to pay.
- Think about how your app will be used. Your app’s use patterns can guide the best monetization choices. The more casual the use is likely to be, the more appropriate advertising or in-app purchases are for monetization. However, always consider offering an in-app purchase that removes ads.
- Make use of natural extensions. If your app can be extended or expanded, such as adding levels in a game, consider making the core app available for free and offering extended features through in-app purchases or subscriptions.
- Consider your cost structures. If you have significant recurring content costs, consider using subscriptions. Use a free trial period to encourage uptake.
- Take your audience into account. For some audiences, the scope for using advertising, subscriptions, or in-app purchases is limited. For example, users are more likely to pay for an ad-free, kid-friendly app than a casual use app. In these cases, premium (paid) apps are more appropriate.
- Consider local factors when setting prices. When setting prices for apps, in-app purchases, or subscriptions in specific markets consider cost of living differences, local pricing patterns, the pricing of competitive apps, and other market factors.
Best practices for optimizing your monetization strategy:
- Analyze statistics in the Google Play Console. Gain an understanding of your users’ purchasing patterns, including statistics on average revenue per paying user and new vs. returning buyers.
- Understand purchasing behavior with Google Analytics for Firebase. With data on up to 500 in-app events, Google Analytics for Firebase can provide insights into user buying behavior.
- Understand spending in your games with Player Analytics. Understand how players interact with your app and the workings of your in-game economy. Set and manage targets to grow revenue.
- Run pricing experiments. Use in-app A/B testing to experiment with different prices and alternative ways to encourage users to take up subscriptions or purchase in-app products.
- Offer a sale price. Paid apps can use strikethrough pricing in the Play Console to offer a discounted price for a limited time and encourage more purchases.