Four strategies to enhance customer app spending and drive revenueby App My Site DIY App Builder
Increasing app revenue is the raison d'etre for most companies depending on their app for monetization. It is not uncommon to come across blogs and videos explaining new ways for mobile apps to make money.
Many studies back up the increased amount of time people are spending on mobile apps. Mobile apps are now the premier commercial real estate in the digital world thanks to this fact alone.
Companies experiment with their monetization models all the time. Sometimes they change their ad provider and look for a better mobile ad network. Other times they incorporate a freemium model to offer users something new.
All these experiments are aimed at enhancing app revenue. One direct way to do this is making app users spend more money. Many reports suggest subscription and in-app purchases revenue models are currently the most profitable in the app market.
In the following sections, we will bring to light four strategies that can help enhance customer app spending and grow revenue.
#1 - Use social listening to study app user preferences
Let’s say you have an ecommerce app you built using a WooCommerce Android app builder.
You have over hundred products available on your app. Your sales are steadily growing, but not exploding as you want them to. In simple words, you want your customers to spend more time on your app and buy more products.
How do you do this?
No app is perfect and that’s including your own. All you can really do is improve your app to the point your customers like spending time on it.
Social listening can help you achieve this. It is a practice that enables you to map what users think about your app on various digital platforms.
Going straight to customer feedback helps in two ways. First, you can get a clear picture of all the problems and pain points of your app users. Second, you also get a better idea of the things you’re doing right.
Let’s come back to the example of the ecommerce app. What if social listening helped you learn that people love three or four of your products the most?
You’d naturally plaster these products on the app dashboard because there is clear evidence that people like them. This will help you promote products that have a history of doing well in the market.
#2 - Loyalty marketing
Companies think of expanding their user base when they want to increase customer spending.
This line of thinking is not wrong, but a little narrow. Acquiring new customers is an expensive task. On the other hand, retaining existing customers is a better strategy if the goal is making more sales.
A concerted effort towards loyalty marketing can help enhance user retention and loyalty. Some ways of doing this is introducing loyalty programs, creating an ecosystem, and offering robust customer service & support.
Someone using a typical ‘convert WordPress to app builder’ or anyone else with an app in the market must use deploy these methods to grow customer loyalty.
#3 - Use funnel analytics to drive in-app purchases
App marketers generally use marketing funnels to make people download apps. The same can logically be applied to enhancing in-app purchases as well.
How can app marketers do this?
Let’s approach this layer by layer. The first step is making people aware about a product or feature available as an in-app purchase.
This can be done through more mainstream channels like social media or email marketing. Some companies tend to interrupt users to inform them about an in-app product while they’re using the app. This tactic can be effective, but in rare cases only.
The people who respond positively to the awareness campaigns are then pushed down to the consideration stage. Using mobile notifications is a good idea at this point. Since the person already has the app on their device, the journey from consideration to decision and conversion is generally swift.
#4 - Diversify monetization avenues
There are multiple ways of making money with mobile apps. Nothing steps an app from using more than one way to make money.
For instance, you don’t need to depend on your subscribers for revenue. You can open up in-app purchases to bring in more money or even publish ads with the best mobile ad network around.
A lack of diversification is a big reason for your revenue growth to become stagnant. Opening up a new channel of mobile app monetization can help grow revenue.
You need to be careful about the nature of your monetization diversification. If you show click ads to your premium subscribed customers, you will most likely lose them.
Thus, establish a diversification plan that increases revenue while not depreciating the value an existing channel is bringing.
This piece brings to light four strategies to enhance customer app spending and drive revenue. There are many ways to make money with a mobile app. However, the best and most profitable way of doing it is selling something directly to a user.
Created on Sep 24th 2020 04:59. Viewed 202 times.