In 2025, monetizing a mobile application is no longer about throwing in a few ads or charging a one-time download fee. Instead, you need to find the revenue model that fits your product, resonates with your users, and supports long-term growth.
Here’s the thing: most users won’t pay upfront. That’s why today’s top strategies focus on delivering real value first, and then earning through things like freemium models, in-app purchases, subscriptions, or well-placed ads that don’t interrupt the experience.
In this guide, we will help you find the most effective way to increase revenue without compromising the user experience.
Mobile app monetization strategy in 2025: The basics you need to know
Before exploring the best ways for app monetization, it’s worth taking a moment to understand how mobile apps generate app revenue through various strategies. Let’s dive in.
What is app monetization?
App monetization is the process of generating revenue from your mobile app. This can take many forms – charging users for premium features (in-app purchases), offering paid subscriptions, displaying ads, or even licensing your technology. An app developer plays a crucial role in implementing app monetization strategies effectively.
Looking at Statista’s 2024 data, the most popular app monetization models are in-app advertising, subscriptions, and paid downloads. Advertising remains the most common approach globally, with about 31% of apps relying on it, while 25% of U.S.-based apps follow this model. Subscriptions continue to grow in popularity – especially for non-gaming apps – thanks to their recurring revenue and strong user retention. Paid apps, which require users to pay upfront to download, remain the least common, used by just 3% of apps globally and 7% in the U.S.
App monetization models: Quick overview
Before diving into specific strategies, here’s a quick overview of the most common mobile app monetization models in 2025. This section gives you a snapshot of your options and helps navigate to the ones that best fit your app.
| Application monetization model | How it works |
| In-app advertising (IAA) | Show ads to users while they use your app and earn revenue per impression, click, or conversion. |
| In-app purchases (IAP) | Users buy virtual goods or premium features directly within your app. |
| Freemium model | Users download and experience an app free of charge, but certain features are reserved only for paying customers. |
| Premium subscriptions | Users pay a recurring fee to access exclusive content or features. |
| Affiliate marketing | Promote third-party products or services inside your app and earn a commission from resulting purchases. |
| Email marketing | Use personalized, automated email campaigns to drive conversions and upsells. |
| SMS marketing | Send targeted text messages to drive immediate engagement and monetization. |
| Sponsorships and branded content | Partner with brands to offer native advertising or co-branded experiences. |
| Data licensing | Sell anonymized user data insights to other companies, with user consent. |
| Crowdfunding | Raise funds from users before or during development to support your app’s growth. |
| One-time paid downloads | Users pay a single fee to download and use the app without any further costs. |
| White-labeling | Offer your app framework to other businesses so they can rebrand and use it. |
| Marketplace or transaction fees | Take a commission on transactions that occur within your app (e.g. booking, e-commerce). |
| Pay-per-use access | Users pay based on how much or how often they use a specific feature. |
| Donations or tipping | Let loyal users support your app voluntarily through one-time or recurring contributions. |
Why do you need mobile app monetization strategy?
- Helps your app grow over time: Earning money lets you keep improving your app by fixing bugs, adding new features, and helping your users.
- Gives users real value: A good way to monetize your app should provide users with features or content they find useful and are willing to pay for.
- Makes your app stand out: With so many apps out there, a smart monetization plan within the app business will help you attract users, keep them engaged, and stand out from the competition.
You may also like: Mobile App Development Cost Breakdown for 2025
Top 10 ways to monetize mobile apps
Let’s explore the top mobile app monetization strategies for 2025, backed by real-world examples and up-to-date statistics.
1. In app advertising (IAA): A smart way to monetize mobile apps
In-app advertising is one of the most popular – and profitable – ways to make money from mobile apps today. It simply means displaying ads within your app by joining an ad network. Every time a user views, clicks, or takes an action (such as installing another app), you earn revenue. The more valuable the action, the more you make.
And the market? Massive. The global in-app advertising industry was valued at $151.1 billion in 2022 and is expected to grow to $534 billion by 2029, at a steady CAGR of 13.2%. In 2025 alone, ad spending is expected to reach $390 billion, with U.S. advertisers contributing $147.5 billion. On average, brands are expected to spend $59.23 per mobile Internet user.
Why it works
- High earning potential: Interstitial ads on Android can earn over $10 eCPM in the U.S. – much higher than traditional banners.
- Advanced targeting: Ads can be shown to highly specific audiences, making them more relevant and effective.
- Scalable: Works for small independent apps as well as massive platforms.
Popular in-app ad formats
| Format | What it is |
| Banner ads | Small, image-based ads at the top or bottom of the screen. Simple, but low CTR. |
| Interstitial ads | Full-screen ads shown during natural breaks in the app’s flow. High engagement, but must be timed correctly. |
| Rewarded video ads | Let users to earn in-app rewards (like extra lives) in exchange for viewing ads. Very high engagement. |
| Native ads | Seamlessly integrates into the app’s design (like a post in a feed). Subtle and easy to use. |
| Playable ads | Interactive mini-apps or games that users can try before installing. Great for conversions. |
| Offerwall ads | Displays a list of tasks that users can complete for rewards. Popular in games and utility apps.. |
| MREC Ads | Medium rectangle ads – flexible placement and less intrusive than interstitials. |
Advantages:
- High performance: In-app ads can perform up to 11x better than mobile web banners.
- Flexible formats: Choose ad types that match your app experience.
- Revenue variety: Mix impression, click, and action-based revenue.
Disadvantages:
- Banner blindness: Some formats (such as banners) may have low engagement (e.g., ~0.1% CTR).
- User experience risk: Poorly timed or excessive ads can frustrate users.
Competitive ads: Other apps – even competitors – may appear in your ad space.
Our opinion
In-app advertising still holds its ground as a major monetization method in 2025 – and honestly, it deserves more credit than it often gets. When it’s done right, it can generate impressive revenue streams without wrecking the user experience. The secret sauce? Thoughtful implementation. It’s not just about throwing in some ads and hoping for the best. You’ve got to choose formats that actually fit your app, place them where they make sense, and, above all, make sure they deliver value without being annoying.
2. In-app purchases (IAP): Turning users into customers
In-app purchases (IAPs) enable users to purchase digital items, features, or services directly within an app, converting free users into paying customers. This model is especially popular in mobile games, but is spreading to many app categories, from productivity to entertainment.
The in-app purchase market is growing rapidly. It’s expected to grow from $257.23 billion in 2025 and to $657.18 billion by 2029, at a CAGR of 26.4%.
This surge is driven by increasing smartphone usage, subscription models, AR integration, and demand for digital goods and personalized services. IAPs have surpassed paid downloads as the preferred monetization method for app publishers.In the U.S. alone, consumer spending on in-app purchases is expected to grow steadily to more than $52 billion by 2026.
How it works
Users can use real money to purchase items such as extra lives, bonus content, or virtual currency. These purchases are seamlessly processed through the App Store or Google Play and charged to the user’s saved payment method – no need to leave the app.
Most common types of in-app purchases.
| Format | What it is |
| Consumables | Temporary items such as coins, health boosts, or power-ups. Once used, they’re gone, but users can continue to purchase them. |
| Non-consumables | Permanent unlocks, such as new levels, characters, or features. |
| Auto-renewing subscriptions | Recurring payments for continued access to premium content or features. |
| Non-renewing subscriptions | Similar, but require manual renewal after each period. |
Advantages:
- Flexible monetization: Users pay for what they value.
- Personalized experience: Users can tailor features to their needs.
- High LTV potential: Power users often spend more over time.
Disadvantages:
- Unpredictable revenue: Revenue varies from month to month.
- Paywall fatigue: Overuse of restricted content can drive users away.
- Platform cuts: App store commissions reduce revenue.
Our opinion
In-app purchases are an excellent way to convert engaged users into paying customers, especially when offered at the right time without interrupting the user experience. They can generate real revenue, encourage users to stay longer, and add meaningful value to your app. With the market still growing, having a smart in-app purchase (IAP) strategy just makes sense.
3. Freemium subscription
A freemium subscription is a monetization model where users can access a basic version of an app for free, with the option to upgrade to a premium experience through a paid subscription. This freemium model is like letting people take your app for a test drive, then offering them the full experience for a monthly fee.
Freemium subscriptions are an increasingly popular way to quickly build a massive user base without putting up a paywall. Users get to try before they buy, and when executed well, this model can drive strong growth and long-term revenue. Its scalability and low barrier to entry make it a favorite among app developers, especially in the music, fitness, and productivity categories.
Real-world success: Spotify
Spotify is a leading example of how the freemium subscription model can drive both user growth and long-term monetization. Back in 2014, Spotify contributed $1 billion to the music industry with just 15 million paying subscribers. Fast forward to 2024, and that number has skyrocketed – Spotify paid out a record $10 billion to the industry in a single year, with total payouts reaching nearly $60 billion since launch.
This growth reflects the power of freemium: over 60% of Spotify’s premium subscribers started as free users, and the company now has over 500 million total users and 268 million paying subscribers as of early 2025. Spotify’s model works because it offers a generous free tier, strong personalization features, and smart user engagement tools like Wrapped and AI DJ that keep retention high and conversion rates strong.
Advantages:
- Scalable growth: Easily attract a large audience without upfront costs.
- Low barrier to entry: Users can try the app before committing.
- Broad reach: Appeals to price-sensitive users who may convert later.
Disadvantages:
- Low conversion: Many users never upgrade to a paid subscription.
- Potential UX friction: Too many upsells can frustrate users.
- Needs careful balance: Gating the wrong features can hurt engagement.
Our opinion
Freemium subscriptions work best when the free tier is genuinely useful, not just a teaser. Provide users with enough to get hooked, solve a real problem, or achieve a small victory. Then, present your premium tier as the natural next step rather than a hard sell. Think of it as guiding users, not gating them. The sweet spot? Offer features that free users miss, not ones they need to function. This approach builds trust, boosts engagement, and drives conversions without alienating your audience.
4. Premium subscriptions: Consistent revenue, loyal users
Unlike freemium, premium apps require users to pay an upfront subscription fee or subscribe immediately, tying revenue directly to downloads and retention. This model delivers consistent revenue – and users who commit tend to stick around.
In 2025, global consumer spending on subscription-based digital services is expected to reach $1.26 trillion, growing more than 13.5% since 2021. From entertainment and education to health and productivity, subscriptions are now one of the most widely adopted pricing models for digital content.
Although freemium and ad-supported strategies dominate mobile gaming, subscription models are increasingly preferred for non-gaming apps, accounting for over 80% of revenues in this sector. Why? Higher price points, recurring billing, and stronger user retention.
Advantages:
- Predictable income: Regular payments make it easier to plan and grow your business.
- Easy to scale: Subscriptions can grow with your user base over time.
- Higher long-term value: Subscribers tend to spend more than one-time users.
Disadvantages:
- May turn off casual users: Some people won’t pay upfront if they’re not fully interested.
- Users can cancel: If they don’t see enough value, they may unsubscribe.
- Needs regular updates: You need to keep improving the app to keep users happy.
Our opinion
It’s a solid strategy – but it only works if your app’s value is crystal clear from the very first tap. Users decide fast, so make sure your onboarding, design, and core features quickly show what sets you apart. If they don’t “get it” in seconds, they’re likely gone for good.
5. In-app affiliate advertising: Earn by promoting others
Affiliate advertising lets your earn money by promoting other apps, products, or services within their own app. When users click on these affiliate links or make purchases, you earn a commission. Think of it as recommending something useful – and getting paid when someone takes your advice.
It’s a low-risk, budget-friendly way to monetize, especially if your app is free to download and use.
Why it works
Affiliate marketing works because it’s a fast-growing, mobile-driven opportunity. The global market is on track to reach $48 billion by 2027, with mobile traffic already accounting for 62% of affiliate visits. It’s easy to get started – you can join the affiliate programs of major platforms like Google, Apple or Microsoft and simply embed links or promotional content into their apps. The model is a win-win: users discover helpful new products or services, brands gain new customers, and you earn a commission for each referral.
Advantages:
- No cost to users: Monetize without charging for downloads or features.
- Brand alignment: Promote products your audience actually likes.
- Scalable revenue: The more engaged your users, the more you can earn.
Disadvantages:
- Crowded space: Big-name apps often grab the best deals first.
- Trust risks: Poorly chosen promotions can feel spammy or damage your brand.
- Ongoing effort: Requires time to find partners and manage campaigns.
Our opinion
In-app partner ads can be a great source of passive income – if you’re intentional about it. Choose partners whose values align with your app’s purpose and your users’ needs. When ads feel like recommendations rather than distractions, they add value. Relevant, trustworthy affiliate links not only drive clicks, but also strengthen users’ trust and make your app feel more useful.
6. Email marketing: Low-cost, high-impact outreach
Email marketing may not be flashy, but within the realm of digital marketing, it’s still one of the most powerful tools for connecting with users-and making sales. In fact, email drives 40 times more conversions than Facebook and Twitter combined, with an ROI of 3600%. That’s $36 back for every $1 spent.
It’s not just about sending messages. It’s about sending the right message, at the right time, to the right people.
Advantages:
- Boost sales fast: Personalized emails drive strong conversions.
- Low cost, high return: High ROI with minimal effort.
- Easy to get started: All you need is a list and a smart messaging strategy.
Disadvantages:
- Spam risk: Too many emails or poor targeting can land you in the junk folder.
- Brand image issues: Generic or low-effort messages can come across as desperate or annoying.
Our opinion
Email marketing works because it’s personal and direct. It’s still one of the best ways to build real relationships with your users. However, it only pays off if you respect those relationships. Don’t just send promotions; send valuable content. Helpful content, thoughtful updates, and quick check-ins can go a long way. When users feel there’s a real person behind the message, they’re far more likely to open it, engage with it, and stick around.
7. SMS marketing: Fast, direct and surprisingly effective
SMS marketing may sound old-school, but it’s far from outdated. When done right-brief, timely, and with the user’s permission-it’s a powerful way to drive engagement, enhance user acquisition, and increase in-app sales.
Text messages are hard to ignore. They land directly in the hands of your users and are often read within minutes. In fact, SMS marketing has a click-through rate of 18% higher than email’s 2.5%. And nearly half of U.S. consumers say they prefer to receive discounts via text rather than email.
SMS works best for re-engaging inactive users, offering limited-time offers, or nudging users toward a premium subscription. It’s easy to set up using in-app prompts and mobile automation tools. But it requires opt-in, smart timing, and a personal touch to avoid feeling spammy.
Advantages:
- High engagement: SMS gets immediate attention-perfect for time-sensitive offers.
- Easy setup: Collect phone numbers in-app and automate your campaigns.
- Powerful reactivation tool: Great for re-engaging users who’ve gone dormant.
Disadvantages:
- Intrusive vibes: Unwanted texts can feel spammy and hurt your brand.
- Tracking challenges: It’s harder to measure how users interact with texts.
- Not for everyone: Some audiences may find SMS too personal or outdated.
Our opinion
Let’s be honest, SMS can be irritating if overused. But when it’s done right, it works. A short, timely message with real value can grab attention in a way few other channels can. Just keep it respectful: don’t spam. If users feel like they’re receiving a helpful heads-up, not a sales pitch, they’re much more likely to click – and even appreciate it.
8. Sponsorship ads: Monetize your app by partnering with brands
Sponsorship ads involve partnering with a brand to feature their products or services in your app niche. If you have a large and engaged user base, this model is ideal. For example, a fitness app could partner with an athleisure brand, or a gaming app could team up with an energy drink company to target users with relevant ads or promotions.
Advantages:
- Targeted audience: Brands can directly reach a specific and engaged demographic, increasing the likelihood of conversion.
- Cross-promotional opportunities: This creates mutual benefits, with both the app and the sponsor expanding their reach and revenue potential.
Disadvantages:
- Difficult to find a good match: The brand must have an audience that matches your users. If the match is not right, the partnership may not be successful.
Our opinion
Sponsorship ads can bring in solid revenue – but only if the partnership feels like a good fit. Users can spot a mismatch instantly, so choose brands that actually make sense for your audience. Relevant and aligned sponsored content adds value to the experience instead of detracting from it.
9. Data licensing: Monetize user data for recurring revenue
If your app collects valuable user data, you can monetize it by licensing it to brands and businesses as an app monetization method. For example, apps like Waze generate revenue by selling anonymized user data to companies looking for location-based advertising opportunities.
This approach can be particularly effective for apps that naturally collect user data, such as navigation or fitness apps. Just make sure you get explicit consent from users about what data you’re collecting and how you’re using it.
Advantages:
- Reliable revenue stream: Brands are willing to pay for unique, hyper-local data that can enhance their advertising efforts.
- Data control: You retain control over how the data is used, ensuring that it aligns with your brand’s values.
Disadvantages:
- Expensive overhead: Licensing agreements can be costly and may require legal assistance to set up.
- Time-consuming: Finding and negotiating with potential buyers takes effort.
- Restricts other models: Licensing agreements can limit your ability to use data for other monetization strategies, such as in-app advertising.
Our opinion
Licensing your app’s data can generate steady income, but it’s not always easy. It takes time and money, and it may limit other ways you can make money from your app. However, if your app collects valuable data, it could be worthwhile. Just make sure you understand the trade-offs before diving in.
10. Crowdfunding: Harness the power of the crowd to fund your app
Crowdfunding is a powerful way to raise funds and generate early support for your app, especially in its early stages. By offering exclusive access to premium features or content, you can incentivize backers to support your campaign. Using platforms like Kickstarter, IndieGoGo, GoFundMe, and Patreon, developers can secure funding without relying on traditional investors. But crowdfunding isn’t just about the money – it’s about building a community of passionate backers invested in your success.
When you launch a campaign, you not only gain financial support, but you also build a loyal user base that provides feedback, promotes your app, and contributes to its long-term growth.
Advantages:
- Massive audience reach: Crowdfunding platforms expose your app to a much larger audience than you could reach on your own.
- Cash infusion: It’s a quick way to raise funds for development costs.
- Built-in community: Crowdfunding helps you cultivate a dedicated group of early adopters who can help shape and promote your app.
Disadvantages:
- Extremely competitive: Many other projects are vying for attention, so you need a strong brand and compelling message to stand out.
- Brand building essential: To be successful, you must effectively communicate your app’s unique vision and value.
Our opinion
Crowdfunding can be a great way to raise money and build a loyal fanbase. But it’s not as simple as hitting “launch.” To stand out, you need a clear idea, a strong story, and a plan to spread the word. When people believe in what you’re building, they’ll support your project.
App monetization platforms you should know in 2025
Choosing the right app monetization platform is just as important as choosing the right strategy. These platforms help you manage, track, and optimize your monetization efforts. Whether you’re running ads, selling premium content, or managing recurring subscriptions, the right platform can help you automate processes, stay compliant, and grow revenue faster.
Here are some of the most popular app monetization platforms in 2025:
Google AdMob – One of the most widely used mobile ad networks. AdMob enables you to display in-app ads from Google advertisers with advanced targeting, analytics, and mediation tools.
Meta Audience Network – Offers access to Facebook’s massive advertiser base with native, banner, and interstitial ad formats. Great for apps with strong engagement and social tie-ins.
AppLovin – A performance marketing and monetization platform for mobile apps that includes user acquisition, ad mediation, and app discovery tools.
ironSource by Unity – Focuses on user growth and monetization through rewarded video, interstitials, and mediation across multiple ad networks.
Unity Ads – Tailored for mobile games, this platform delivers high-quality video and playable ads, integrated tightly with the Unity game engine.
Paddle – A complete monetization infrastructure for subscription-based apps. Handles payments, taxes (like VAT), trials, upgrades, and compliance (e.g. GDPR, SCA).
RevenueCat – Ideal for apps using in-app subscriptions. It simplifies implementation across Android and iOS and gives you real-time insights into churn, MRR, and LTV.
Amazon Publisher Services – For apps targeting large U.S. audiences, APS provides server-side header bidding and programmatic ad monetization at scale.
Tapjoy by Unity – Focuses on rewarded ads and offerwalls, particularly popular in gaming and freemium apps.
Chartboost – Combines user acquisition, in-app advertising, and monetization into one platform, with a strong focus on mobile games.
How to choose the right platform for your app model
Not every app monetization platform works for every app. To pick the right one, you need to match your monetization strategy, user experience, and business model with the platform’s strengths.
Here’s how to choose the best app monetization platform based on your model:
- In-app advertising – Go with platforms like Google AdMob, ironSource, or AppLovin if your app relies on ad revenue. They offer mediation layers, high fill rates, and strong analytics.
- Freemium or premium subscriptions – Choose Paddle or RevenueCat. These platforms simplify subscription management, billing, compliance, and revenue tracking across iOS and Android.
- Gaming apps – Use Unity Ads, Chartboost, or Tapjoy. These platforms specialize in rewarded video, playable ads, and interstitials that perform well with gamers.
- Global audience with complex payment needs – Paddle is a good choice if you sell globally and want to handle taxes (like VAT), currencies, and local payment methods in one place.
- Affiliate-based apps – Use custom tracking platforms like Adjust or third-party tools with deep linking and attribution support to manage commissions and referrals properly.
- Transactional apps (marketplaces, bookings) – Consider using Stripe, Braintree, or platforms that support service-based models where you take a cut from each transaction.
- Hybrid monetization – If you use a mix of ads, subscriptions, and IAPs, combine tools like RevenueCat (for subs) and AdMob or ironSource (for ads), then track results through analytics tools like Adjust or Firebase.
Key criteria to evaluate app monetization platforms
- Integration effort – How quickly can you implement the platform into your app?
- Platform compatibility – Does it work on iOS, Android, web, or cross-platform frameworks?
- Revenue potential – Are you getting competitive CPMs or commission rates?
- Analytics & reporting – Can you track LTV, churn, ARPU, and campaign performance easily?
- Compliance & billing – Does the platform handle global taxes, GDPR, and recurring payments?
- User experience – Will it enhance or disrupt the app experience for your users?
Which monetization model is best for your app in 2025?
Choosing the right app monetization strategy for your app depends on several factors, including:
App functionality and purpose
Think about what problem your app solves and how it delivers value. For example, subscription models work well for news and entertainment apps, while gaming apps often rely on in-app ads for revenue.
Competition
Look at similar apps in your market. By examining competitors’ monetization strategies, you can gain insight into what works in your vertical and potentially replicate successful models.
Target audience
Understand your audience-what are their needs, preferences, and spending patterns? Knowing who your users are will help you determine which monetization methods align with their expectations and willingness to pay.
In many cases, app owners choose to use a combination of monetization methods to optimize revenue – a hybrid monetization model.
Hybrid monetization: The power of multiple revenue streams
Hybrid monetization combines different models, such as in-app purchases, ads, affiliate marketing, and subscriptions, within a comprehensive mobile app monetization model. This allows you to diversify your revenue streams and appeal to a broader audience. For example, you can attract high-value users with in-app purchases while engaging others with non-intrusive ads or affiliate offers. The key is to strike the right balance without overwhelming your users with ads or unnecessary prompts.
| Pros of hybrid monetization | Cons of hybrid monetization |
| Diversified revenue: By combining multiple monetization methods, you can generate revenue from multiple sources, improving sustainability. | Complex management: Managing multiple strategies requires careful planning to avoid frustrating or overwhelming users with too many monetization methods. |
| Flexibility to meet user preferences: You can offer different options to accommodate both paying users and those who prefer free access. | Potential overlap: Balancing multiple models can sometimes result in conflicting approaches, such as aggressive ads in a premium subscription model. |
| Reduced risk: If one model underperforms, others can help fill the gap. | User frustration: Too many ads or monetization methods can overwhelm and frustrate users. |
A hybrid approach is often most effective, especially for free apps, because it helps maximize revenue potential while minimizing the drawbacks of any single app monetization model. The goal is to find the right mix that fits your app’s goals and provides the best experience for your users.
App monetization models: Cheat sheet for app owners
Need a faster way to figure out how to monetize your app? No worries – we’ve put together a quick cheat sheet of popular app monetization strategies that are working for some of the biggest apps out there to help you out!
| Monetization method | Best for | Real-world example | Quick win | Proof |
| In-app advertising (IAA) | High-traffic, content-heavy apps | Monetize impressions & engagement with ads | Meta earned $131.9B in ad revenue in 2023 – Instagram a major contributor (Meta Annual Report 2023). | |
| In-app purchases (IAP) | Gaming, livestreaming, or creator platforms | TikTok | Sell consumables or virtual goods | In 2023, TikTok surpassed $10B in consumer spending – driven mainly by IAP. |
| Freemium subscription | Apps with wide appeal and upgrade potential | Spotify | Capture a large base, convert loyal users | As of early 2025: 268M premium subscribers out of 500M total users. |
| Premium subscription | Content-rich, utility or B2B apps | Netflix | Predictable revenue from paying subscribers | 260.3M paid subscribers in Q4 2023 – nearly all revenue from subs (Netflix Investor Relations). |
| Affiliate advertising | Shopping, cashback, deal-hunting apps | Rakuten | Earn commission from referred purchases | Rakuten U.S. monetizes via affiliate links with major brands. |
| Email marketing | E-commerce or user account-based apps | Zalando | Drive sales with personal, retargeted offers | High open and click-through rates; key sales driver (Zalando Tech Blog). |
| SMS marketing | Local services, food, or fast commerce apps | Domino’s Pizza | Boost engagement with offers sent via text | Conversion rates exceed 20% in some regions. |
| Sponsorships & branded content | Fitness, social, or niche community apps | Strava | Partner with brands for sponsored challenges | Sponsorships + subs are core to revenue (Strava Blog). |
| Data licensing | Navigation, mobility, or utility apps | Waze | Monetize anonymized user data responsibly | Waze data powers public mobility planning and brand partnerships (Google Waze Partners). |
| Crowdfunding | Indie games or mission-driven creative apps | Monument Valley | Validate concept + raise early funding | Monument Valley + others like Night in the Woods were crowdfunded on Kickstarter. |
Summary
Choosing the right mobile app monetization strategy can help you create new revenue streams, increase user engagement, and build a more sustainable business. An effective monetization strategy, such as in-app purchases (IAPs), can significantly contribute to overall app earnings. Whether you’re just exploring how to monetize an app or refining the way you currently monetize your app, the right approach can set you apart. From in-app purchases to premium subscriptions or hybrid models, the best app monetization methods depend on your users, your product, and your goals.Not sure where to start with mobile app monetization? Let’s talk. We’ll help you figure out how to effectively monetize your mobile app and scale it with confidence.
