Can a Mobile App Startup Bring Money?

How are the app entrepreneurs making huge profits while the number of free mobile apps is growing? The answer is obvious. Not every app entrepreneur brings home the bacon.

In fact, only 1,6% of app developers are making money while the rest have either a $100-revenue a month or nothing. If you think that your business offers a limitless cash flow, then you have a couple of things to consider before developing a mobile appIf you’re building an app just for fun, you have no risks involved. But if you’re going to start a business as an app entrepreneur, everything changes. Let’s consider the few ways that can help you build a successful app startup.

Find your target users
To build a sustainable app for generating revenue, there are a few things to consider: Right Timing - Right Market - Right Place

In other words, you need to find a product meeting the market requirements to help your startup thrive. Under the term “product” I mean a Minimum Viable Product (MVP) that solves a particular problem or addresses a particular need of the target audience.

Why is it better to develop an MVP? A good product or a market-fit one still needs lots of improvements. It can emerge, derive, and die out.Twitter is the greatest example of markets shifting. It had changed 7+ markets before it found the way to monetize by selling the bands their APIs as a means of learning from user behavior.

Creating a product fitting only one business niche is a bad idea. An app that covers only one business niche is unlikely to generate huge profits. But still there are a couple of such apps that bring a pretty penny to their developers. And it’s rather an exception than a rule.Frankly speaking, developing a product that can hit the market is like playing roulette. No one knows if the users will favor your app or not.

Everyone has great app ideas
Most startups want to get investments but have nothing except an out-and-out idea. Ideas are worthless until they have a digital (or code) representation. Implementation is everything. Even if you have the most innovative app idea that can change the course of the history, there is still a possibility that someone has already brought it to life.

The only reason for a startup to exist is to serve the users. However, many startups pay more attention to the fundraising process demanding lots of time and distracting away from the app building.

What does a startup need to become successful?
Dedicated development team, Best-laid business plan, Market opportunity, Financially reliable users

Did you know Groupon? I bet, you do. Andrew Mason, a founder of Groupon (The Point). The Point was a forerunner to Indiegogo and Kickstarter. Firstly, it was a platform where people could participate in collective actions or give money for something. Mason got around $1M of investments before he implemented the idea. But again, it’s an exception.It took around 10 months to build The Point, but the project failed.

However, the experience helped the team to shift the focus and create something great.Inability to adjust and shift the focus is the reason why most of the startups fail. An MVP allow the app entrepreneurs to listen to the users and improve your future app without breaking the bank.

Take the 1st step - build an MVP to test your app idea
Building an MVP is not as easy as ABC. The hardest thing is to choose the most popular features by pairing them down. While developing an app, people get attached to the features resulting in a rocky road to identify the core app functions.People often get pulled by the term MVP, believing that an MVP is a minimum set of features. And they are wrong. An MVP is about testing your app idea and check whether the target users will download your app. To make your app more visible, developers create websites, but such an approach works best with web-based startups. Even a single-page website is enough to describe and introduce your product.

Make your app popular
Once you got a fully-functioning app, it’s time to start your advertising campaign. As I mentioned above, a splash page can divert more traffic to your app.

A website containing the information about your app including benefits and the most innovative features. To expand your brand awareness, you can link your social media networks.
Using analytics will help you understand download ratio, user engagement, retention, etc.

Try to reply to any suggestions, feedback, or reviews to find out the users’ attitude.
One more thing to consider - email outreach. Use emails to show updates or special offers. Email outreach is a great way to keep in touch with your users.

Short Bio
Hi, everyone! I’m Helen Morrice. I try hard to explain geek news in a plain (and readable) language. Here you can read one of my coverage on the mobile app development. To read more, visit our website link or follow me on Facebook/Twitter

Some other News