Pylyp Matiukhin – How To Start Your Mobile App Business

If you have an idea for a mobile app, you need to familiarize yourself with the process of creating one. Every app has a different approach, but general guidelines are similar. We will discuss mobile strategy basics with industry expert Pylyp Matiukhin, CEO of Miami based website & mobile app development agency Yes Man Enterprises

How can entrepreneurs make money using mobile app?

There are multiple ways to do that, depending on what kind of app you have and what your audience is. Common ways are:

1) Make your app paid. Put a price tag on your work. You will get around 70% of the total revenue after App Store will take its commission. Use this model if your app is truly unique and there’s no free alternative available.

2) Subscription fee to use your app on monthly basis. This model is good for digital magazines, streaming services and any other online media with high-quality unique content.

3) In-app advertising. Show popup ads from ad vendors like Google, iAD, AdMob. Get payed per click. This model is usually implemented in simple utility apps and games.

4) Freemium. Allow users to unlock advanced features in your free app by paying additional cost. This works for business apps to unlock advanced tools, remove popup ads for better experience or add bonus levels if you have a game.

5) Pay for physical or digital products. Your app can include built-in shop where users can buy real products using credit card, or if you sell intangible goods deliver instant download or feature.

How to understand the development budget correctly?

App development costs are very difficult to estimate because there are so many variables. Time, team size needed, features, hardware. Some things you need to keep in mind though:

1) List 3 features that form your basic vision and ask a developer to estimate that.

2) Understand whether you already have branding identity (logo, colors, fonts etc) or that should be created.

3) If your app will collect any user sensitive data (credit card, person identity) you will need to understand how you will protect this data or ask a developer to suggest you proper safe encryption solutions.

Knowing a budget you’re willing to spend allows a developer to suggest the correct solution and start production while focusing on main features – the ones that form your MVP (minimum viable product). In most cases the faster you get to the market with basic list of features the faster you get user feedback. This is critical, as in fast-moving competitive app industry you don’t have any time to waste.

OK, the app is already published on App Store, how do you engage users to download and use it?

The Apple App Store alone has over 1.5 million apps (Google Play has even more), so precise marketing strategy is important just to let users know your app exists. Pretty apps with great code can easily sit with no downloads. Most basic and free tool to boost downloads is ASO (App Store Optimization). This works almost like SEO for websites, description and keywords are used in certain way to show up higher in App Store search results. Understand your comfortable budget, learn your competition and begin investing in user acquisition. All cases are different but the user acquisition idea is how much you spend on your ad campaign divided by how many organic users you gain. Measuring this analytics is crucial. When you will have average user cost, work on making it lower.

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