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Why Apps Are the Most Underrated Revenue Streams for Businesses

  • Thomas Oppong
  • Jul 26, 2024
  • 4 minute read

“Work smarter, not harder.” That’s what you’re constantly told as a business owner, right? After all, no-one wants to work harder than they have to. Something a lot of people overlook is mobile apps. Yep, we’re all familiar with our smartphone screens full of apps. But did you ever dare to imagine you could develop one for your business? And that it could be a treasure trove for your business’s bottom line? In today’s tech-drenched world, apps are more than just a convenience or luxury; they’re a powerful revenue-generating tool that you might be missing out on. Let’s find out why.

Take a trip down memory lane and recall the early days of mobile apps. Oh, how far we’ve come! Remember when apps were nothing more than simple, pixelated games like Snake on those chunky Nokia phones? Those early apps were charming in their simplicity, offering basic functions and a few minutes of distraction. Back then, apps were a novelty — fun to play with but not essential.

Fast forward to today, and wow, has the landscape changed! The problem is, some of us still think about apps being nice-to-have, but not essential. But we’re actually in the age of sophisticated, multifunctional apps that can handle everything from your banking to your groceries, fitness regimes, and even your dating life. We’ve moved beyond novelty and niceties; apps have become indispensable tools in our daily routines.

You don’t have to look far to see the impact. Think about the last time you ordered food, booked a ride, or even managed your work projects. Chances are, you did it all through an app. That’s the beauty of it — apps have evolved from their humble beginnings into powerful, versatile platforms that generate serious revenue. And if you’re worried about how you’d actually create an app – don’t! Whether you create it yourself or hire an experienced mobile app development Los Angeles company, for example, it’s easy to get from A to B in the app development world.

So, how can you discover the potential of apps for your business?

Leverage In-App Purchases

Alright, let’s dive into one big way you could turn your app into a revenue-generating machine: in-app purchases. So how does it work from your customer’s perspective? Well, imagine a user is deeply engaged with your app, loving every moment, and then they come across an extra feature or special content that’s just too irresistible to pass up. That’s your golden opportunity! By offering in-app purchases, you can monetize those micro-moments of joy and satisfaction that your app delivers.

Think about it — games like Candy Crush have mastered this art. They reel you in with a free, addictive experience, and then, just when you’re hooked, offer you that extra life or power-up for a small fee. But it’s not just games that can capitalize on this strategy. Your app, whether it’s for fitness, productivity, or even education, can offer valuable extras that users won’t mind paying a little extra for.

Imagine you’ve created a fitness app. The basic version provides a variety of workouts and a diet tracker for free. But for just a small fee, you offer personalized workout plans, virtual training sessions, and exclusive healthy recipes.

Simplify Transactions

Now, let’s chat about another game-changing way your app can rake in revenue: making transactions a breeze. Think about how many times you’ve fumbled for your wallet or hesitated to finalize a payment because it felt like a hassle. With an app, you can turn every transaction into a smooth, seamless experience, making life so much easier for your users — and profitable for you!

So perhaps you’ve got an e-commerce app. Your user is leisurely scrolling on a Sunday afternoon, stumbles upon a must-have item, and thanks to your app’s brilliant one-click purchase feature, they can make that dream buy without batting an eyelid. That’s not just convenience; that’s joy in a button press! No mess, no stress, just a smooth, delightful transaction that makes them feel savvy and satisfied.

But it doesn’t stop at retail. Think of a busy parent juggling a thousand tasks. They need to pay for their kid’s school trip or quickly chip in for a birthday gift. Your app’s streamlined payment options let them handle it all with a few quick taps. That’s real value, helping them tackle their to-dos without skipping a beat.

You see, by integrating easy payment solutions directly into your app, you’re not only boosting sales but also cementing your app as a go-to tool for life’s everyday transactions.

Boost Engagement with Push Notifications

When done right, push notifications can be your secret weapon for driving user engagement and, yes, more revenue.

Imagine this: your user, let’s call her Sarah, is chilling on her couch after a long day. She hasn’t opened your app in a while, maybe because life got busy or she just forgot. Now, you send her a friendly nudge — a push notification offering her an unbeatable deal, a reminder about that feature she loved, or even a personalized message that speaks directly to her interests. Suddenly, Sarah’s back in your app, exploring new features, making purchases, and feeling all warm and fuzzy about the value you’re adding to her life.

But remember, it’s all about balance. You want to strike that sweet spot where your notifications are helpful and relevant, not pushy or annoying. Think of it as having a chat with an old friend — you’d want to share exciting news and useful tips, not bombard them with spam. Use push notifications to highlight new content, exclusive discounts, or timely reminders that make your user’s day a bit brighter.

By leveraging push notifications thoughtfully, you keep your audience engaged and coming back for more, boosting your app’s stickiness and driving those all-important transactions. It’s about creating a relationship, keeping the conversation going, and showing your users that you’ve got their back.

Your app can transform from just another icon on the screen to a vital part of your user’s everyday life. It could be your hidden goldmine.

Thomas Oppong

Founder at Alltopstartups and author of Working in The Gig Economy. His work has been featured at Forbes, Business Insider, Entrepreneur, and Inc. Magazine.

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