Mobile Monetization

What happened with Instagram is a dream that many apps out there dream of achieving. But when the sole purpose is to achieve monetary gains rather than form a permanent base in the business, then selling out when the going is good is the wisest course.  Instagram’s instant success was not exceptional, it was their valuation. The mobile app was bought out for one billion dollars by Facebook just within just two years since inception. But how long will the money last? Instagram is already history after Facebook launched their mobile camera application, which was a huge disappointment for Instagram creators who had hoped that Facebook would continue running the application. Just goes to show: win some, lose some.



Not all businesses want to be as short lived either. So it is they have to devise strategies that will serve to upkeep them for a longer duration, preferable, a lifetime of steady income generation to see them through till retirement. For this, they are willing to bide their time and struggle in the process. As is the case with mobile monetization. Application developers can relate to this, as they strive to achieve profits through mobile advertisements. That is not to say it will not happen. It’s simply that mobile applications have not been around long enough to gain that kind of financial attention from advertisers as on other forms of media such as the PC and television.

Whereas advertising spending as a bare minimum at 1 per cent, mobile consultants assess the average time spent by mobile consumers is 23 per cent on a daily basis. This poses a challenge in trying to bridge the gap between mobile advertisement investment and viewership. The question as to how many such consumers will actually click on an advertisement and then turn into buyers is unanswered. What is most assuring is that the quantity of companies investing in mobile advertisement has increased over the last two years and web analysts believe that the investment will continue to rise.

Since mobile market is still a novice industry, the field is open for marketers to scope. One instance is an Asian ad network, ‘Metaps’ that promotes smartphone applications in over 25 countries by providing incentives to consumers when they download or register. Other advertising platforms have partnered with game engines in providing a compatible platform for iOS and Android developers to create apps easily and quickly. Through integrated software development kits that include advertisements and rewards. Other ways to monetize through mobile include: directly purchasing from within the application, for instance, a catalog app, companies using branded custom apps through which to offer their services and utility apps that offer entertainment services such as event updates and games. Eventually, advertisement will come to play a major role on mobile, but for now, businesses need such alternative choices to tap into.