How Much Money Can You Make Creating an App?

How Much Money Can You Make Creating an App
28Nov, 2020

Almost every year, the major smartphone manufacturers such as Apple, Samsung and Huawei release flagship phones for their respective brands. There is always quite the “mad rush” for these mobile devices when they become available on the market, even when some of the prices seem a bit absurd. Additionally, most of the new versions do not differ much from their predecessors, aside from a few tweaks in processing power and camera quality.

The App Rush

With the constant upgrades of these gadgets almost every year, the apps that run on these phones also need to continue providing value or face dying out. This demand has made app creation one of the sure ways to become a millionaire. As such, there is an app for almost anything, and according to a Forbes magazine article published in February 2020, there are currently 8.93 million apps in existence.

However, a lot of developers jump the gun and do not follow due process and then become disillusioned. Creating an app to make money is good, but it is better to do due diligence, and then the money will inevitably come rolling in.

The Numbers Broken Down

‘How much money can an app make’ is one of the first questions many developers ask. Indeed, apps can very likely bring in revenue in billions of dollars every year, but this particular stat is solely reserved for a very select few. There are a plethora of apps that have washed out and provide no value to users and so do not make any money. This makes it quite difficult to project or predict how much earning from an app is possible.

Here is some information that will paint a clearer picture.

The top 200 apps on the Apple app store make about $82,500 every day. Include the next 600 apps, and you will discover that the combined daily revenue for the top 800 apps plummets to a lowly $3,500. See how diverse the playing field for revenue creation from apps is?

Predictions

The app market continues to see an ever-increasing growth. Predictions by industry analysts indicate that this surge in growth will continue well into the foreseeable future. One fact that supports this notion is that a massive 52.2% of total web traffic in the US in 2018 was from mobile devices. It is therefore understandable that a lot of tech-savvy people and even businesses are bent on building apps. It is projected that by the end of this year, global app revenue should reach over $500 billion.

Creating an App

Having a good idea is not just enough for you to begin creating an app. More often than not, the idea is excellent, but the thought of how much money can be made from the app soon clouds judgment and affects the planning, research, and execution process. Here are some steps to guide you if you plan to create an app and possibly become rich.

  1. What Do You Seek to Achieve?

You must be precise when outlining your objectives for creating the app. Do you want to solve a problem? Do you want to provide an existing service differently? Asking yourself these pertinent questions will help you clearly define your goals. Try not to set lofty and immeasurable goals. Instead, be realistic, and consider the pros and cons.

  1. Market Research

The next step after defining your aims and goals is to conduct market research. If your app will have any users and make money, there must be people who want what you are providing. So, go out there and find them, then understand how they want the app to work for them. Generate surveys, conduct interviews, and run a focus group. These will help you get a ton of information.

  1. Create A Wireframe

Wireframes are simply a basic design of your mobile app. It is not the actual thing but sort of a structure of how you want the mobile app to operate. You can do this on a piece of paper by just sketching, or you could use a digital wireframing tool. Its purpose is to demonstrate how the critical components of the app will be structured and how it will function.

  1. Decide on a Development Method

There are several ways to develop your app, and that will be heavily reliant on the kind of app it is and how you want it to function. In this regard, development methods can be unique, as each type provides a particular type of operability. The best way to determine the right development method is to base it on variables such as the type of app, budget, technical skill, and when you want the app to be ready for the market.

  1. Check for Existing Solutions

It is more probable than not to find existing solutions to the problems your app seeks to solve. Therefore, research available existing solutions and understand how they work, and find ways to improve upon them. Do not waste precious resources and time to create an app from the ground up if the solution you profess to provide is already on the market.