App creators should always remember that their apps bring profits only as long as people use them. Your users should feel comfortable when using your app, so be prudent and make all ads and offers in your app as subtle as possible. Now that you know how free apps make money, you can give your idea a go and turn it into a real-life application. There's an app for everything, even apps that make you money! Here's our list of the best money-making apps that are free and easy to use. You can earn points, a.k.a. 'kicks,' in real life.

• Apps That Gives You Money
• Game App Make Real Money

Do you have an idea for a free mobile application but you doubt whether it's worth investing? How do free apps make money?

Your doubts are quite clear: the development of a top-notch mobile app requires a lot of time (typically, several months) and, more importantly, money. Before kicking off the development process, you should clearly understand how you’ll recoup your investments and how to make money with apps in 2020.

The Rakuten shopping app (formerly Ebates) is a well-established leader in money saving apps–the company’s been paying users back for over 20 years! The app offers cash back, in-store cash back, and a cash back button extension for online shopping. Shop almost every retailer on the planet and earn up to 40% cash back. 25 Side Hustle Apps You Need to Know About 1. Earn gift cards and cash from Swagbucks when you do things like watch videos, surf the web, and take surveys.

We’ve decided to help you get your idea off the ground and show how exactly you can make money on free apps.

The real money virtual economy game. The money earned in the game be converted into real cash. Corporation master tests your managerial and business skills. Virtual currency is earned by doing this like starting a company, become an investor and by working every day.

Free Apps Grossing Big Bucks

According to Sensotower, the App Store and Google Play users spent a total of $39.7 billion on mobile apps and games during the first half of 2019. This is a huge market you don’t want to miss out on

If you think that it’s the paid apps that bring the lion’s share of this huge revenue, you’re wrong. In fact, if you check the list of the top grossing mobile applications (including games) in the Google Play Store and the Apple App Store, you’ll notice they’re all free.

The vast majority of users on all continents prefer free mobile applications. In fact, the number of free app downloads is constantly rising. Statistics provided by Sensotower show that in the first half of 2019, free mobile apps downloads in Google Play increased by 16,4 percent and made up $41,9 billion. Whilst the App Store lost 1,4 percent in downloads. However, the overall tendency remains positive.

Developing a free mobile app is definitely the right business strategy.

Before shedding light on how to make money with apps, we’d like to draw your attention to another matter: correct app presentation. Remember that users must be able to quickly find your app and understand what it’s designed for.

Incite User Interest Through Accurate App Packaging

Apps That Gives You Money

As of the second quarter of 2019, there were 2.46 million apps (of all types) in the Google Play Store and 1.96 million in the Apple App Store. The competition is really strong!

How many users will find your free mobile app? How many of them will download it? No matter how good your app is and what monetization methods you use, you may still fail to attract customers without a clear app packaging.

Potential users of your app should be able to quickly find it through search in the Google Play Store and the Apple App Store. To make your mobile app visible and easy to find, you should provide it with an attention-grabbing name, an informative description, and screenshots

Want to get the first ranks on mobile app stores? Check these effective pre-launch marketing strategies.

Here are tips that will help you create a top-class app description:

Choose a Clear and Catchy App Name

Your mobile app should have a snappy name that reflects its major functions. Though many applications have names that convey nothing about their functionality, your app is likely to attract a lot more users if it has a name that hints at what it does. It’s particularly useful to include keywords in the app name.

For example, let’s look at LINE, one of the most popular non-gaming Android apps on the Google Play Store. As you can see, the full title contains an explanation of what this app does (i.e. it offers free calls and messages):

Here’s another example: Hulu for iOS. The full name of this app is “Hulu: Watch TV Shows & Stream the Latest Movies.” With this title, any user can easily see what Hulu is for, namely for watching TV shows and movies:

In general, the name of your app shouldn’t be too long – 100 characters at most. Think carefully about the name, as it’s the first thing people see and pay attention to when they’re considering whether your application is worth downloading.

Come up With an Informative App Description

The next step is to provide your app with a meaningful and informative description.

The first several sentences (up to the “Read More” or “More” buttons) of an app description should give general information and illustrate the app’s main idea. This part mustn’t be long – up to 225 characters. Few people read further, so make sure to tailor this part of the app description to perfection.

Let’s have a look at a great example of a brief yet informative description for Scrummer, a handy planning poker app for Scrum development teams that’s available in the Apple App Store:

Learn more about Scrummer’s endearing features and its lively interface.

In the main body of the description, you should mention what problems your mobile app helps to solve as well as go over its most important functions. Take a look at the description of Google Drive (in the Google Play Store). As you can see, it effectively explains to users what they can do with the help of Google Drive:

Make Eye-Catching App Screenshots

An app’s name and description are important, but users want to know how your app will look on their mobile devices. That’s why you should include several screenshots – and make sure you pick the best.

We recommend that you add some text to your screenshots, describing some functions of your application. Take a look at a screenshot for the LINE app on Google Play:

As you can see, this screenshot shows that the app can work on smartphones, tablets, and smartwatches.

Here are screenshots for the Uber app for iOS:

Note that Uber uses verbs in their screenshot descriptions, which is the correct approach. Verbs are the parts of speech used to describe actions.

People are more likely to act (i.e. to download your free mobile app) if they see verbs.

How to make money with free apps?

Now that you know how to package a five-star app, we can move on to explaining the strategies you can leverage to make money on free apps.

Strategy #1: In-App Purchases

In-app purchases is an extremely popular strategy used by thousands of apps in both the Google Play Store and the Apple App Store. In-app purchases allow users to buy something right in the app.

There are three major types of in-app purchases:

• Consumable. Consumables are products that a user can use only once: for example, virtual money or health points. Such in-app purchases are usually used in mobile games.
• Non-consumable. Non-consumables are features that users buy for permanent use: for example, additional functions or ad blocking (this is how free apps make money without ads).
• Subscriptions. Your mobile application may offer subscriptions that unlock some content or functions for a certain period of time. Subscriptions can be either non-renewing or automatically renewing.

Are you considering to implement in-app purchases in your app? We have a great guide on how to build a mobile payment app like Starbucks.

Strategy #2: In-App Ads

Ads are a driving force of the global market. They’re literally everywhere, and mobile apps aren’t an exception. In-app ads are actually tools of affiliate marketing. With in-app ads, you advertise your affiliates’ products (apps, games, etc.) inside your app and get paid if your users interact with those ads.

There are several types of campaigns used in affiliate marketing, so let’s mention the most popular:

• Cost per click (CPC). This model means that you get paid for each click on ads displayed in your mobile application. Typically, a single click is nearly worthless, so revenue is calculated on a cost per mille basis (mille is Latin for thousand).

• Cost per view (CPV). These campaigns are usually applied to video ads. The more times users of your app watch video ads, the higher payout you get.

• Cost per install (CPI). With this model, you get paid whenever a user of your app installs an advertised application.

If you wish to monetize your application through ads, there are many networks to work with, such as AdMob and Flurry. Most ad networks support apps on iOS and Android, as well as on some other mobile platforms. Also, don’t forget to check what kinds of campaigns they offer, since you need to understand what exactly you’ll be paid for.

There are several ways to display ads in your mobile app:

• Banners. Banner ads usually appear at the top or at the bottom of a screen and have some text and graphics. Banners are considered to be relatively unobtrusive, as users are able to keep using your mobile app even if a banner is active. However, banners have low click-through rates (CTR) and heavily depend on brand recognition (users are far more likely to click if a banner advertises some well-known brand).

• Native. Most people don’t like ads and try to block them completely. How can you reach out to the users of your mobile application, then? Use native ads that don’t really look like ads. Native ads are seamlessly integrated into mobile applications, making them subtle but quite efficient.

• Videos. According to an article by Invesp, the CTR of video ads is 1.84%, so they’re quite effective. Typically, video ads appear automatically when users interact with apps.

• Interstitial. These ads take a whole screen and typically appear when users launch or close an application. However, interstitial ads may also look like pop-ups appearing from time to time.

• Rich media. If you’re wondering what type of in-app ads is the most efficient, here’s the answer: rich media ads that, according to the previously mentioned eMarketer article, show a CTR of 0.44%. Rich media ads use multiple methods to reach out to users, including audio, video, text, and more.

In-app ads allow you to make money off free apps, but this monetization strategy works well only for applications with big audiences. If your app is a startup, don’t expect it to bring big bucks this way.

Strategy #3: Freemium

To benefit from the freemium monetization strategy, you need a second, paid version of your application. If users like a free version, they’re likely to opt for a paid one that has some extra functions.

With a freemium model, users are typically offered to upgrade an app to a paid version, and if they agree, they’re directed to an app store.

For example, have a look at MX Player, a popular video player available on Google Play. This mobile app has a free version, but it contains ads:

Users are offered a paid version of this app, called MX Player Pro. It’s the same in terms of functionality, but comes without advertising:

This monetization option is quite efficient, but you shouldn’t provide too many functions in your free app; otherwise, few users will shell out for the paid one.

Strategy #4: Sponsorship

Finding a sponsor is a really lucrative monetization model. Usually, it works this way: you create a mobile app that gains quite a lot of users, after which you contact a sponsor company and offer to update the design of your app to match the sponsor’s brand.

There are two types of sponsorship deals: you can either split the revenue with your sponsor or receive a monthly sponsorship fee.

The main difficulty of sponsorship is finding a sponsor. Needless to say, your mobile app should be good enough to be interesting to potential funders.

Strategy #5: Email Marketing

Email marketing has always been and still is a powerful money-making strategy. You can leverage this method and ask the users of your mobile app to provide their emails and, later, send them messages.

Adding a Facebook login option to your free app is a great way to subtly collect user emails. However, give users a chance to cancel email notifications, as this will make your app more credible and people will know they won’t be receiving loads of spam.

Tips for Choosing the Best App Monetization Methods

As you can see, there are many ways you can make money from free apps. You can pick one or opt for several strategies at once. However, there are several handy tips that will help you monetize your free app in the most effective way possible.

Consider the Business Goals of Your Free App

Any application has a business goal, which means it helps its users solve their problems. Therefore, you should select a monetization strategy based on your app’s business purpose.

For example, let’s say you wish to create a cool audio player with lots of sound adjustments. Can in-app purchases be an effective profit generating method? Probably not. Instead, you can opt for ads or offer an ad-free version with a subscription.

Or imagine that you launch an educational app. It can offer in-app purchases, such as access to additional functions or paid tips. Needless to say, such apps can contain ads as well.

Define Your Target Audience

You should clearly realize who you’re creating a mobile app for. Draw a user portrait and decide what functionality users need, how much time they’re likely to spend using your app, and so on. A clear picture of your target users allows you to create an app tailored to their needs.

Though your free app may boast large download numbers, the truth is that only a small part of your users (you may call them the money-spending core) will actually bring you profit by clicking on ads or making in-app purchases. The majority of users won’t spend a cent in your app. You may not like it, but that’s how it is in reality. Therefore, set a goal of attracting as many users as possible and do your best to succeed.

Research Your Competitors

If you’re thinking of launching a mobile application, you should carry out a competitor analysis. Explore the app stores you’re going to offer your free app in and search for similar apps. Next, find out what your competitors offer, what kind of designs they have and, more importantly, what monetization methods they use.

This information will help you learn from your competitors’ experiences and see what mistakes they’ve made so you can make your free app better and more helpful to customers. In the end, a better app means higher profits for you as its creator.

Don't Overuse App Monetization Methods

You shouldn’t make your free app inconvenient for users. If it’s full of ads or in-app purchases, your audience may stop using your app and install a similar one. App creators should always remember that their apps bring profits only as long as people use them.

Your users should feel comfortable when using your app, so be prudent and make all ads and offers in your app as subtle as possible.

Now that you know how free apps make money, you can give your idea a go and turn it into a real-life application.

Can’t handle the development process? Reach RubyGarage and our experts will help you build a successful and competitive mobile application.

We promise - this isn’t clickbait. We’ve done the nitty gritty research and below is a real list of apps that pay money to your PayPal account.

If you’ve got some extra time to spare, you can make money with apps for doing something as simple as turning off your lights.

Game App Make Real Money

These apps are legit and they make payments directly to your PayPal account. You don’t have to exchange points for coupons or other rewards you’ll likely never use. This is a list that gives you the good stuff: money to spend on the things you want to spend it on.

Let’s get started, beginning with our favorite one.

#1 OhmConnect

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Here’s a money making app that doesn’t make you watch boring ads or waste any of your time.

OhmConnect lets you save energy and earn money at the same time. Before signing up for the service, you must be registered with any of the following electricity companies:

• Pacific Gas & Electric Company (PG&E)
• San Diego Gas & Electric (SDG&E)
• Southern California, Edison (SCE)

If you are with one of those companies, you can sign up and start earning points that can be converted into a PayPal payment. The points you earn will depend on how much energy you save during peak periods and you can hundreds of dollars per year.

Try it. It only takes 3 easy steps to get start:

Step 1. Go to OhmConnect.com and connect your utility account

Step 2. Save energy during #OhmHours (they'll notify you when one is coming by sending you an email or SMS)

Step 3. Send money to your PayPal

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#2- Ibotta [US ONLY]

Ibotta is an app that pays you for shopping. If you buy your groceries or beauty products online, you can choose from a select number of items listed in the app.

After you make a purchase of those items, you’ll have to upload your receipt. Afterward, you’ll receive a rebate that ranges from $0.25 to $3 (or more). You’ll be able to get payment to your PayPal account after you’ve accumulated $20. When you submit your payout, you should receive your cash in just a few minutes.

Download Ibotta - iOS Android Web

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Other Apps that Pay to Shop:

#3 - Receipt Hog:iOS Android Web

#4 - ShopKick:iOS Android Web

#5 - Mobee App:iOS Android Web

#6 - CashPirate

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If you enjoy playing games, completing surveys, or watching videos, CashPirate is a money making app you may want to check out. You can choose which money making options you like best and earn extra cash whenever you have the time.

If you invite your friends to join, you can get an additional 10% bonus from their earnings. When your friends refer another friend, you’ll get 5% more.

For every 1000 coins, you earn $1. You must earn at least 2500 coins before you’ll be able to cash out and send money to your PayPal account. You can expect to earn 50 coins for downloading an app.

Download CashPirate - iOS Android Web

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Money Making Apps Similar to CashPirate:

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#7 - AppKarma: iOS (Invitation Only) Android Web

#8 - Make Money:iOS Android

#9 - Panel App:iOS Android Web

#10 - FeaturePoints:iOS Android Web

#11 - SwagBucks

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If you enjoy taking surveys, you can earn as much money as you can answer with SwagBucks.

SwagBucks is one of the top known money making apps that actually pays users through PayPal. They have endless surveys to take and you can also earn money by playing games, shopping online, weekly contests and more.

You don’t have to cash out through PayPal, you could also accept some of their other rewards with Amazon or another gift card to a location of your choice.

Download SwagBucks - iOS Android Web

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Survey Taking Apps That Pay Similar to SwagBucks:

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#12 - GlobalTestMarket:Web

#13 - PaidViewPoint:Web

#14 - InstaGC:Web

#15 - Toluna:iOS Android Web

#16 - CashCrate:iOS Android Web

#17 - SlideJoy

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Get paid just for locking your screen. SlideJoy is an app that pays you to place ads or news on your screen. It’s one of the most simple ways to get paid and you can even choose to see trending news tailored to your interest.

Download SlideJoy - Android Web

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Apps that Pay like SlideJoy:

#18 - Fronto:Android Web

#19 - AppTrailers

AppTrailers lets you get paid for watching videos and you can put real money into your PayPal account.

Whenever you watch videos Google play or any other web based browser, you’ll get rewarded. You’ll be watching ads and you may you be participating in market research from Nielson’s TV Rating. You can learn more about this in their privacy policy.

Download AppTrailers - iOS Android Web

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Get Paid with Apps Similar to AppTrailers:

#20 - Viggle: iOS Android Web

#21 - SwagBucks Watch (TV): Android Web

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A Word of Caution About Apps That Pay

When you’re downloading unfamiliar apps that pay, be sure that you trust the source. The list above was carefully selected, however not all that claim to give you free money live up to their claim.

We’ve written an article that should serve as a fair warning about downloading apps on your phone and what precautions you should take.

The most important thing is to protect yourself and use your time effectively when making money with apps on your phone.

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