How mobile app development can be a very high-profit investment

Mobile app development can be a hugely profitable investment for those who invest in their ideas.

The benefits of owning your own company, making your own profits and reaping the benefits of the glorious tax benefits for businesses(assuming you’re in the usa) are insane!! Let’s cover about 6 if these shall we.

1. Using other people’s money you can launch your startup in the ether(private investors, banks, y-combinator, grants) Your start ups value is based on how much it is valued.

Make sure you don’t take too much funding at once or you could actually be undervalued if you aren’t actually super profitable right away.. Start low. It’s easier to get more investments if you show you are actually not overvalued.

This is key. If you’re investors see that people are investing in your company at 500k but your company only makes 50k the first year, be aware that your next evaluation might not go so well.

It would be better to get investors to give you a total of 70k and you make 100k or investors give you 40k and you make 50k. In other words, do your research and don’t screw-up. Your pockets will thank you.

2.  The other way you can make money from mobile app development is via ads. Let’s say you’re mobile app is developed and people like it and your users base is growing.

The amount of money you get from each ad is based off your niche and the ad company you choose.( most people just go with admob). If you get 100k users in the first few months that would be great.

But depending on the niche you might not get that much of a return right away. However, if you keep that growth and by the end of the fourth quarter if you have 500k users or even a million then you are really going to start making some mad bank. But you aren’t done.

You will then need to ramp up development to keep those users engaged and keep the competition from catching up with you.. Realistically, mobile app development should probably never stop, especially if your entire purpose of mobile app development is to make a high profit investment as our title suggests. The reality is not everyone can afford a development team 52 weeks of the year.

3.  Maintaining profitability - The third way investing in mobile app development can be a high-profit investment is by simply analyzing your user data if you have not been already doing this(best case scenario you were doing this since day 1, to establish a market need and understand your demographics) analyzing your demographics and where your traffic is coming from and what your users are doing on your mobile app is going to be key in making sure you are able to please your customers.

Your users are on your app because you have met a need. The best way to keep your users is to make sure you understand their needs and double down on them.

You also need to keep their engagement as much as possible. If you can do these things you will have a very successful mobile app. Lazy casual games are super famous for meeting all these metrics due to their super wide audience reach and very addicting monotonous but engaging content.

Think speed running games or games where you catch fish, coins or press on colorful jewels. These are honestly just a lot of re-used code to make the development easier and to allow the app development company to push out as many games as possible in that quarter or year.

4.  Pivoting - At some point in your apps lifespan you will find yourself losing your users attention, losing users entirely or losing revenue because users are not buying things in your mobile app.

Whatever the deal is when this happens (this is inedible, you should plan for it.).

You need to know how to pivot based on the current market and the current needs of your demographic(assuming your demographic is not just aging out , and you need to target new users that fit the initial demographic) If you can successfully pivot in these times you will be very successful and you will do fine in your industry/niche.

5. Getting acquired - The last way mobile app development can be a very high-profit investment is by getting acquired, as many companies are actually only made for the sole purpose of making a successful exit and letting another company take on the real risk. This is actually super common. Many startups are simply sold to bigger companies who don’t want to develop the same tech, don’t have time or simply can’t develop the same tech.

Companies like google, Facebook, yahoo and even amazon are pretty well known for doing this. Basically anything faang might want to buy you out if you make any real traction on the market and honestly you should probably sell and then repeat. Obviously this decision is yours, but in my experience it’s best to not push your luck.

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