Mobile apps will make $$$ billions in 2011 – how will they be monetized?

In-app billing gains momentum

Gartner mobile apps revenue

Gartner forecasts that by 2014 mobile apps revenue will reach $58 billion

According to Gartner, apps will generate $15 billion in revenue in 2011, they also go as far as forecasting that by 2014 this figure will reach $58 billion. So a question to ask is, how are these apps going to be monetized?

Although advertising is one of the business models that has helped generate revenue from mobile apps, at Bango we believe that in-app payments is by far the one that will be a key driver in this revenue boom. App developers and brands are getting savvier and have already started experimenting with different revenue generating models to make money from their apps. On the other hand, app stores are adopting a more open approach to drive more revenue. Just this week, Google announced that it will be adding in-app payments to the Android Market, with carrier billing being integrated as well.

Consumers are now more comfortable with the idea of paying for applications and are more familiarized with the various payment models on offer. At the end of last year Bango forecasted that in-app revenue alone will experience a growth of 600% in 2011. Despite an initial slower than expected adoption, in-app payment is now being implemented by many leading developers, who are innovating and looking beyond the traditional payment models to capture greater revenue.

At Bango we’ve been helping leading developers monetize their apps by delivering a complete in-app billing solution that allows them to collect one-time payments or start ongoing subscriptions within their app, using carrier billing, credit cards or PayPal. We want to make things easier for them and give them control over their apps, so they can offer their customers a simple and consistent application payment experience that works across multiple platforms.

Our in-app billing solution offers developers the option to use a direct billing API to collect payments from consumers without the need to open a web browser. The developer controls the entire payment experience, including pricing. It provides a seamless user payment experience that delivers a higher payment success rate.

Whatever you do, take advantage of the mobile apps boom and the rewards that in-app billing delivers if you are either a developer or a content provider. And consider the value that mobile billing partners like Bango add, when it comes to capturing revenue from your mobile apps.

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