Health apps on mobile devices remain one of the most sought-after categories despite all applicable security regulations, outstripping productivity and fitness apps as an increasingly popular category of apps for use on mobile devices. Their popularity continues to expand steadily; market estimates predict the demand will surpass $213.6 billion before 2025 and entrepreneurs often view healthcare and wellness app development as an ideal area of investment.
However, what factors contribute to an increase in revenue related to mobile health apps and how can healthcare apps make money? In this piece we will give an overview of monetization models available for healthcare apps so you can select one best suited to meet the requirements of your business.
Most Common Monetization Models for Healthcare Apps
Finding an optimal approach for monetizing an app designed for mobile health requires extensive consideration of both company goals and client specifications. Selecting an ideal monetization model before beginning development of an app for wellness apps services will influence its design significantly; additionally, using wellness app development services requires selecting an effective long-term monetization strategy in order to guarantee long-term success and sustainability of any development effort.
Freemium Model
The model featured here is among the most popular in every application category. Essentially the application’s basic functions are accessible, but the more sophisticated and premium options are offered for a fee. The fees are typically charged either monthly or every year. It’s also standard policy to give users various feature packages from which they can choose, from the cheapest to the most costly. Every user is given a no-cost trial to ensure that they can get an impression of the features they’re spending money on.
In-App Advertising
It is simple to set up because it provides quick ways to make money from health applications. However, ads must be targeted and relevant, not disrupt users’ experiences. You can partner with companies that offer mobile ads within your region using technology such as Beacon RFID and Beacon NFC to create ads that provide your customers with goods or services available in their local zone.
Advertising in-app is provided on a pay-per-click or pay-per-view basis. A few of these ad agencies use video advertisements and offer app owners a payment proportionate to the number of video clips seen by app users.
Content Monetization
In the realm of healthcare, having access to pre-vetted and certified material is a big difference. Although the Internet has a wealth of information, it must be scientifically confirmed and updated. Giving access to this content in exchange for payment is one of the effective ways to make money for apps that focus on healthcare. Doctors and patients alike may want to access reliable data sources on many aspects of healthcare.
In-App Purchases
The model can be pretty complicated, yet it’s one of the top-paying in healthcare. For the best results, your app should have a market and provide users with appropriate goods and services. For example, customers can book appointments and pay in advance to doctors, purchase medications or nutritional supplements, or join workout routines online. Earn money by the cost of each purchase.
Data Monetization
Developers of apps can earn substantial profits by selling data about users to third-party businesses, which is why this is a well-known approach employed by a number of the most effective apps for fitness and health currently available.
The app monetization model takes advantage of the growing demand for information from the consumer by gathering data on exercise and sleep habits, nutritional intake, and more. It then sells the data to businesses that use it to conduct research or for marketing for marketing or research purposes.
For example, Strava sells user data and other metrics to city planners and transportation businesses that use it to develop cycling and pedestrian facilities.
Promotions, Partnerships, and Partnership
The model you follow requires the collaboration of third organizations interested in advertising their services using the app. For example, you could partner with a drugstore or medical center within your area, standalone healthcare professionals, fitness or medical equipment producers, and others to the mutual advantage of all. Collaborating with your partners will make customers profitable since they’ll gain access to a broader range of wellness and health items and services.
Affiliate Marketing
Affiliate marketing involves working with other businesses to market their services or products within the app. The app’s monetization method is based on earning a percentage per sale via authentic referral links.
A fitness and health app could collaborate with a supplement manufacturer to earn a fee for selling any of its items. An example would be the Fitness Blender app, which encourages the use of affiliate fitness equipment and supplements by incorporating links inside the application.
Sponsorship
The model is similar to a prior model, as sponsorship is an exclusive relationship. Your application will show the banners and advertisements of your sponsors, offering discounts to sponsors and advertising their products, all on a limited basis. The app, for instance, could promote a particular medical center and show the center’s name on each display. In general, sponsorship advertisements are typically much more static than standard ads.
Subscribe Model
This proven and reliable way of monetizing customers allows them access to your application as a subscription service. These fees could be limited to a particular user group, for example. A telemedicine application, for instance, might charge monthly fees to health professionals who want to be featured in the application.
You can also opt for a subscription if you believe your app offers exclusive content or trendy products. For example, if the app targets patients suffering from unusual and rare health conditions, you could opt for a subscription option.
Wellness Application Development Procedure
Before you begin creating a software-based product, it is essential to complete an array of tasks to help ensure that you’ve taken the best path for the idea’s realization. Additionally, an organized preparation phase can help reduce the risk of financial loss due to releasing software that doesn’t gain customer acceptance.
Below, you will find an easy step-by-step manual that will assist you in organizing the process of wellness app development in the best way.
Ideation
In the beginning, consider the idea behind your app. Identifying your market, audience, and application’s nature is essential. In this stage, we strongly recommend conducting a thorough market analysis to determine the popular apps and users’ expectations. Based on the outcomes of this study, you’ll be able to develop your ideas.
Cooperation with Developers
Once you have a clear idea of the product or service you’d like to create, you must fund experts who can turn your idea into an actual product.
Review of the Specifications
With the development team, you’ll need to define the project’s scope, prepare a plan of action and budget, and identify the necessary technology stack and tools.
MVP Development
The step is optional. However, we generally advise clients to avoid this. Launching a minimally feasible product can help you evaluate the idea in its own right and also gather user opinions. Based on their views, the product will be able to determine if you are required to modify your product. Because an MVP is a small product with only the most fundamental features, the investment you invest will be substantially lower than developing a complete product. In the end, you will be able to avoid significant financial risks.
Development and Design
Programmers will create functionalities based on the requirements provided while designers design interfaces.
Testing and QA
Your team must run a series of tests to ensure that the product is bug-free and functions as it should. Specific tests should be conducted in conjunction during development, while others should be completed after programming is completed.
Release
Once your software has been thoroughly tested, the solution can be made available to ensure users can access it.
Maintenance and Support Post-Launch
While your app may be running smoothly, you and your team have lots of work to accomplish. It’s essential to keep track of its performance so that you can spot security vulnerabilities and threats and fix the issues. Additionally, it would be best to ensure that your application is updated and fully meets users’ demands. Getting users’ comments to improve your app by adding new features that people want is a great idea.
Conclusion
Making money with a healthcare application takes careful planning and execution; developers can earn revenue by providing value to customers through offering premium and accessible information, subscriptions and in-app purchases, sponsorship opportunities and data monetization possibilities; developers can build an efficient yet profitable application for healthcare use. Working with a wellness app development company can ensure the app meets both effective and profitable criteria.
The effectiveness of every monetization method is likely dependent on the app’s user base, its distinctive “pains,” and the company’s goals. A combination of different models to monetize is possible. Many apps use a subscription fee and in-app advertising to earn money from purchases per purchase.
