Mobile app monetization isn’t just about slapping ads on screens or hoping users will pay. It’s a game of precision. Every choice you make—whether it’s about pricing, design, or how you talk to your users—impacts your bottom line. This article dives deep into the key metrics you need to track, particularly ARPU (Average Revenue Per User) and retention rates. But we’re not stopping at definitions—we’ll unpack 30 crucial stats and turn each one into a mini masterclass on improving your mobile app’s performance and revenue. Let’s get straight to it.
1. The average ARPU for mobile apps globally is $0.50 to $2.00 per user per month
Understanding the Basics of ARPU
ARPU—Average Revenue Per User—is one of the most important numbers in your business. It tells you how much each user brings in on average every month. When you know this number, you can make smarter decisions about marketing, pricing, and even product features.
Globally, most mobile apps see ARPU fall somewhere between $0.50 to $2.00. That’s not a lot. And that’s exactly why getting more users alone won’t save a failing monetization strategy. You need to get strategic.
Why This Range Matters
This range is a reality check. If you’re expecting every free user to generate a few dollars on their own, you’re likely setting yourself up for disappointment. This stat tells you that most apps need scale—lots of users—to hit serious revenue numbers.
But more importantly, it pushes you to ask: how can I improve my ARPU? That’s where the magic lies.
How You Can Raise ARPU
There are three big levers:
- Improve monetization from current users through features like in-app purchases or subscriptions.
- Increase ad revenue by optimizing placements or experimenting with different ad networks.
- Encourage upgrades—give users a reason to move to paid tiers with clear value additions.
Action Step
If you don’t already know your ARPU, calculate it today. Take your total revenue from the last month and divide it by your total number of active users that same month. Start tracking it every month. When ARPU goes up, it means you’re doing something right.
2. Gaming apps tend to have a higher ARPU, ranging from $1.50 to $6.00+
Games Are in a League of Their Own
If your app is a game, you’re already playing with a monetization advantage. The ARPU in mobile games is significantly higher—ranging from $1.50 to over $6 per user. Why? Because games are naturally engaging. They create opportunities for in-app purchases and rewarded ads that users actually enjoy.
Why Users Pay More in Games
Gamers love progress. And when progression is tied to in-game currency, power-ups, or cosmetics, people are more than happy to spend a few dollars to win faster or stand out. That’s something non-gaming apps rarely achieve as easily.
Also, games tend to have addictive mechanics—daily rewards, competitive leaderboards, and leveling systems—that keep users coming back and spending.
How to Apply This Even if You’re Not in Gaming
Even if your app isn’t a game, you can still learn from this model:
- Gamify your app’s experience. Add points, levels, or rewards.
- Offer cosmetic upgrades or bonus features for a small price.
- Make users feel progress. When users see growth, they’re more likely to pay to speed it up.
Action Step
Identify one way you can introduce a reward system or sense of achievement in your app. It could be as simple as earning badges for completing tasks or unlocking a feature after repeated use.
3. Subscription-based apps often see ARPU upwards of $10/month
Why Subscriptions Crush Other Models
Subscription-based apps are like gold mines—when done right. Instead of hoping someone makes a one-time purchase, you’re building a recurring revenue stream. And that stability is incredibly powerful for growth and planning.
Many top-performing subscription apps see ARPU levels at $10 or more per user each month. That’s 5 to 10 times higher than freemium or ad-based models.
Why This Works
People will pay for value. If your app helps them solve a problem consistently—like fitness tracking, meditation, productivity, or business management—they’re happy to subscribe. What matters is that your offer must feel like it’s saving them time, money, or effort.
It’s also easier to test pricing with subscriptions. You can offer monthly, quarterly, and annual plans. You can test free trials, one-time lifetime access, or premium tiers.
What You Need to Watch Out For
The biggest risk with subscriptions? Churn. If users don’t see ongoing value, they’ll cancel. That’s why your onboarding and retention strategies matter even more when you’re on this model.
Action Step
If you don’t already have a subscription model, consider adding one. Start with a free trial or freemium plan that teases the full benefits. Monitor churn rates closely and continuously improve the experience to keep users subscribed.
4. Freemium models can convert 2%–5% of users into paying customers
The Power (and Pitfalls) of Freemium
Freemium is a great way to attract a lot of users—but it only works if you know how to convert them. Most freemium apps convert between 2% to 5% of their users into paying customers. That sounds low, but with the right volume, it can mean serious revenue.
Why Conversions Stay Low
People love free stuff. And unless your premium offer is extremely compelling, most users will happily stay on the free plan forever. Your goal is to make them want to pay.
This means:
- Creating a strong “aha moment” in the app
- Limiting free features just enough to show value
- Offering premium benefits that feel indispensable
Getting Users to Upgrade
Timing matters. Don’t ask users to upgrade too early, but don’t wait too long either. Show them what they’re missing in subtle but effective ways—like graying out premium features with a “pro only” label.
Also, consider limited-time discounts or bonus features to increase urgency.
Action Step
Set up an in-app trigger to offer upgrades at the right moment—such as when a user hits a usage limit or completes a milestone. Track how many users see this prompt and how many convert. Improve it over time.
5. Hybrid monetization (ads + IAP) can boost ARPU by up to 30% over single-revenue models
Mixing Revenue Streams Smartly
If you’re relying on just one revenue model—like ads or in-app purchases (IAPs)—you’re leaving money on the table. A hybrid monetization approach, which combines ads and IAPs, can boost ARPU by up to 30% in many apps. That’s a significant gain without needing to acquire more users.
Why It Works
Different users have different spending habits. Some will never make a purchase, but they’ll watch ads. Others hate ads and are willing to pay to remove them. A hybrid model lets you earn from both camps.
You also give users options. For instance, a player in a game can either spend money to get extra lives or watch a video ad. You’re monetizing the same feature two different ways.
Balance Is Key
The challenge is keeping the experience smooth. Too many ads? Users quit. Too pushy with purchases? Same result. You need to balance your monetization with user experience.
One strategy that works well is to offer ads as an alternative to payment—for example, “Watch a video to get 10 coins” instead of “Buy 10 coins for $0.99.”
Action Step
Audit your monetization strategy. Can you introduce ads in a way that rewards users instead of interrupting them? Or can you layer IAPs over a free ad-based model for users who want more?
6. The average Day 1 retention rate is 25%, but top-performing apps can achieve 40%+
First Impressions Are Everything
Retention starts from Day 1. If a user downloads your app and doesn’t come back the next day, there’s a good chance they never will. The average Day 1 retention hovers around 25%, which means 75% of your users vanish after just one day. But the best apps? They hit 40% or more.
Why This Number Matters
Day 1 retention is a leading indicator of your app’s long-term success. A poor Day 1 rate means users aren’t finding value fast enough. A high rate suggests your onboarding and initial experience are working well.
How to Improve Day 1 Retention
It all starts with your onboarding. Keep it short, interactive, and focused on showing value immediately. Let users do something meaningful in their very first session.
Other tactics that help:
- Push notifications that remind users of what they started
- Highlighting a reward they’ve unlocked or are close to unlocking
- Making the first experience frictionless—no signups or long tutorials
Action Step
Watch five new users go through your onboarding. Where do they pause? What makes them drop off? Fix those friction points and test again. Small changes here make a big difference in Day 1 retention.
7. Day 7 retention averages around 10%–15%
The Make-or-Break Week
If users are still using your app after a full week, you’ve crossed a major hurdle. But most apps lose the majority of users by Day 7, leaving only 10%–15% sticking around. That means your app needs to do a lot more than just deliver a good first impression.
What Keeps Users Coming Back?
Habit formation. That’s the secret. If your app becomes a part of someone’s daily or weekly routine, they’ll keep using it. To do that, you need to:
- Provide ongoing value (not just a one-time benefit)
- Have reasons to return (new content, streaks, daily goals)
- Make it easy and fast to use
One overlooked factor is timing. Are you reminding users at the right moment? Sending a push at 9am for a meditation app makes sense. Doing that for a game? Not so much.
The Danger of Falling into the “One-Use App” Trap
Apps that solve a one-time problem often struggle with retention. If someone downloads your app to solve a task—and you don’t give them a reason to stay—they won’t. You have to go beyond your core utility and offer extra layers of value.
Action Step
Set up a 7-day retention drip campaign with in-app messages or push notifications. Each day should deliver a reason to come back—whether it’s a tip, new content, or a reward.
8. Day 30 retention drops to 2%–4% on average
The Long-Term Retention Challenge
Let’s be honest: most users are gone by Day 30. With only 2% to 4% sticking around after a month, it’s clear that long-term retention is a tough nut to crack. But the apps that figure it out are the ones that become category leaders.
Why It Drops So Drastically
Many apps front-load their value. Users get excited, explore features, and then… nothing new. No progression. No surprises. They lose interest. Worse, some apps force too much early friction and fail to build a relationship.
Another factor? Life. People get busy, distracted, or bored. If your app doesn’t earn its place in their daily habits, it gets deleted or forgotten.
What Helps You Beat the Drop-Off
You need to continuously surprise and delight. This could mean:
- Rolling out new features gradually
- Offering seasonal or timed content
- Sending personal nudges based on user behavior
Also, try to segment your users. Power users might love new features. Casual users might respond better to reminders or gamified challenges.
Action Step
Create a retention calendar. Plan something new to offer or remind users about every week for the first month. Test which touchpoints actually bring people back and focus your efforts there.
9. Retaining users beyond Day 30 can improve LTV by 60% or more
The Hidden Revenue in Retention
Lifetime Value (LTV) is where the real profits come from. And the longer a user sticks around, the more they’re likely to spend. Retaining users past Day 30 doesn’t just help your vanity metrics—it can raise your LTV by 60% or more.
Why Retention Boosts Revenue
When users stay longer, they:
- See more ads
- Make more purchases
- Are more likely to upgrade or subscribe
And most importantly, loyal users refer others. Word-of-mouth is still one of the best growth channels, and it doesn’t cost a dime.
The Compounding Effect
Think of retention as a compounding investment. Every extra week a user sticks around adds more value to your business. You already paid to acquire them—retention just increases the return on that investment.
Action Step
Map out your user journey post-Day 30. What’s missing? Are you still providing value or are users just coasting? Introduce loyalty rewards, exclusive content, or even occasional “we miss you” campaigns to keep them engaged.
10. Apps that onboard users effectively can increase retention by up to 50%
First Moments Matter Most
You only get one shot at a great first impression. If users feel confused or overwhelmed when they open your app, they’re gone. But a smooth, clear onboarding process can lift your retention by up to 50%.
What Makes a Great Onboarding Flow
- Keep it short—ideally under 60 seconds
- Show real value fast—don’t just explain, demonstrate
- Let users take action right away
Interactive onboarding works better than slideshows. Let users try things. Guide them with tooltips or simple walkthroughs.
Personalization Helps Too
If your app can ask just one or two smart questions—like “What’s your goal today?”—and tailor the experience around that, users feel like the app is made just for them.
Action Step
Revisit your onboarding flow this week. Cut any screens that don’t clearly deliver value. Add interactive elements where users can experience the core benefit quickly. Test it with new users and keep refining.
11. Push notifications can boost app retention by up to 190%
The Gentle Nudge That Keeps Users Coming Back
Push notifications, when used well, can do wonders for retention. We’re talking up to 190% increase in some cases. That’s not a typo. But here’s the catch—most apps mess this up. Instead of nudging users back, they annoy them. And annoyed users don’t stick around.
What Makes a Push Notification Work?
It all comes down to relevance, timing, and tone.
Bad push: “Come back to our app!”
Good push: “You’re just 2 steps away from completing your habit streak.”
The best notifications feel helpful, timely, and personalized. If it looks like a mass-blasted message, people tune it out or worse, uninstall your app.
Timing Is Everything
Send a push too early and you interrupt. Send it too late and they’ve already lost interest. Ideally, base your pushes on real behavior: Did a user leave mid-task? Didn’t complete onboarding? Hit a milestone?
Use that data.
Action Step
Start small. Choose just one event-based push to set up—like reminding users 24 hours after they start but don’t finish a key action. Measure its effect on Day 2 and Day 7 retention. Then iterate.
12. A 5% increase in retention can lead to a 25%–95% increase in profits
Small Changes, Big Payoffs
This stat is a game-changer. If you improve retention by just 5%, you can grow profits by up to 95%. Why? Because it’s way cheaper to keep users than to find new ones.
The Math Behind It
When users stick around longer, you’re getting more revenue from each one. Whether it’s ads, purchases, or subscriptions, everything compounds. Plus, you don’t have to spend more on acquisition.
Retention also leads to trust—and trust leads to spending.
Where to Focus
You don’t need to overhaul your app to get a 5% boost. Start by fixing leaks:
- Do users drop off after sign-up?
- Is onboarding confusing?
- Are features hard to discover?
Fixing just one of those can easily earn you that 5% gain.
Action Step
Use analytics tools to find where users drop off most. Choose just one of those weak points and run a test—simplify it, clarify the message, or offer help. Track if it changes retention a week later.
13. Subscription apps with free trials have 2x–3x higher conversion rates
Let Them Try Before They Buy
Free trials work. They remove friction and let users experience the full value of your app without a commitment. And when used right, they can double or even triple your conversion rates.
Why It Works
People don’t like risk. A free trial removes it. Users get to test the product on their own terms, and when they experience how helpful it is, they’re more likely to pay to keep it.
But here’s the thing—trials only work if they’re backed by value. You can’t offer a broken or half-baked experience and expect people to convert.
Nailing the Trial Window
Don’t just pick 7 days because everyone else does. Think about how long it takes users to get value from your app. For some, 3 days is enough. Others need 14.
Also, make sure users know what’s coming—when the trial ends, what features are going away, and how to continue. Be transparent. It builds trust.
Action Step
If you’re running a subscription model, test a free trial this week. Start with 7 days. Track not just conversions, but engagement during the trial—that’s your lead indicator of success.
14. Average revenue per paying user (ARPPU) in mobile games is typically $20–$40
Not All Users Are Equal
While ARPU shows you the average revenue across all users, ARPPU focuses on the ones who actually spend. And in mobile games, those users bring in serious cash—anywhere between $20 to $40.
Why This Number Matters
It helps you understand just how valuable your paying users are. You might only convert 2% of your base—but if they each spend $30, that adds up fast.
Knowing your ARPPU helps you answer critical questions:
- Can I spend more to acquire paying users?
- Should I segment my features for whales (big spenders)?
- Is my current pricing too low or too high?
Building for High-Value Users
You don’t have to cater only to high spenders, but you should give them opportunities. Think bonus packs, VIP rewards, or exclusive content. These users often want ways to show off their status.
Just be careful not to make your app pay-to-win or alienate free users. It’s a balance.
Action Step
Calculate your ARPPU. Take total revenue from purchases and divide it by the number of paying users. Then, identify what percentage of users contribute most of your revenue. Focus on retaining those users.
15. In-app advertising accounts for over 50% of app revenue in many freemium apps
Ads Aren’t Just a Backup Plan
For freemium apps, ads often generate more than half of total revenue. And we’re not just talking about games. News, lifestyle, entertainment—they all thrive on ad revenue.
When Ads Work Best
In-app ads work when:
- You have a large user base
- Your sessions are frequent and long
- Users don’t convert to IAP or subscriptions
In those cases, ads are your best monetization friend.
But user experience is key. Show too many or too often, and users uninstall.
Best Ad Formats Right Now
Rewarded video ads are king. Users choose to watch in exchange for value—like a bonus or hint. Banner ads? Usually the least effective. Interstitials? Risky unless timed well.
You want to use ads that fit into the experience, not disrupt it.
Action Step
Test one new ad format this week—preferably rewarded video. Track revenue and retention for users who see it vs. those who don’t. You’ll quickly see if it’s worth scaling up.
16. Rewarded video ads can increase IAP by up to 40%
The Win-Win Ad Format
Rewarded videos do something magical: they increase both ad revenue and in-app purchases. Some studies show that they can boost IAP by up to 40%.
Why It Works
These ads give users a taste of premium content. And once they get used to the benefits, some decide it’s worth paying to skip the ads altogether. It also builds a habit—if a user watches three videos to get coins, they might eventually buy coins to save time.
It’s all about exposure and value perception.
When to Use It
Timing is everything. You want to offer these ads at high-friction points:
- When a user runs out of currency
- When they fail a level
- When they need a boost
This gives them a clear, meaningful reward—and reminds them of what paid content unlocks.
Action Step
Implement one rewarded video at a key point of user frustration or desire. Don’t just insert it randomly. Watch how it affects both ad engagement and IAP over the next week.
17. Native ads yield 13% more revenue than interstitials on average
Ads That Feel Like Content Perform Better
Native ads are designed to look and feel like part of your app. And guess what? They don’t just look nicer—they actually perform better. On average, they bring in 13% more revenue than interstitial ads.
Why Native Ads Work
Users have developed “banner blindness.” They skip or close anything that obviously looks like an ad. But when you embed an ad that matches the design, tone, and flow of your app, it doesn’t feel intrusive.
That leads to:
- Higher engagement
- More clicks or views
- Less disruption
In contrast, interstitials (those full-screen pop-ups) often annoy users—especially if they appear at random or after every few actions.
Seamless Integration Is Key
The best native ads are so well integrated that they feel like suggestions rather than pitches. Think of product listings inside a shopping app or content recommendations in a reading app. The trick is transparency—users should know it’s sponsored but still feel interested.
Action Step
Replace one of your interstitial ad placements with a native ad this week. Use your analytics to compare performance—look at clicks, time spent, and impact on user flow. Iterate based on what fits your audience best.
18. Android users generate 20%–40% less ARPU compared to iOS users
Platform Matters More Than You Think
It’s a tough truth for developers: iOS users spend more. In fact, ARPU on Android tends to be 20% to 40% lower than iOS. That doesn’t mean you should ignore Android—but you do need to plan differently.
Why the Difference Exists
There are a few reasons for this gap:
- iOS has a more affluent global user base
- iOS users are more accustomed to paying for content
- App Store policies and UI make purchases smoother
Even with more Android users globally, monetizing them can be more challenging. That’s why successful apps often roll out premium features or pricing tests on iOS first.
What You Should Do About It
Know your audience. If most of your users are on Android, lean more heavily on ad monetization, rewarded content, or hybrid models. If you’re strong on iOS, focus on IAP and subscriptions.
Also, consider regional patterns. In some markets (like Japan or South Korea), Android users may behave differently.
Action Step
Segment your user base by OS and compare their revenue behaviors. Tailor offers, pricing, and even user flows to fit each group. Don’t treat both platforms the same—they respond differently.
19. Retargeted users are 70% more likely to convert than new installs
The Second Chance That Pays Off
Most users won’t convert the first time they download your app. But if you bring them back, there’s a 70% higher chance they’ll convert compared to someone brand new.
That’s the power of retargeting.
Why Retargeting Works
Users who left already have some familiarity with your app. Maybe they didn’t complete onboarding or got distracted. Retargeting gives you a shot to bring them back—with a more compelling offer or reminder.
And these users are already lower down the funnel. You’ve done the hardest part—getting their attention. Now, you just have to close the loop.
How to Retarget Smartly
Use push notifications, email campaigns, or paid retargeting ads to:
- Remind users of what they left behind
- Offer time-sensitive discounts
- Show new features or improvements
Just make sure your messaging is personalized and timely. Generic blasts won’t cut it.
Action Step
Set up a simple retargeting campaign for users who uninstall within 3 days. Use clear, personalized messaging that highlights the value they missed. Track how many re-install and convert.
20. Subscription churn rates range from 3%–10% monthly, depending on vertical
Churn Is the Silent Killer of Subscription Revenue
Subscriptions are amazing for predictable income—but churn eats away at your growth if you don’t stay on top of it. Across most industries, monthly churn rates range from 3% to 10%.
That means if you have 1,000 paying subscribers, you could be losing up to 100 every single month.
What Drives Churn?
- Lack of perceived value
- Poor onboarding
- Unclear billing
- No usage habit
Even worse? Silent churn—when users forget they subscribed and cancel as soon as they notice.
Combatting Churn
Focus on engagement, not just acquisition. If users aren’t logging in regularly, they’re more likely to cancel. Send value-packed emails. Give progress updates. Add new features that matter.
Also, consider offering “pause” options instead of cancel. Sometimes users just need a break.
Action Step
Start tracking churn actively. Survey users who cancel—ask why, and then bucket the reasons. Fix the top two issues and run tests over the next month to reduce your rate.
21. Monthly active users (MAU) to daily active users (DAU) ratio ideally ranges from 20–30%
Are Your Users Really Engaged?
This stat shows how often your users come back. If your DAU/MAU ratio is between 20% and 30%, you’re in a healthy range. It means people are engaging frequently—not just installing and forgetting.
What the Ratio Tells You
- Below 10% = users drop in randomly
- 20–30% = good engagement
- Above 40% = your app is addictive (in a good way)
Apps with higher ratios usually offer daily value—whether it’s tasks, rewards, or fresh content.
Improving Your Ratio
You want users to find a reason to come back every day or at least every other day. That could mean:
- Daily streaks or rewards
- Personalized content feeds
- New lessons, updates, or notifications
You don’t have to be a game to be “sticky.” Even finance apps can drive daily use if they offer insights or reminders.
Action Step
Calculate your current DAU/MAU. If it’s below 20%, brainstorm three quick-win features to encourage daily use. Test one next sprint and monitor how it affects this ratio.
22. Time spent per session correlates positively with LTV—more than 5 minutes/session tends to drive higher revenue
Engagement Equals Earnings
It’s simple: the longer people use your app, the more likely they are to spend money. Apps where users spend 5+ minutes per session generally have a much higher LTV.
Why Time Matters
Longer sessions mean users are:
- Exploring features
- Getting value
- More likely to discover premium content
Short sessions often mean confusion, lack of interest, or a poor experience. Fixing that can dramatically improve monetization.
Boosting Session Duration
Here’s how you can do it:
- Reduce friction (load time, navigation)
- Add micro-goals or challenges
- Personalize content or flow
Also, pay attention to when users drop off. If there’s a consistent pattern—like leaving after a certain screen—you’ve found a problem area.
Action Step
Use session recordings or heatmaps to analyze drop-offs. Choose one high-exit screen and optimize it. Even a small fix can bump up session time and LTV.
23. Apps with user personalization can see retention increases of 20%+
One Size Doesn’t Fit All
When users feel like your app “gets” them, they stick around. Personalization isn’t just a buzzword—it can lift retention by 20% or more. And in today’s crowded app market, that’s a serious edge.
What Personalization Looks Like
It could be:
- Suggesting content based on user interests
- Pre-filling fields with known info
- Adapting the app interface based on user habits
- Sending recommendations based on past behavior
The goal is to make the experience feel unique and relevant—like it was designed just for them.
The Science Behind It
Personalization taps into psychological triggers. When users see their name, their preferences, or their recent actions reflected back at them, it builds trust. That trust builds habit. And habits drive retention.
Action Step
Pick one area of your app—like the homepage, onboarding, or notifications. Personalize it using simple data you already collect (like name, usage history, or content choices). Watch how that affects usage in the following week.
24. CPA (Cost Per Acquisition) for a paying user can range from $1 to $10, depending on niche
Know Your Numbers Before You Spend
Before you pour money into ads, you need to know how much it costs to acquire a paying user. Depending on your app’s niche, CPA can range from $1 to $10—sometimes higher in competitive categories like finance or health.
Why It Varies
Several factors affect CPA:
- Ad platform (Google, Meta, TikTok, etc.)
- Target audience
- Competition
- Creative quality
- Seasonality
A $2 CPA might be great for a casual game but awful for a high-ticket subscription app.
Your Break-Even Point
Knowing your CPA helps you figure out your break-even point: how much revenue you need from a user to make that ad spend worthwhile. That’s why it’s crucial to track your ARPU and LTV alongside CPA.
Action Step
If you’re running user acquisition campaigns, separate out the cost for users who convert into payers. Track them from install to purchase. Then optimize your campaigns based on real return, not just installs.
25. User lifetime value (LTV) must exceed CPA by at least 3x for sustainable growth
Profit Isn’t in the First Purchase
This is one of the most important rules in mobile growth: your LTV should be at least 3x your CPA. Otherwise, you’re either barely breaking even—or worse—losing money every time you buy a user.
Why the 3x Rule Matters
That margin covers not just marketing costs but also:
- Team salaries
- Hosting infrastructure
- Development
- Support and retention costs
And it gives you buffer room to grow aggressively without going broke.
Optimizing for LTV
To grow LTV:
- Increase retention (more sessions = more monetization opportunities)
- Cross-sell and upsell effectively
- Personalize the journey
- Introduce higher-tier pricing
The more engaged your users are, the more likely they are to spend again—and again.
Action Step
Calculate your average LTV using historical revenue per user over time. Then compare it to your CPA. If you’re under the 3x threshold, prioritize improving retention and pricing strategy before scaling acquisition.
26. Trial-to-paid conversion rates in subscription apps range from 20%–60%
Getting the Free Trial Right
A free trial is like a first date. It sets the tone for everything. For most apps, 20% to 60% of trial users convert to paying subscribers. That’s a wide range—and where you land depends on how well you guide the user during the trial.
What Makes Trials Convert
- Immediate value demonstration
- Gentle reminders about the trial ending
- Clear, accessible benefits for upgrading
- Removing unnecessary steps at checkout
The worst thing you can do is leave users to explore alone. Hand-hold them a bit. Guide them to features that matter most. Show value fast.
Don’t Hide the Billing
Transparency is key. If users feel tricked by a trial that turns into a charge, they’ll churn. And they won’t come back.
Action Step
Map out your trial journey. From day 1 to expiration, what messages or nudges do users get? Add a progress tracker that shows users how much of the app they’ve explored—and what’s still left. Encourage full exploration before the trial ends.
27. Paywall placement timing affects conversions—delayed paywalls can increase ARPU by 10%–15%
Timing Is Everything
Paywalls are delicate. If you slap one in front of users too soon, they bounce. But delay it just right—and let them feel value first—and you can increase ARPU by 10% to 15%.
The Psychology Behind It
Users are more likely to pay after they’ve:
- Invested time in the app
- Received small wins or results
- Formed an emotional connection
That’s when a paywall feels like the next logical step—not a barrier.
Where Most Apps Go Wrong
They interrupt the user too early. A user opens the app, sees a wall, and leaves. Instead, let them taste the value. Maybe they complete one task, see results, or even come back a second time.
Action Step
Test delaying your paywall. For example, instead of triggering it on first open, try after the second session or after completing one key action. Track both conversion rate and session duration to see if it improves engagement and revenue.
28. Mobile games generate over 70% of all app revenue globally
Games Dominate the Monetization Charts
Mobile games are a revenue powerhouse. They account for over 70% of total app revenue globally, thanks to smart monetization, massive scale, and loyal users.
What They Do Right
- Engaging core loops that create habit
- Frequent updates and seasonal content
- Reward-based systems
- Multiple monetization layers (ads + IAP + subscriptions)
Games understand psychology. They use progression, competition, and scarcity to drive spending—all wrapped in fun.
Lessons for Non-Gaming Apps
Even if you’re not building a game, you can borrow:
- Streaks and rewards
- Leaderboards or badges
- In-app currencies or unlockables
- Personal progress tracking
These mechanics boost retention—and retention drives revenue.
Action Step
Pick one gamification technique and test it in your app. It could be as simple as a daily streak, a leaderboard, or achievement badges. Monitor its impact on engagement after launch.
29. Subscription revenue accounts for nearly 80% of non-gaming app revenue
Subscriptions: The Lifeblood of Non-Gaming Apps
Outside of games, the king of monetization is the subscription. Nearly 80% of non-gaming app revenue now comes from recurring plans.
Why Subscriptions Win
- Predictable income
- Higher LTV
- Easier to forecast growth
- Less reliance on constant ad or purchase triggers
Apps that help users accomplish ongoing goals—fitness, language, productivity—are perfect candidates for this model.
Keys to Winning with Subscriptions
- Offer real, ongoing value
- Price clearly and competitively
- Reduce churn with engagement features
- Experiment with tiers, bundles, or trials
If you haven’t considered subscriptions yet, this stat might be your green light.
Action Step
If you’re not using subscriptions, design a basic premium plan this week. List out exclusive benefits and a simple monthly price. If you already offer subscriptions, try adding an annual plan with a discount to lock in more long-term value.
30. A/B testing monetization flows can improve ARPU by up to 50% over time
Test or Stay Stuck
A/B testing isn’t just for landing pages. It can transform your monetization. Over time, apps that consistently test their pricing, paywall timing, and offers see ARPU gains of 50% or more.
What You Can Test
- Pricing levels
- Free vs. paid feature sets
- Trial durations
- Onboarding flows
- Ad placements
- Upgrade messaging
The key is to test one variable at a time and let the data guide your next move.
Build a Testing Culture
Don’t treat A/B testing as a one-time thing. Make it part of your product roadmap. Even small improvements, stacked over time, have a huge impact on revenue.
Action Step
Choose one monetization element to test this month—maybe a headline in your upgrade screen or the placement of your first paywall. Use analytics to track changes in ARPU or conversion rates. Then iterate.
Conclusion
Monetizing a mobile app is more than picking a pricing model and calling it a day. It’s a system—a blend of psychology, user behavior, and data. These 30 stats aren’t just numbers. They’re your guideposts.
Use them to rethink your user journey, your pricing, your communication, and your features. Each stat offers a doorway into better revenue and deeper engagement.
