It turns out, there is a great way to think about mobile app monetization. Zynga alumnus Xing Wang presents clear guidance on understanding mobile game revenues, giving developers a great mental framework for planning their billion dollar idea and tracking the app’s success over time.
Your Monetization Stack is your treasure map: in short, it illustrates your different revenue streams and demonstrates how each contributes to your app’s financial success. Xing explains, “Think of a monetization stack as a break down of what features/categories that contribute to the [average monthly revenue per user].”
Project teams and developers for all mobile apps, not just games, can benefit by creating a Monetization Stack for their new and existing apps. Reviewing and documenting all sources of potential revenue and then monitoring the respective revenue streams can help teams prioritize features for an MVP and on an ongoing basis. Furthermore, tracing actual revenues back to the Monetization Stack will highlight opportunities for process and product improvement.
So, take a look. The Monetization Stack may be the map that leads you to your first (or next) billion!