Operations 81214 The 4 Great Barriers to Startup Tech Success and How to Overcome Them

Published on May 16th, 2017 | by Jose Vasquez


The 5 Reasons Your Mobile App Isn’t Making Money in Startup Tech

Mobile apps aren’t automatic money-making machines, especially if you make these common mistakes.

Mobile apps are exceedingly popular, both for consumers and entrepreneurs trying to capitalize on their popularity. However, simply building an app isn’t enough for you to start making money. If you don’t have the revenue you wish you had from your mobile app, it’s likely due to one or more of these reasons:

  1. No monetization strategy. The first and most common reason is a lack of a monetization strategy. You might have a great app, but if there’s no way for you to generate revenue, the money won’t come in automatically. Some of the most popular monetization strategies used include charging for each download of the app, allowing in-app purchases, and selling ads to show to your users.
  2. A small user base. If you don’t have enough users, you won’t make enough money. Unfortunately, this is a major problem with dozens of potential root causes. You may not be differentiated from the competition, or you may not be doing enough marketing and advertising, but without any additional information, it’s too hard to tell for sure.
  3. No customer loyalty. If customers are using your app, but aren’t sticking around, it means you have a customer loyalty issue. You can correct this by instituting more “sticky” features that reward users for using your app on a daily basis, or ones that promote referrals and social interactions.
  4. Poor usability. If your app is clunky and hard to use, people are going to abandon it before they spend any more time and money on it. Make sure to rigorously QA test your products (and conduct user surveys) before taking your app to market.
  5. Lack of value. Finally, users (and advertisers) aren’t going to give you money unless you have something truly valuable to give them. If you charge too much money, or don’t offer enough in return, it’s going to ruin your chances of success.

These motivating factors aren’t the only ones that can prevent your app from making money, but they are among the most common. If you need help putting together your initial business plan, or recovering an app that isn’t making money, be sure to contact me today!

About the Author

is a serial entrepreneur and tech specialist dedicated to helping startup tech companies grow and succeed. As the founder of Build. Brand. Blast., Jose has worked with dozens of enterprises to find direction, gain momentum, and achieve results.

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to Top ↑
  • Subscribe to the Build.Brand.Blast. News Feed

    Follow me on Twitter!

    Connect with me on LinkedIn!

    Connect with me on Facebook!

  • Categories

  • Meet Jose Vasquez

    Hey there! I’m Jose Vasquez, and I’ve spent my life helping startup technology companies get the direction and momentum they need to succeed. I started Build. Brand. Blast. as a resource for new entrepreneurs to learn the ropes of starting a business and the keys to building something that lasts.

  • Newsletter

  • Most Popular Posts