In a recent webinar hosted by SIIA, Newstex President Larry Schwartz explained seven mobile business models that content publishers and businesses need to understand in order to develop the best mobile strategy to reach their goals.
“Developing a mobile strategy starts with identifying what you want to accomplish.” – Larry Schwartz, Newstex President
SIIA, SIPA, and ABM members can access the full presentation slides and video on the SIIA website. Following are some key highlights about the seven mobile business models Larry discussed during the webinar.
1. Mobile Extension to Desktop Product
Don’t copy your desktop website and make it available through mobile devices. Instead, complement the desktop experience in the mobile environment.
2. Newsstand Subscription
Use the Apple Newsstand app to bundle your content and sell it as issues. This mobile model works best for publishers that publish no more than once every 24 hours. Larry recommends publishing at least four issues per year.
3. Freemium Model
To generate interest in your mobile content, offer a free app with limited content and features. Entice users to upgrade to a paid version of the app that includes all of the bells and whistles.
4. Digital Print Bundle
For print publications, giving subscribers access to mobile tools and content enables publishers to test mobile offerings as they segue to a more comprehensive mobile business model.
5. Sponsored or Ad-supported App
For publishers that are ready to deliver mobile content as a separate, specialty product, consider a mobile app that is free to download but generates revenue through advertising.
6. Native Ads
Native advertising has been around for a very long time (think of the advertorial sections of print magazines and newspapers). Native ads are real content provided by an advertiser. Because the advertiser pays for the placement, the Federal Trade Commission regulates them and requires that publishers provide appropriate disclosures of material connections with the sponsors. The key to successful native advertising is to make the content useful and relevant to the audience who sees it.
7. Transactional or In-App Purchase
If you play Candy Crush, then you know what an in-app purchase is. Users can download the app for free, but users have to pay to continue using it after a free trial period or to get access to extra features and upgrades (like extra moves in Candy Crush).
To learn more about developing your mobile business model, read the free ebook from Newstex, “The Publisher’s Guide to Mobile and Tablet Development.”