{"id":1009,"date":"2019-08-27T09:44:45","date_gmt":"2019-08-27T09:44:45","guid":{"rendered":"https:\/\/www.techcronus.com\/blog\/?p=1009"},"modified":"2026-04-06T08:21:20","modified_gmt":"2026-04-06T08:21:20","slug":"how-to-calculate-the-roi-of-mobile-app","status":"publish","type":"post","link":"https:\/\/www.techcronus.com\/blog\/how-to-calculate-the-roi-of-mobile-app\/","title":{"rendered":"How To Calculate The ROI Of Mobile App?"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_76 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-5'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/www.techcronus.com\/blog\/how-to-calculate-the-roi-of-mobile-app\/#Table_Of_Contents\" >Table Of Contents<\/a><ul class='ez-toc-list-level-6' ><li class='ez-toc-heading-level-6'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/www.techcronus.com\/blog\/how-to-calculate-the-roi-of-mobile-app\/#Have_An_Awesome_Idea_For_Your_Mobile_App_Development\" >Have An Awesome Idea For Your Mobile App Development?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-6'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/www.techcronus.com\/blog\/how-to-calculate-the-roi-of-mobile-app\/#Looking_To_Develop_Exceptional_Mobile_App_For_Your_Business\" >Looking To Develop Exceptional Mobile App For Your Business?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-6'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/www.techcronus.com\/blog\/how-to-calculate-the-roi-of-mobile-app\/#Transform_Your_Idea_By_Hiring_Our_Expert_Mobile_App_Developers\" >Transform Your Idea By Hiring Our Expert Mobile App Developers!<\/a><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<p>[vc_row][vc_column][vc_column_text]<\/p>\n<div class=\"wpb_text_column wpb_content_element \">\n<div class=\"wpb_wrapper\">\n<p>If you\u2019re planning to build an app for your business or you have already launched your app, then your first concern would be how much revenue you have generated using the app and calculating your return on investment. Calculating ROI of\u00a0<strong><a title=\"mobile app\" href=\"https:\/\/www.techcronus.com\/android-app-development\" rel=\"noopener noreferrer\">mobile app<\/a><\/strong>\u00a0is a mandatory process to determine the profitability of your efforts of launching an app.<\/p>\n<p>Apart from checking the mathematical steps of calculating ROI of mobile app, we will also see different methods of revenue generation using your app. Let\u2019s have a look at the simple ROI calculator formula of revenue on investment.<\/p>\n<\/div>\n<\/div>\n<p>[\/vc_column_text][vc_single_image image=&#8221;1010&#8243; img_size=&#8221;large&#8221;][vc_row_inner el_class=&#8221;border m-0&#8243;][vc_column_inner][vc_empty_space height=&#8221;10px&#8221;][vc_column_text css=&#8221;.vc_custom_1630490347727{border-top-width: 2px !important;border-right-width: 2px !important;border-bottom-width: 2px !important;border-left-width: 2px !important;padding-top: 15px !important;padding-right: 15px !important;padding-bottom: 15px !important;padding-left: 15px !important;border-left-color: #000000 !important;border-left-style: solid !important;border-right-color: #000000 !important;border-right-style: solid !important;border-top-color: #000000 !important;border-top-style: solid !important;border-bottom-color: #000000 !important;border-bottom-style: solid !important;border-radius: 5px !important;}&#8221; el_class=&#8221;TableOfContentMain&#8221;]<\/p>\n<h5 style=\"text-align: center;\"><span class=\"ez-toc-section\" id=\"Table_Of_Contents\"><\/span><strong>Table Of Contents<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h5>\n<ol>\n<li><a href=\"#onemain\"><strong>Let\u2019s take an example:<\/strong><\/a><\/li>\n<li><a href=\"#twomain\"><strong>How You Can Generate Revenue Using Mobile App<\/strong><\/a><\/li>\n<li><a href=\"#threemain\"><strong>Global Average Revenue Of Mobile Apps Per User<\/strong><\/a>\n<ul>\n<li><a href=\"#threedashone\">Step 1 \u2013 Define Your Objectives<br \/>\n<\/a><\/li>\n<li><a href=\"#threedashtwo\">Step 2 \u2013 Calculate The Total Cost Of App Development<br \/>\n<\/a><\/li>\n<li><a href=\"#threedashthree\">Step 3 \u2013 Define A Measurable KPI<br \/>\n<\/a><\/li>\n<li><a href=\"#threedashthree\">Step 4 \u2013 Weigh Your KPI Against Costs<br \/>\n<\/a><\/li>\n<\/ul>\n<\/li>\n<li><a href=\"#fourmain\"><strong>Calculating The ROI Of Mobile App Requires A Holistic View<br \/>\n<\/strong><\/a><\/li>\n<li><a href=\"#fivemain\"><strong>Are You Looking For A Reliable Company For Mobile App Development?<\/strong><\/a><\/li>\n<li><a href=\"#sixmain\"><strong>Why Should You Choose Techcronus?<br \/>\n<\/strong><\/a><\/li>\n<\/ol>\n<p>[\/vc_column_text][vc_cta h2=&#8221;&#8221; txt_align=&#8221;center&#8221; color=&#8221;grey&#8221; add_button=&#8221;right&#8221; btn_title=&#8221;Lets Discuss your App Idea&#8221; btn_color=&#8221;turquoise&#8221; btn_align=&#8221;center&#8221; btn_link=&#8221;url:https%3A%2F%2Fwww.techcronus.com%2Fcontact-us|title:Lets%20Discuss%20your%20App%20idea&#8221; btn_el_class=&#8221;TBS-ca-btn font-weight-bold&#8221; el_class=&#8221;CustomBlogDtlCTA&#8221;]<\/p>\n<h6 class=\"mt-0 mb-0 capitalize\"><span class=\"ez-toc-section\" id=\"Have_An_Awesome_Idea_For_Your_Mobile_App_Development\"><\/span><strong>Have An Awesome Idea For Your Mobile App Development?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h6>\n<p>[\/vc_cta][\/vc_column_inner][\/vc_row_inner][vc_row_inner el_id=&#8221;onemain&#8221;][vc_column_inner][vc_empty_space height=&#8221;10px&#8221;][vc_empty_space height=&#8221;10px&#8221;][vc_empty_space height=&#8221;10px&#8221;][vc_custom_heading text=&#8221;Let\u2019s take an example:&#8221; font_container=&#8221;tag:h2|font_size:17|text_align:left&#8221; use_theme_fonts=&#8221;yes&#8221;][vc_column_text]If you are an e-commerce store and you have spent $2000 on building your mobile app, and you also track your productivity using an <a href=\"https:\/\/calculatorskit.net\/calculators\/hours-calculator\">hours calculator<\/a>, then if you manage to generate revenue of $4000, your ROI would be 200%. This simple calculation helps you how you are progressing. You\u2019ll be able to decide where you should invest in generating more revenue. We aren\u2019t stopping here! Let us dive much deeper![\/vc_column_text][\/vc_column_inner][\/vc_row_inner][vc_row_inner el_id=&#8221;twomain&#8221;][vc_column_inner][vc_custom_heading text=&#8221;How You Can Generate Revenue Using Mobile App&#8221; font_container=&#8221;tag:h2|font_size:17|text_align:left&#8221; use_theme_fonts=&#8221;yes&#8221;][vc_column_text]<\/p>\n<div class=\"wpb_text_column wpb_content_element \">\n<div class=\"wpb_wrapper\">\n<p>If your company isn\u2019t selling products or services directly then you can integrate advertising networks such as AdMob. Other ways of generating revenue via app by selling products through an e-commerce store, or offering in-app purchases inside applications and games. According to Ovum, industry is expected generate more than $75 billion in revenue via mobile apps.<\/p>\n<\/div>\n<\/div>\n<p>[\/vc_column_text][vc_single_image image=&#8221;1011&#8243; img_size=&#8221;large&#8221; alignment=&#8221;center&#8221;][\/vc_column_inner][\/vc_row_inner][vc_row_inner el_id=&#8221;threemain&#8221;][vc_column_inner][vc_custom_heading text=&#8221;Global Average Revenue Of Mobile Apps Per User&#8221; font_container=&#8221;tag:h2|font_size:17|text_align:left&#8221; use_theme_fonts=&#8221;yes&#8221;][vc_column_text]Last year, AppsFlyer and Facebook analyzed for calculating average ROI on apps. They analyzed 3800 apps, which generated total revenue of $2.4 billion.[\/vc_column_text][vc_single_image image=&#8221;1012&#8243; img_size=&#8221;large&#8221;][vc_column_text]Mobile game ROI per was the lowest at $1.70 per user compared to shopping app revenue of $13.88 average per user. Average revenue may seem high for shopping apps, but most of the popular games are free to play and generate revenue using in-app-purchase model. In these games, most user doesn\u2019t pay anything and keep playing for free. On the other hand, some user may spend up to $100 for exclusive in-game items.<\/p>\n<p>Average ROI of mobile app in travel domain was $29.42 per user which may seem much higher, but we have to consider the 180 days. If we convert into 90-day period then the average comes down to $14.71, which is still higher than shopping and gaming apps. Let us have a look at detailed steps and holistic process of calculating ROI for mobile app.[\/vc_column_text][\/vc_column_inner][\/vc_row_inner][vc_cta h2=&#8221;&#8221; txt_align=&#8221;center&#8221; color=&#8221;grey&#8221; add_button=&#8221;right&#8221; btn_title=&#8221;Let&#8217;s Talk&#8221; btn_color=&#8221;turquoise&#8221; btn_align=&#8221;center&#8221; btn_link=&#8221;url:tel%3A%2B1%20(415)%20234%207510|title:PHP%20Development&#8221; btn_el_class=&#8221;TBS-ca-btn font-weight-bold&#8221; el_class=&#8221;CustomBlogDtlCTA&#8221;]<\/p>\n<h6 class=\"mt-0 mb-0 capitalize\"><span class=\"ez-toc-section\" id=\"Looking_To_Develop_Exceptional_Mobile_App_For_Your_Business\"><\/span>Looking To Develop Exceptional Mobile App For Your Business?<span class=\"ez-toc-section-end\"><\/span><\/h6>\n<p>[\/vc_cta][vc_row_inner el_id=&#8221;threedashone&#8221;][vc_column_inner][vc_custom_heading text=&#8221;Step 1 \u2013 Define Your Objectives&#8221; font_container=&#8221;tag:h2|font_size:20|text_align:left&#8221; use_theme_fonts=&#8221;yes&#8221;][vc_column_text]<\/p>\n<div class=\"wpb_text_column wpb_content_element \">\n<div class=\"wpb_wrapper\">\n<p>The most crucial step is to know what business goal you want to achieve from an app. You should define the measurable short team and long terms goals even before you opt for designing and development phase.<\/p>\n<\/div>\n<\/div>\n<p>[\/vc_column_text][vc_single_image image=&#8221;1013&#8243; img_size=&#8221;large&#8221;][vc_column_text]After you set strategy and goals, you need to convert it into actionable steps and communicate with design and development teams. The mobile app developers must be informed and very clear about business goals and key performance metrics at all stages of development. This is essential for efficient utilization of funds.[\/vc_column_text][\/vc_column_inner][\/vc_row_inner][vc_row_inner el_id=&#8221;threedashtwo&#8221;][vc_column_inner][vc_custom_heading text=&#8221;Step 2 \u2013 Calculate The Total Cost Of App Development&#8221; font_container=&#8221;tag:h2|font_size:17|text_align:left&#8221; use_theme_fonts=&#8221;yes&#8221;][vc_column_text]You need to stay within the limitations of your budget and don\u2019t use excessive resources in the development process.<\/p>\n<p><strong>The costs should include:<\/strong><\/p>\n<ul>\n<li>UX\/UI development costs<\/li>\n<li>App development costs<\/li>\n<li>Support and integration<\/li>\n<li>Testing and performance improvement costs<\/li>\n<li>Cost of deployment of the final launch<\/li>\n<li>Long-term costs<\/li>\n<\/ul>\n<p>After the app has been developed, there will be small regular maintenance cost and overall app improvement costs, which you can add to long-term costs.[\/vc_column_text][\/vc_column_inner][\/vc_row_inner][vc_row_inner el_id=&#8221;threedashthree&#8221;][vc_column_inner][vc_custom_heading text=&#8221;Step 3 \u2013 Define A Measurable KPI&#8221; font_container=&#8221;tag:h2|font_size:17|text_align:left&#8221; use_theme_fonts=&#8221;yes&#8221;][vc_column_text]<\/p>\n<div class=\"wpb_text_column wpb_content_element \">\n<div class=\"wpb_wrapper\">\n<p>Key Performance Indicators (KPI) differ from one organization to another. Some may see customer loyalty, customer retention rate as KPI. While some may consider customer interaction, the average revenue per user as a KPI.<\/p>\n<\/div>\n<\/div>\n<p>[\/vc_column_text][vc_single_image image=&#8221;1014&#8243; img_size=&#8221;large&#8221;][vc_column_text]If customer interaction is your aim then, you should focus more on\u00a0<strong><a href=\"https:\/\/www.forbes.com\/sites\/briansutter\/2016\/11\/04\/6-clever-ways-to-acquire-new-customers\/#49915a5983ef\" rel=\"no follow\">acquiring new customer<\/a><\/strong>s, keep them engaged in your app. Hence, you compare development costs with efforts of getting customer acquisition.[\/vc_column_text][\/vc_column_inner][\/vc_row_inner][vc_row_inner el_id=&#8221;threedashfour&#8221;][vc_column_inner][vc_custom_heading text=&#8221;Step 4 \u2013 Weigh Your KPI Against Costs&#8221; font_container=&#8221;tag:h2|font_size:17|text_align:left&#8221; use_theme_fonts=&#8221;yes&#8221;][vc_column_text]<\/p>\n<div class=\"wpb_text_column wpb_content_element \">\n<div class=\"wpb_wrapper\">\n<p>Measuring KPI against the cost is the last but most crucial step of calculating revenue of mobile app. Once you have measurable KPIs with results, you can measure the overall value of your app. Measure results of KPI against the development costs and know whether you are outperforming or underperforming.<\/p>\n<\/div>\n<\/div>\n<p>[\/vc_column_text][vc_single_image image=&#8221;1015&#8243; img_size=&#8221;large&#8221;][vc_column_text]<\/p>\n<div class=\"wpb_text_column wpb_content_element \">\n<div class=\"wpb_wrapper\">\n<p>While comparing costs against KPI, it is recommended to estimate lifespan of the app. You can also consider how long you want to keep spending on app maintenance. You can calculate the ROI of\u00a0<strong><a title=\"mobile app development\" href=\"https:\/\/www.techcronus.com\/custom-application-development\" rel=\"noopener noreferrer\">mobile app development<\/a><\/strong>\u00a0by dividing Net Present Value NPV advantages over NPV costs. The formula is given below:<\/p>\n<\/div>\n<\/div>\n<p>[\/vc_column_text][vc_single_image image=&#8221;1016&#8243; img_size=&#8221;large&#8221;][\/vc_column_inner][\/vc_row_inner][vc_row_inner el_id=&#8221;fourmain&#8221;][vc_column_inner][vc_custom_heading text=&#8221;Calculating The ROI Of Mobile App Requires A Holistic View&#8221; font_container=&#8221;tag:h2|font_size:17|text_align:left&#8221; use_theme_fonts=&#8221;yes&#8221;][vc_column_text]As the world is going mobile-first, many businesses have invested money in mobile app development. Calculating the ROI of mobile app isn\u2019t as simple as solving a mathematical formula. The correct way to calculate ROI requires a holistic view so that you can understand the impact of every development step on your business.<\/p>\n<p>Understanding the nuances and then calculating the ROI of mobile app maximizes your outcomes and helps your business grow in the direction you want.[\/vc_column_text][\/vc_column_inner][\/vc_row_inner][vc_row_inner el_id=&#8221;fivemain&#8221;][vc_column_inner][vc_custom_heading text=&#8221;Are You Looking For A Reliable Company For Mobile App Development?&#8221; font_container=&#8221;tag:h2|font_size:20|text_align:left&#8221; use_theme_fonts=&#8221;yes&#8221;][vc_column_text]<\/p>\n<div class=\"wpb_text_column wpb_content_element \">\n<div class=\"wpb_wrapper\">\n<p class=\"normal\">Working with an experienced app development company is the only way to ensure that there are no hurdles in your mobile app development project. We are one of the top mobile app development companies in India. Apart from Android app development services, we also offer iPhone app development and custom web development services in India and USA.\u00a0<strong>Click here to connect with us today<\/strong>.<\/p>\n<\/div>\n<\/div>\n<p>[\/vc_column_text][\/vc_column_inner][\/vc_row_inner][vc_row_inner el_id=&#8221;sixmain&#8221;][vc_column_inner][vc_custom_heading text=&#8221;Why Should You Choose Techcronus?&#8221; font_container=&#8221;tag:h2|font_size:17|text_align:left&#8221; use_theme_fonts=&#8221;yes&#8221;][vc_column_text]<\/p>\n<p style=\"text-align: left;\">At\u00a0<strong>Techcronus<\/strong>, we believe in delivering value and growth to our client. Techcronus Provides transformative technology solutions using various platforms. Our team delivers world-class products thanks to technical competence and creativity.<\/p>\n<p>[\/vc_column_text][\/vc_column_inner][\/vc_row_inner][vc_cta h2=&#8221;&#8221; txt_align=&#8221;center&#8221; color=&#8221;grey&#8221; add_button=&#8221;right&#8221; btn_title=&#8221;Let&#8217;s Talk&#8221; btn_color=&#8221;turquoise&#8221; btn_align=&#8221;center&#8221; btn_link=&#8221;url:https%3A%2F%2Fwww.techcronus.com%2Fhire-android-developers|title:Hire%20dedicated%20Android%20Developers&#8221; btn_el_class=&#8221;TBS-ca-btn font-weight-bold&#8221; el_class=&#8221;CustomBlogDtlCTA&#8221;]<\/p>\n<h6 class=\"mt-0 mb-0 capitalize\"><span class=\"ez-toc-section\" id=\"Transform_Your_Idea_By_Hiring_Our_Expert_Mobile_App_Developers\"><\/span><strong>Transform Your Idea By Hiring Our Expert Mobile App Developers!<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h6>\n<p>[\/vc_cta][\/vc_column][\/vc_row]<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Google confirmed that more searches noticed on mobile devices than on desktop. Therefore, it becomes more essential to be visible on mobile searches. Let\u2019s suppose you have a mobile app, but how will the user know to install from.<\/p>\n","protected":false},"author":9,"featured_media":1018,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[9],"class_list":["post-1009","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-mobile-app-development","entry"],"acf":[],"aioseo_notices":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v26.7 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>How To Calculate The ROI Of Mobile App - Techcronus<\/title>\n<meta name=\"description\" content=\"Calculating ROI of mobile app determines the efficiency of an investment done by the business on the development. Let\u2019s have a look at an optimal strategy.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.techcronus.com\/blog\/how-to-calculate-the-roi-of-mobile-app\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"How To Calculate The ROI Of Mobile App - Techcronus\" \/>\n<meta property=\"og:description\" content=\"Calculating ROI of mobile app determines the efficiency of an investment done by the business on the development. 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