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Maximizing recurring revenue with mobile apps: Strategies for resellers

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As mobile devices become increasingly important in business, app business models have changed. While one-time payments were once the standard, recurring revenues have now become a popular option for many companies. Subscriptions, in particular, provide a stable and predictable revenue stream that is essential for long-term growth and financial sustainability. Additionally, they allow you to establish a closer, ongoing relationship with your users, thereby promoting customer loyalty and continuous improvement of your services.

GoodBarber is a no-code platform that helps vendors adjust to the evolving market. It is an ideal solution for web agencies and freelancers who want to offer subscription systems in their customers' mobile apps. Our subscription models are customizable and tailored to meet the specific needs of each company. Whether you need premium content, exclusive services, or VIP access to special offers, we've got you covered.

GoodBarber's membership system offers resellers a golden opportunity to stand out. Not only can they expand your portfolio of services, but they can also help your customers maximize their recurring revenues. It's a win-win proposition: end companies benefit from a new revenue stream and a strengthened customer relationship while you, the reseller, consolidate your position as a strategic partner essential to your customers' digital success.

I. The attractiveness of recurring revenues for companies

Adopting subscription-based revenue models has become increasingly popular among companies looking to stabilize cash flow, strengthen customer relationships, and increase their value in the marketplace.

Unlike single-transaction models, where revenue is generated by a one-off payment for the purchase of a good or service, recurring revenue-based models offer several advantages:
  • Financial predictability: One of the major advantages of recurring revenues is their predictability. Companies can count on a constant cash flow, facilitating financial planning, resource allocation, and long-term investment.
  • Financial stability: Business models based on recurring revenues tend to be more stable. By minimizing revenue fluctuations, they enable better management of uncertain economic periods.
  • Customer loyalty: Subscription-based models encourage long-term relationships with customers. By providing a service or product on an ongoing basis, companies can build stronger customer loyalty, which is essential for long-term growth.
  • Increased cross-selling and up-selling opportunities: With regular access to their customers, companies have more opportunities to offer upgrades or additional products, thereby increasing average revenue per user. 
It's easy to see why subscription-based services are becoming increasingly popular with businesses. This trend is transforming many business sectors.

II. Mobile applications as a vector for recurring revenues

Thanks to their ubiquity and ease of use, mobile applications offer businesses of all sizes an unprecedented opportunity to capitalize on subscription models. 

As smartphones have become everyday tools, mobile applications are ideally positioned to reach a wide audience. Easy access to services or content via a device that's always at hand increases the likelihood of recurring subscriptions.

This likelihood is further increased by mobile applications enabling extensive personalization, offering users a tailored experience that can increase perceived value and encourage subscriptions.

Finally, with push notifications, regular updates, and an intuitive user interface, mobile apps maintain a high level of engagement, which is vital for subscriber retention.

Examples of successful subscription models abound. Some are highly visible - Netflix and Spotify have revolutionized how consumers access video and music - but selling content on a subscription basis also enables many more confidential players to find economic profitability through their mobile applications. This is the case in news, specialized press, health and well-being, education, tourism, etc. 

Adopting such models represents a promising strategy for sustainable growth for companies looking to exploit the potential of mobile applications. As a reseller, you have a market opportunity to seize.

III. Why should resellers focus on applications that generate recurring revenue?

The rise of business models based on recurring revenues, particularly in the field of mobile applications, represents a major strategic opportunity for resellers. By focusing on the creation and promotion of recurring revenue-generating applications, resellers can not only increase their own added value but also strengthen their market positioning. Here's why this focus is advantageous and how it transforms the relationship between resellers and customers.

Strategic benefits for resellers
  • Market differentiation: Resellers set themselves apart from the competition by offering mobile applications that generate recurring revenues. This type of service adds a layer of sophistication and value to their offering, attracting customers looking to maximize their return on digital investment.
  • Increasing customer value: Subscriptions offer a stable and predictable revenue stream. By offering subscription systems for their customers, resellers contribute directly to their commercial success, which can strengthen loyalty and customer satisfaction.
  • Increased revenue potential: Resellers who develop applications with integrated subscription models can benefit from recurring revenues through commissions or revenue-sharing structures. This creates an additional income source beyond the initial application development payment. This value-sharing must be negotiated with your customer when the contract is signed.
Positioning as strategic partners
  • Beyond development: By focusing on recurring revenue, you move beyond your traditional role as an app developer to become a strategic advisor. You help your customers understand how to maximize the value of their mobile apps over the long term, not just at launch.
  • Ongoing support: Recurring revenues imply a long-term relationship with customers beyond the development phase. This establishes a partnership that contributes to the application's and, by extension, the client company's ongoing success.
  • In-depth expertise: By specializing in recurring revenue-generating applications, you develop in-depth knowledge of best practices, market trends, and revenue optimization strategies. This expertise makes you essential to customers looking not only to launch applications but also to scale them and maximize their profits.
By focusing on recurring revenue-generating applications, resellers can improve their business model and play a decisive role in their customers' success. This positioning transforms the customer-provider relationship into a strategic partnership, where resellers contribute directly to the growth and sustainability of the companies they serve.

IV. Using GoodBarber to create subscription-based applications

GoodBarber simplifies the creation and management of subscription-based apps . Here's an overview of key features and tips for designing, launching, and managing mobile apps offering premium content via subscription systems. 

GoodBarber's specific features for in-app membership systems
  • Integrated subscription management: GoodBarber offers a simplified interface for creating and managing in-app subscriptions . 
  • Subscription offer customization: The platform enables the customization of the subscription offer, including the choice of content available to subscribers, additional benefits , and subscription price according to the commitment period. This flexibility is crucial to creating an attractive offer that maximizes user conversion and retention.
  • Secure payment system: By integrating Apple's and Google's secure and recognized payment systems (integrated purchases), GoodBarber simplifies the subscription process for end users, guaranteeing a smooth and secure purchasing experience. End users subscribe to the same terms as Netflix, Disney+, and other consumer apps offering premium content.
  • Easy subscriber management: GoodBarber provides tools to track and manage subscribers, including features for tracking renewals and managing cancellations. These tools help to understand and respond effectively to user needs.
  • Targeted push notifications: The platform lets you configure push notifications based on end-users subscription status (active subscriber, expired subscriber, prospect). This feature helps maintain high engagement and reduce churn.
Tips for getting the most out of GoodBarber when delivering to a customer
  • Test different pricing schemes: Experiment with different price levels and/or different volumes of premium content to identify the combinations that generate the most revenue in your customer's application.
  • Offer a trial period: Encourage your customer to offer sign-ups offering a free or discounted trial period. This allows users to discover the value of the premium offer without an initial commitment, increasing the chances of conversion to paid subscriptions.
  • Customize the app by highlighting premium content:
    • Use widgets on the home page to create attractive previews of subscriber-only content
    • Apply when setting up the sign-up landing page to learn about the premium offer and choose its price
    • Customize the icon used to identify premium content in listings
  • Analyze and adjust: Use GoodBarber's analytical tools to track subscription performance in the app. Analyze this data regularly to identify trends, adjust your strategies, and optimize recurring revenue.
By leveraging these features and tips, you'll create attractive, functional mobile subscription apps and implement effective strategies to maximize recurring revenue for your customers. 
 

V. How to take action

Convincing your customers of the importance of adopting subscriptions as a revenue strategy for their mobile applications requires a thorough understanding of their benefits and an ability to communicate them effectively.

Start by explaining how recurring revenue offers a predictable and stable source of income, enabling your customers to plan their finances with greater confidence and security. This blog post gives you a solid foundation on which to build your sales pitch.

Then, demonstrate how your expertise (and GoodBarber's technology) makes it easy to sign up for an in-app subscription. A simple click and biometric authentication are all it takes. Prepare a prototype to show how GoodBarber's subscription features are integrated with iOS and Android and can be customized to meet your customer's specific needs. You have all the tools at your disposal to do this from your reseller account, and our support advisors are also there to help you if needed.

I'm convinced that you'll be able to effectively convince your customers of the importance of adopting subscription models in their mobile applications. With GoodBarber, you'll reinforce your added value and support your customers in the transition to more sustainable and profitable revenue models.