Systematic Literature Review of Monetization in Mobile App: Strategies, Trends, Challenges, and Best Practices

In the digital age, the concept of monetization has undergone significant transformations, particularly within the mobile app industry. For mobile app developers, the identification of an optimal monetization strategy is crucial for achieving success. This study aims to thoroughly investigate monetization strategies, trends, challenges, and best practices in mobile application development. The ultimate goal is to assist firms in selecting the most suitable revenue stream while ensuring the delivery of high-quality applications to users. To accomplish this, the author conducted a comprehensive systematic literature review encompassing a wide range of topics, including monetization types such as freemium, in-app purchases, and in-app advertising, as well as the potential challenges and opportunities associated with each strategy. The findings reveal that among the three types of monetization strategies—free, premium, and freemium—the latter proves to be the most advantageous. However, the successful implementation of freemium requires careful consideration of various factors. To address this, the author proposed a diagram consisting of six levels of monetization strategies. This diagram serves as a practical tool that enhances firms’ awareness and enables them to make informed decisions when selecting the appropriate strategy for their mobile applications.