/monetization

name: monetization
description: Monetization strategy for iOS/macOS apps. Covers readiness assessment, pricing model selection, tier structuring, free trial strategy, and implementation guidance. Use when deciding what to charge, how to price, or planning monetization end-to-end.
allowed-tools: [Read, Write, Edit, Glob, Grep, WebSearch, AskUserQuestion]
last_verified: 2026-07-16
review_by: 2027-06-22
os_version: iOS 27 / macOS 27

Monetization Strategy

End-to-end monetization guidance for Apple platform apps — from "should I charge?" to "here's your pricing page structure."

Sub-skills in this category: `external-purchases/` (US web checkout via the External Purchase Link entitlement, commission-flip architecture) and `bundles-and-licensing/` (own-app bundles, Family Sharing, cross-developer suites, institutional volume licensing). Route there when the question is beyond the single-app price tag.

When This Skill Activates

Use this skill when the user:

• Asks "should I monetize my app?" or "is my app ready to charge?"
• Wants help choosing between freemium, subscription, or one-time purchase
• Needs pricing tier recommendations
• Asks about free trial strategy
• Wants to plan monetization for a specific app type (kids, therapy, productivity, etc.)
• Mentions "pricing", "revenue model", or "how to make money from my app"
• Wants to understand Apple's commission structure

Process

Phase 1: Readiness Assessment

Before recommending a pricing model, evaluate whether the app is ready to monetize. Ask these questions via AskUserQuestion:

**1. App Stage**

• Pre-launch (idea/prototype)
• Beta / TestFlight
• Live with users (< 1K)
• Live with traction (1K+ users)

**2. Value Proposition**

• What problem does your app solve?
• Who is the target user?
• What alternatives exist (including doing nothing)?

**3. Current State**

• Do you have active users?
• What's your retention like? (Day 1, Day 7, Day 30)
• Are users asking for features / willing to pay?

Readiness Scorecard

Evaluate against these criteria:

| Signal | Ready | Not Ready | |--------|-------|-----------| | Core value | Clear, differentiated | Still finding product-market fit | | User retention | D7 > 20% | D7 < 10% | | User feedback | "I'd pay for this" | Silence or complaints | | Feature depth | Enough for free + paid split | Everything feels essential | | Competition | You offer something unique | Commodity feature set | | Polish | Professional quality | Rough edges everywhere |

**Recommendation thresholds:**

• 5-6 Ready signals → Monetize now
• 3-4 Ready signals → Soft-launch pricing (low price, gather data)
• 0-2 Ready signals → Focus on product first, monetize later

Phase 2: Pricing Model Selection

Based on app type and user behavior, recommend the right model.

Decision Framework

Is the app used daily/weekly?
├── YES → Does it provide ongoing value?
│   ├── YES → SUBSCRIPTION
│   └── NO → ONE-TIME PURCHASE (with optional tip jar)
└── NO → Is it a utility/tool?
    ├── YES → ONE-TIME PURCHASE or FREEMIUM
    └── NO → Is it content-based?
        ├── YES → SUBSCRIPTION or CONSUMABLE IAP
        └── NO → FREEMIUM with premium unlock

Model Comparison

Read **pricing-models.md** for detailed comparison of each model:

• Subscriptions (auto-renewable)
• One-time purchase (paid upfront or freemium unlock)
• Consumable IAP (credits, tokens)
• Non-consumable IAP (feature unlock)
• Tip jar / patronage
• Ad-supported with premium upgrade

App-Type Recommendations

Read **app-type-guides.md** for specific guidance by app category:

• Productivity / task management
• Health / therapy / wellness
• Kids / education
• Creative tools
• Social / community
• Developer tools
• Finance / budgeting

Phase 3: Tier Structure

Once a model is selected, design the tier structure.

Subscription Tiers (if applicable)

**Two-tier structure** (recommended for most indie apps):

FREE                    PRO ($X.99/mo or $XX.99/yr)
─────────────────────   ─────────────────────────────
Core functionality      Everything in Free
Limited usage/storage   Unlimited usage
Basic features          Advanced features
                        Priority support (optional)
                        Early access to new features

**Three-tier structure** (for apps with clear user segments):

FREE          PLUS ($X.99/mo)     PRO ($XX.99/mo)
────────────  ──────────────────  ──────────────────
Basic use     Power user          Professional/team
Ads/limits    No ads, more quota  Unlimited + extras

Pricing Psychology

• **Anchor pricing**: Show yearly first to make monthly look expensive
• **Price ending**: Use .99 for < $10, round numbers for premium ($19, $29)
• **Yearly discount**: 15-40% off monthly equivalent (sweet spot: ~30%)
• **Decoy effect**: Three tiers where middle looks like best value
• **Regional pricing**: Use App Store price tiers for automatic localization

Free vs. Paid Feature Split

The hardest decision. Follow these principles:

**Free tier should:**

• Demonstrate the core value proposition
• Be genuinely useful (not a crippled demo)
• Create natural upgrade moments ("you've hit the limit")
• Let users invest time/data before hitting the paywall

**Paid tier should:**

• Unlock power/convenience, not basic functionality
• Feel like "more of what you love" not "removing annoyances"
• Include at least one "hero feature" worth paying for alone

**❌ Bad splits:**

• Free: Can view data → Paid: Can edit data (feels hostile)
• Free: 3-day trial → Paid: Everything (no ongoing free value)
• Free: Everything → Paid: Remove ads (weak value prop)

**✅ Good splits:**

• Free: 5 projects → Paid: Unlimited projects + templates
• Free: Basic tracking → Paid: Insights, trends, export
• Free: Single device → Paid: Sync across devices + widgets

Phase 4: Free Trial Strategy

Trial Types

| Type | Best For | Apple Support | |------|----------|---------------| | Introductory offer (