Are you struggling to monetize your indie app?

I develop tool and game apps as a side business, running an app with 30,000-40,000 monthly active users (MAU). I achieved $5,000-7,000/month from ads alone, and after implementing a subscription model, my subscription revenue increased from $100-200 to $400-500 per month—a 2.5x growth.

In this article, I'll share my real-world experience on "how to choose a monetization strategy" and "how to implement subscriptions," based on trial and error as an indie developer.

• Pros and cons of 3 monetization models: Ads, Paid, and Subscription
• Real revenue structure with 30-40K MAU
• Why I raised my subscription price from $1 to $5
• Step-by-step RevenueCat implementation (even beginners can do it in 1 day)
• PayWall implementation mistakes and improvements

The three main monetization methods for indie apps are: "Ads," "Paid (One-time Purchase)," and "Subscription." Let's examine each.

Pros

• Low download barrier: Users can try the app for free, increasing downloads
• Continuous revenue potential: More active users = more ad impressions

Cons

• Unstable revenue: eCPM (revenue per 1000 ad impressions) fluctuates daily
  • eCPM varies greatly by ad type, user country, and season
  • My app fluctuates between $5,000-7,000/month
• Balancing with user experience: Reviews may complain "too many ads"
  • However, revenue is necessary to continue providing the app for free
  • If your app provides value, users will continue to use it even with ads
  • Users will always complain about ads, but you don't need to take it at face value
  • The key is to focus on increasing the app's value
  • Consider adjusting particularly stressful placements, such as ads on app launch

Pros

• Revenue confirmed upon purchase: Clear pricing for both developers and users
• Ad-free experience: Users enjoy the app without interruptions

Cons

• Lower initial downloads: Paid apps see significantly lower download rates vs free apps
• No recurring revenue: One-time sale means no long-term income

Pros

• Predictable recurring revenue: Monthly/annual payments stabilize income
• Long-term user relationships: Creates a structure for continuous value delivery

Cons

• Higher initial barrier: Users often resist "monthly payments"
  • Especially in markets where subscription culture isn't established
• Must deliver continuous value: Requires ongoing value that justifies the subscription

In my experience, combining Ad Model + Subscription Model works best.

• Free users are monetized through ads
• Power users and ad-averse users are monetized through subscriptions

This approach allows optimized monetization for different user segments, maximizing revenue and diversifying risk.

Here's my current situation with tool/game apps:

• Monthly Active Users (MAU): 30,000-40,000
• Genre: Utility tools, casual games

• Ad Revenue: $5,000-7,000/month (fluctuates)
  • Main revenue source, accounting for over 90% of total
• Subscription Revenue:
  • Before ($1 plan): $100-200/month
  • Current ($5 plan): $400-500/month
  • Approximately 2.5x growth from pricing change

Most subscription purchasers are users from the US and Europe. Subscription models are common in Western markets, where people are willing to pay for perceived value.

Meanwhile, the Japanese market shows stronger resistance, though I believe acceptance will gradually increase.

Initially, I offered a $1/month subscription for ad removal.

I thought "if it's cheap, many people will subscribe," but this was a big mistake.

1. Revenue too low: Even with 100 subscribers, that's only $100/month
2. Perceived as low value: Too cheap makes users think "it can't be that valuable"
3. Unsustainable: Doesn't cover development and operation costs

I then adopted the following strategy:

• 5x price increase: $1 → $5
• Significantly increased value:
  • Ad removal (as before)
  • Added premium-only features
  • Access to exclusive content

• Revenue increased 2.5x+ ($100-200/month → $400-500/month)
• Improved user satisfaction: Users feel they're getting more value

The graph above shows actual revenue data from RevenueCat. After raising the price to $5 around October 20, there's a clear increase in revenue. Before the price change, daily revenue ranged from a few dollars to $20, but after the change, daily revenue reached $50-100 on some days.

Don't underprice—focus on increasing value

Users don't buy "because it's cheap," they buy "because it's valuable." If you provide value matching the price, users will happily pay $5.

This trend is especially evident in Western markets. Most of my app's subscription purchasers are overseas users who properly evaluate the value.

Do you think "implementing subscriptions seems difficult"?

Actually, using a tool called RevenueCat, implementing in-app purchases is surprisingly easy. I also felt intimidated by technical barriers, but in reality, I completed the implementation in about 1 day.

RevenueCat is a platform that centrally manages iOS and Android in-app purchase systems.

• Multi-platform support: Centrally manage both iOS (App Store) and Android (Google Play)
• Easy subscription management: Automatically handles renewals, cancellations, trials, etc.
• Rich analytics: Check revenue, churn rate, LTV, etc. in the dashboard
• Free to start: Free plan for up to $10K monthly revenue

Detailed implementation steps are clearly documented in RevenueCat's official documentation.

Reference: RevenueCat Sample Apps and Documentation

• iOS Product Setup Guide
• Android Product Setup Guide

Create "subscription products" in each store.

It's important to understand these 4 concepts in RevenueCat:

The actual "item" sold in app stores.

Examples:

• Monthly subscription ($5)
• Annual subscription ($50)
• One-time ad removal ($12)

Products grouped by "presentation." Think of it as the "purchase button" users see in the app.

Examples:

• monthly (monthly package)
• annual (annual package)
• lifetime (one-time purchase package)

The "rights" granted to purchasers.

Examples:

• premium (premium member)
• ad_free (ad removal)
• unlimited_access (unlimited access)

A "set of packages" to display to users.

Examples:

• default_offering (regular sales set)
• special_offer (sale set)
• experiment_A (A/B test set)

Initialize the RevenueCat SDK when the app launches.

// Flutter example
await Purchases.configure(
  PurchasesConfiguration("YOUR_PUBLIC_API_KEY"),
);

If you're using other languages or frameworks, check the RevenueCat official documentation for sample code in Swift, Kotlin, React Native, Unity, and more.

Reference: RevenueCat SDK Initialization Guide

Fetch Offerings → Packages → Products registered in RevenueCat and display options to users.

final offerings = await Purchases.getOfferings();
final packages = offerings.current?.availablePackages ?? [];

// Display monthly/annual options to users

Execute the purchase when the user taps a button.

final customerInfo = await Purchases.purchasePackage(package);

When the app launches or a screen is displayed, check if the user is a premium member.

final customerInfo = await Purchases.getCustomerInfo();

final isPremium =
    customerInfo.entitlements.active.containsKey("premium");

if (isPremium) {
  // Display premium features
} else {
  // Show ads
}

The official documentation is excellent, so the technical barrier is lower than expected. Basic implementation can be completed in about 1 day.

The real challenge is the strategic aspect: "what value to provide."

A PayWall is a screen that acts as a "wall" to encourage users to subscribe. When placed correctly, it can significantly improve conversion rate (subscription rate).

Initially, I only placed the PayWall in the settings screen.

Problems

• Hard for users to see: Only limited users open the settings screen
• Low purchase intent timing: Settings are opened to "adjust something," not to subscribe

Result: Almost no subscriptions.

I now display the PayWall at these timings:

1. Right before showing ads: Natural flow of "don't want to see ads? Then subscribe"
2. When trying to use premium features: "Premium membership required for this feature"
3. After using the app for a certain period: When users have experienced the app's value

• Clear design: Simple UI that users can understand easily
• AI optimization: Use ChatGPT and other AI to efficiently create designs and copy
• Offer both monthly and annual options:
  • Apply discount to annual plan (e.g., "Annual plan saves you 2 months!")
  • Emphasize discount with percentage (e.g., "16% off")

After improving PayWall placement and design, subscription rate significantly increased.

Finally, here are the revenue optimization points I practice:

Listen to user voices through reviews and surveys.

• "Too many ads" → Adjust ad frequency
• "Want this feature" → Add as premium feature

Understanding user needs is the first step to revenue improvement.

Check competitor apps and industry trends.

• What monetization models do other apps use?
• What features are offered as premium?

Actively incorporate what you can learn.

Instead of lowering prices, focus on increasing the value you provide.

• Add features that make users think "I'd pay for this"
• Design special experiences exclusive to premium members

If there's value, users will happily pay.

Test PayWall design, pricing, display timing, etc. with A/B tests.

RevenueCat has experimentation features, so you can make data-driven improvements.

Monetization strategy isn't "set it and forget it."

• Changes in user count
• Ad revenue fluctuations
• Subscription churn rate trends

Regularly check this data and flexibly adjust your strategy—this is the key to success.

In this article, I've shared my real trial-and-error monetization strategy without holding back.

1. Ads + Subscription combination is most balanced
2. Underpricing fails. Focus on providing value
3. In-app purchase implementation takes 1 day with RevenueCat. Technical barrier is low
4. PayWall placement and design are crucial. Display at the right timing
5. Continuous improvement increases revenue. Flexibly adjust strategy based on data

Monetizing indie apps isn't easy, but with the right strategy and implementation, results will come.

I hope this article helps those challenging indie app development as a side business.

Let's work hard together!

• RevenueCat Official Documentation
• RevenueCat Sample Apps
• iOS In-App Purchase Setup
• Android In-App Purchase Setup