What is Monetization?

Monetization is a process that converts non-revenue-generating activities into revenue. It helps businesses figure out how they can monetize their services and products. There are many ways to monetize your product or service; however, you need to find the best strategy for your business. To choose the best monetization methods, you need first to understand the pros and cons of each one of them. There are different ways to monetize your business:

Paid Services

When you provide a paid service, the customer pays you in exchange for the service you provide. This is the simplest form of monetization. 

Freemium Service

In this model, you offer your product or service for free but with some limitations. You might limit the number of times your customers can use the product or the amount of time they can use it for. Or the product might be available for a limited time or with limited features. Customers may be willing to pay extra for an ad-free version of your product or to remove the limitations. 

Advertising

This model is when you sell ad space on your website or in your app. You may sell the space directly or use an ad network to facilitate the transaction. Website monetization through advertising is the most common form for affiliates and publishers.

Partnerships and collaborations

In this model, you partner with another company to sell your product or service. You might create a product that includes both your brand and the other company’s brand, or you might create a promotion together. Or you might team up with another business to provide a service for them. You can also collaborate with other businesses by allowing them to promote their products or services on your platform for a fee.