In-App Purchases as an ASO Tool: Monetization, Visibility, and App Growth

In-app purchases are a mechanism that transforms our users into paying customers and our application into a successful business. It is not just a “Buy” button inside the app. By 2025, in-apps will have become a full-fledged ASO tool capable of promoting our app to the top of the stores, along with its name and icon.

Users are willing to pay for premium content through in-app purchases — whether it is a Netflix subscription, a superpower in Clash Royale, or lifetime access to a meditation app. While our competitors mostly perceive in-app purchases as a way to make money, we can use them as a strategy. How? By promoting them in the App Store search, where every optimized purchase is an additional opportunity to be discovered.

This article is a comprehensive plan for turning in-app purchases from a simple monetization method into a growth engine. Let’s figure out how to build such a system.

What Are In-App Purchases

In-app purchases (IAPs) provide users with additional value directly within our application. Imagine our app is a car: the base model is free, but the user is willing to pay extra for additional options (air conditioning, heated seats, autopilot). These options are the IAPs.

How it works:

• The user taps the “Buy” button inside the app
• The system displays the native App Store or Google Play interface
• The user confirms the purchase via Face ID, password, or fingerprint
• The money is charged, and we receive a notification of a successful transaction
• The feature or content is instantly unlocked

Apple can be called a “premium garage”:

• Official payment methods via Apple ID
• Strict design requirements for paywall screens
• Commission 15–30%

Google is a “universal service station”:

• Supports local payment systems (for example, in India and Brazil)
• The payment interface can be customized to match the brand
• Commission also 15–30%, depending on regional specifics

Why It Matters for ASO

When users purchase premium features or subscriptions, they send a signal to the stores: “This app is worth it!” High monetization and paying-user retention rates positively affect ranking. We are not just selling content — we are proving the value of our product to the stores.

The industry has long established a standard: free download followed by in-app purchases. The entire ecosystem operates on this model — 95% of apps in the App Store and 97% in Google Play are free. This proves that the Freemium model with IAP has conquered the market and has become the only proven path to mass success.

Types of In-App Purchases

Imagine our app as a coffee shop. We can offer not just a basic drink, but different “toppings” that bring maximum value to the customer and stable income to us. In-app purchases work the same way — a menu of extra options, each solving its own task.

There are four main types used by everyone, from giants like Spotify to new startups.

1. Consumables — You drank your coffee and forgot.
Purchases that can be made repeatedly. Once used, they must be bought again.

• What it is: In-game currency, ammunition, revives, and energy.
• Example: In a mobile game, the user buys a “revive” to complete a hard level. Once used, they can buy it again.
• Why we need it: Creates a steady stream of micro-transactions from the most engaged users.

2. Non-Consumables — Your own coffee mug
A one-time purchase that remains available permanently across all of the user’s devices.

• What it is: Complete ad removal, unlocking premium features, and buying additional levels.
• Example: In a sleep-tracking app, the user buys an “Advanced Metrics” pack once, and it stays with them forever.
• Why we need it: Increases loyalty and gives users a sense of lasting ownership.

3. Subscriptions — Monthly coffee subscription
Regular access to content or functions for a recurring fee.

• What it is: A monthly subscription to a music service, fitness app, or productivity tool.
• Example: The user subscribes to “Pro” in a language-learning app to access all courses without ads or limits.
• Why we need it: Generates predictable recurring revenue and increases user lifetime value.

4. Upgrades — A coffee machine at home
A one-time payment that permanently changes the app’s status by unlocking full access. This type is often confused with non-consumables, but its essence lies in upgrading the app status.

Why we need it: Converts the most interested users into loyal paying customers.

What it is: A purchase that unlocks all current and future premium features.

Example: The user upgrades from a free planner app to the full “Pro” version without monthly payments.

Monetization Through In-App Purchases

In-app purchases account for 85% of App Store revenue and 78% of Google Play revenue. By comparison, paid installs account for only 5–7% of the market. In 2025, the trend is only strengthening, even as users have become more careful with spending. This does not mean they have stopped paying — they have become more deliberate in their choices. It is expected that by the end of 2025, global consumer spending in mobile apps will exceed $200 billion.

IAP vs Advertising: Relying only on advertising generates little revenue and irritates users, while an IAP-only model cuts off up to 90% of the audience. The ideal solution is a hybrid approach: Freemium to acquire users, rewarded ads to monetize them, and smart subscriptions for stable revenue.

5 working strategies for 2025

• Freemium + trial period
  Let users feel the full value, then offer a subscription on days 2–3 of usage
• Bundles with clear value
  “Starter pack: save 45%” performs better 
• Precise timing
  Offer a purchase at the moment of success or a small difficulty
• 3 pricing tiers
  Basic → Optimal → Premium (the annual plan is always centered)
• Continuous A/B tests
  Test not only prices but also phrasing (“Unlock” instead of “Buy”)

Successful monetization occurs when users feel they are paying to solve their problems, not just buying a feature. In-app purchases should be a natural part of the user experience, not an intrusive necessity.

In-App Purchases and ASO

In the App Store, our in-app purchases work like additional entrance doors to the app. While competitors fight for a single spot in search results, properly configured IAPs allow us to occupy several positions at once.

Imagine this: we can promote up to 20 purchases simultaneously, and each one receives its own snippet in search. This is not only extra touchpoints with the user — it is also full-fledged positions in the results for relevant queries.

IAP metadata — our new key fields:

• Name (30 characters): (e.g., Premium: AI Assistant)
• Description (45 characters): (AI-based personal trainer)
• Keywords: (AI,assistant,personal,trainer)

This approach significantly expands our semantic core — IAPs help capture queries that the main app page does not cover. Users click more often on specific offers, which increases the overall CTR. In addition, active purchases signal to the algorithms that the app is alive and evolving.

Let us consider a language learning app. In addition to the main snippet Learn English, we can promote:
• IAP 1 Conversation practice with native speakers
• IAP 2 Business English for work
• IAP 3 IELTS preparation

In Google Play, the mechanics are different — IAPs do not receive separate positions in search, but they influence overall engagement metrics, which also improves ranking. IAPs in the App Store are a way to occupy more space in search results and surpass competitors who use only classic ASO methods.

Tools and Analytics

We have already established that in-app purchases can significantly affect app visibility in the App Store. However, to avoid working blindly, you can use analytics. All information — from search queries to positions in the results — is collected in ASOMobile:

In-App Keywords is a tool that shows all search queries for which our IAPs (and competitors’ IAPs) are indexed in the App Store. We see not only the list of queries, but also traffic volume, promotion difficulty, and the relevance of each keyword. This helps expand the app’s semantic core and determine which in-app purchases should be taken to promo.

In-App Monitor allows you to track the positions of your IAPs for selected keywords and analyze their dynamics for any period. The tool synchronizes with Keyword Monitor — changes in keyword lists are automatically reflected in both modules. In the List view, you get detailed analytics for each purchase, and in the Overview view, you get a summary across all app IAPs.

The workflow is built as a cycle: keyword collection → promo placement → position monitoring → testing → results analysis. This approach turns in-app purchase management from a creative process into a data-driven strategy where every decision is backed by real analytics.

Tips for Developers

When users complain about in-app purchases in reviews, it is a direct signal that we are underdelivering value. What are in-app purchases to the user? They should be a beneficial upgrade where the price matches the benefit, not an attempt to monetize everything.

Proper localization of in-app purchases goes far beyond simple translation. It is about adapting prices to local incomes, using local payment methods, and considering cultural specifics. What in-app purchases mean to a user in Brazil or Japan can be entirely different.

The payment process must be as simple as possible. Any friction means a lost customer. The ideal flow: Face ID or fingerprint → one button → instant access.

Working with different user segments requires a flexible approach. Show onboarding in-app tips to new users, offer exclusive deals to returning customers, and provide premium features to the most engaged.

The key thing to remember is that in-app purchases are not a technical feature but a natural part of the user experience. When in-app purchases become a logical continuation of using the app rather than a forced necessity, we are on the right track.
Advice for users

Managing purchases and setting restrictions
If you want to control in-app purchases, there are dedicated options in your device settings. On iOS, go to “Screen Time” → “Restrictions,” where you can set a password to authorize purchases. On Android in Google Play, there is a setting “Require authentication for purchases.” This helps avoid accidental spending, especially if children use the device.

Popular payment methods
Modern app stores offer various payment options for in-app purchases. In the App Store, there are cards linked to Apple ID and Apple Gift Cards. In Google Play, there are bank cards, PayPal, local payment methods depending on the region, and a Google Play balance.

How to avoid accidental purchases
The simplest way is always to use authentication for in-app purchases. Enable password prompts or Face ID/Touch ID for every transaction. For family use, enable parental controls — this will prevent unwanted purchases if children use the device. Remember: you can always view your in-app purchase history in the store settings and request a refund if necessary.

Metrics of a Successful IAP Strategy

To understand whether our in-app purchases are working, we need to track four key metrics.

Conversion Rate shows what percentage of users become paying. A good benchmark is 3–7%. If it is below 1%, it is worth revisiting the value proposition of your in-app purchases.

ARPU (average revenue per user) helps evaluate monetization efficiency. Rising ARPU with a stable user base is a sign of a healthy app economy.

The most important indicator is paying user retention. If those who paid for in-app purchases once continue to use the app actively, we are moving in the right direction.

Churn Rate for subscriptions shows the monthly percentage of user attrition. A rate above 7% is a signal to reassess the subscription’s value.

These metrics work together: low retention with a high conversion rate indicates that first impressions from in-app purchases are not backed by real value.

Common Mistakes When Working with IAP

When new users do not turn into paying customers, pay attention to FTD (first purchase). Low rates are often associated with complex onboarding or insufficiently clear value of premium features.

The gap between ARPU and ARPPU shows how effectively we engage different audiences. If most revenue comes from a small group of users, it may be worth revisiting the structure of in-app purchases for broader coverage.

Paying for user retention is a satisfaction indicator. If those who once paid for a premium continue to use the app actively, it means we have built monetization correctly.

Growth in churn rate among subscribers often indicates a mismatch between expectations and the actual value of the subscription. Analyzing cancellation reasons helps adjust the offer in time.

Paywall conversion is a practical optimization tool. Low figures here directly point to problems in the design or copy of payment screens. Sometimes a simple change in button wording provides a noticeable uplift.

The relationship between IAP revenue dynamics and search positions is an important strategic indicator. If monetization growth is accompanied by improved app visibility, this confirms the effectiveness of the chosen strategy.

Conclusion

In-App Purchases in 2025 are not just a monetization method, but a full-fledged growth tool. Properly configured IAPs generate stable revenue and improve app visibility in the stores.

The key to success is a balanced approach. Combine different purchase types, test metadata, analyze user behavior, and do not be afraid to experiment. Use specialized ASOMobile tools to track the effectiveness of your strategy. Remember: ideal in-app purchases are perceived by users not as expenses, but as beneficial investments in their own comfort and capabilities. By achieving this balance, you create a sustainable app economy that will work for you for years to come.

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