How Much Is An App Idea Worth?

How Much Is An App Idea Worth? Find out how much you can possibly earn for your mobile app ideas through this post.

Have you explored your tech creative abilities to such an extent that you  eventually come up with seemingly great app ideas? If yes, then you are now probably at the stage of asking "how much is an app idea worth?" wondering if you can sell them or invest in building one.

It is impressive to have developed such a creative mind. However, it should be noted that the worth of an app idea can't be evaluated by mere words of mouth. There are several successful apps like TikTok which is popular and estimated to be worth $50 billion, and Shazam which is said to have been bought by Apple for $400 million. These apps were not worth this much only due to the big ideas. They were estimated at such prices because they moved from being a great app idea to being a downloadable app on App stores. 

Test-run Strategy to Know How Much an App Idea is Worth

Yes, there would indeed have been no app without an app idea, but trust me when I say no one is willing to buy into your app idea without any proof of profitability.

However, all hope is not lost as it is possible to have a test run done to estimate how much your app idea might be worth even before investing your resources into it. Here are the steps on how you can do it:

1. Design a landing page

The landing page is a solo page where visitors are directed either from a mail or other social media links to persuade them into taking an action. This page is meant to show the features and usefulness of your app as if it is already available in the app store.

With the call to action, the CTA click button, that is the Download button, and the number of clicks, you can have a statistical idea of how your target users find your app to be. This will also reveal the potential willingness of people to buy your app if it were to be launched.

To design a landing page you can either: (1) make use of mobile landing page builders that will help you build the page within a short time without needing a coding language; (2) make use of custom code which is most flexible but requires more time and funds (you can also seek the service of an app developer for this); or (3) make use of a landing page template that will require you to possess basic coding skills.

2.  Pay for a low-cost ad campaign

You could share links to direct people to your landing page yourself but doing an ad campaign will help you estimate how much profit you can make from each download. It helps you calculate your ROI.

When you get a download, Apple or Google takes their fee and then you get to know how much you earn per download. If you can break even with this demo strategy, then your app ideas have a high chance of success when built.

3. Analyze the result

As soon as you begin to direct people to your landing page, you should follow up on its activities. The things you should check out for are the number of people who visit the page and those who tap the Download button.  

You can make use of Google Analytics to track the progress if you designed it with a template or custom code. You should track this for a couple of weeks until you get a reasonable number of clicks, say 20 downloads to have a good ROI report. Keep in mind that doing this analysis doesn't assure you 100% accuracy but it is better than assuming.

Derek Sivers' Perspective

We could also learn from the perspective of Derek Sivers - the author of a phenomenal book titled " Anything You Want". He is of the thought that a brilliant idea is worth only $20 if not executed. Here is an evaluation strategy he designed

Idea values

Awful idea = -1

Weak idea = 1

So-so idea = 5

Good idea = 10

Great idea = 15

Brilliant idea = 20

Execution multiplier

No execution = $1

Weak execution = $1,000

So-so execution = $10,000

Good execution = $100,000

Great execution = $1,000,000

Brilliant execution = $10,000,000

Idea valuation equation

Idea × Execution = Idea valuation

Take for instance you have a good idea which from our idea value table is 10 and you have weak execution which is $1,000 in the execution multiplier table, from Derek Sivers's view,

Your app idea would be worth $10,000.

10 x $1,000 =$10,000.  

Again, say you have a great idea which is 10 and a brilliant execution which is $1,000,000, the worth of your app idea would be $10,000,000

10 x $1,000,000 = $10,000,000.


Great ideas rule the world, and so do great app ideas, if executed intelligently. The worth of an app idea may not be accurately determined until it has found its way to the app store. Nonetheless, the test run strategy made available in this article will certainly prove useful if applied.

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