By Quick answer: How much money does an app with 1 lakh downloads make?
- Downloads ≠ users — many installs never become regular users.
- Ads in India pay little per user — scale and engagement matter.
- Subscriptions — a small share paying can out-earn ads.
- Store fees — 15–30% of digital purchases go to Apple or Google.
- Use your own data — these are illustrative models, not benchmarks.
Key takeaways
- There is no fixed 'earnings per download' — earnings follow active users and their behaviour.
- Indian ad rates are a fraction of US rates, so ad-only apps need very high engagement.
- A small share of paying users usually beats ads for niche apps.
- Retention multiplies every other number in the model.
- Run the model with your own retention, eCPM and conversion data.
"My app has one lakh downloads — how much should it be earning?" It's one of the most common questions founders ask, and the honest answer is: downloads don't earn anything. Neither app store pays per free install. Money comes from active users — the ones who open the app, see ads, and sometimes pay. So let's turn downloads into an earnings estimate the right way, with assumptions you can replace with your own numbers.
From downloads to active users
| Step | Assumption | Users |
|---|---|---|
| Lifetime downloads | Given | 1,00,000 |
| Still installed after a few months | 40% (illustrative) | 40,000 |
| Monthly active users (MAU) | 50% of installed | 20,000 |
| Daily active users (DAU) | 50% of MAU | 10,000 |
Every number downstream depends on these. A sticky app might keep far more; a one-off utility far fewer.
Scenario A: ad-supported app
Indian ad rates are low. Vendor benchmarks put Android banner eCPM in India at roughly $0.10–0.50, with interstitial and rewarded formats paying more2 — but your AdMob dashboard is the only reliable figure1.
| Assumption | Value |
|---|---|
| Daily active users | 10,000 |
| Ad impressions per user per day | 5 (mix of banner and interstitial) |
| Blended eCPM | ₹10–40 (illustrative) |
| Monthly impressions | 15 lakh |
| Monthly ad revenue | ≈ ₹15,000–60,000 |
Scenario B: subscription app
| Assumption | Value |
|---|---|
| Monthly active users | 20,000 |
| Share who subscribe | 2% |
| Subscribers | 400 |
| Price | ₹199 a month |
| Gross | ₹79,600 |
| Store commission | 15% (small-developer and subscription rates)34 |
| Monthly net revenue | ≈ ₹67,700 |
Add an annual plan and a free trial, and these numbers usually improve.
Scenario C: casual game
| Assumption | Value |
|---|---|
| Daily active users | 10,000 |
| Rewarded and interstitial ad revenue | ≈ ₹30,000–80,000 a month (illustrative) |
| Paying players | 1% of MAU = 200 |
| Average spend | ₹150 a month |
| In-app purchase net of 15% fee | ≈ ₹25,500 |
| Monthly total | ≈ ₹55,000–1,05,000 |
What moves the numbers most
Retention
Doubling the share of users who stay roughly doubles every scenario.
Engagement
More sessions per day mean more ad impressions and more chances to convert.
Audience geography
Users in the US and Europe earn many times more per ad impression.
Paywall and pricing
Clear value, a free trial and an annual plan often move conversion more than features do.
Build your own estimate
- Take your MAU and DAU from analytics — not downloads.
- Take your real eCPM by format from AdMob.
- Measure conversion to paid and churn.
- Subtract store fees for digital goods.
- Recalculate monthly, and focus on the biggest lever — usually retention.
For the ad side in depth, see AdMob earnings per 1,000 users; for choosing a model, see how to earn money from an app.
Key terms, defined
MAU / DAU — monthly and daily active users. eCPM — earnings per thousand ad impressions. Conversion rate — share of users who pay. Store commission — Apple's or Google's share of digital sales. Retention — the share of users who keep using the app.
Frequently asked questions
How much does an app earn per download?
There is no standard figure. Earnings depend on how many installs become active users, how long they stay, how often they use the app, how it monetizes and where users are. Two apps with the same downloads can earn ten or a hundred times different amounts.
How much does an app with 1 million downloads earn?
It could be very little or a lot. With strong retention and a good model, a million-download app can earn lakhs to crores a year; with poor retention, much less. Calculate from active users, not downloads.
Do apps get paid per download?
No. Neither Google Play nor the App Store pays developers per free download. Free apps earn from ads, purchases and subscriptions; paid apps earn the purchase price minus the store's commission.
Why are Indian ad earnings so low?
Advertisers pay less per impression to reach Indian users than US or European users, reflecting lower average spending. Rewarded and interstitial formats pay more than banners, but rates are still lower than in richer markets.
How can I increase earnings without more downloads?
Improve retention, raise engagement, add a paid tier or ad-free option, test pricing, add annual plans, and target users in higher-revenue markets where relevant.
What is a good conversion rate to paid?
It varies widely by category and paywall design. A few percent of active users paying is common for consumer freemium apps; strong apps with clear value and trials can do better.
Sources
- Google AdMob — Official site
- Playio — Mobile game eCPM benchmarks 2026
- Apple Developer — App Store Small Business Program
- Google Payments Center Help — Service fees
- Checked October 23, 2026. Figures that change — fees, salaries, prices — are reviewed every six months; if something is out of date, tell us.
Where to go from here
- AdMob earnings per 1,000 users — the ad numbers in detail
- How to earn money from an app — choosing the right model
- Making moneyAdMob earnings per 1,000 users: what Indian apps really make from adsAdMob earnings per 1,000 users: eCPM vs revenue per user, illustrative Indian ranges by ad format, a worked formula, and how to earn more.
- Making moneyHow to earn money from an app: a realistic guide for Indian buildersHow to earn money from an app realistically: pick a model that fits your users, set up payments, price for India and abroad, and grow revenue per user.
- Making moneyHow do free apps make money? The 9 business models, explainedHow free apps make money: ads, subscriptions, in-app purchases, freemium, commissions, sponsorships, B2B, payments and data — with real examples.
- Making moneySubscription vs one-time purchase: which makes more money for your app?Subscription vs one-time purchase for apps: lifetime value maths, when each wins, hybrid models, store fees and what Indian users prefer.
- Making moneyIn-app purchase pricing: how top apps set their prices, and how to set yoursIn-app purchase pricing explained: regional prices for India, store price points, tiers and bundles, anchoring and decoys, trials and how to test prices safely.
- Making moneyHow to sell an app — and what it's really worthHow to sell an app: valuation as a multiple of profit, what buyers check, where to list, how to transfer the app safely, and how to get a better price.
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