When businesses make their APIs available to external developers, those APIs can drive value, enabling organizations to generate revenue through their API products and create new business models, thereby expanding their digital ecosystems.
Monetization can be done in numerous methods and formats like
- Pay Per Request – charge per single request
- Freemium – Basic features are free, with higher-value features
- Tiered Pricing – API can be offered with different tiers, where
the tiers differ by the quota they allow and the features they
- Reduce time to market – expose API as a beta to test for real-world
- Marketing – revenue share, brand awareness, generating traffic,
ad sales, etc.
API Monetization is an important focus for many businesses starting API initiatives. However, they face challenges like identifying the value an API provides, accurate sizing of its target audience, stakeholder support and strategy, and much more.
In this white paper, we will dive deeper into the challenges that can be overcome if the APIs are designed, managed, and brought to market the right way!