Recurring Revenue: The World's Greatest Superpower
Recurring Revenue Is Essential for Mobile Development Agencies
Stable, predictable income transforms how an agency operates. Recurring revenue allows you to plan for future projects, manage expenses confidently, and invest in growth—whether that means expanding your tech stack or hiring a virtual assistant to manage client communications.
For agencies looking to maximize recurring revenue while minimizing development overhead, Adalo—a no-code app builder for database-driven web apps and native iOS and Android apps—one version across all three platforms, published to the Apple App Store and Google Play—offers the perfect foundation. By streamlining the app creation process, agencies can take on more clients and establish ongoing maintenance relationships that generate predictable monthly income.
Recurring revenue also increases the lifetime value of each client as they continue paying for services on a regular basis. This could be an ongoing app maintenance fee or expanding the feature set over time. Higher lifetime value leads to better client retention, stronger loyalty, and ultimately more revenue in the long term.
The Price Is Right (Or at Least, It Should Be!)
We can't discuss revenue without first tackling pricing. Setting the right prices for your services attracts and retains clients while keeping your agency profitable. Here are the fundamentals to remember when establishing your pricing structure.
1. Understand your costs: This includes the cost of developing apps (subscriptions, tools, etc.) along with any other expenses like salaries, outsourcing, or rent. With Adalo's paid plans starting at $36/month and offering unlimited database records with no usage-based charges, your tool costs become predictable—no surprise bills when client apps scale.
2. Know your target market: Have a clear understanding of your target market and what they're willing to pay. Conducting market research helps determine average prices for app development services in your area and positions your offerings competitively.
3. Set competitive prices: While profitability matters, competitive pricing is equally important. Pricing too high makes attracting clients difficult; pricing too low leads to financial losses. Find the balance that reflects your value.
4. Offer different pricing options: Different service tiers attract a wider range of customers. Offer a basic package for those needing simple apps and a premium package for clients requiring advanced features and functionality. More on this approach below.
5. Be transparent: Explain the costs associated with each package openly. Transparency builds trust with potential clients and helps them understand why your prices are set the way they are.
A Step-by-Step Guide to Recurring Revenue
Recurring revenue is something every agency wants, but not everyone knows how to make it happen. Let's walk through the practical steps to build sustainable recurring income for your agency.
Step 1: Determine Your Value Proposition
Spend time thinking about all possible win-win scenarios for you and your clients. What value can you bring in the short, medium, and long term? If you want recurring revenue, your client likely wants security—assurance that their app will keep working, improve over time, and that someone can jump in and save the day if issues arise.
The best approach is providing options. Everybody loves options. Craft several service offering packages so clients aren't confronted with a simple yes or no question. This positions you as a partner invested in their success, not just a vendor completing a one-time transaction.
Step 2: Craft Your Service Offerings
Here are examples to use as a starting point for your tiered service packages:
Basic
Objective: Keep all apps running smoothly
Services might include:
- Hosting the app
- Paying for Adalo, Zapier, Xano, etc.
- App maintenance
- Problem shooting
- Bug fixes
With Adalo's unlimited usage on all plans, you can confidently offer this tier without worrying about overage charges eating into your margins. The platform handles 20 million+ data requests daily with 99%+ uptime, so reliability is built in.
Premium
Objective: The app should be continuously improving
Services might include:
- A new yearly version of the app
- X number of hours of development per month
- XX hours turnaround time on services
Ada, Adalo's AI builder, lets you describe what you want and generates your app. Magic Start creates complete app foundations from a description, while Magic Add adds features through natural language.
Magic Start and Magic Add features accelerate this tier's profitability. Magic Start generates complete app foundations from descriptions, while Magic Add lets you add features through natural language requests—what used to take days of planning happens in minutes.
Bespoke Services
Objective: Acting as a remote dev and research team
Additional services might include:
- Run surveys of clients / NPS
- Run analytics reports
- Conduct user research and incorporate insights into app builds
For clients at this tier, X-Ray helps identify performance issues before they affect users—a proactive service that demonstrates ongoing value and justifies premium pricing.
Step 3: Assess How Clients Respond
Positive feedback is the best indicator of whether you're headed in the right direction. It may take trial and error to craft packages that guarantee value for clients while generating reliable recurring revenue for you.
Measure conversion rates across different packages and interview clients to discover what they want, what they're willing to pay for, and then refine your offerings accordingly. Track which tiers convert best and which generate the highest retention rates over time.
Step 4: Be Patient
Running an agency requires more than good technical skills or time management. It needs the right temperament. Patience is key when building recurring revenue—it takes time to develop strong, long-standing client relationships. Don't get disheartened by slow initial progress.
Perhaps your recurring revenue maintenance bundle starts at just a few hundred dollars per month. That might not seem like much from one client, but imagine every client you work with paying for this package. That cumulative effect is what you're building toward—predictable monthly income that compounds as your client base grows.
Why the Right Platform Matters for Agency Profitability
Your choice of development platform directly impacts recurring revenue potential. Platforms with usage-based charges create unpredictable costs that eat into maintenance package margins. Platforms with record limits force difficult conversations with growing clients.
Adalo's approach eliminates these concerns. Paid plans include no record limits on the database—apps can scale beyond 1 million monthly active users with the right data relationship setups. The modular infrastructure scales with app needs, and the removal of App Actions (usage-based charges) from all plans means no bill shock for you or your clients.
Compare this to alternatives: Bubble's web and mobile wrapper offering starts at $59/month but includes usage-based Workload Units with unclear calculations, limits on app re-publishing, and record restrictions. Glide starts at $60/month for custom domains but limits data records and doesn't support App Store or Play Store publishing. Softr requires $167/month just for a Progressive Web App, still with record restrictions and no native app support.
With Adalo at $36/month for unlimited usage and direct app store publishing, your maintenance packages become more profitable from day one.
In Conclusion
There has never been a better time to become a no-code freelancer or scale your agency. Recurring revenue isn't just good for you, your agency, or your staff—it's good for your clients too. It provides predictable, stable income, improves client retention, and allows for strategic planning and investment in initiatives that better serve everyone.
By offering services that bring ongoing value—maintenance, support, continuous improvement—you differentiate your agency from competitors and secure long-term, mutually beneficial relationships. Agencies that embrace recurring revenue models, built on platforms that support scalable, predictable operations, will be well positioned to thrive for the long haul.
FAQ
Why choose Adalo over other app building solutions?
Adalo is an AI-powered app builder that creates true native iOS and Android apps alongside web apps. Unlike web wrappers, it compiles to native code and publishes directly to both the Apple App Store and Google Play Store from a single codebase. With unlimited database records on paid plans and no usage-based charges, agencies can build maintenance packages without worrying about unpredictable costs.
What's the fastest way to build and publish an app to the App Store?
Adalo's drag-and-drop interface combined with AI-assisted features like Magic Start lets you go from idea to published app in days rather than months. Magic Start generates complete app foundations from descriptions, and Adalo handles the complex App Store submission process—certificates, provisioning profiles, and store guidelines are managed automatically.
Can I easily build recurring revenue streams with app maintenance services?
Yes. With Adalo's streamlined development process, you can efficiently manage multiple client apps, making it practical to offer tiered service packages from basic hosting to premium continuous improvement plans. The platform's unlimited usage means your maintenance package margins stay predictable regardless of how much client apps grow.
How should I price my mobile app development services?
Effective pricing requires understanding your costs (tools, subscriptions, salaries), researching your target market's willingness to pay, and setting competitive rates. Offer tiered pricing options like basic, premium, and bespoke packages to attract a wider range of clients while being transparent about what each package includes.
What services should I include in a recurring revenue maintenance package?
A basic maintenance package typically includes app hosting, subscription management for tools, bug fixes, and troubleshooting. Premium tiers can offer monthly development hours, faster turnaround times, and yearly app updates, while bespoke services might include user research, analytics reporting, and NPS surveys.
How long does it take to build sustainable recurring revenue as an agency?
Building recurring revenue requires patience and consistent effort over time. While individual maintenance packages may start at a few hundred dollars per month, the cumulative effect of securing recurring contracts with every client creates substantial, predictable income. Focus on delivering value and building long-term relationships.
What are the main benefits of recurring revenue for mobile app agencies?
Recurring revenue provides stable, predictable income that enables better business planning and growth investments like expanding your tech stack or hiring support staff. It increases client lifetime value, improves retention and loyalty, and creates mutually beneficial long-term relationships where clients receive ongoing support for their apps.
How does Adalo compare to Bubble for agency work?
Adalo starts at $36/month with unlimited usage and native app publishing, while Bubble starts at $59/month with usage-based Workload Units that create unpredictable costs. Bubble's mobile solution is a web wrapper rather than native apps, and its customization options often require hiring experts to optimize for scale. For agencies building maintenance packages, Adalo's predictable pricing protects margins.