Old post but I’d like to chime in here with my perspective. I’m in a similar boat to @murph and think I understand what he is trying to achieve.
In my case, with many small single-activity kids apps (puzzles, coloring books, etc), it is becoming clear that model won’t be sustainable (c.f. Google’s new repetitive content guideline and Apple’s anti-spam). In the past I’ve used cross-promotion in the belief that users will find my other (equally small) apps and keep playing my games. But it doesn’t work that way, for the majority of people. So I need to start bundling multiple apps & activities into single apps.
For example, various puzzle theme apps such as Cats, Dogs, Horses will become a single puzzle app. I could just lump all the content into the app, but the APK size will grow quite a lot because the content is asset-heavy (lots of photos).
Instead, users will download a core puzzle app, and can then download content packs. This delivery is surprisingly cheap - I’m currently using this approach in some apps and with a content delivery network such as CDN77.com I’m currently delivering 800+ GB per month at a cost of less than $40. To finance it, the user is shown a rewarded video before the download, generating around $400 per month in revenue.
Going beyond bundling similar apps I’m also going to look into bundling different activities into single apps. So you might have a Dinosaur activity app with puzzles, coloring books, etc. Then I might want to make the code as well as assets for these activities downloadable on the fly. There will still be updates from time to time to core code, but I hope to increase retention by not requiring updates to get the latest activities. I’m envisioning combining this with push messages to draw attention to new activities.