App Install Advertising: Key Challenges, Trends, and Effectiveness Ratings [REPORT]

Read Time: 5 min

Remember back in the day--2012, maybe--when all app install advertisers could talk about was how to acquire as many new users as possible?

Then the data started to come in. More people are using smartphones worldwide and downloading apps, but 23% of users abandon an app after opening it only once. The story doesn’t get much better after a month of usage:

After 30 days, only 6% of people who installed an app were still using it. This is a big problem in the app ecosystem. Retaining users and keeping them engaged is necessary for apps to be successful,” says Jehan Damni, product manager at Facebook. After just 24 hours, most users were done with an app forever. Among the users who do stick around, retention rates have steadily declined year over year, going from 42% to 37% this year.

The problem?
Competition is fierce. Smartphone users and app download rates continue to increase, but aren’t keeping pace with the number of apps that continue to become available--currently over 2 million in each of the leading app stores.


The good news?
There’s a shift in strategy that works. By focusing on app advertising that’s structured around retention, marketers can acquire a steady stream of qualified users for their apps; the users who stay engaged, and have a stronger lifetime value. Build on the successes and experience of app marketers yourself to further hone your strategy and concentrate on the channels similar brands see results in.

We’re sharing the blueprint to building this new strategy via a FREE eMarketer report, App Install Advertising: Key Challenges, Trends, and Effectiveness Ratings. The report dives into the data surrounding the challenges app marketers currently face and how to structure and evaluate app advertising campaigns that weigh the value of acquired users in terms of retention against the cost of acquisition. It even includes eMarketer's Advertising Effectiveness Scorecard, in which app advertisers and mobile attribution firms rate media channels and mobile ad types in terms of sales and engagement effectiveness. It's a powerful way to use what's already working from brands to shape your own app advertising strategy.


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