The Cost per App Launch Index, which tracks the cost of each repeat app launch over time, focuses on engagement and lifetime value of mobile users. In January, the Android CPL Index increased to $0.18, rising 58 percent from December and up 14 percent year-over-year. The iOS CPL Index rose 10 percent to $0.26, representing an increase of 60 percent year-over-year.
The Cost per Install (CPI) Index measures the cost per app install directly attributed to advertising. In January, CPI for iOS increased 9 percent to $1.28 – a 7 percent jump year-over-year. Android’s CPI rose from $1.41 to $1.53, a 9 percent increase over December and up 23 percent since last January.
The App Store Competitive Index tracks the aggregate volume of downloads per day achieved by the top 200 ranked free iPhone apps in the U.S. This Index showed a significant jump again in January for the fourth consecutive month, from 9.2 million daily downloads in December to 10.3 million daily downloads in January. This represents the first time download volumes have broken 10 million; an increase of 12 percent since last month, and a rise of 61 percent year-over-year.
The Cost per Loyal User Index measures the cost of acquiring a loyal user for brands who actively market their apps. For the purposes of the Index, loyal users are defined as people who open an app three times or more. The CPLU Index rose 38 percent from December to $2.90 in January, a 61 percent increase year-over-year.
Fiksu's Analysis: January 2015
Continuing its upward trajectory, the January Fiksu indexes represented the fourth consecutive month of record-breaking downloads, as the average aggregate daily download volume of the top 200 free iOS apps reached 10.3 million. Exceeding 10 million for the first time in history, this new high comes on the heels of previous records in October, November and December of 7.8 million, 8.1 million and 9.2 million downloads respectively.
Mobile marketing costs in January also reached an all-time high: the Fiksu Cost Per Loyal User Index (CPLU) was at $2.90 in January, a 38 percent increase from December 2014. This represents a 61 percent year-over-year rise – the cost to acquire a loyal user in January 2014 was $1.80.
The continued increase in downloads reflects the ongoing surge in app usage. Driven by consumers’ appetites for apps, marketers are putting data to work to target and acquire the right users who are more likely to engage over the long term. While this approach drives better overall results, it also drives up costs, as evidenced in January.
The January Cost Per Install Index (CPI), which measures the cost per app installs directly attributed to advertising, increased to $1.28 on iOS, a 9 percent rise since last month and a 7 percent increase since last January. On Android, CPIs also rose 9 percent for the month, to $1.53, a 23% increase since last January. As the shift to more sophisticated targeting is evident, marketers can expect that a larger part of their mobile strategy will include channels that offer several layers of audience targeting, such as Facebook, Twitter and RTB, which will increase CPIs but also increase the value of each acquired user.
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We’ve accumulated more than 8.2 trillion marketing events including impressions analyzed, clicks, downloads, registrations, purchases and other loyal user events tracked across 2 billion devices– and use this data to help you better understand the fluctuating dynamics of the complex app marketing landscape through our monthly Fiksu Indexes.
Your app is competing for users with millions of others. The best way to improve your mobile marketing is to more precisely understand the competitive landscape you’re pouring your budget into. The Fiksu Indexes reveal how industry dynamics – such as iOS upgrades, device launches, advertiser demand, ad network/publisher inventory, and seasonal activity – impact your business goals. Armed with this insight, you can adapt and plan with more agility.