4 Mobile App Marketing Trends Likely to Stick Around
Marketers know all too well how quickly the mobile app marketing landscape changes to keep up with technological advances and consumer behavior. Running successful campaigns depends on understanding marketing trends and implementing them advantageously. It’s also important to differentiate between flashes in the pan and trends with genuine staying power—that is, the potential to optimize ad spend and increase mobile app user engagement.
Here are four mobile app marketing trends likely to stick around based on their track record of improving important performance metrics while delivering a favorable return on investment (ROI).
Programmatic Ad Buying
Here’s a basic working definition of programmatic ad buying, according to State of Digital: “Programmatic media buying, marketing and advertising is the algorithmic purchase and sale of advertising space in real time.” This automated process alleviates the need for manual interaction from humans. The goal is to show effective ads to a highly targeted audience at opportune times.
Algorithms can also now plug in personalized creative elements into mobile ads on the fly, boosting the efficiency of app advertising campaigns. Running programmatic ads frees marketing teams from the task of actually placing insertion orders and designing ads so they can focus on high-level objectives while algorithms assemble bid and place the ads mobile users will see.
Dynamic Mobile Ads
Programmatic advertising goes hand in hand with dynamic ad creatives. App marketers are increasingly able to harness mobile user data to refine ad designs. As the Interactive Advertising Bureau notes, “infusing first or third-party data on demographics, location, and previous behavior” allows marketers to personalize elements like headlines, calls to action, images and other assets.
Personalizing advertisements tends to boost interaction—and subsequent engagement with your app—because people resonate with the elements reflecting their identities and habits.
Many developers work with an app marketing agency to optimize campaigns on a Cost-Per-Action (CPA) basis. This represents a shift from the traditional Cost-Per-Install (CPI) model, which requires marketers to pay every time a mobile user taps an ad then installs an app. CPA optimization requires marketers to pay only when mobile users go on to perform a desired action like creating an account or making an in-app purchase. The cost of these actions depends on their significance. For instance, a user who registers will cost marketers less than a user who signs up for a premium subscription—but the cost corresponds to the potential lifetime value for these mobile users.
The underlying goal of switching to a CPA model is to drive engagement with post-install events. Why? Because it’s becoming increasingly apparent that installs alone are not a good indicator of future engagement. While it’s easy to measure the number of installations and the cost of each one, CPI is a metric that only tells the first part of the story, especially because mobile users are prone to deleting or abandoning apps.
Rising Return on Ad Spend
In 2017, app marketers’ return on ad spend (ROAS) grew by approximately 35 percent, as Mobile Marketer reports. The three aforementioned factors are all contributing to the rising favorability of this metric: CPA-optimized campaigns focused on engagement, personalized ad creatives and programmatic assembly.
All in all, modern mobile app advertising aims to capture and retain quality users with higher lifetime values. Targeting the right users with relevant messaging in an appealing format goes a long way in attracting customers who will do more than just install your app; they’ll stick around and engage over time. This is the most surefire way to monetize an app in today’s “freemium” marketplace. So, marketers, keep your eyes on these four trends for 2018 and beyond.