- Click-to-install rate increased by 32%
- Android catching up with iOS in terms of cost per install basis
- Cost per app install has dropped 12%
The number of mobile app installs show a 346 per cent increase globally since the second quarter of 2014. The advertising spend by mobile app developers worldwide quadrupled since the second quarter of 2014, a report by Kenshoo highlighted.
The global mobile app advertising market quadrupled in size from last year in the second quarter. In terms of ad spend, Australia is ranked third behind, US and UK and is followed by Canada, France and Germany.
While click-through rate is down YOY, the click-to-install rate has increased by 32 per cent. While the cost per click for mobile app install ads has increased YOY and the CPM has been flat, the cost per app install has dropped 12 per cent, which will become more relevant as Facebook changes bidding models to consider conversions over reach or clicks, the report highlighted.
Android is catching up with iOS in terms of cost per install basis. The gap between both the OS narrowed considerably in 2015 as more developers enter the market, implying that there is less of a premium on iOS users than there has been in the past.
“For the marketer, the challenge remains to get consumers to discover, download, install and ultimately, to buy-in to the experience and continue to engage beyond that first moment. We believe that app marketers need to effectively manage their campaigns to drive user acquisitions and get the best performance from their budgets,” said Kenshoo Asia-Pacific Managing Director Yukihiko Imamura.
Mr Imamura said the combination of new entrants to the space, and increasing budgets have driven overall spending up nearly four times what it was one year ago.
“Consumers around the world are spending more time on mobile apps and the marketing opportunity is significant if advertisers hone their ad-buying strategies cleverly. We are only at the beginning of the mobile app boom, and we expect to see advertiser demand to skyrocket in this space,” Mr Imamura added.