India has fast become one of the most active and vibrant arenas in app marketing. And the business extends well beyond gaming, as retailers and direct sellers launch apps to capture the growing pool of mcommerce revenue in the region.
Over the last week, Apsalar and our partner Vizury have been hosting an event series in India called “Beyond Installs” which was designed to help identify some of the key trends in the market and how app marketing leaders can use them to their advantage.
The Beyond Installs event series reached well over 200 senior execs in the region. Given the tremendous interest and growth rates in the region, we decided to summarize some of the most relevant data points and observations we shared in the sessions.
1. The mCommerce Land Grab is On!
Our data show tremendous growth rates in installs, the number of phones with mcommerce apps, and the number of events we track. Note, these growth figures are not year over year, but rather quarter over quarter.
These figures underscore the fast growth in marketing activity in the region, and reflect the app-centric focus on retailers interested in mobile marketing.
2. It takes a lot more clicks to drive an install than you assume in your models
As brands build their conversion models, we often see people erroneously estimate that it only takes a click or two to drive an install. The reality around the world is rather different than that, and especially different in India. In India the figure was 198 clicks per install for the period. Why so many? Credit the fact that many CPA networks compensate their member sites by the click, which encourages those sites to drive as many clicks as possible. Also, Indian marketers make heavier use of APK and side load installs, which also jack up the figures. To get a free copy of our global study of over-click and click fraud, click here.
But whatever the reasons, massive click counts impede a marketers’ ability to optimize and assess media performance. They also radically increase measurement costs with vendors that charge for every click. Many do. Apsalar doesn’t. Comprehensive measurement including Facebook and third-party app stores is essential, of course, and you need to ensure that you are cognizant of all of the charges that will come from your vendor.
3. Double-counting credit for installs is costing you big money.
Given the prevalence of CPA deals in app marketing, there is heightened potential for more than one media company to take credit for an install. Without robust third party measurement, you may find that you are paying far too much for some installs — possibly double- or triple-paying.
It’s not that the media companies are trying to pull one over on you. Rather, any media company that touches a consumer is likely to believe that they were the driver, since they won’t know if or when other media companies also touched that consumer. Our team showed a case during the sessions that demonstrated a 21% reduction in acquisition costs for a client that started measuring with Apsalar Attribution, and used the data to ensure that only one vendor was credited per install.
4. Your business challenge definitely doesn’t stop with the install
While many app companies focus most or all of their attention on installs, the data show that the business challenge of succeeding in app-centered mcommerce does not end with the install. Check out these statistics specific to India:
To address these daunting stats, Apsalar recommends measuring more events and event types so you can identify the bottlenecks in your customer flow. Then addressing those bottlenecks methodically in a triage approach. We offer a special whitepaper eguide on this topic that you can download for free here.
Our data also underscore the importance of long-term measurement in order to do sales funnel diagnostics and truly understand your business. Far too many app measurement platforms limit measurement to 30 days maximum – hardly a constraint conducive to understand a retail, travel, finance, or other mcommerce business. Avoid platforms with this constraint.
5. Retargeting is the big opportunity for India
As marketers begin to realize the installs are not the whole battle, retargeting of users is becoming increasingly popular around the world. In India, however, retargeting is in its infancy. Less than 1% of marketing spend is currently allocated to remarketing.
From our vantage point of visibility into dozens and dozens of mcommerce apps, we can speak with certainty that remarketing can be a highly profitable marketing approach in many mcommerce categories, especially on demand services, travel, retail and games with high levels of IAP sales. It is less effective for utility apps, subscription services, and games with low incidence of IAPs.
The preceding content should give you a taste of what we reviewed at Beyond Installs. If you would like a copy of the complete presentation, click here. And many thanks again to our partner Vizury for making these fantastic events such a success!