In yesterday’s post about our mobile marketing survey, we discussed the growing importance of user quality in app marketing decisions. Today we’re going to zero in on how and where our app business leaders are spending – and plan to make their marketing investments.
Paid installs are increasing as a share of total installs, according to the latest data from comScore.
In short, brands that want to drive high install bases are becoming increasingly committed to and reliant on paid installs as a growth channel.
Media buying is certainly evolving. While a few years ago cost-per-install-based (CPI) display advertising was the dominant format for install media buying, a variety of payment models are now in use.
Part of the reason for this has been the ascendance of Facebook and Google as leading providers of media for app marketing. Typically, Facebook install media is purchased by the impression (CPM) and Google by the click (CPC)
Moving on to the types of media they are purchasing, app marketers say they continue to rely a great deal on classic mobile display (banner) ads, but they also report that they expect to spend more in several key areas in the next twelve months.
Specifically, large numbers expect to spend significantly more in the following areas:
- Mobile Video
- Paid Search
- Content Marketing
- App Store Optimization
- Influencer Marketing
Marketer interest in video and paid search appears to be particularly high. In our mobile marketing survey, 57% say video is due to grow significantly in the next 12 months. And 62% say they are interested in the app store search results listings available from Google and soon to debut from Apple.
Total install advertising spend continues to spike. According to Business Insider, spending on install advertising will hit $5.5B this year worldwide.
But our marketers say they are spending these dollars with a relatively small number of vendors.
More than half of the mobile marketing survey respondent say they work with 5 or fewer vendors, though a plurality also say that that figure represents an increase over a year ago. We were a bit surprised by this, given that there are an estimated 1,000+mobile ad networks from which to choose.
Tomorrow: Concerns about App Fraud
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