The cost of mobile acquisition : how the market behaves, while Black Friday is approaching?
Black Friday this year takes place on 27th of November in many countries (in France it’s previewed to be on 4th of December). Usually, this period of big sales goes along with increased mobile media buying costs.
This time, Addict Mobile gives an update on the costs of mobile acquisition of the advertising market. This is even more interesting to analyze, since a slight decrease of CPM in some countries during the reinforcement of Covid related measures.
The analysis focuses on Facebook only.
France, Belgium, Germany, Spain, Italy, UK
What about the countries that saw a slight decline in the average CPM in late October/early November, following the announcements by different governments?
In fact, it started to rise back around 9th of November. The increase even accelerated from 14th of November. Overall in these 6 countries, which therefore follow a classic Black Friday approach, we see CPMs increasing by 15% compared to August.
U.S. and Canada, the elections delayed the increase of CPM
Black Friday in these two countries usually affects the most their acquisition costs, although this year’s elections have delayed the increase of CPMs.
In Canada we see a classic pattern of increasing CPM that starts from August. Although it looks like it is a little bit stagnated in October, it still continues to gradually increase.
In the U.S. the situation is quite different from the usual (including the last year as well) and the answer is simple: the Presidential election.
- The CPM increases sharply (+136% between 1st of August and 27 th of September) until two weeks before the Election Day, when, it decreases for the first time (-42% between 17th and 20th of October).
- On Election Day, the CPM is at its lowest point (8.3€ on 4th of November UTC+2 or 3 in the U.S) before rising rapidly (+57% between 4th of November and yesterday).
This decrease observed before and during the elections can be explained by 2 factors:
- From 27th of October, Facebook blocked the possibility to create new ads related to politics in the run-up to the election.
- Brands may not have wanted to be associated with this political topic and have slowed down their investments.
After 3rd November, the CPM returned to its normal level and started gradually increase along with the approaching Black Friday date. The CTR also increases proportionally, which shows that users are clicking on the ads again.
CPI and CTR
Overall, the CPI follows exactly the same trend as the CPM.
Contrary to the CTR which has remained in constant increase since August but does not sufficiently compensate for this increase in the CPM. This would mean that users are still more inclined to see and click on ads.
On the other hand, we don’t see any difference in behavior between Facebook platforms or OS.
CPMs will be very high in the upcoming days, whether it’s confinement or not
- Like every year, CPMs will be very high in the upcoming days, whether it’s confinement or not. Keep this in mind, when you analyze your results.
- Also, remember, that Black Friday is a period when in-app conversion rates are higher compared to the rest of the year, as we observed 1 year ago.
- It will be interesting to see how the CPM evolves in France taking into consideration the postponed Black Friday.
Article en relation
Cityscoot is the number one service for self service electric scooters. Launched in 2016 in Paris, the brand has rapidly expanded to Nice, Milan, and Barcelona, offering more than 7000 scooters to all those who wish for an effective urban transport, face in the wind. Addict Mobile supports Cityscoot in its European growth by managing user acquisition campaigns for its application with a cost per first ride objective. Activated sources: Facebook, Google and Snapchat. City Targeting, a challenge for mobile app acquisition Broadcasting acquisition campaigns on a city scale implies several constraints: – The more restricted the targeting, the higher the acquisition costs. – The visuals must be adapted to the usage and routes of each city in order to maintain good transformation rates and thus reach performance objectives. How to keep acquisition costs low with specific targeting? By adapting the OS and sources to each city: depending on the results of the campaigns, Addict Mobile’s teams increase investments in the sources or OS that deliver the best performance. By varying the optimizations according to the sources: on Facebook and Google, campaigns that are optimized […]Publié le 7 April 2021
The latest major changes in the mobile app ecosystem (privacy, Apple’s ATT Framework, maturity of advertisers.) are forcing players in the mobile ecosystem to offer the most complete service possible to cover the entire mobile marketing chain. Owning your first party data and therefore having your own data to monetize your audience and offer effective advertising campaigns is one of the major challenges of 2021’s ecosystem. Everyone wants to put their SDK in the apps to know their users and maximize the revenues of their campaigns. Lately, there have been a lot of acquisitions of AdNetworks, tracking tools, analytics tools and monetization structures. The ecosystem is consolidating, the companies are getting stronger. Brief overview Vungle mobile app install company acquires GameRefinery, a leading cloud-based mobile game analytics platform with deep contextual data sets and image-recognition technology that helps developers market, design, and monetize their mobile games. “GameRefinery’s deep contextual data will offer new ways for advertisers to find relevant audiences, using non-personal data such as player motivations, moods and styles and audience personas, for campaign targeting with no device level ID required.” “With upcoming changes on iOS 14 and the removal of the IDFA, advertisers are looking […]Publié le 1 April 2021
In our first article we explained the importance of the soft launch for launching mobile games: identifying objectives and KPIs to track, determining a budget and time-line and, finally, developing ASO strategies to maximize conversion rates for your game. This second article focuses on which countries to choose for your soft launch, depending on your objectives and the insight you want to obtain. Avoid audience burnout The choice of country for soft launching your app is crucial. In fact, we recommend that you avoid testing in the country in which you intend to officially market your game. This would be far from ideal. So you want to avoid launching the game in countries with the most qualified audiences. If you attract a large number of qualified users to a game that they don’t like, which doesn’t motivate them or generate enough revenue, these players will be “unprofitable.” They simply won’t come back. Therefore, it’s best to delay releasing the game to this kind of audience until you have an advanced version. This means avoiding the best geographical locations (= those generating the most revenue) which are best left untapped for the hard launch. Furthermore, these locations, featuring […]Publié le 29 März 2021