Getting app marketing right
The screen is changing its shape and size and mobile is the new access point. It is convenient and beneficial for both the consumer and the service provider.
ECommerce, travel, entertainment (games) are the categories which wish to have the most number of consumers on mobile as of now. Finance, Education, Fast Moving Consumer Goods, Consumer durables will also follow their path soon.
So how can one have effective app marketing? Is the approach taken by the above mentioned categories right? Let’s try and check on their strategies…
Level 1- Carpet bombing
App marketers wish to have their apps installed on every smartphone. It does not matter which handset brand, geography, profile, etc. the smartphone belongs to. Yes, it is the right strategy for the short term as it creates more and more consumers who have downloaded their app.
Level 2 – Active users
But every install comes at a cost, so what really matters is that how many users are actually active users? Here is where the ‘quality of the installs’ measurement comes in. Ideally, this stage should come very quickly after a short burst of carpet bombing.
Level 3 – Life Time Value (LTV)
Like ARPU counts for the telecom operator, Life Time Value of consumer is a key metric for app marketing companies. Trust me, this will be the only metric to be followed in the future. Here is where the ‘quality of the user’ measurement comes in. This stage should come right after an app has at least 10 per cent active users.
The three steps mentioned above are the ones that the companies follow right now. While ‘Carpet bombing’ is a no brainer, offers, marketing campaigns, loyalty programs can get ‘Active users’ for an app. But both these steps are super expensive affairs which means that most companies run out of fuel before reaching the third level of LTV.
So what can companies do to get to high LTV effectively?
Here are some tips:
1) Use high impact, elaborate creative format even if it costs more – e.g videos.
2) Get app installs through consumer engagement and not by incentivising the consumer.
3) Change the creative frequently and again use formats like videos to push offers.
4) Target the same user by using same channel/network.
5) Use targeted channels by paying a bit of premium. For example, target in-app ad slot of entertainment, game, news etc. in a systematic manner to evaluate which channel gives the most LTV. After analysing, put your money in that proposition.
6) Never stop at install level marketing, keep reminding the consumer that ‘I am there on your phone’.
