How To Get Low CPI High Value Users Via Mobile Ad Networks by Naghi Prasad

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How To Get Low CPI High Value Users Via Mobile Ad Networks by Naghi Prasad

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How To Get Low CPI High Value Users Via Mobile Ad Networks by Naghi Prasad

  1. 1. How to get low CPI and High Value Users via mobile ad networks Naghi Prasad Co-Founder, Deep Forest Media March 2014
  2. 2. 2   Agenda • Introduction  to  paid  user  acquisition   • Measure  Life  Time  Value  of  Users     • Increase  Life  Time  Value  of  users   • Decrease  the  cost  of  acquiring  high  value  users    
  3. 3. 3   User Acquisition Dilemma • Increasingly, revenues and downloads are decoupling. •  Rage  of  Bahamut  is  not  a  top  500  iOS  app  by  download  but  #14  app  in  revenue  in  US,  DARPU    ~$0.80!   •  Clash  of  Clans  –  one  of  the  top  grossing  iOS  apps  is  not  even  in  top  50  in  downloads   Getting the right user is the game!!
  4. 4. 4   Net positive return on users •  Life TimeValue (LTV) of user •  Profit per user. = LTV – CPI Cannot optimize for what you don’t measure Measure  
  5. 5. 5   LTV Calculation – Too Late to Affect Ad Campaign Days   Leading Indicators for LTV prediction LTV and Leading Indicators Measure  
  6. 6. 6   Increase LTV
  7. 7. 7   Freemium versus paid apps •  Freemium is the dominant model •  Is Freemium a good model for your app? •  Paid apps are hard to get through paid acquisition Reduce  costs  
  8. 8. 8   Campaign types •  CPI •  Minimal  risk   •  Hard  to  get,  at  volume     •  CPC •  Conversion  risk  still  on  the  advertiser   •  CPM •  Maximum  risk;  maximum  reward   •  Willingness  to  experiment  and  take  losses.     Reduce  costs  
  9. 9. 9   Supply Sources •  Over 100 supply sources •  Native  platforms  (Facebook,  ….)     •   Ad  Networks   •  RTB  Exchange     •  Types of inventory •  Native  platforms   •   Incentivized  vs  non-­‐incentized   •  Video  (incented  video,  non-­‐incented  install  vs  non-­‐incented  video)   •  Pay  per  Engagement   •  Rich  Media   Reduce  costs  
  10. 10. 10   Retargeting •  Very useful technique for mature apps •  RTB  exchanges  ideal  for  this   •   Work  with  a  platform  that  keep  your  data  siloed  and  targets  on   your  behalf.   •  Any  kind  of  data  advantage  you  have  falls  in  this  bucket.         Reduce  costs  
  11. 11. 11   Deep Forest Media Easy § One click buying Transparent § One-stop unified reporting Automated § Algorithmic spend optimization advertisers mobile users

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