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The Art and Science of Mobile App Success - Seattle Interactive Conference 2013 - #SIC2013
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The Art and Science of Mobile App Success - Seattle Interactive Conference 2013 - #SIC2013

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If you build it they may not come. If you promote it, you may not retain them. If you retain them, you may never make money. With over 20,000 apps added to app stores each month, to remain ...

If you build it they may not come. If you promote it, you may not retain them. If you retain them, you may never make money. With over 20,000 apps added to app stores each month, to remain competitive, a skillful approach to running an app business is required - and it all needs to be measurable. In an industry where there is no standardized tracking method, many mobile app marketers still face challenges in measuring and and reporting on actionable results of their app campaigns This session will highlight the key elements in a success mobile app marketing campaign: discoverability, advertising, attribution, and monetization.

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  • The strategic and unique value of mobile marketing is the ability to deliver the right message to the right person at the right time...and in the right place. A couple of things to set expectations:This will be around 35 minutes –it’s the last session of the day, hh has already started – you’re all awesome for being here.
  • HasOffersprovides attribution analytics for performance driven marketers.MobileAppTracking provides analytics software to marketers interested in tracking the success of their mobile app marketing campaigns.
  • Here is Luma Partner’s newest mobile lumascape.You can see how fragmented the industry is. From the marketers point of view there’s the agencies, (a lot of agencies since they have
  • http://www.teqarazzi.com/most-popular-os-in-the-market-android-and-ios-top-the-list/
  • Field of dreams quoteIf you build something, people will come, but if you don’t build it, there’s no reason for people to come.
  • But even overcoming the download hurdle does not ensure success.
  • http://www.forbes.com/sites/timworstall/2013/01/08/the-average-apple-app-download-makes-17-5-cents/571 downloads just to make $1k
  • Twitter, Facebook, Pinterest and other social networks are an excellent source of traffic for many mobile apps
  • One of the most effective ways to market your mobile app is app store optimizationThe process of improving the visibility of a mobile app in an app store Google Play Amazon App store Apple App Store Windows Phone StoreTitleDeveloper NameKeywordsReviewsDescriptionUninstall rate (Google Play)Freshness Factor
  • WOM
  • Organic press is one of the greatest tools mobile app developers have to expose their apps to millions of users. By providing unique tracking links for press releases, inbound content strategy, and other marketing campaigns you can start track the direct value of press and inbound related traffic. By comparing news and press sources you can determine which organic channels provide more valuable users and develop more strategic partnerships with the right entities.
  • Taking mobile app marketingoffline is easily done using QR Codes and other offline tags like Snaptags, Shazam, and even augmented reality. From billboards to business cards, you can track the actual number of users that install your app, as well as how much value they bring your company.
  • Connecting the mobile web to mobile apps hasn't always been easy. Cookie tracking is less effective and creates a bad user experience while the information available about users on the mobile web is different than in mobile apps.MobileAppTracking utilizes a unique device fingerprint to correlate ads that are clicked on the mobile web to app installs generated by users, giving you transparency into the performance of advertising on the mobile web.
  • Text marketing continues to be one of the fastest growing marketing methods on mobile devices. Promoting mobile apps through SMS or MMS strategies provides a fluid user experience and typically yields high results. SMS can also be a powerful place tool for bridging the gap between desktop and mobile. By have a user enter their phone number on a website, you can send a tracking directly to their device, directing them to the app store.
  • Game studios such as Supercell: clash of clans, king.com: candy crush, Rovio: angry birdsGaming- at the forefront, these guys get it better than anyone in the space which has allowed them to be successful
  • Brands + performance advertisers who are newer to the space and becoming more of a presence
  • There are a lot of networks you can partner with to help promote your app. From premium publishers like Facebook and Pandora (they have their own inventory) to mobile focused networks such as applift and inmobi.Each network is usually most efficient in a specific niche, Niche being a specific vertical or goal (CPI or CPC)
  • Using networks, you can run display advertising Understanding the value of users coming from other mobile apps is key to any cross promotion or direct publisher relationships. More importantly, you can begin to see which mobile apps have the highest quality of users for your mobile apps and adjust your campaigns accordingly. MobileAppTracking tracks users from other apps by using device fingerprinting, but it can also utilize other tracking components such as MAC address and openUDID.
  • Grow your mobile app You can now get your mobile app install ad up and running very easily by copying and pasting your app's Google Play or Apple App Store URL into the Ads Create Tool.IddictionFacebook's targeting abilities contributes to low CPIs. An additional advantage lies in Facebook's size which makes it easy to scale results. Compared to many advertising partners, the volume the Appoday app is seeing from Facebook is 4-10x better; equivalent to the larger channels Iddiction uses. Because of the success Iddiction has seen from Facebook, the company aims to double their UA spend. 
  • Upgraded ad extensions. You can deep link within your app to drive in-app conversions, not just installs
  • When it comes to mobile app marketing, there is always a question regarding attribution methodology. In the mobile arena, attribution refers to the measurement of user events - an app install, repeat app launch, level completion, in app purchase, etc. - that are a result of marketing activity.Every mobile marketer wants to measure the effectiveness of their marketing campaign, especially as it generally involves spending money on advertising. However, attribution is a problem for the mobile arena because there is currently no standard tracking methodology.
  • In the online advertising world marketing attribution already has its tried and true methods: cookies, pixel tags and appending custom parameters to the URL. Therefore, it is fairly easy to set up integrated marketing campaigns to determine which visitor came from which source.
  • Cookieshave been around since the dawn of the web and are simply pieces of code that web servers use to put information on a user’s browser, and then retrieve that information at a later time for various uses.

 For example, ad servers use cookies so they can identify the same user across multiple touchpoints by setting unique IDs. An ad server will assign a new unique ID (a random alpha-numeric string) each time it receives an ad display request from a user who does not already have an existing cookie. On each subsequent request, the cookie returns the same unique ID, thus allowing the ad server to know that it is the same user. And as all requests are recorded by the ad server, reports can be created that provide a record of all the touchpoints for each user.
  • Pixel tags are small blocks of code embedded in a webpage that is invisible but allows the monitoring of the activity of users. Whenever a user opens a webpage with a graphical browser, the image or other information is downloaded. This download requires the browser to request the image from the server storing it, allowing the server to take notice of the download. As a result, the organization running the server is informed when the HTML page has been viewed.

Conversion tracking with pixel tags involves placing an iFrame or Image Pixel on the confirmation page for an offer. When an internet user sees an ad and click on the tracking link for that offer, the tracking link records the click, sets a cookie on the user’s computer and redirects the user to the offer URL. If the user then continues and buys something and makes it to a confirmation page, the iFrame or Image Pixel is displayed. When the iFrame or Image Pixel is displayed, the user’s browser sends the cookie information to the HasOffers platform and if it is valid records a conversion.
  • By appending the custom parameter value pair source=twitter/facebook/google as in the example above, you will able able to easily see how many visitors are attributed to each source and also what their additional engagement is with your entire website. Therefore, by appending additional parameters to your URL, you can easily collect more information (and of your own choosing) about your referral traffic.As you can see, the accessibility and ease of use for tracking online marketing activities makes attribution a piece of cake for online marketers. Marketers can attribute every dollar spent to specific return on investment for that dollar.
  • A user clicking a tracking link is the primary mechanism for initiating a tracking session
  • This tracking session is then correlated to an install or in-app event, attributing the network or publisher responsible for influencing a user to install a mobile app or commit an in app event
  • As there is yet no industry standard, most mobile marketers face a monumental problem; i.e. tracking the effectiveness of their marketing campaigns across the mobile space! To make matters more difficult, the two main device platforms - iOS and Android - vary slightly in the methods used and the order in which those methods are executed.
  • Look back period:
  • When advertisers work with only one publisher, the problem of attributing anevent for your mobile app to the rightful promotion source is not a problem - if only one publisher is able to promote your mobile app, then obviously only they can be responsible for the install events of said app. When your mobile app is installed, the SDK the publisher has implemented within your app notifies them of the install; install attribution is correct and everyone is happy.
  • However, now advertisers work with multiple publishers - potentially more than 150 - and it is not so cut and dry which ONE of those publishers is in fact responsible for the install event of your mobile app.  In this environment, the issue of duplicate attribution for installs arises.  Since multiple publishers are promoting your mobile app, multiple SDKs will be notifying the respective publishers of the install event and therefore each one of those publishers will assume responsibility for being the promotion source. Given that advertisers now use multiple publishers concurrently, how do they know who is truly responsible for the install event and subsequently which publisher should receive payment for generating that install? 
  • With last click attribution we take into account the click stream data and correlate the last click of the ad that generated the install with the publisher promoting that ad.Note: When an advertiser is working with several publishers,  the install rate (clicks / installs) diminishes once MobileAppTracking is implemented since we do not give credit to publishers for installs they are actually not responsible for. Since the install rate can drop, publishers assume that there are tracking issues when in actuality it is related to the MobileAppTracking platform not allowing them to take credit for an install they were not the last click for.
  • http://www.techdrivein.com/2013/03/9-highest-grossing-smartphone-apps-of-all-time.html
  • http://techcrunch.com/2013/02/21/with-9b-games-played-each-month-king-com-grabs-no-1-slot-on-facebook-with-candy-crush-saga-and-moves-into-japan-and-korea/
  • http://techcrunch.com/2013/02/21/with-9b-games-played-each-month-king-com-grabs-no-1-slot-on-facebook-with-candy-crush-saga-and-moves-into-japan-and-korea/
  • http://techcrunch.com/2013/02/21/with-9b-games-played-each-month-king-com-grabs-no-1-slot-on-facebook-with-candy-crush-saga-and-moves-into-japan-and-korea/
  • Example- swift key
  • Example: zillow, yelp
  • You see the data but there is no conceptual information around why your banner is working. From there, the marketer has to put thinking back into UA. With better data, you should be able to ask better questions- comes down to client goals and what is better for them. Volume / organic lift/ retention / people spending more?
  • Marketers want users to engage with a mobile app in a particular way.In a funnel view, look at the steps or events that you want users to accomplish and also look where users are leaking out of the funnel. If there is a desirable action or path that you want users to take, look at the percentage of users that are completing those actions. For example, you might want to look at a funnel for making a basic purchase, and examine how many units were sold and the number of people that made a purchase. Without looking at how many people started the process of checking out, you can’t really know the earning potential. You can also evaluate specific items to see which products are more successful in driving users all the way through the funnel. For flows that have a low conversion rate, funnels can help marketers see at what stages there are opportunities for improvement.
  • A cohort is a group of users that completed a specific action (install, open, uninstall) for the first time within a particular window of time. Given this, we can evaluate a range of data patterns such as the rate of active users and the retention rate of users after an app update. Do people that started using your app in Version 1 use the same features and functionality as users that use Version 2 of your app? By using cohort analysis mobile marketers can execute an “apples to apples” comparison, something that’s not possible with linear analysis.
  • Beyond looking at what a group of users are doing with your app, you also want to understand the length of engagement of your users over time. It’s important to distinguish users who intensely use your app for the first 30 days versus users who moderately use your app for life. The analysis of this type of usage helps marketers learn how to fine-tune the design of the app and optimize particular flows throughout the app.
  • Until you have loyal users it doesn’t make sense to focus on acquisition. Loyalty is measured by how frequently users come back to your app. Loyalty metrics such as frequency of opens, duration, number of screens, and conversion rate for events will tell you if your users consider your app to be indispensable.  
  • Beyond understanding how people engage, you also want to understand the value they are contributing to your bottom line. For an e-commerce app, tracking how much a user has spent over time will help you determine return on your investment. ROI means different things for different businesses. When you look at mobile it’s important to have a clear understanding of what you are measuring, and if it affects your bottom line to measure overall effectiveness. This understanding also helps you justify your paid marketing efforts such as paid Facebook campaigns. If you can attribute value of users driven by Facebook (or any other channel), you can better optimize your marketing channels for success.

The Art and Science of Mobile App Success - Seattle Interactive Conference 2013 - #SIC2013 The Art and Science of Mobile App Success - Seattle Interactive Conference 2013 - #SIC2013 Presentation Transcript

  • The Art & Science of Mobile Apps Jennifer Wong SEATTLE INTERACTIVE CONFERENCE 2013 #SIC2013
  • Hi Jennifer Wong Director of Marketing HasOffers | MobileAppTracking @Jenerationy
  • 2011 2013 # of apps in Google Play Store 200,000 800,000 iPhone ___ iPhone 4 iPhone 5s/c Mobile ad spending $1.48 Billion $7.29 Billion App of the moment Angry Birds Clash of Clans Time spent in mobile apps 65% 80%
  • WE ALL KNOW THE TRENDS
  • AVAILABLE FOR DOWNLOAD 1,000,000 800,000 125,000 70,000
  • 2013 $7.29 Billion (predicted) THE STATE OF MOBILE ADVERTISING 2017 $27.13 Billion (predicted)
  • 80% OF SMARTPHONE USAGE IS “IN-APP”
  • MOBILE: IT’S KIND OF A BIG DEAL
  • MOBILE: IT’S KIND OF A BIG DEAL #OBVI
  • IF YOU BUILD IT, THEY MAY NOT COME… Last July, Apptrace found that 400,000 of the then-650,000 iOS apps were “zombies” that had not been downloaded even once.
  • IF YOU PROMOTE IT, YOU MAY NOT RETAIN THEM… One in four apps are never used again.
  • IF YOU RETAIN THEM, YOU MAY NEVER MAKE MONEY… The average app download makes its developers 17.5 cents.
  • HOW DO YOU COMPETE… AND WIN
  • MOBILE APP MARKETING CHECKLIST • Promotion • Tracking & Attribution • Monetization • Reporting and Refining
  • MARKET YOUR APPS EVERYWHERE
  • MOBILE APP ADVERTISING
  • The BIG Spenders
  • The Up and Comers
  • Publishers
  • In-App
  • Social Advertising
  • Paid Search
  • HOW DOES TRACKING & ATTRIBUTION WORK?
  • It’s Not Like Tracking Desktop Ads
  • Cookies
  • Pixel Tags
  • URL Parameters
  • MOBILE APP TRACKING METHODOLOGIES
  • IFA/IFV APP STORE REDIRECT TRACKING LINK/URL App traffic includes Apple’s IFA APP INSTALL/OPEN  The user is redirected to the iTunes App Store  User downloads the app and opens it for the first time.  A single SDK (code in the advertiser's app), collects IFA to match back to the Tracking Link. PROS • IFA is unique to each device • IFA is currently the only unique identifier available for iOS7 devices to match clicks to installs in a tracking link • IFV is a unique ID used to associate apps that come from the same vendor, for each device CONS • User can reset their IFA (a small percentage of users will actually do this) • IFV cannot be reset, but can only be collected on install and for post-install events and will display a unique value for all in-app activity by vendor
  • Google Referrer APP STORE REDIRECT APP INSTALL/OPEN TRACKING LINK/URL Google allows the passing of a referrer ID through the URL  The user is redirected to Google Play.  This is a seamless experience that should not launch a browser. PROS • Android Install Referrer is 100% accurate  User downloads the app and opens it for the first time.  A single SDK (code in the advertiser's app), collects any device identifiers and web information to match back to the Tracking Link. CONS • • Only applicable for Google Play, can’t be used for other marketplaces Doesn’t send conversion data to your publishers
  • Device Identifier APP STORE REDIRECT APP INSTALL/OPEN TRACKING LINK/URL App traffic includes device identifiers such as open UDID, Android ID  The user is redirected to the iTunes App Store or Google Play. • SDK collects device identifiers and matches these back to the Tracking Link. PROS • • Device ID is 100% accurate Can be used to seamlessly track the click to an install and post-install event • User downloads the app and opens it for the first time. CONS • • It’s not possible to collect a device ID from the mobile web With Apple’s recent deprecation of UDID and MAC Address, this methodology is no longer in use for all Apple devices with iOS7
  • Device Fingerprinting APP STORE REDIRECT APP INSTALL/OPEN TRACKING LINK/URL Web traffic includes header information: IP address, Device Type, Device OS, Device Brand, Device Carrier, Language, OS Name, OS Version, User Agent, Timestamp  The user is redirected to the iTunes App Store or Google Play. PROS • • • If a device identifier is unavailable, this method can be used to track clicks to installs Allows tracking on any mobile web property Standardized methodology across all platforms • User downloads the app and opens it for the first time. • SDK collects web information to match back to the Tracking Link. CONS • • Maximum 24h lookback window: if a user clicks on a tracking link and installs 5 days later the install will be unattributed Probabilistic method of matching leads to a small percentage of accuracy issues (~94% accuracy) matching clicks to installs
  • Cookie-Based APP STORE REDIRECT TRACKING LINK/URL Cookie tracking sets a first party cookie on the mobile browser APP INSTALL/OPEN • The user is redirected to the iTunes App Store or Google Play. • User downloads the app and opens it for the first time. PROS • • Allows tracking on any mobile web property Mobile equivalent of desktop tracking • A single SDK (code in the advertiser's app), collects any device identifiers and web information to match back to the Tracking Link. CONS • • • • This methodology has been deprecated on iOS Possibility of inaccurate attribution if the user interacted with 2 different ads Requires a browser open on ad click and on first app open Cookie data is lost when the cache is cleared
  • Choosing The Best Fit iOS IDFA Used for Attribution x x Attribution Lookback Period Permanent ID x 24h – 1mo x x x IFV Android Mobile Web Used for In-App Tracking Post-Install x Android Install Referrer x x x 24h – 1mo Other Device ID x x x 24h – 1mo Fingerprinting x x x x 24h - 48h
  • EVOLUTION OF MOBILE ATTRIBUTION
  • Evolution of Mobile Attribution Use multiple ad network SDKs, incur 10% - 20% higher UA costs paying for the same install credited to different networks
  • Evolution of Mobile Attribution Use multiple ad network SDKs, incur 10% - 20% higher UA costs paying for the same install credited to different networks Run campaigns with only a few publishers for less overlap
  • Evolution of Mobile Attribution Use multiple ad network SDKs, incur 10% - 20% higher UA costs paying for the same install credited to different networks Run campaigns with only a few publishers for less overlap Work with a technology partner that handles attribution
  • Evolution of Mobile Attribution Use multiple ad network SDKs, incur 10% - 20% higher UA costs paying for the same install credited to different networks Run campaigns with only a few publishers for less overlap Work with a technology partner that handles attribution Build internal system to handle attribution
  • WHY DO YOU NEED PROPER ATTRIBUTION?
  • Prevent Duplicate Attributions Concurrent tracking methods – one user could be attributed to different channels, depending on who you ask and when! • Multiple networks take credit for the same install • Networks use different click-to-install look back periods
  • EXAMPLE 1 One Advertising Source Click of Ad Publisher 1 Download App Store Publisher 1 SDK notifies them of the install App
  • EXAMPLE 2 Multiple Advertising Sources Click of Ad 3 days ago Publisher 1 Download 1 day ago Publisher 2 App Store App Click of Ad Publisher 2 SDK notifies them of the install Publisher 1 SDK notifies them of the install
  • Unbiased Attribution Click of Ad 3 days ago Publisher 1 Download App Store App 1 day ago Publisher 2 Click of Ad Attribution technology notifies Publisher 2 of the install Attribution technology attributes install If we did not attribute the install to the publisher of the ad that was clicked last, then: • The advertiser would be paying 2x plus for a single install of just once (if charging advertiser on CPI). • If the publisher is charging CPC or CPM, they still generally use install attribution for optimization; so their optimization would be based off inaccurate information.
  • Prevent Inaccurate Metrics Networks know top of line metrics only, not ROI • Many networks support a real-time feedback loop to optimize campaigns based on app installs, but not all • Ad networks use different look back periods
  • IS MOBILE APP MARKETING REALLY WORTH IT?
  • Draw Something: $250,00 per day
  • Fruit Ninja: $400,000 per month in ad revenue
  • Bejeweled: $102 Million (2011 Annual Revenue)
  • The Moron Test: $2 Million
  • REASONS FOR SUCCESS • Unique Concepts • Costs kept low • Marketed like crazy • Simplicity! Easy to play, hard enough to be addictive • Monetization model
  • Monetization Methods METHOD Pay to Play HOW IT WORKS User pays to download your app BEST FOR THESE APP CATEGORIES Games, Entertainment, Utility, Navigation, News CONSIDERATIONS If users pay up-front, they will be less tolerant to in-app ads or purchases
  • Monetization Methods METHOD Pay to Play Freemium HOW IT WORKS BEST FOR THESE APP CATEGORIES CONSIDERATIONS User pays to download your app Games, Entertainment, Utility, Navigation, News If users pay upfront, they will be less tolerant to in-app ads or purchases Free access to your app with a paid upgrade option to gain access to additional features Games, News, So cial Networking, Music A good way to get your app off the ground
  • Monetization Methods METHOD HOW IT WORKS BEST FOR THESE APP CATEGORIES CONSIDERATIONS User pays to download your app Games, Entertain ment, Utility, Navig ation, News If users pay up-front, they will be less tolerant to in-app ads or purchases Freemium Free access to your app with a paid upgrade option to gain access to additional features Games, News, So cial Networking, Music A good way to get your app off the ground In-App Advertising Ads run on space sold within your app. Revenue is based on number of impressions & clicks. Games, News, E ntertainment App needs to have high user volume and engagement Pay to Play
  • Monetization Methods METHOD HOW IT WORKS BEST FOR THESE APP CATEGORIES CONSIDERATIONS User pays to download your app Games, Entertain ment, Utility, Navig ation, News If users pay upfront, they will be less tolerant to in-app ads or purchases Freemium Free access to your app with a paid upgrade option to gain access to additional features Games, News, So cial Networking, Music A good way to get your app off the ground In-App Advertising Ads run on space sold within your app. Revenue is based on number of impressions & clicks. Games, News, E ntertainment App needs to have high user volume and engagement In-App Purchases User purchases merchandise – virtual goods, badges, awards, privileges - in your app once they have downloaded it. Games, Lifestyle, News App requires loyal following willing to pay for virtual benefits Pay to Play
  • HOW DO YOU MEASURE SUCCESS?
  • FUNNELS What are the important flows and goals in your app that you want users to follow and complete?
  • COHORTS Are there data patterns with groups of users?
  • RETENTION What is the length of engagement of your users over time?
  • LOYALTY How frequently are users coming back to your app?
  • LIFETIME VALUE What value are users contributing to your bottom line?
  • MOBILE APP MARKETING CHECKLIST • Promotion • Tracking & Attribution • Monetization • Reporting and Refining
  • Thank You Jennifer Wong | HasOffers & MobileAppTracking | @Jenerationy