How to get low CPI and High Value Users via
mobile ad networks
Naghi Prasad
Co-Founder, Deep Forest Media
March 2014
2	
  
Agenda
• Introduction	
  to	
  paid	
  user	
  acquisition	
  
• Measure	
  Life	
  Time	
  Value	
  of	
  Users	
  ...
3	
  
User Acquisition Dilemma
• Increasingly, revenues and downloads are decoupling.
•  Rage	
  of	
  Bahamut	
  is	
  no...
4	
  
Net positive return on users
•  Life TimeValue (LTV) of user
•  Profit per user. = LTV – CPI
Cannot optimize for wha...
5	
  
LTV Calculation – Too Late to Affect Ad Campaign
Days	
  
Leading Indicators for LTV prediction
LTV and Leading Indi...
6	
  
Increase LTV
7	
  
Freemium versus paid apps
•  Freemium is the dominant model
•  Is Freemium a good model for your app?
•  Paid apps a...
8	
  
Campaign types
•  CPI
•  Minimal	
  risk	
  
•  Hard	
  to	
  get,	
  at	
  volume	
  	
  
•  CPC
•  Conversion	
  r...
9	
  
Supply Sources
•  Over 100 supply sources
•  Native	
  platforms	
  (Facebook,	
  ….)	
  	
  
•  	
  Ad	
  Networks	...
10	
  
Retargeting
•  Very useful technique for mature apps
•  RTB	
  exchanges	
  ideal	
  for	
  this	
  
•  	
  Work	
 ...
11	
  
Deep Forest Media
Easy
§ One click
buying
Transparent
§ One-stop unified
reporting
Automated
§ Algorithmic
spend...
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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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