Despite increased competition from retailers, profit-driven game advertisers shouldn’t shy away from Facebook during the holidays. This report features the latest holiday advertising trends game marketers need to know to make smarter decisions and find the most valuable new users among all those new smartphone and tablet owners.
2. Advertising Automation Software
Q4 Isn’t Just For Retail Advertisers
Q4 may be dominated by holiday shopping ads, but that doesn’t mean
that mobile game advertisers should shy away from Facebook.
The trends featured in this report show how mobile game advertisers
can make smarter decisions and find valuable new users during this
highly competitive holiday season.
This deck contains Facebook game
advertising performance benchmarks
and expert insights on:
• Install and in-app purchase trends
• Ad spending shifts
• Ad engagement benchmarks
• Marketplace pricing
4. Advertising Automation Software
TREND #1: Game Installs And In-App Purchases Jump
Before The New Year
The weekly share of same-day installs and in-game purchases
grows significantly between December 20 and January 2.
This marked increase above the average for the entire holiday
season confirms that the bulk of install and in-app purchasing
activity is weighted heavily towards the last few weeks of the
year.
6. Advertising Automation Software
TREND #2: Install & Purchase Rates Are Strongest
During The First Half Of The Holiday Season
above average game install rates
during the week of Thanksgiving 2015
above average in-game purchase
rates two weeks prior to
Thanksgiving 2015
33%
36%
7. Advertising Automation Software
TREND #2: Install & Purchase Rates Are Strongest
During The First Half Of The Holiday Season
Despite the increase in the share of game installs
and in-app purchases occurring very late in the
holiday season, click-to-install and click-to-
purchase rates during that time actually remain
below the November-December average.
While the base of consumers likely to download
games and make in-app purchases rises directly
before and after Christmas, actually converting
these potential users requires strategic
campaign planning to ensure profitability and
mitigate risk.
9. Advertising Automation Software
TREND #3: Ad Spend Spikes After Christmas Thanks
To A Rush Of New Smartphone And Tablet Owners
Last holiday season, gaming advertisers dropped their weekly
budgets from late November through mid-December. Spending
then ramped up in late December through the New Year. With so
many people activating new smartphones and tablets toward the
end of the holiday season, game advertisers have a wealth of
opportunity to acquire new users.
above average game ad spend during the
week between Christmas and New Year’s
Day
3.4%
11. Advertising Automation Software
TREND #4: CTR Engagement Remains Highly Stable
Throughout the Holiday Season
Among gaming advertisers,
aggregate CTRs change very little
throughout the holidays. With a
maximum weekly variance of just
0.2% above the holiday season
average, CTRs are highly
consistent.
Such a small variance underscores the importance of valuing
downstream, revenue-generating actions – like in-game
purchases – much higher than upper funnel clicks when
evaluating campaign performance and strategy.
13. Advertising Automation Software
TREND #5: CPMs Vary Significantly Along With
Holiday Marketplace Competition
While early November prices
are more than 50% below the
total holiday average, CPMs
shoot up leading into Black
Friday weekend, likely due to
intense competition across
Facebook.
Prices drop following the weekend, before rebounding once again
for the remainder of the holiday season.
Although prices remain higher in those latter weeks, it can be
particularly worthwhile to advertise and take advantage of a
wealth of new, potentially lucrative users.
14. Advertising Automation Software
About This Report
Data in this report is based on an analysis of game advertisers
using Nanigans software to advertise on Facebook from
November 1, 2015 to January 2, 2016 – a full 9 weeks
encompassing the 2015 holiday season.