The State of App Downloads and Monetization
InMobi Insights Page
North America | Q3 2015
November 2015
Table of Contents
Insights
Key Metrics by Region and OS
App Installs - Deep Dive
App Monetization - Deep Dive
1
2
3
4
Cost per Install (CPI) Index
The cost incurred by an advertiser to get an app installed by a user on his or her device.
All cost data in this presentation is indexed to the Global CPI on the InMobi Network.
Country CPI Index = --------------------- X 100Country CPI
Global CPI
If an imaginary country Krypton’s CPI = $0.53, and Global CPI = $2.1, then
Krypton CPI Index = ------------- X 100 = 25
$0.53
$2.1
3
Effective Cost per Mile (eCPM) Index
The earnings of a developer on delivering a thousand impressions.
All earnings data in this presentation is indexed to the Global eCPM on the InMobi Network.
Country eCPM Index = --------------------- X 100Country eCPM
Global eCPM
If an imaginary country Krypton’s eCPM = $0.53, and Global eCPM = $2.1, then
Krypton eCPM Index = ------------- X 100 = 25
$0.53
$2.1
4
Insights1
China surpasses the US to become the #1 app destination of the world
Android continues to dominate iOS in share of ad impressions and app installs globally.
US commands the least premium for iOS installs
App installs costs (CPI) and eCPMs are a function of smartphone penetration.
Countries in Asia lead m-Commerce app installs this season
Indonesia is the most expensive iOS country relative to Android.
m-Commerce app installs grew by over 100% to rank #2
With the travel season upon us. Travel and Business app installs also witnessed growth of over 50 - 100%.
As competition across categories intensifies, CPIs across categories converge to a common
average
Education continued to trump Games to earn app developers the highest eCPMs.
1.
2.
3.
4.
5.
Key Insights
6
CPI and eCPMs by Region
OS Share of Ad Impressions by Region
OS Share of Ad Installs by Region
CPI and eCPMs by OS
Key Metrics by Region and OS2
54 71 63 69
20 11 306 143
15 9 150 74
5 4 49 37
5 3 117 70
1 1 93 85
Asia Pacific
North America
Europe
Latin America
Middle East
Africa
% Impressions eCPM Index% Installs CPI Index
North America continues to be an expensive
yet rewarding market for app developers
Asia Pacific tops as the growing market with
an eager audience high on apps and
consumption
CPI and eCPMs by Region
8
OS Share of Ad Impressions by Region
Asia Pacific North America Europe Latin America Middle East Africa
iOS Android
59% 26%
73%
33%
87% 12% 62%
ShareofAdImpressions
Android has a near monopoly in apps consumed across
most markets given its large install base. Nokia fares
considerably well in Africa.
9
38%
37%
42% 6%66%
Asia Pacific North America Europe Latin America Middle East Africa
iOS Android
49%
51%
30%
70%
14%
86%
92% 7% 71% 28% 60% 6%
ShareofAppInstalls
OS Share of App Installs by Region
The gap between Android and iOS further
reduced in Asia Pacific as iOS gains popularity
10
CPI and eCPMs by OS
303 135 311 171
38 34 86 126
87 65 115 122
58 77 134 115
81 55 207 94
118 75 340 71
44 36 109 51
North America boasts of higher eCPMs
across iOS and Android.
CPI eCPM
North America
Asia Pacific
Global
Africa
Middle East
Europe
Latin America
eCPM CPI
Note : CPI and eCPMs are presented as indexed values
11
Top App Installs Destinations
CPI in Key Markets
Per Capita Installs by Markets
Cost per Install by OS
CPI Premium % – iOS over Android
App Install by Category
CPI and App Install Growth by Category
CPI Trends across App Category by OS
App Installs - Deep Dive3
95%
3% 2% 1%
0%
25%
50%
75%
100%
USA Mexico Canada Puerto Rico
%shareofappinstalls
Top App Installs Destinations
• USA continues to be the leading app install
destination in North America
13
CPI in Key Markets
USA
Mexico
Canada
Puerto Rico
0
250
500
0% 30% 60%
CPIIndex
Smartphone Penetration*
* Source : eMarketer
14
App installs were more expensive in markets with
higher smartphone penetration
Per Capita Installs by Markets
USA
Mexico
Canada
Puerto Rico
0
250
500
0 1 2 3
CPIIndex
Per Capita Installs*
* Per Capita Installs is represented by the ratio of installs per 100 unique users in a country
15
Classic laws of economics applies to app installs -
Higher costs drove down per capita installs
Cost per Install by OS
100
206
255
155
32
59
204
259
154
32
78
210
251
174
0
Global North America USA Mexico Canada Puerto Rico
Country CPI Index
Android CPI Index
iOS CPI Index
16
-100% -24%
-3%
3%
13%
32%
-100%
-67%
-34%
-1%
32%
Puerto Rico Canada USA NA Mexico Global
iOSPremium
iOS Premium % = (iOS CPI - Android CPI) / Android CPI
17
Mexico has the highest iOS premium while
Puerto Rico has the lowest in North America
CPI Premium % – iOS over Android
App Install by Category
63%
22%
0% 10%
0%
5%
Games
Entertainment
Travel
Social & Communication
Shopping & Lifestyle
Others
67%
14%
8%
8%
2%1%
Q3 2014
Q3 2015
18
• App installs grew 529% between Q3‘14 and Q3’15. Games continue to lead the app install craze.
• Travel and Shopping & Lifestyle apps have witnessed significant growth in North America, in part due to the upcoming holiday season and
the convenience of shopping on mobile.
Games
Entertainment
Travel
Social & Communication
Shopping & Lifestyle
0
140
280
420
560
-60% 0% 60% 120%
CPIIndex
Install Growth
CPI and App Install Growth by Category
Note : Install Growth is calculated against the previous quarter
Travel and Shopping & Lifestyle apps have become very popular amongst smartphone users in
Q3 while Gaming and Social & Communication continue to witness a continued growth
19
0
106
212
318
424
530
Q1 2015 Q2 2015 Q3 2015
CPIIndex
Games Shopping & Lifestyle
Travel Social & Communication
Entertainment
CPI Trends across App Category by OS
With the holiday season upon us, the Q3 CPIs for Travel category shot up across Android and iOS
20
0
145
290
435
580
Q1 2015 Q2 2015 Q3 2015CPIIndex
Games Shopping & Lifestyle
Travel Social & Communication
Entertainment
Ad Impressions by Device Type
Tablets Outperform Smartphones
In-App Ads eCPM = 1.7x of Mobile Web
Top 5 Publisher Categories by eCPM
eCPM and Smartphone Penetration
eCPM and CPI
4 App Monetization - Deep Dive
2014 Q3 2014 Q4 2015 Q1 2015 Q2 2015 Q3
Smartphone Tablet
Ad Impressions by Device Type
+ 25%
+ 8% Ad impressions on tablets have witnessed growth over
the past quarter as compared to smartphone traffic
22
- 9%
- 20%
- 8% - 4%
- 7%
+ 46%
95 142
106 88
CTR Index eCPM Index
Smartphone
Tablet
104 166
188 180
CTR Index eCPM Index
Smartphone
Tablet
Smartphones earned higher eCPMs overall as well as on Android. However
iPad earned app developers the highest eCPMs on iOS
Tablets Outperform Smartphones
23
97 148
120 104
CTR Index eCPM Index
Smartphone
Tablet
All OS
In-App eCPMS are 1.7x times those of mobile
web ads and account for the majority of
downloads
% Impressions
79 116 150 79 330
21 46 88 21 187
CTR * eCPM *
In-App
Mobile
Web
% Installs CPI *
In-App Ads eCPM = 1.7x of Mobile Web
24* CTR, eCPM and CPI are indexed to the global average CTR, eCPM and CPI respectively
Top 5 Publisher Categories by eCPM
Education and Tools apps earn app developers the highest eCPMs in North America
318
Weather
699
Education
332
Games
295
Sports
357
Tools
25
eCPM and Smartphone Penetration
USA
Mexico
Canada
Puerto Rico
0
42.5
85
127.5
170
0% 30% 60%
eCPMIndex
Smartphone Penetration*
* Source : eMarketer
• Markets with higher smartphone penetration yield higher eCPMs with the exception of Mexico
and Puerto Rico.
• Users are more willing to spend money via mobile in mature markets compared to others.
26
eCPM and CPI
USA
Mexico
Canada
Puerto Rico
0
42.5
85
127.5
170
0 117.5 235 352.5 470
eCPMIndex
CPI Index
CPIs and eCPMs track each other in most markets. USA has
relatively lower CPIs compared to the eCPMs it delivers for publishers
27
The State of Mobile App Installs and Monetization
METHODOLOGY
InMobi’s State of App Installs and Monetization Series provides network insights for app developers,
publishers and advertisers. Through analysis of millions of impressions and installs served each
month, this report showcases the latest trends within the mobile app ecosystem on our network.
ABOUT THE RESEARCH
The information contained in this report is based on data collected through InMobi’s monetization and
installs platform. Only data with all standard fields completed was included for analysis. Percent
change is calculated using absolute numbers, quarter over quarter. Keep in mind that CTR
performance may not be indicative of ad effectiveness. Many brand advertisers track other metrics,
such as engagement rates, interaction rates, dwell time, etc.
28
THANK YOU
REACH US AT:
insights@inmobi.com
www.inmobi.com/insights
FOLLOW US
ON:
twitter @inmobi
facebook.com/inmobi
linkedin.com/company/inmobi

The State of App Downloads and Monetization Report : North America Q3 2015

  • 1.
    The State ofApp Downloads and Monetization InMobi Insights Page North America | Q3 2015 November 2015
  • 2.
    Table of Contents Insights KeyMetrics by Region and OS App Installs - Deep Dive App Monetization - Deep Dive 1 2 3 4
  • 3.
    Cost per Install(CPI) Index The cost incurred by an advertiser to get an app installed by a user on his or her device. All cost data in this presentation is indexed to the Global CPI on the InMobi Network. Country CPI Index = --------------------- X 100Country CPI Global CPI If an imaginary country Krypton’s CPI = $0.53, and Global CPI = $2.1, then Krypton CPI Index = ------------- X 100 = 25 $0.53 $2.1 3
  • 4.
    Effective Cost perMile (eCPM) Index The earnings of a developer on delivering a thousand impressions. All earnings data in this presentation is indexed to the Global eCPM on the InMobi Network. Country eCPM Index = --------------------- X 100Country eCPM Global eCPM If an imaginary country Krypton’s eCPM = $0.53, and Global eCPM = $2.1, then Krypton eCPM Index = ------------- X 100 = 25 $0.53 $2.1 4
  • 5.
  • 6.
    China surpasses theUS to become the #1 app destination of the world Android continues to dominate iOS in share of ad impressions and app installs globally. US commands the least premium for iOS installs App installs costs (CPI) and eCPMs are a function of smartphone penetration. Countries in Asia lead m-Commerce app installs this season Indonesia is the most expensive iOS country relative to Android. m-Commerce app installs grew by over 100% to rank #2 With the travel season upon us. Travel and Business app installs also witnessed growth of over 50 - 100%. As competition across categories intensifies, CPIs across categories converge to a common average Education continued to trump Games to earn app developers the highest eCPMs. 1. 2. 3. 4. 5. Key Insights 6
  • 7.
    CPI and eCPMsby Region OS Share of Ad Impressions by Region OS Share of Ad Installs by Region CPI and eCPMs by OS Key Metrics by Region and OS2
  • 8.
    54 71 6369 20 11 306 143 15 9 150 74 5 4 49 37 5 3 117 70 1 1 93 85 Asia Pacific North America Europe Latin America Middle East Africa % Impressions eCPM Index% Installs CPI Index North America continues to be an expensive yet rewarding market for app developers Asia Pacific tops as the growing market with an eager audience high on apps and consumption CPI and eCPMs by Region 8
  • 9.
    OS Share ofAd Impressions by Region Asia Pacific North America Europe Latin America Middle East Africa iOS Android 59% 26% 73% 33% 87% 12% 62% ShareofAdImpressions Android has a near monopoly in apps consumed across most markets given its large install base. Nokia fares considerably well in Africa. 9 38% 37% 42% 6%66%
  • 10.
    Asia Pacific NorthAmerica Europe Latin America Middle East Africa iOS Android 49% 51% 30% 70% 14% 86% 92% 7% 71% 28% 60% 6% ShareofAppInstalls OS Share of App Installs by Region The gap between Android and iOS further reduced in Asia Pacific as iOS gains popularity 10
  • 11.
    CPI and eCPMsby OS 303 135 311 171 38 34 86 126 87 65 115 122 58 77 134 115 81 55 207 94 118 75 340 71 44 36 109 51 North America boasts of higher eCPMs across iOS and Android. CPI eCPM North America Asia Pacific Global Africa Middle East Europe Latin America eCPM CPI Note : CPI and eCPMs are presented as indexed values 11
  • 12.
    Top App InstallsDestinations CPI in Key Markets Per Capita Installs by Markets Cost per Install by OS CPI Premium % – iOS over Android App Install by Category CPI and App Install Growth by Category CPI Trends across App Category by OS App Installs - Deep Dive3
  • 13.
    95% 3% 2% 1% 0% 25% 50% 75% 100% USAMexico Canada Puerto Rico %shareofappinstalls Top App Installs Destinations • USA continues to be the leading app install destination in North America 13
  • 14.
    CPI in KeyMarkets USA Mexico Canada Puerto Rico 0 250 500 0% 30% 60% CPIIndex Smartphone Penetration* * Source : eMarketer 14 App installs were more expensive in markets with higher smartphone penetration
  • 15.
    Per Capita Installsby Markets USA Mexico Canada Puerto Rico 0 250 500 0 1 2 3 CPIIndex Per Capita Installs* * Per Capita Installs is represented by the ratio of installs per 100 unique users in a country 15 Classic laws of economics applies to app installs - Higher costs drove down per capita installs
  • 16.
    Cost per Installby OS 100 206 255 155 32 59 204 259 154 32 78 210 251 174 0 Global North America USA Mexico Canada Puerto Rico Country CPI Index Android CPI Index iOS CPI Index 16
  • 17.
    -100% -24% -3% 3% 13% 32% -100% -67% -34% -1% 32% Puerto RicoCanada USA NA Mexico Global iOSPremium iOS Premium % = (iOS CPI - Android CPI) / Android CPI 17 Mexico has the highest iOS premium while Puerto Rico has the lowest in North America CPI Premium % – iOS over Android
  • 18.
    App Install byCategory 63% 22% 0% 10% 0% 5% Games Entertainment Travel Social & Communication Shopping & Lifestyle Others 67% 14% 8% 8% 2%1% Q3 2014 Q3 2015 18 • App installs grew 529% between Q3‘14 and Q3’15. Games continue to lead the app install craze. • Travel and Shopping & Lifestyle apps have witnessed significant growth in North America, in part due to the upcoming holiday season and the convenience of shopping on mobile.
  • 19.
    Games Entertainment Travel Social & Communication Shopping& Lifestyle 0 140 280 420 560 -60% 0% 60% 120% CPIIndex Install Growth CPI and App Install Growth by Category Note : Install Growth is calculated against the previous quarter Travel and Shopping & Lifestyle apps have become very popular amongst smartphone users in Q3 while Gaming and Social & Communication continue to witness a continued growth 19
  • 20.
    0 106 212 318 424 530 Q1 2015 Q22015 Q3 2015 CPIIndex Games Shopping & Lifestyle Travel Social & Communication Entertainment CPI Trends across App Category by OS With the holiday season upon us, the Q3 CPIs for Travel category shot up across Android and iOS 20 0 145 290 435 580 Q1 2015 Q2 2015 Q3 2015CPIIndex Games Shopping & Lifestyle Travel Social & Communication Entertainment
  • 21.
    Ad Impressions byDevice Type Tablets Outperform Smartphones In-App Ads eCPM = 1.7x of Mobile Web Top 5 Publisher Categories by eCPM eCPM and Smartphone Penetration eCPM and CPI 4 App Monetization - Deep Dive
  • 22.
    2014 Q3 2014Q4 2015 Q1 2015 Q2 2015 Q3 Smartphone Tablet Ad Impressions by Device Type + 25% + 8% Ad impressions on tablets have witnessed growth over the past quarter as compared to smartphone traffic 22 - 9% - 20% - 8% - 4% - 7% + 46%
  • 23.
    95 142 106 88 CTRIndex eCPM Index Smartphone Tablet 104 166 188 180 CTR Index eCPM Index Smartphone Tablet Smartphones earned higher eCPMs overall as well as on Android. However iPad earned app developers the highest eCPMs on iOS Tablets Outperform Smartphones 23 97 148 120 104 CTR Index eCPM Index Smartphone Tablet All OS
  • 24.
    In-App eCPMS are1.7x times those of mobile web ads and account for the majority of downloads % Impressions 79 116 150 79 330 21 46 88 21 187 CTR * eCPM * In-App Mobile Web % Installs CPI * In-App Ads eCPM = 1.7x of Mobile Web 24* CTR, eCPM and CPI are indexed to the global average CTR, eCPM and CPI respectively
  • 25.
    Top 5 PublisherCategories by eCPM Education and Tools apps earn app developers the highest eCPMs in North America 318 Weather 699 Education 332 Games 295 Sports 357 Tools 25
  • 26.
    eCPM and SmartphonePenetration USA Mexico Canada Puerto Rico 0 42.5 85 127.5 170 0% 30% 60% eCPMIndex Smartphone Penetration* * Source : eMarketer • Markets with higher smartphone penetration yield higher eCPMs with the exception of Mexico and Puerto Rico. • Users are more willing to spend money via mobile in mature markets compared to others. 26
  • 27.
    eCPM and CPI USA Mexico Canada PuertoRico 0 42.5 85 127.5 170 0 117.5 235 352.5 470 eCPMIndex CPI Index CPIs and eCPMs track each other in most markets. USA has relatively lower CPIs compared to the eCPMs it delivers for publishers 27
  • 28.
    The State ofMobile App Installs and Monetization METHODOLOGY InMobi’s State of App Installs and Monetization Series provides network insights for app developers, publishers and advertisers. Through analysis of millions of impressions and installs served each month, this report showcases the latest trends within the mobile app ecosystem on our network. ABOUT THE RESEARCH The information contained in this report is based on data collected through InMobi’s monetization and installs platform. Only data with all standard fields completed was included for analysis. Percent change is calculated using absolute numbers, quarter over quarter. Keep in mind that CTR performance may not be indicative of ad effectiveness. Many brand advertisers track other metrics, such as engagement rates, interaction rates, dwell time, etc. 28
  • 29.
    THANK YOU REACH USAT: insights@inmobi.com www.inmobi.com/insights FOLLOW US ON: twitter @inmobi facebook.com/inmobi linkedin.com/company/inmobi