What’s Happening: New Cost Analytics for App Developers

We’ve spent a lot of time discussing the most successful app marketing strategies partly because of the sobering fact that the costs of acquiring new users have, on average, exceeded the revenue that comes from those users. This is spells disaster for the majority of mobile developers.

This week, Fiksu launched several new indices to help developers measure app marketing trends. These include the Cost Per Launch Index, which is designed to show the value of customer engagement by tracking the cost of each repeat app launch. The Cost Per Launch Index captures the fluctuating costs of advertising and the resulting engagement those ads deliver. Fiksu also launched the Cost Per Install (CPI) Index, measuring the cost per app install directly attributed to advertising.

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The new indices show that in January, the cost of marketing apps on iOS and Android were pretty close, or about 16 cents per app launch apart – an indication of a maturing app market for iOS.

The CPI index revealed a significant difference between the two platforms over the holiday season. In January, the CPI cost was $1.01 on iOS, up 13 percent from December, and $1.27 on Android, down 29 percent from December. The increase on iOS can be attributed to incentivized networks, which are a low-cost, high-value marketing tool that boosts app visibility and drives installs, particularly during the holiday season. However, on Android, installs have a less immediate impact on value and visibility in the Google Play app store.

You can access the full report here, and make sure to take a closer look at Fiksu’s graphs here.

Here’s what else we’ve been reading at TrialPay this week:
Growing an HTML5 Game Engine: Detailing some of the stumbling blocks developers using HTML5 can expect to encounter.
The Race for Crowdfunding Dollars and the Squeeze on Smaller Game Developers: How Kickstarter is striving to keep large video game projects from crowding out small developers.
Facebook Paper Has Forever Changed the Way We Build Mobile Apps: Read about Facebook’s newest project and the impact it could have on the mobile landscape.