The Internet just keeps getting better and better in that more marketing channels are being added practically. This year seems to be the age of mobile app marketing. What is mobile app marketing?
It’s basically advertising your services or products on popular free apps. Hopefully, one of the users (or more precisely, many of these users) will become interested in what you have to offer and click your advertisement from the third-party app they are using. Hopefully, you have a mind-blowing app that they will be enticed to use again and again.
If you search for it online, you will see that there are many companies out there that offer marketing through mobile apps. And while they work the same way, it is important to note that they do differ in the way they price their services. While some charge per click, others charge per download, still, others charge per action (for example, clicking on the Buy button) once a certain number of downloads for your app has been reached.
Among the three, the most cost-effective pricing model so far has been the third. We worked with a mobile marketing company that charges us a few dollars per download. We are not going to disclose the company or the actual dollar amount we paid per download. But for purposes of this article, let’s just say we paid $5 per download. After 10,000 downloads, our pricing structure was changed to per-action at $7 each. On the surface, it may seem like we are paying more, however, that is not the case.
While there are many people who will download an app for curiosity, only 25% of those who download will keep using it for a month. Fewer still do the action that’s desired by the company offering the app. To give you an idea, out of 100 people who download, only 25 will keep using it after a month, and only ten will take the desired action (like buying an upsell). If you do the math, you will be paying $50,000 for the 10,000 downloads and only $70 for each person who takes action on your offer.
When it comes to choosing the mobile marketing company to work with, always take note of how much you need to pay, because it can make or break you. Of course, equally important is the number of unique users in the marketing company’s database.
The best mobiles apps marketers have at least two billion unique profiles that they can market to. But they go beyond the numbers, they segment these profiles according to the apps that they downloaded and the demographics that they belong to. So, if there is a specific audience you have in mind, you can market to them right from the get-go. This really is hyper-targeted marketing, one that can generate huge returns for your company, provided of course that you have a winning product or service that people have a real use for. Otherwise, your advertising budget can only take you so far.