CPA over CPI – Actual Actions Create User Engagement

As we all know, apps on our mobiles come and go. Sometimes you might delete an app right after first opening it, because it just doesn’t get you or it looks different than the description promised. We want to feel comfortable about usability and design right from the start. Otherwise, we might directly get rid of the app or we’ll just never open it again until our device urges us to free up some space. In some cases, we feel good about the downloaded app and might involve it in our daily smartphone routine. If we just go back to it frequently, the app developers have done a great job, because they were able to create an engagement on our side.

The question is: Why do I bring this up? And what does this have to do with the upcoming Appsworld event? I think the issue addressed above is an important topic for the modern business of app promotion. Yes, we have come a long way from cost per click-basis to the more efficient and effective way of the CPI-Model. The CPI-model, which means the advertiser has to pay after the installation of an app, is the most common subset of the CPA-based models. That means the first opening of an app triggers the transaction. Paying per install is clever compared to paying merely based on the number of consumers that see your app advertised or the number of people that click on a banner. But what we keep disregarding with this is all the things that happen after the installation. We still don’t seem to want to know if our marketing brought a valuable user for the app. I think this isn’t healthy in the long run.

Therefore, we often tell our customers to drive their app marketing through CPA promotion even further by setting an action that requires much more engagement than an installation. We are strong believers in a tiered, sustainable CPA approach. For a mobile game that could mean rewarding the publisher if a user reaches the second level or achieves a defined high score. This would trigger the payment of yet another CPA by the advertising company. For other apps it could be something like a defined time of usage or a registration. By using these parameters, you can be sure about the interaction of your users, which is what app promotion today should be all about. To conclude this blogpost, I’d like to encourage more app developers to use these forms of cost-per-action models or at least provide us with some necessary data about their KPIs in their future mobile marketing campaigns. In my opinion, the actions mentioned above are the most-efficient ways to drive growth of your app user base in a meaningful, sustainable way.

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by Spyke Press
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