SOURCE: Fiksu

Fiksu

December 22, 2015 09:00 ET

Fiksu Indexes Reveal a Quiet November as Busy Holiday Season Approaches

Volume and Costs Decline Slightly Over October, but Maintain Steady Growth Over 2014

BOSTON, MA--(Marketwired - Dec 22, 2015) - November saw mobile app advertising metrics ease off slightly, with declines in both app download volume and install costs as marketers prepare for the largest mobile Christmas to date. The Fiksu Indexes, published today by Fiksu, Inc., the data-fueled mobile marketing technology company, are indicative of usual seasonal behavior leading up to an intense holiday season. The unprecedented ongoing growth in volume through most of the year, combined with overall app marketing costs that are double what they were last year, created an environment that led to a small month-over-month decline. This demonstrates the typical self-regulating shift in the app marketing landscape as growth remains strong at a large scale, but course corrects with small dips month-over-month throughout the year, as we see with the November results.

The Fiksu App Store Competitive Index, representing the combined daily downloads of the top 200 free iOS apps, declined to 7.3 million downloads, falling by eight percent since October. In addition to the small decrease in app marketing activity, behind-the-scenes turbulence in Apple's App Store -- a result of search changes, the new Shopping category, and Apple ranking their own apps -- could also have impacted overall download volume.

On the cost front, the Cost Per Loyal User (CPLU) Index was down 11 percent since October, but grew a considerable 125 percent since last year. Whether this is a result of advertisers pulling back on budgets before a big Christmas push or being more wary of the typical premiums put on holiday ad spend will be clearer as we get through the end of the year.

The Cost Per Install (CPI) Index, measuring the cost per install directly attributed to advertising, declined 10 percent to $1.54 on iOS, but was still up 40 percent year-over-year. On Android, CPI dropped 6 percent since last month but increased 101 percent over last year, marking the fourth month in a row that Android CPI more than doubled last year's figures.

"While this month showed slight relief from rising costs for app marketers, we expect costs to rebound as the holiday season shifts into full swing," said Micah Adler, CEO of Fiksu. "This means brands should continue putting effective user acquisition at the forefront. Targeting and optimization is even more critical as marketers aim to reach more of the right, loyal users."

We hope app marketers aren't still pinning hopes on the App Store "Freeze." That free period to stay at the top of the charts has essentially vanished in recent years -- but that doesn't mean good App Store rank doesn't matter over the holidays. "Bursting" by concentrating advertising budgets in a short time frame can still contribute to a higher rank in the App Store during the gift-giving season, a valuable time when users are unwrapping new devices for the first time.

For Fiksu's full November analysis, visit http://www.fiksu.com/resources/fiksu-indexes#analysis.

About Fiksu
Fiksu is a data-fueled mobile marketing technology company that connects brands, agencies, and app advertisers to precise audiences throughout the customer journey. Fiksu's mobile audience platform combines a massive, proprietary dataset with powerful segmentation tools to create, refresh, and reach audiences. Fiksu has led thousands of successful mobile campaigns to drive awareness, user acquisition, and re-engagement for clients such as Amazon, Disney, Activision, Coca-Cola, Electronic Arts, The New York Times, Dunkin' Donuts, and Starcom. Based in Boston, Mass., Fiksu is venture-backed by Qualcomm Ventures and Charles River Ventures. More at www.fiksu.com, @Fiksu and the Fiksu blog.

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