App Install Insights, Benchmarks and Trends 2H 2015

Transcription

1 App Install Insights, Benchmarks and Trends 2H 2015

2 The Semi-Annual AdColony App Install Survey Insights, benchmarks and trends from the top 100 grossing app developers FORMAT & DATA RESPONDENT PROFILE #5 5th Iteration Over 3 Years 78% Mobile Game Developers 100 Detailed Questions 22% Non-Game App Developers (e.g. entertainment, music, news) 60% Survey Response Rate $1M+ Total Monthly App Install Budget 2

3 State of the Market Top trends from the top mobile app marketers

4 App Install Budget Allocation What % of your budget do you allocate to each app install channel you currently use? Social and video ads dominate the majority of app install budget allocation for top grossing publishers. 35% 34% Social Video Display Interstitial Other 5% 15% 11% 4

5 Top 5 Campaign Trends App install budgets continue to increase driven by growth in mobile video & global campaigns. 1H '15 2H '15 Trend Δ 72% 81% 63% 78% 76% 59% 68% 61% 68% More Video + 24 pts 52% Testing New Channels + 15 pts Increase Spend + 9 pts More Geos + 9 pts Increase Spend Testing New Channels More Video More Geos Partner Consolidation Partner Consolidation + 7 pts 5

6 Campaign Formats Losing Favor Fewer app install advertisers increasing spend on less interactive & incentivized ad formats. 39% 1H '13 2H '13 1H '14 1H '15 2H '15 33% 22% 13% 14% 11% 10% 11% 8% 8% 8% 4% 4% 0% 2% 2% 0% 2% 0% Interstitials Free App Networks Display Offerwalls 2% 6

7 Social Spend Plateaus as Competition Grows Fewer advertisers are planning to increase spend on social as competition increases. Advertisers Increasing Spend on Social Total Advertisers on Facebook 80% 76% 72% 2 M 54% 1.5 M 44% 1 M 1H '13 2H '13 1H '14 1H '15 2H '

8 Top 3 Performing Segments in 2015 Agree Neutral Disagree App install budgets continue to shift toward video, social, and programmatic. Shifting to Video Shifting to Social Shifting to Programmatic 17% 7% 19% 31% 27% 44% 76% 37% 42% 8

9 Campaign Shifts in 2015 Agree Neutral Disagree Compared to last year, my app install campaigns have increased in, or shifted more toward. Video Social Programmatic Direct Deals Interstital Display Free App Network Offer Walls 9

10 Focus on Video is Accelerating App install teams continue to rely on mobile video more than ever before 1H % 17% 2H % The shift toward mobile video is accelerating with 24.1% more respondents stating that they have increased mobile video spend since earlier in the year. 41% 52% Increase 76% Maintain Decrease 10

11 App Install Teams Continue to Grow in Size Teams of 10+ have doubled in the last 6 months at the expense of smaller single person teams 48% 58% Most single person UA teams have grown to 2-3 members since Q Many 4-10 person teams have grown to 10+ since Q % 20% 18% 18% 1H 15 2H 15 5% 9%

12 Top App Install Formats

13 Top App Install Formats by Usage Video, display, and interstitials lead the way 86% 92% 92% 97% 97% 44% 49% 53% 19% 22% 24% 29% 36% 10% 10% Print Free App Networks Television Native Ads Interstitials Out of Home Playable Ads Direct Deals In-Feed Video In-Feed Display Offer Walls Cross Promo Programmatic Display / Banners Full Screen Video 13

14 Most Exciting App Install Formats 44% Which UA channel are you most excited about in 2016? 20% 8% 10% 5% 5% Display Interstitials Playable Ads Television Social Video 14

15 Most Effective App Install Formats 88% 93% How effective are each of the following app install channels at achieving your campaign goals? 76% 59% 20% 25% 27% 31% 32% 36% 5% 7% 9% 12% Other Offer Walls Television Native Programmatic Interstitials In-Feed Display Free App Network Playable Cross Promo Direct Deals Display / Banners In-Feed Video Video Ads 15

16 App Install Sources over Time Video, display, and interstitials lead the way as native ads and programmatic emerge Tried & True 1H 13 2H 13 1H 14 1H 15 2H 15 Video Ads 100% 100% 100% 98% 97% In-Feed Display 68% 94% 92% 96% 97% Interstitials 100% 83% 90% 96% 92% Display/Banners 89% 86% 86% 93% 92% Declining 1H 13 2H 13 1H 14 1H 15 2H 15 Direct Deals 63% 72% 59% 54% 44% Playable Ads 24% Free App Networks 95% 64% 35% 41% 22% Offer Walls 100% 64% 47% 54% 19% Up & Coming 1H 13 2H 13 1H 14 1H 15 2H 15 In-Feed Video 69% 52% 86% Native Ads 53% Programmatic 49% Traditional 1H 13 2H 13 1H 14 1H 15 2H 15 Television 22% 35% 36% Out of Home 6% 15% 10% Print 0% 0% 2% 7% 10% 16

17 Format and Channel Usage over Time Full screen video, in-feed video, television and interstitials lead the way while in-feed, native, programmatic, and playable ads emerge Traditional television, out of home, print Up & Comers in-feed video, native ads, programmatic, playable ads Decliners direct deals, free app networks, offer walls 1H '13 2H '13 1H '14 1H '15 2H '15 Tried & True full screen video, in-feed display, interstitial display & banners 17

18 Emerging Mobile App Install Channels Native, playable & programmatic ads emerge and grow while in-feed video continues to grow 86% Playable Ads Programmatic Native Ads In-Feed Video 49% 53% 24% 2H '15 18

19 Tried & True App Install Channels Video, in-feed, display & interstitials continue as top app install channels. 100% 100% 100% 100% Interstitials 98% 96% 96% 97% 97% 94% 92% 93% 92% 92% Display 89% 90% 86% 86% 83% 68% In-Feed Display Video 1H '13 2H '13 1H '14 1H '15 2H '15 19

20 The Demise of Incentivized Incentivized installs fall out of favor as advertisers continue to focus most on user quality 95% 100% Free App Networks Offer Walls 64% 64% 35% 47% 41% 54% 22% 19% 1H '13 2H '13 1H '14 1H '15 2H '15 20

21 Targeting & KPIs

22 Targeting Key Requirement Nice to Have Not Required Which targeting parameters are most important & maximize the performance of your app install campaigns? OS Geography Hashed Source Device Type Audience Source App Age Gender Connection Carrier 22

23 Top User Acquisition KPIs Most Very Somewhat Least User quality is more important than ever before. Targeting Level of Service Price Volume Quality 23

24 Retargeting Campaigns 1H H 2015 Retargeting campaigns continue to have mixed results Retargeting Campaign Use How effective are your retargeting campaigns? 70% 68% 34% 36% 34% 36% 19% 18% 3% 5% 9% 5% 1H H 2015 Very Ineffective Ineffective Neutral Effective Very Effective 24

25 Look-alike Campaigns 1H H 2015 Look-alike campaigns continue to be both popular and effective at achieving app install goals Look-alike Campaign Use How effective are your look-alike campaigns? 89% 93% 32% 38% 46% 44% 15% 15% 2% 4% 4% 1H H 2015 Very Ineffective Ineffective Neutral Effective Very Effective 25

26 Optimization & Localization

27 Frequent Campaign Optimization How often does your team review app install campaign results and optimize accordingly? 5% 95% of app install teams optimize their 22% campaigns multiple times a week, if not every 42% single day. Every Day Multiple Times a Week Every Week Less than Once a Week 32% 27

28 Campaign Optimization Frequency Top grossing developers are optimizing campaigns more frequently than ever before 1H 15 2H 15 41% 42% 28% 27% 32% 30% Weekly or Less Every Few Days Daily 28

29 UA Campaign Localization Do you localize creative for your UA campaigns? How many countries do you localize for? 20% 39% 37% 80% 12% 12% Yes No <

30 Looking Forward

31 Most Exciting App Install Formats 44% Which UA channel are you most excited about in 2016? 20% 8% 10% 5% 5% Display Interstitials Playable Ads Television Social Video 31

32 Campaign Trend Forecast 1H '13 2H '13 1H '14 1H '15 2H '15 16 Forecast As budgets shift to video, social steadily declines. Increase Spend Testing Channels Increase Reach More Video More Social 32

33 Top Campaign Trends in 2016 App install budgets continue to increase driven by growth in mobile video & global campaigns. 1H '15 2H ' % 81% 90% 63% 78% 76% 76% 73% 59% 68% 73% 61% 68% 64% 52% Increase Spend Testing New Channels More Video More Geos Partner Consolidation 33

34 2016 Top App Install Trends Where app install advertisers plan to shift their campaigns in % 76% 73% 73% 64% 51% 47% 37% 36% 32% Increase Spend Testing Channels Increase Reach Video Fewer Partners Focus on LTV Social Direct Deals Television Programmatic 34

35 2016 Top App Install Trend Forecast Where app install advertisers plan to shift their campaigns in % 73% 1H H % 52% 2016 Forecast 47% 44% 37% 32% 27% 27% 22% 14% 13% 14% 15% 3% 4% 3% 4% 2% 2% 2% 3% Free App Network Offer Walls Display Interstital Programmatic Direct Deals Social Video 35

36 The Cost of a User: CPI versus Lifetime Value App install teams will continue to be more focused on customer lifetime value than cost in 2016 CPI LTV While CPI remains important, 19% 34% 7% more advertisers are shifting their focus to acquiring high value users to improve overall return on ad spend 42% 51% More Focused 47% No Change Less Focused 36

37 Thank You