The mobile apps marketing landscape is shifting from merely acquiring installs to focusing on retaining high-value users. According to AppsFlyer’s State of Gaming App Marketing Report for 2024, the dynamics of user acquisition and engagement have evolved significantly.
In 2023, global spending on gaming app installs reached $29 billion, with a notable $6.6 billion spent on iOS and $5.5 billion on Android. Despite high costs, apps are learning that installs alone aren’t enough; the real challenge is engaging users effectively post-install.
In verticals like fintech and e-commerce, early engagement remains crucial. AppsFlyer’s report highlights that in gaming, users who make in-app purchases (IAP) typically do so within the first few days, with iOS users often making their first purchase two days after download.
This pattern underscores the importance of optimising for initial user interactions. For example, personalisation strategies like customised onboarding can be pivotal. Apps with personalised onboarding have shown to increase first-time purchases by 20 per cent, demonstrating the value of tailored user experiences.
Another critical strategy is deep linking, which directs users to specific content within the app, enhancing their experience and retention. According to Branch’s data, apps utilising deep linking see up to a 2x improvement in user retention.
Deep links play a significant role in crafting exceptional onboarding experiences and extending their value beyond the first interaction. They help bridge the gap between user intent and app functionality, thereby improving engagement and ROI.
Deep linking is especially effective in sectors like e-commerce, where direct access to product pages reduces friction and keeps users engaged. Apps with deep links guide users to precise content, ensuring a smoother experience and boosting retention rates.
Additionally, AppsFlyer’s report notes that casual games saw a 13 per cent rise in non-organic installs (NOIs) and ad spend, driven by targeted ad strategies that enhance user engagement.
The shift towards diversifying revenue strategies is evident across the industry. Hyper Casual and Mid-core games have increasingly adopted hybrid monetisation models, resulting in a 39 per cent increase in Hyper Casual game revenue and a 16 per cent rise in Mid-core games. This blend of in-app purchases and advertising reflects a broader trend of balancing user acquisition with long-term value generation.
To thrive in the evolving mobile app market, focusing on post-install strategies such as deep linking and personalised onboarding, while aligning with industry trends and spending patterns, is crucial.
The future of Cost Per Action in mobile app marketing lies not just in acquiring users, but in ensuring they remain engaged and valuable over time.
By Zeeshan Sajid Amin, Founder, Medialinks