User Acquisition Cost are Escalating and Mobile Developers are Getting Squeezed Out: What to do to Fight Back

As a mobile app developer it’s a good news/bad news situation. 

The good news is that advertising dollars are going to be flowing into mobile in ever increasing numbers and if you’re showing ads in your apps, you are probably going to see increased revenue.

The bad news is, if you want to increase your user base then you are going to have to pay higher prices. You need to find a way to level the playing field.

According to AdParlor, whose clients include e-commerce companies, mobile game developers, and large brands, there are significant and steady increases in cost-per-impression (CPM) and CPI rates as well as across-the-board decreases in click-through rates (CTRs), a strong indication that the mobile ecosystem is flooded and that the landscape will only become more and more competitive.

Advertising marketers are increasingly ramping up budgets for mobile, creating bidding activity that is resulting in significant competition and inflated prices. It’s a fact of life, when something works, and is high in demand, costs increase.

So if you are going to compete with big ad agencies with big budgets, you need to know how to play the marketing game on their terms. To learn how to do so, check out The Ultimate Guide to Increasing Mobile Ad Reach, a publication from Adknowledge that provides insights into what strategies work best - strategies they have honed working with the top marketers across the globe.

As the publication points out, you can’t just buy ads, you have to “cast your net wide.” The way to deal with saturation is to constantly test new advertising partners and strategies. This process can involve replicating high-impact campaign frameworks across new ad networks or testing new solutions.

You need to know the tools and strategies that provide a higher chance of a return on your marketing investment. For example, Facebook’s wealth of psychographic data makes it possible for developers to amplify their highest-performing audience pools using “Lookalike Audience” targeting. Developers can grow their Lookalike audiences at scale increasing the odds for success.

- How to stay ahead of the competition and always achieve maximum ROI on 

every single unit of advertising spend

- How to test new waters in a structured, systematic, and high-impact way

- How to choose distribution partners that align with your goals

- How to develop an end-to-end campaign that maximizes the impact of each 

and every app download

- How to steadily increase your mobile app advertising budget

The publication is free to download and there is no sign-up required, just dive right in. While very comprehensive, its less than 20 pages so you can take it all in with one read.