Facebook mobile CPI ads case study, mobile cpi alternative, korea, japan, Taiwan and China mobile...

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Appsasia Monthly Report [March 2014]

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This report covers: Why Mobile CPI is not effective and why Facebook mobile CPI advertising is a viable alternative. There is also Korea, Japan, Taiwan and China mobile market and LTE data and Global LTE penetration analysis.

Transcript of Facebook mobile CPI ads case study, mobile cpi alternative, korea, japan, Taiwan and China mobile...

Page 1: Facebook mobile CPI ads case study, mobile cpi alternative, korea, japan, Taiwan and China mobile market LTE data

Appsasia Monthly Report [March 2014]

Page 2: Facebook mobile CPI ads case study, mobile cpi alternative, korea, japan, Taiwan and China mobile market LTE data

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Appsasia InsightMobile Marketing Analytics by appsasia

1.1 Questions on CPI Effectiveness1.2 Facebook Advertisement Effectiveness1.3 Case Study of Facebook Campaign by

appsasia

Appsasia Monthly ReportGlobal App Marketing Agency

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Global App Marketing Agency

■ Are CPI Effects Trustworthy ?

1.1 Questions on CPI Effects

Download Boost by CPI ≠ Profit increase

Download Boost

Increasein

rankMore

ExposureDownloadfrom rank

IncreaseIn

Profit (Sales)

Many advertisers are skeptical about the ability of CPI to boost marketing. In fact, as you see from

many case studies, the average retention rate for CPI is only 2~3% .

In addition, organic user acquisition via rank boosting is decreasing as the market matures. As

the market becomes more competitive, CPI has less positive effect on ROI.

More quantities needed for a higher

rankAndroid Ranking Algorithm change

Fixed app usage pattern

Why?

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Global App Marketing Agency

1.1 Questions on CPI Effects – Case 1

Tenbird : Wingbeat for Kakao (KOR)Entermate

Flying Zoo for Kakao (KOR)Onnet

Estimated CPI cost (1 Week) : $ 210K Estimated developer profit (1 Week) : Less

than $ 5K

Estimated CPI cost (1 Week) : $ 94K Estimated developer profit (1 Week) : Less

than $ 4K

■ Are CPI Effects Trustworthy?Most apps gained a high rank by CPI, however the rank did not affect DAU nor the revenue.

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Down-load Rank

#2

Gross Rank#220

Down-load

Rank #6

Gross Rank#242

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Global App Marketing Agency

1.1 Questions on CPI Effects - Case 2

Most apps gained a high rank by CPI, however the rank did not affect DAU nor the revenue.

■ Are CPI Effects Trustworthy?

Estimated CPI cost (1 Week) : $ 250K Estimated developer profit (1 Week) : Less

than $ 4K

Estimated CPI cost (1 Week) : $ 100K Estimated developer profit (1 Week) : Less

than $ 5K

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Beauty Idol (U.S.)Animoca

ファントムゲート戦姫 (Japan)[Fantom Gate Senhime]mobage

Download Rank #21

Gross Rank#278

DownloadRank #9

Gross Rank#229

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Global App Marketing Agency

What

Is the

Alternative?

1.1 Questions on CPI Effect

Page 7: Facebook mobile CPI ads case study, mobile cpi alternative, korea, japan, Taiwan and China mobile market LTE data

Facebook CPC 변화없음

Global App Marketing Agency

Worldwide MAU

1,230,000,000Mobile Active Users

945,000,000

Facebook users in Korea

13,200,000Mobile users in Korea

11,800,000

1.2 Facebook Advertisement Effect

Strength of Facebook CPCUnlike banner ads, Facebook CPC based ads are exposed naturally between news-feeds. Therefore, the share and spread effects are increased.

Facebook CPI UA Cost(Non-in-centive)Creation, uniqueness and targeting is highly importantCasual Game $1.5 - $2Mid-core Game $2 - $2.5Brand ads are more expensive than Game ads (differs by CTR)

The effects of Facebook CPC differ depending on the ad materials. Therefore, if the creation of the

ads is optimized via testing, the non-incentive user acquisition cost can be reduced.

■ Facebook Ad

Page 8: Facebook mobile CPI ads case study, mobile cpi alternative, korea, japan, Taiwan and China mobile market LTE data

■ Facebook AD

Global App Marketing Agency

Reference: Wishpond, Adobe Digital In-dex

Facebook CTR 365%Increased

Q4 '12 Q1 '13 Q2 '13 Q3 '13 Q4'13Exposure Awareness Sharing/Spread

31% 98%

192%

Online AD Facebook AD

Exposure Awareness

Sharing/Spread

Facebook CPC

No Changes

1.2 Facebook Advertisement Effect

Facebook ads can target by gender, age, location, and interests which enables the cost of ads are lower

by average 35% and the effects of those ads are 31% higher compared to other online ads channels.

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Global App Marketing Agency

Optimization CycleOptimization• Continuously monitoring advertising results and edit-

ing the ads according to those results in order to de-termine whether the budget is being spent effec-tively and the desired results are being obtained.

Goal of Optimization• Targeting the most potential royal users• Driving the best LTV• Create the reasonable ROI and ROAS• Secure the most suitable target group (Segmented tar-

geting)

Minimize meaningless advertisement costs

by focusing the budget on the most effective channel.

CPI AD

DataAnalysis

효율적인

광고 선별

TargetingRoyal users

ReasonableROI

Optimization

1.2 Facebook Advertisement Effect■ CPI Optimization via Facebook

The goal of optimization is loyal user acquisition and driving the best ROI and LTV by finding the

most effective channels.

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1.3 Facebook AD Case Study by appsasiaGlobal App Marketing Agency

■ Facebook CPC by appsasiaAppsasia can produce effective and creative materials. With our exhaustive management includ-

ing daily report and material test, campaigns drove high cost-effective ad result.

ImageA

ImageB

AD Copy A

AD Copy B

AD Copy C

AGE

Gender

Interest

Page

< Over 10 AD TEST before actual campaign >

< Young Creator’s brilliant AD Copy >

Appsasia Facebook ad management process

Minimize the trial and errorProduce 10 different ad options and use the most effective image

Detailed OversightClose monitoring including real-time response and daily report

Drive positive result KPI for final CPI cost is $2.5 and close the campaign over costs.

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Market ResearchAppsasia's Market Research

2.1 SNS Preference Per Geography2.2 Global LTE Penetration Analysis2.3 Mobile Device Analysis by countries

Appsasia Monthly ReportGlobal App Marketing Agency

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2.1 Global Market Summary■ SNS Preference Per Geography

America prefers Facebook Messenger and Skype, while Europe prefers whatsapp. In Japan and South East Asia, at the same time, Line is dominant.

Global App Marketing Agency

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2.2 Global LTE Penetration Analysis

Reference: Juniper Networks, Strategy Analyt-ics

Global App Marketing Agency

Philippines

Russia

Germany

United Kingdom

Canada

Sweden

United States

Australia

Japan

South Korea

1%

2%

3%

5%

8%

14%

19%

21%

21%

62%

LTE PenetrationBy countries (2nd

half, 2013)

NigerBurundi

MadagascarDRCCAR

EthiopiaCUBA

North KoreaMyanmar

Eritrea

32%29%

28%28%

27%23%

14%7%

6%5%

Lower Mobile Pen-etration

By countries (2nd half, 2013)

20% of world population is in LTE service area, and it is predicted that the half of world will be

able to use LTE by 2017. Currently US, Japan, and Korea is occupying 80% of utilization rate.

■ Global LTE Penetration

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■ Korea Mobile Market Analytics

2.3 Korea Mobile Device Analysis

Implication The highest LTE penetration in the world and dominant android market share

Population 49M Smartphone penetration 79.5% GDP $ 1,197B

Main OS Android Main Device Samsung, LG, apple, Pantech Etx

Reference : LTE Subscribe/Smart Phone penetration by Ministry of Science, ICT, and Future Planning, Strategy Analytics

Global App Marketing Agency

Reference: 2H 2013/ Google Think Insight, Global Stats Counter

Korea LTE Penetration / OS Mar-ket Share

LTE72%

3G28%

Other 1%

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■ US Mobile Market Analytics

2.3 U.S. Mobile Device Analysis

Implication Third country of LTE penetration by 46%

Population 316M Smartphone penetration 67% GDP $ 16,724B

Main OS Android/iOS Main Device Apple, Samsung, HTC, Motorola, LG, Etc.,

Global App Marketing Agency

Reference: 2H 2013/ Google Think Insight, Global Stats Counter

LTE19%

3G81%

U.S. LTE Penetration / OS Market Share

Reference : LTE Subscribe/Smart Phone penetration by Ministry of Science, ICT, and Future Planning, Strategy Analytics

Other 13%

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■ Japan Mobile Market Analytics

2.3 Japan Mobile Device Analysis

Implication Symbian and other OS has 20% of market share, therefore QA for various devices is essential.

Population 127M Smartphone penetration 41% GDP $ 5,007B

Main OS Android/iOS Main Device Apple, Sony, Samsung, Etc.,

Global App Marketing Agency

Reference: 2H 2013/ Google Think Insight, Global Stats Counter

LTE26%

3G74%

Other 2%Japan LTE Penetration / OS Mar-ket Share

Reference : LTE Subscribe/Smart Phone penetration by IMJ, Strategy Analytics

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■ China Mobile Market Analytics

2.3 China Mobile Device Analysis

Implication LTE is not propagated yet, assuming under 5% of LTE penetration

Population 1,350M Smartphone penetration 66% GDP $ 8,939B

Main OS Android Main Device Apple, Samsung, Huawei, HTC, Nokia, Lenovo, Etc.,

Global App Marketing Agency

Reference: 2H 2013/ Google Think Insight, Global Stats Counter

LTE5%

3G95%

Other 7%China LTE Penetration / OS Mar-ket Share

Reference : LTE Subscribe/Smart Phone penetration, Strategy Analytics

**Lately, China starts to broaden 4G network, and actual LTE user is inferred

to be higher than 5%

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■ Taiwan Mobile Market Analytics

2.3 Taiwan Mobile Device Analysis

Implication LTE penetration is assumed under 5%, Samsung Device has high market share

Population 23M Smartphone penetration 55% GDP $ 484B

Main OS Android Main Device Samsung, HTC, Apple, Sony

Global App Marketing Agency

Reference: 2H 2013/ Google Think Insight, Global Stats Counter

LTE5%

3G95%

Other 2%Taiwan LTE Penetration / OS Market Share

Reference : LTE Subscribe/Smart Phone penetration, Strategy Analytics

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C o m p a n y & S e r v i c e s

Game Marketing Awards 2013