Aussie Brands Are Taking Mobile App Advertising Seriously
Smart marketers in the region are closely following consumers on their mobile journey, and this is reflected by a massive rise in popularity of the mobile app installs ad unit amongst marketers in Australia, says marketing software company Kenshoo.
Kenshoo data indicates that year-on-year spend growth in Australia for Q1 2015 is just over half the growth rate in the USA — 182 per cent, compared to 302 per cent. Considering the size of the US market and its number of apps, this is an encouraging figure that demonstrates Australian marketers are taking the channel seriously. Indexed figures from Q1 2014 below:
We previously covered underlying trends for click-to-install advertising released in Kenshoo’s Mobile App Advertising Trends Report indicating = consumers already spend more time on mobile than on desktop, and more than nine times as much of that is spent in apps rather than the mobile web.
Furthermore, research by PayPal and Ipos found = one in three digital buyers in Australia has made a purchase via smartphone — putting the country on par with the UK and just ahead of the US on this metric.
Among those who did purchase via smartphone, 64 per cent made a purchase via an app in the past year.
This represents a huge opportunity for marketers to engage their audience, and it informs the degree of importance Australian marketers should place on developing apps for their brand to boost revenue and sales.
Marketers can also benefit by moving to a cost-per-install (CPI) measurement associated with mobile app advertising, as the value of app-install ads can often be accurately quantified, thereby allowing marketers to report reliable ROI figures to the business. CPI has proven itself as a cost-effective way to grow daily users without wasted spend, and more installs also means higher rankings in the App Store top lists.
The chart below reveals the current top performing iOS lifestyle apps in Australia on AppAnnie. These brands are leaders in their categories and likely have successful CPI strategies in place to support their success.
Case study
A leading online retailer in the region recently launched an extremely successful Mobile App Install campaign on Facebook via Kenshoo, with outstanding results. Due to a combination of targeting and creative strategies, CPI was reduced by around 80 per cent.
Targeting was highly specific based on age, gender and interest categories. Testing was plentiful, with the online retailer creating hundreds of ad permutations and experimenting with various elements such as products and calls to action. By combining performance analysis with creative testing learnings, the algorithm optimised and executed weekly campaign adjustments to drive the best performance.
In addition, the advertiser established clear yearly, monthly and weekly goals as well as measurement KPIs. The technology optimises to these KPIs as the team structures the account to maximise reach and CPI performance at the same budget level.
Regional nuances
There are some nuances with the region that are worth noting when looking to advertise mobile apps. Australia’s smartphone-buying audience is younger than average around the world, with 74 per cent from the 18–34-year-old demographic — that’s a higher share of millennials among the smartphone-buying audience than in any country other than Mexico or China. Targeting, therefore, should accommodate this cohort and should be as granular as possible.
Also, just because someone downloads your app, that doesn’t guarantee they will stick around as a life-long customer. Apps can be discarded if they are not treated as part of a cohesive campaign. It is all about constant re-engagement and promoting customer lifetime value (LTV) through all advertising channels.
Fit to purpose
iOS and Android also need to be targeted differently. In Australia, Android holds 57 per cent market share with iOS taking 35 per cent. This differs with the US, where a report from Kantar World Panel indicating phones running iOS may have surpassed those running Android in terms of market share.
These platforms need to be targeted differently to optimise towards differences in performance metrics. For example, Android users are more likely to click on a mobile app ad, but once they click, iOS users are more likely to install an app. Also impressions, clicks, and app installs all cost more on iOS than Android.
Ads that specifically target large English-speaking countries cost more than the largest non-English speaking countries (by spend volume). It is interesting to note that high CPCs do not necessarily translate to high ad spend. In Australia, for instance, the average CPC is just over $0.80 compared to an average of $0.50 — likely driven in part by a smaller population doing the clicking.
Key takeaways
Marketers need to take mobile apps seriously if they want to grow with their customers. In Australia, we expect competition in the mobile channel to heat up and cause advertising spend, CPM, and CPC to increase over time. This is accompanied by decreasing CTR but an increase on the key measure of mobile app installs (CPI), which is a much more reliable measure of conversions.
To boost installs, advertisers need to be as granular as possible when it comes to targeting and separating out iOS and Android devices. Clear goals and measurement KPIs should be set, with technology continually testing and optimising towards these goals.
Latest News
Sydney Comedy Festival: Taking The City & Social Media By Storm
Sydney Comedy Festival 2024 is live and ready to rumble, showing the best of international and homegrown talent at a host of venues around town. As usual, it’s hot on the heels of its big sister, the giant that is the Melbourne International Comedy Festival, picking up some acts as they continue on their own […]
Global Marketers Descend For AANA’s RESET For Growth
The Australian Association of National Advertisers (AANA) has announced the final epic lineup of local and global marketing powerhouses for RESET for Growth 2024. Lead image: Josh Faulks, chief executive officer, AANA Back in 2000, a woman with no business experience opened her first juice bar in Adelaide. The idea was brilliantly simple: make healthy […]
Is Meta’s New AI Chatbot Too Left-Wing?
Meta's chatbot accused of being left-wing after being caught wearing a Che Guevara T-shirt & listening to Billy Bragg.
TV Ratings (23/04/2024): Why Did No One Tell Angela That Farmer Wants A Wife Is Set On A Farm?
As wonderful as this headline is, let's face it, we all know an 'Angela', don't we?
PubMatic Unveils New AI Partnership To Turn Social Posts Into Ads For Any Digital Channel
Here's some nifty tech for turning social posts into ads. Assuming said posts aren't one-star character assassinations.
Intuit Mailchimp Makes A Splash With Its First Australian Brand Campaign
Ever laugh along at a gag you didn't get so as not to appear dumb? Get ready for more feigning with this new work.
GumGum’s Rob Hall: Advertisers Can No Longer “Rely On Binary Descriptions” Of Consumers
If anyone's got their finger on adtech's pulse, it's Rob Hall. He also avoids using the good paper in the office printer
Mastercard Nabs Florencia Aimo From Marriott International
Marriott International's Florencia Aimo jumps from the hotel business to the exploitative credit card one.
Bastion Agency Appoints Cheuk Chiang As New ANZ CEO
Cheuk Chiang takes the reins over at Bastion Agency. But not the rains down in Africa.
Spotlight On Sponsors: Major Sponsorship Wins After A Disappointing Week In Sport
B&T continuing our deep dive into local sport sponsorships & that's despite not a single offer of a free ticket as yet.
Macca’s Marketing Director, Samantha McLeod On Big Mac Chant: “What Was Once Old Is Now Cool Again”
Macca's using the power of nostalgia in latest Big Mac campaign. Well, only for those who've ever eaten one sober.
World Premiere Of Midnight Oil: The Hardest Line To Open Sydney Film Festival 2024
Oil's biopic to open Sydney Film Festival. Here's hoping Molly Meldrum will take his pants down at the premiere.
Entries Are Now Open For The 2024 Brandies, IntelligenceBank’s Annual Brand Marketing Awards
The Brandies are, of course, a prestigious marketing gong and not the mystery tipple favoured by nannas everywhere.
The Fred Hollows Foundation Appoints Ardent For PR
Yes, we all like to have a joke at PR's expense. But sometimes it does important work, like this.
AI, eCommerce & Marketing Specialists Are In Increased Demand By Businesses, New Data From Fiverr Shows
Has your philosophy & anthropology degree left you with nothing but a huge HECS debt? Here's what you should've studied.
Perth’s First 3D Anamorphic Billboard Arrives Courtesy Of oOh!media
Do you love a buzzword? Now you can add anamorphic to the list as it relates to billboards, not a colleague's ears.
MasterChef Australia & Crown Resorts Launch Unique Dining Experience With ALUMNI
A pop-up restaurant staffed by MasterChef contestants! That's fine dining prices for first-year apprentice chef cuisine!
Amanda Laing Announces Resignation From Foxtel Group
Foxtel's chief commercial & content officer heads for the exits. Read nice things the bosses said about her right here.
The Lost Letters From Our Diggers: News Corp Unveils ANZAC Day Special
It's nice when brands respectfully acknowledge ANZAC Day.
Howatson+Company Acquires Akkomplice
Large indie acquires a slightly smaller indie. Much like a shark eating a tuna, just with less thrashing and blood.
Google Delays Third-Party Cookie Deprecation Again
In good news for the sale of picture library biscuit photos, Google continues to tease over the end of cookies.
Education A Low Priority For Aussies More Concerned With Cost Of Living Forethought Study Reveals
Study finds Aussies cutting back on education due to cost of living. Booze & Uber Eats sales remain largely unaffected.
“I’m Still The Same Person That I Was”: Rikki Stern Says “Fucc It” To Cancer Stereotypes
B&T always happy to promote the anti-cancer cause. Even brands that massively overdo it with the hot pink.
The Unapproved Climate Certification Allegedly Causing Mass Greenwashing
Are you left flummoxed in the canned tuna & free range eggs aisle? Just wait till this green certification gets up.
TV Ratings (22/04/2024): Fans Mock “Over The Top” Reaction To New MasterChef Judges
MasterChef returns for its 2024 season. B&T stands by putting peppercorns in Gravox & no one will be any the wiser.
Dentsu Restructure: Muddle, Harvey & Johnston Take Leadership Baton As Bass & Yurisich Exit
A large broom has swept through Dentsu's local ops this morning, taking with it some big names & the air con's cobwebs.
Industry Shares Trends Shaping The Industry This International Creators Day
B&T's asking adland creators to reveal their top trends. And it's not good news for your Jenny Kee cardigan collection.
Mable Extends HOYTS Sensory Screenings Partnership
Mable has extended its HOYTS sensory screening partnership. Vigorously defends its two-star Oppenheimer review.
Orphan Launches ‘They Need Our Help. We Need Yours’ For Children’s Cancer Institute
Anything to do with childhood cancers has B&T's 110% support. That said, we do ignore the red meat & alcohol warnings.
Smile Team Orthodontics & Keep Left Collaborate On Smile-Inducing Campaign
As parents would attest, given the cost of orthodontics you'd expect this campaign to be a lavish production indeed.
Opinion: How Video Calls Neglect Learning Diversity
Need an excuse to duck out of a video call this arvo? Show this to your boss.
DoubleVerify Achieves First-Of-Its-Kind Responsible AI Certification From TrustArc
DoubleVerify receives responsible AI certification. However, not its robotic vacuum that's been seen menacing the cat.
Smile For A Good Cause: The Social Media Campaign Giving Back To The Community
Are you known as the office Austin Powers? More for you teeth than shagability? Get snappy new fangs with this news.
Elon Musk Mocks Albo After ESafety Wins Court Injunction Against X
Albo's 2024 from hell continues - Rabbitohs in crisis, down in the polls and now feuding with world's richest man.
Real Estate Developer In Hot Water Over “Sexually Exploitative” OOH Campaign
Real estate agents again tops in the 'least trusted profession' polls, nudging used car salesmen & ad creatives.
Epsilon’s Shane Hanby: Post-Cookie Era Relies On “Teamwork” Between Brands, Marketers & Tech
This pro predicts more "teamwork" in a post-cookie era. Which spells bad news for the uncooperative or plain stubborn.