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Optimization for Advanced App Marketers

Technology and Practices for High-Performance Results

High Performance App Marketing Platform

As a mobile app marketer, choosing the right media sources to promote your app is too much of a guessing game. As you plan your campaign, theres no sure way of knowing which ad networks will cost-effectively deliver the largest number of installs, which will drive loyal users you can monetize, and which will merely drain your budget. You have limited insights on which to base your media buys. Mobile ad targeting is not as sophisticated as what you may be used to in the online marketing world. This is why optimization technology is so crucial to mobile app marketing. With optimization technology, you can gain detailed and immediate insights into the advertising thats driving your business, and optimize on those insights early and often during the campaign, to deliver the price/performance results you need. This ebook outlines an optimization technology for mobile app marketing that automates the optimization process, is simple to implement, and is already generating exceptional results for leading mobile app businesses.

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Why Traditional Optimization Approaches Fall Short


There are three ways app marketers typically optimize their ad campaigns:

1. Network-Managed Optimization
As ad campaigns run, the networks periodically pull data to identify the publishers (apps) that are driving downloads. The networks optimize the campaign by removing the publishers that arent delivering downloads, and by increasing the buys with the publishers that are driving downloads. This optimization is performed with varying degrees of interaction with the advertiser. While this occurs, the advertiser may also compare performance between networks, outlined in #2 below.

2. Advertiser-Driven Optimization Between Networks


The advertiser compares results between networks, to identify the networks that are performing well, and those that are not. The advertiser conducts data analysis based on reports from the different networks, and allocates more budget to the high-performing networks, and less budget to the low-performing networks. Whats wrong with these approaches? With advertiser-driven optimization between networks, the advertiser must consolidate multiple network reports, each with unique formats and with differing information. This is time consuming and difficult because each net
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work provides a different type of report, tracking different types of data. For example, some networks report that a download occurs on the day an ad is displayed. Others report when the app was physically opened the first time. Data is reported differently from network to network, and somehow the advertiser needs to reconcile this. It can take an enormous amount of manual spreadsheet work to consolidate all of these reports and, without the ability to do so, it is difficult to identify the best value for the ad spend. An even bigger issue with both approaches is that ad networks typically optimize only to downloads. Most networks are not able to optimize ad spend to the publishers that drive the users that take the high-value actions that your business values such as purchases or repeat launches. Theyre focused primarily on optimizing to downloads. Unfortunately, downloads often dont convert into productive users. A large proportion of apps are used only once or twice. This is why its crucial to: n Track the post-download events, such as purchases, repeat engagement, game levels, etc. that are important to your business and; n Optimize to the sources driving the users who take these post-download actions because they are the loyal users that drive your business. Ad networks are focused primarily on ads and clicks. So it needs to be up to you as an advertiser to be pro-active about tying post-download events back to the media source and optimizing to these sources. Many app marketers have recognized the need to optimize to the sources driving loyal users. Some have tried to address this optimization quality concern through the following optimization method.

3. Attribution of Post-Download Events with Standalone Ad Tracking Products


Some advertisers have tried to address optimization quality by either purchasing or building standalone ad tracking (attribution) technology to consolidate reporting in a common format and, in some cases, to attribute post-download events back to the media source.
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The process works like this:


As campaigns run, the ad tracking software attributes downloads, and possibly also post-download user actions (i.e., purchases, repeat launches) to the media source. The advertiser performs analysis by reviewing results within the tracking software dashboard, or by creating spreadsheets from the dashboard and conducting data analysis to draw conclusions. This can potentially involve tens of thousands of data points. This step can be very time consuming and complex because it is manual.

The advertiser identifies potential top-performing sources and poorly performing sources.

The advertiser contacts the networks to request changes to the media buy or enters changes in network interfaces. This process varies from network to network and can also involve significant manual effort.

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Sounds easy.
In theory, it is. But in practice, marketers have found that this approach is fraught with challenges...

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Challenge #1:

Its extremely labor intensive.


Tracking solutions provide raw data. Therefore, its entirely up to the advertiser to make something of this data. Consider a sample advertising program with: 5 ad creatives 4 ad creative sizes Running on 3 networks With thousands of publishers per network* In 10 countries On 3 devices On 2 operating systems For the best possible optimization, the data analysis must be as granular as possible. For example, Japan may be the country driving the most downloads, but in what combinations? For example, is it: Creative A, 720 x 90, on Network 1, xxx Publishers, on Device 1? Or is it Creative B, 320 x 50, on Network 2, xxx Publishers, on OS 1? Or could it be Creative C, 300 x 250, on Network 3, xxx Publishers, on Device 2, OS 2?

COUNTRY

DEVICE

* Performance data by publisher is available from select networks.

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And there are additional variables to consider, such as all countries, day of week, cost-per-install, rank and more. Now multiply this by thousands of potential combinations and the challenge is clear. For quality optimization, advertisers must consider all these combinations to identify whats truly driving business, and what isnt. To achieve optimal ad spend, app marketers are taking this granular approach to optimization. But its nearly impossible to do so through manual analysis that is required when using standalone ad tracking products or through network dashboards.

PUBLISHER

CREATIVE

NETWORK

OPERATING SYSTEM

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Challenge #2:

Optimization is delayed.
Data obtained through the ad tracking software or through network dashboards is not actionable immediately, due to the manual nature of the data analysis. There are no algorithms that make optimization decisions, such as what media is most cost-effective, how to bid, or how to manage volume and budget. Nor is there any infrastructure to execute on these decisions. Its up to marketing staff to do their best to draw conclusions from massive amounts of data and implement optimization decisions according to the processes of each network. This manual optimization process can take several days or longer, particularly when working with multiple networks. Each day of optimization lag leads to another day of less than optimal ad spend and compromised performance.

ON HOLD

ON HOLD

ON HOLD
ON HOLD

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Challenge #3:

Optimization options are limited.


Optimization decisions can be applied only to networks on which campaigns are running. With ad tracking products, there is no systematic way to apply performance insights to potential new media sources with high potential to perform well. Its important to be able to apply performance insights to new ad networks and real-time bidding exchanges that should perform well, to expand your marketing reach. In addition, ad tracking products typically employ one type of attribution technology, such as HTML cookie tracking or digital fingerprinting. Some ad networks may not support a particular attribution technology, thereby limiting the ability to gain performance insights on which to optimize.

Marketers Are Settling


What many app marketers have found with ad tracking products is that, although they do provide a greater level of performance insights than most ad networks, its still a manual, time-consuming and limiting approach. Most marketers either dont have the time, the expertise, or the tools to efficiently turn these insights into the best possible optimization decisions so they end up settling.

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The 5 Characteristics of High-Performance Optimization


App marketers who need to deliver measurable results have identified 5 characteristics of high-performance optimization:

1. Optimizes on Post-Download Events


Provides the ability to optimize on post-download events, such as in-app purchases and repeat launches. This helps ensure that media spend is allocated to the sources that are truly driving business results.

2. Integrates Attribution with Optimization


By integrating attribution with optimization technology, marketers can react quickly to the performance insights gained through attribution. This integrated approach delivers more value because attribution insights are actionable immediately, without the delay caused by manual analysis.

3. Enables the Ability to Get Granular with Big Data


When tracking and analyzing post-download events, there are enormous amounts of data that need to be considered to arrive at the best optimization decisions. And its crucial to analyze all this data quickly, and at the most granular level to zero in on the best performance drivers.

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4. Enables Broad Media Deployment


Optimization decisions can be deployed beyond existing media sources to new media sources that are highly likely to perform well.

5. Provides Immediate and Continuous Optimization


Optimization is not a one-time event. To achieve the best possible price/performance results, optimization must be early and often. As advertising dynamics change, the optimization needs to be in lockstep with these evolving performance changes to deliver the best possible results.

These cannot be performed manually. They require technology.


Today, many mobile app marketers are benefitting from these capabilities, with a mobile app marketing and optimization technology from Fiksu. Hundreds of app marketers have completely automated and integrated their attribution, optimization and media buying all in one real-time solution that delivers exceptional price/performance results.

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Fiksu Mobile App Marketing Platform with Optimized Marketing Performance


Fiksu is a mobile app marketing platform that combines attribution and optimization technology with centralized media buying from the worlds largest mobile app media inventory. By combining these capabilities into one technology solution, app marketers are able to confidently deploy their ad dollars on the media sources that perform best and deliver true business results. Fiksu removes the complexity and limitations of manual optimization, by automating and integrating the entire optimization process, with a focus on optimization quality, efficiency and performance. The Fiksu Platform employs three primary technologies that work together to drive optimization performance:

Automated Optimization Engine Integrated Post-Download Event Attribution Broad and Real-time Media Buying

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1. Integrated Post-Download Event Attribution

The Fiksu Mobile App Marketing Platform automates attribution of downloads plus post-download events, enabling marketers to optimize to the sources that drive ROI. As campaigns run, Fiksu records post-download user actions (in-app purchases, repeat launches, game levels and more), and attributes each of these actions back to the media source, ad creative and other campaign elements, to identify the sources of high-value, loyal users. This information is updated in real-time and available for viewing in Fiksus online dashboard. Because Fiksu integrates attribution and optimization technologies, this attribution data is fed into Fiksus optimization engine automatically and continuously. This unique integration of attribution and optimization technology makes attribution data actionable immediately and continuously, to make the attribution data truly impactful, and to deliver the best possible results.

Fiksus attributes more than


2. Automated Optimization Technology

150 million post-download events per day.


As Fiksu attributes users post download events, Fiksu feeds this attribution data into its optimization engine in real time. Fiksus optimization engine rapidly analyzes the performance of every possible campaign variable (ad source, creative, country, location, device, operating system, day, time, cost and more) in every possible combination, and isolates the best performing media sources and campaign attributes based on the advertisers specific user acquisition goals.

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Fiksus optimization engine analyzes a virtually unlimited number of combinations of variables, to identify the combinations of media source, ad creative and other variables that deliver most effectively on acquisition, cost and ROI goals. Fiksu applies this intelligence automatically and continuously to marketing programs to ensure the most productive ad spend and best user acquisition results.

Smart Allocation determines the best spending combinations in real time


Fiksus optimization technology systematically identifies the most economically efficient ad options. Fiksu algorithms leverage conversion data to determine an expected conversion rate for each combination of ad variables. These conversion rates are then weighed against the expected ad cost (the bid) and turned into an expected value for each transaction. Fiksu identifies the best ad choices and then allocates ad spending to ensure volume goals are met while minimizing cost and generating the best possible ROI. In addition, because the Fiksu Platform employs tight integrations with a number of leading networks, Fiksu can measure performance and optimize at the publisher level. This enables much more targeted optimization that often is not available to advertisers.

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Store Optimization Drives Organic Users


Achieving a high rank in the stores can be extremely expensive. The Fiksu Platform continually monitors the relationship between ad spend and an apps rank to optimize campaigns to deliver the rank that delivers the most organic users at the best cost. Rather than simply focusing on getting the highest possible rank, Fiksus platform determines an apps optimal rank level. Some apps get no more organic users at a rank of 10 than 20. So why pay to achieve a ranking of 10 when a rank of 20 delivers the same number of organic users for a lower cost? Fiksu identifies the optimal rank and optimizes to attain that rank. By closely monitoring rank behaviors during a live campaign, Fiksu can optimize ad spend to achieve the rank that yields the best ROI.

Optimization on Real-Time Bidding Exchanges


Fiksus optimization algorithms are also integrated with the leading real-time bidding exchanges, which offer highly targetable ad traffic through real time bidding auctions. These exchanges provide an opportunity for acquiring users in a highly efficient, cost effective manner. Fiksus high-speed, intelligent infrastructure enables access to this highly effective, growing pool of impression-based media.

Exceptional Store Optimization

for Increased Visibility


Employs rank and discovery methods specific to each store Drives the most efficient rank Delivers the most organic users

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MEDIA

3. Broad and Real-Time Media Buying


Fiksu is integrated with over 45 ad networks and real-time bidding exchanges representing more than 95% of the available impressions in the market. It is this broad and real-time media buying integration that gives app marketers a unique and significant optimization algorithms: n Continuously analyze the impressions within this additional universe of potential new media sources n Identify focused pockets of impressions that match the campaigns conversion and ROI performance models, and n Execute highly-optimized buys on these new media sources This broad media reach helps marketers avoid audience saturation that often occurs when running on a limited number of media sources, and also extends the lifetime of campaigns while maintaining high install volumes without seeing a dip in price/performance results.
MEDIA

MEDIA

MEDIA

FIKSU OPTIMIZATION
MEDIA

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Optimization is Strategic and Critical To Your Success


Optimization is critical component of any mobile app marketing program. Unfortunately, some marketers treat optimization as an afterthought. As their campaigns run and they see that theyre not getting the results they had hoped for, they scramble to figure out how to optimize. Optimization strategy must be a key component of your advertising planning process. As you plan your app marketing program, ask yourself these questions:

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n What are the post-download events that are critical to my business? n Do I have the ability to attribute these events to the media source and other campaign variables? n Does my staff have the infrastructure, expertise, tools and bandwidth to conduct the necessary attribution analysis on which to base optimization decisions? n How do I execute the optimization decisions in real time and continually, to deliver the best possible results? n Is my optimization limited to the media sources running my campaign, or can my optimization identify new media sources that will perform well? n Will I conduct attribution and optimization manually, or will I automate the process?

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Fiksu Optimization Delivers Results

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No other optimization approach is as intelligent and effective as Fiksu Optimization.


The Fiksu Platforms integrated and automated approach to attribution, optimization and media buying helps app marketers gain more value from attribution intelligence, focus ad dollars on the best performing media sources, and achieve the best possible marketing performance. Learn how you can join the community of high-performance app marketers using Fiksu. 1.855.463.4578 sales@fiksu.com www.fiksu.com

High Performance App Marketing Platform

Phone: 1.855.463.4578 | Email: sales@fiksu.com | Website: www.fiksu.com US Office Fiksu, Inc. 101 Arch Street, Suite 304 Boston, MA 02110 Phone: 855-463-4578 Email: sales@fiksu.com Singapore Office Fiksu, Inc. 137 Amoy Street #02-01 Far East Square Singapore 049965 Phone: +65 6372 9538 Email: sales-apac@fiksu.com UK Office Fiksu, Inc. 32 Percy Street London, UK W1T 2DE Phone: +44 (0) 203-585-3412 Email: sales-uk@fiksu.com

Copyright 2012 Fiksu. All rights reserved. Fiksu and Fluent News are registered trademarks and the Fiksu logo is a trademark of Fiksu, Inc. Apple and the App Store are registered trademarks of Apple, Inc. All other trademarks mentioned herein are the property of their respective holders.

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