December 27, 2017 at 12:28Mobile retargeting is the main tool for promoting mobile applications in 2018
Alexey Pisarevsky, CEO of Getloyal , an automated retargeting system for mobile applications , explains why mobile retargeting is in the near future.
78% of large Russian advertisers consider retargeting to be the most effective advertising technology. According to the IAB Russia study on online advertising trends for 2017, retargeting has become the most effective promotion tool. Today, retargeting is already used by 58% of Russian companies and plans to use 17% next year.
There are many reasons for the demand for retargeting, especially mobile retargeting. 80% of users do not return in the application 3 months after installation. In addition, a trend towards consolidation has recently been observed - people use fewer applications, but more often and more intensively. Few people install 10 different food applications, most use only 2 or 3. In addition, large market players have already taken over most of the audience who are interested in the product. Further, such companies can grow mainly due to new devices, the growth of which is not as fast as before. Attracting new users is also becoming unprofitable - the price per install (CPI) is growing. Therefore, working with current ones is much more effective. Retargeting is a kind of universal solution to the problems that the market is facing today.
We gathered opinions from representatives of the largest Russian companies, who shared their vision regarding retargeting as a tool for promotion in mobile.
Expert Opinions
Oleg Dorozhok
Head of Marketing, Delivery Club
“Mobile retargeting is a fairly new and effective tool for returning users to an application in which we see huge potential. At the moment, it occupies no more than 5% of the delivery club’s marketing expenses, and should occupy 20%. Thanks to the Getloyal team for their help in mastering this tool. ”
Maxim Pogrebnyak
Mobile Marketing Manager, OZON
“Retargeting is the most important mechanism for returning users to the application. Attracting newcomers is always more costly, but at the same time most of the money is brought by those users who are already loyal to your brand. As before, companies invest more in user acquisition, and retargeting is about 10-20% of the total budget.
With the development of technology and the general level of the mobile application market, retargeting is becoming smarter and predictive mathematical models are already being applied that calculate the probability of users returning to the application and correctly distribute bids for different categories of customers. In 2018, the vector of personalization will continue and this will allow to differentiate approaches in targeting. ”
Oleg Naumov
Director of Internet Marketing, KupiVip
“Retargeting may very soon become an integral part of the promotion of mobile applications. As retargeting tools develop in the application, its share in the sales structure will gradually grow. Restoring contact with audiences who have already installed the application allows us to solve the problem of increasing monetization of active customers and reactivation of inactive ones.
More and more foreign and domestic companies began to realize the effectiveness of retargeting. Brands allocate more budget for this technology. And mobile companies, trackers and traffic sources, in turn, improve retargeting by developing smart predictive algorithms for working to return users to the application. For example, user segmentation will become even more accurate in 2018. Advertising formats are more personalized. The work on setting up diplinks and analyzing the effectiveness of retargeting campaigns is also being improved.
In 2017, the myTarget team took a big step in the development of retargeting products: they supported deeplinks for iOS and Android, improved user return to the application, and implemented statistics on internal myTarget traffic events.
Jacob Paysahzon,
Sales Director, myTarget .
“In 2018, we plan to develop mobile application retargeting and optimize in-app events. We are already testing a mobile look-alike, which we will introduce at the beginning of next year. Also in the plans for the year is to implement deferred diplinks, allowing the user to open a personalized window after installation on both platforms, and implement them in the structure of dynamic advertising.
Comparing mobile advertising campaigns using retargeting in 2017 with campaigns in 2016, we can note the following dynamics of indicators: achievement of goals increased by 40 times, investment in advertising increased by 13 times, and CPA decreased by 67%, ”says Yakov Peysakhzon, Director myTarget sales team .
Shani Rosenfelder
Mobile Insights Lead, Appsflyer Appsflyer
expert has analyzed that the growth in mobile retargeting in 2017 is 3.5x higher than last year.
“Today, most mobile marketers have realized that installation is just one step in their funnel. The goal is monetization, especially for the vast majority of applications that earn from customer purchases and advertising within the application. If users do not constantly use the mobile application, it becomes extremely difficult to generate income.
In addition, App Store algorithms today focus on engagement with the user. Not surprisingly, we are seeing a 3.5-fold increase in mobile retargeting compared to last year. Thanks to innovations and improvement of diplinks, applications can display personalized ads to specific users on the desired screen inside the application, which is very important for their retention. "
Let's take a closer look at the key trends of retargeting that will shape its future.
Key trends
User segmentation
Today, many advertising platforms allow you to quickly and easily work with the audience, allow you to download the desired segments and target specific users. For example, in 2017, Appsflyer and Adjust launched their Audience Builder, with which you can cut the audience from your own user base and then transfer them to the advertising platform. Trackers allow you to configure clear segments for in-app events and time periods. Event retargeting makes ads more accurate and conversion higher.
Appsflyer Audiences provides a functional user segmentation solution. You can create audiences based on any events in the application that are registered in AppsFlyer. With any filters by period. For example: users who put the product in the basket, but did not buy it. Or users who installed the application for a certain period but didn’t take an action, etc.
Another tracker that allows you to work effectively with dynamic audience segments is Adjust Audience Builder. When creating audiences, you can select many conditions for targeting, for example: you can make segments by Ad ID and push token, by device type, country, mobile application installation date, last attribution session, event, and so on. In addition, it is possible to apply different types of use of conditions, such as: include, exclude, less than, fewer / more than.
Expert Adjust , Leonid Yeletskih, Head of Sales Russia and Eastern Europe:
“In support of personalization trends, in March 2017, we launched Audience Builder. Our customers, using dynamic audiences, increase the return on advertising (ROAS) and increase user retention metrics. For example, a case with Runtastic shows that for a month of using the product, Audience Builder raised ROAS by an average of 179.1%.
Working with the audience, as part of segmented retargeting and push campaigns, increases the average check. This is achieved by using more effective user interaction, which leads to the final conversion optimization. "
Re-engagement
TUNE is also developing retargeting tools. The new Re-engagement Cohort report tool, which was launched by the tracker in 2017, allows you to compare and analyze different sources of retargeting by cohorts. For example, in the E-commerce segment, we see CPO (order value) from existing users 3-7 times lower than from new ones.
Solutions such as the TUNE Re-engagement Cohort report greatly simplify the analysis of the effectiveness of retargeting campaigns, which is very important for the development of this tool.
Efficiency and measurability
Deep analytics of retargeting and the correct measurement of its effectiveness is one of the main trends. Clients will try to set the right KPIs before retargeting and try to measure it correctly. Two terms that will be widely used in 2018: A / B-test and Incrementality. To understand the growth from retargeting, you will need to run tests and analyze what growth this launch gives.
For example, how to measure effectivenessretargeting campaign using the A / B test. We’ll take half of the users (group A) and launch retargeting for them. The second half of users (group B) will be left as is, without paid retargeting. Over time, we compare the cost of the first order and the ROI in one and the other group. If the ROI in the retargeting group is no lower, then retargeting is justified.
Deeplink
In the coming year, deeplinks (the technology on which mobile retargeting is based) will be easier to configure and work more reliably. It will also be possible to measure the clickability of links. Yandex AppMetrica, for example, learned to count how many openings on a deeplink users made from the tracker. This allows you to determine how effective the ad banner turned out to be.
Conclusion
Mobile retargeting is the next step in the evolution of mobile marketing. In 2018, more and more mobile-first companies will look towards retargeting and launch test campaigns. The systems and procedures associated with retargeting today are becoming more progressive. The personalization vector will continue to develop, offering users excellent UX, and companies a multiple increase in ROI.
If you want to start returning users to the app and make more money with mobile retargeting, contact us at Getloyal .
The article is also available in English on the Appnext Blog .
78% of large Russian advertisers consider retargeting to be the most effective advertising technology. According to the IAB Russia study on online advertising trends for 2017, retargeting has become the most effective promotion tool. Today, retargeting is already used by 58% of Russian companies and plans to use 17% next year.
There are many reasons for the demand for retargeting, especially mobile retargeting. 80% of users do not return in the application 3 months after installation. In addition, a trend towards consolidation has recently been observed - people use fewer applications, but more often and more intensively. Few people install 10 different food applications, most use only 2 or 3. In addition, large market players have already taken over most of the audience who are interested in the product. Further, such companies can grow mainly due to new devices, the growth of which is not as fast as before. Attracting new users is also becoming unprofitable - the price per install (CPI) is growing. Therefore, working with current ones is much more effective. Retargeting is a kind of universal solution to the problems that the market is facing today.
We gathered opinions from representatives of the largest Russian companies, who shared their vision regarding retargeting as a tool for promotion in mobile.
Expert Opinions
Oleg Dorozhok
Head of Marketing, Delivery Club
“Mobile retargeting is a fairly new and effective tool for returning users to an application in which we see huge potential. At the moment, it occupies no more than 5% of the delivery club’s marketing expenses, and should occupy 20%. Thanks to the Getloyal team for their help in mastering this tool. ”
Maxim Pogrebnyak
Mobile Marketing Manager, OZON
“Retargeting is the most important mechanism for returning users to the application. Attracting newcomers is always more costly, but at the same time most of the money is brought by those users who are already loyal to your brand. As before, companies invest more in user acquisition, and retargeting is about 10-20% of the total budget.
With the development of technology and the general level of the mobile application market, retargeting is becoming smarter and predictive mathematical models are already being applied that calculate the probability of users returning to the application and correctly distribute bids for different categories of customers. In 2018, the vector of personalization will continue and this will allow to differentiate approaches in targeting. ”
Oleg Naumov
Director of Internet Marketing, KupiVip
“Retargeting may very soon become an integral part of the promotion of mobile applications. As retargeting tools develop in the application, its share in the sales structure will gradually grow. Restoring contact with audiences who have already installed the application allows us to solve the problem of increasing monetization of active customers and reactivation of inactive ones.
More and more foreign and domestic companies began to realize the effectiveness of retargeting. Brands allocate more budget for this technology. And mobile companies, trackers and traffic sources, in turn, improve retargeting by developing smart predictive algorithms for working to return users to the application. For example, user segmentation will become even more accurate in 2018. Advertising formats are more personalized. The work on setting up diplinks and analyzing the effectiveness of retargeting campaigns is also being improved.
In 2017, the myTarget team took a big step in the development of retargeting products: they supported deeplinks for iOS and Android, improved user return to the application, and implemented statistics on internal myTarget traffic events.
Jacob Paysahzon,
Sales Director, myTarget .
“In 2018, we plan to develop mobile application retargeting and optimize in-app events. We are already testing a mobile look-alike, which we will introduce at the beginning of next year. Also in the plans for the year is to implement deferred diplinks, allowing the user to open a personalized window after installation on both platforms, and implement them in the structure of dynamic advertising.
Comparing mobile advertising campaigns using retargeting in 2017 with campaigns in 2016, we can note the following dynamics of indicators: achievement of goals increased by 40 times, investment in advertising increased by 13 times, and CPA decreased by 67%, ”says Yakov Peysakhzon, Director myTarget sales team .
Shani Rosenfelder
Mobile Insights Lead, Appsflyer Appsflyer
expert has analyzed that the growth in mobile retargeting in 2017 is 3.5x higher than last year.
“Today, most mobile marketers have realized that installation is just one step in their funnel. The goal is monetization, especially for the vast majority of applications that earn from customer purchases and advertising within the application. If users do not constantly use the mobile application, it becomes extremely difficult to generate income.
In addition, App Store algorithms today focus on engagement with the user. Not surprisingly, we are seeing a 3.5-fold increase in mobile retargeting compared to last year. Thanks to innovations and improvement of diplinks, applications can display personalized ads to specific users on the desired screen inside the application, which is very important for their retention. "
Let's take a closer look at the key trends of retargeting that will shape its future.
Key trends
User segmentation
Today, many advertising platforms allow you to quickly and easily work with the audience, allow you to download the desired segments and target specific users. For example, in 2017, Appsflyer and Adjust launched their Audience Builder, with which you can cut the audience from your own user base and then transfer them to the advertising platform. Trackers allow you to configure clear segments for in-app events and time periods. Event retargeting makes ads more accurate and conversion higher.
Appsflyer Audiences provides a functional user segmentation solution. You can create audiences based on any events in the application that are registered in AppsFlyer. With any filters by period. For example: users who put the product in the basket, but did not buy it. Or users who installed the application for a certain period but didn’t take an action, etc.
Another tracker that allows you to work effectively with dynamic audience segments is Adjust Audience Builder. When creating audiences, you can select many conditions for targeting, for example: you can make segments by Ad ID and push token, by device type, country, mobile application installation date, last attribution session, event, and so on. In addition, it is possible to apply different types of use of conditions, such as: include, exclude, less than, fewer / more than.
Expert Adjust , Leonid Yeletskih, Head of Sales Russia and Eastern Europe:
“In support of personalization trends, in March 2017, we launched Audience Builder. Our customers, using dynamic audiences, increase the return on advertising (ROAS) and increase user retention metrics. For example, a case with Runtastic shows that for a month of using the product, Audience Builder raised ROAS by an average of 179.1%.
Working with the audience, as part of segmented retargeting and push campaigns, increases the average check. This is achieved by using more effective user interaction, which leads to the final conversion optimization. "
Re-engagement
TUNE is also developing retargeting tools. The new Re-engagement Cohort report tool, which was launched by the tracker in 2017, allows you to compare and analyze different sources of retargeting by cohorts. For example, in the E-commerce segment, we see CPO (order value) from existing users 3-7 times lower than from new ones.
Solutions such as the TUNE Re-engagement Cohort report greatly simplify the analysis of the effectiveness of retargeting campaigns, which is very important for the development of this tool.
Efficiency and measurability
Deep analytics of retargeting and the correct measurement of its effectiveness is one of the main trends. Clients will try to set the right KPIs before retargeting and try to measure it correctly. Two terms that will be widely used in 2018: A / B-test and Incrementality. To understand the growth from retargeting, you will need to run tests and analyze what growth this launch gives.
For example, how to measure effectivenessretargeting campaign using the A / B test. We’ll take half of the users (group A) and launch retargeting for them. The second half of users (group B) will be left as is, without paid retargeting. Over time, we compare the cost of the first order and the ROI in one and the other group. If the ROI in the retargeting group is no lower, then retargeting is justified.
Deeplink
In the coming year, deeplinks (the technology on which mobile retargeting is based) will be easier to configure and work more reliably. It will also be possible to measure the clickability of links. Yandex AppMetrica, for example, learned to count how many openings on a deeplink users made from the tracker. This allows you to determine how effective the ad banner turned out to be.
Conclusion
Mobile retargeting is the next step in the evolution of mobile marketing. In 2018, more and more mobile-first companies will look towards retargeting and launch test campaigns. The systems and procedures associated with retargeting today are becoming more progressive. The personalization vector will continue to develop, offering users excellent UX, and companies a multiple increase in ROI. If you want to start returning users to the app and make more money with mobile retargeting, contact us at Getloyal .
The article is also available in English on the Appnext Blog .