Currently, there are more than 1 billion active iPhones in the world. Naturally, this makes Apple and its iOS platform highly lucrative for mobile app developers looking to expand their user base.
However, the competition is stiff. Around 2.22 million mobile apps are available on the Apple Search, each fighting for visibility and, ultimately, downloads.
So, how do all these apps get found? According to Apple, 70% of App Store visitors use the search function to find their next tool, and 65% of downloads occur after the users actively look for a particular application. With such significant numbers, it’s easy to see why Apple decided to launch a customer acquisition platform specifically for the search function.
Yet, since Advertising in Apple Search is relatively new, many developers aren’t sure if it’s a suitable investment for them, and they don’t know how to get started. That’s what we’ll talk about today.
Once you’ve passed the App Store review, you’ll be looking forward to growing your user base. For this, you need visibility, and that’s where Apple Search Ads can help.
Apple Search Ads (ASA) is a platform launched in 2016, allowing developers to advertise via sponsored ads that appear on top of the Apple Search results page. All in all, it serves to improve application discoverability and increase the user base by generating downloads.
Apple Search Ads works much like Google Ads. A user performs a Apple search, advertisers bid on keywords and win the auction gets the ad spot. Thus, it provides app marketers with an opportunity to contact the user at the exact moment when they are looking for a similar application and need it.
So, you probably understand the importance of advertising in Apple Search, but let us share a couple more reasons:
And just to highlight, Apple Search Ads works independently from SKAdNetwork, and deterministically attributes users. According to the latest Performance Index report, ads in Apple Search also gives a higher retention rate of attracted users.
Ads in Apple Search are pretty easy to set up. Depending on your budget and needs, you’ll have to first choose between basic and advanced options. Each has its pros and cons, so let’s take a closer look at them below.
As the name suggests, Apple Search Ads Basic is the simplest version, designed for those just starting with mobile apps and advertising. It is easy to set up but has a few limitations that may be deal-breakers for some publishers.
Advantages:
Disadvantages:
If you choose to run a Basic campaign, Apple will automatically match your ad to interested users of your app, selecting the keywords and the audience. All you have to do is set a cost, and then Apple does the rest. But this approach has serious risks: Apple may miss targeted keywords, so you can lose your bid and miss high-quality leads.
The advanced version of Apple Search Ads is the one that offers the most comprehensive array of options. It closely resembles ad networks by allowing marketers to choose the keywords and audiences their ads will run on and providing more metrics for monitoring campaign performance. With Advanced, you can choose keywords and audiences, and you pay per tap on your ad rather than install. Advanced is ideal for developers or agencies who want more control of their campaigns.
Advantages:
Disadvantages:
Now that you know what Apple Search Ads are and the different versions available to you, it’s time to discuss the key metrics you should track.
The Tap-Through Rate (TTR) indicates how many people actually click your ad after viewing it.
TTR = number of taps / number of impressions
It’s essential to stay on top of the TTR as it informs you of ad performance. If your TTR is too low, consider reworking some elements of your listing. After all, if people are seeing your ad but aren’t clicking it — there’s a problem.
Unfortunately, a “good” TTR is highly individual for each app category, so it might be worth testing multiple listing variations when you’re just getting started.
Cost Per Tap (CPT) is the core pricing model of Apple Search Ads. Within the platform, you only pay when a user taps on your banner. Hence, the CPT metric indicates how much each tap costs you.
CPT = ad spend / number of taps
While the CPT doesn’t tell you much about campaign performance, it is an excellent metric to monitor for making sure you outbid your competitors while not burning through your entire budget.
Average Cost Per Acquisition (CPA) helps mobile marketers determine the cost of user conversion actions. In short, it tells you how much you pay, on average, for the user to download your application.
CPA = spend / number of actions
For an Apple Search campaign to be profitable, your CPA should be lower than the revenue generated from each action.
The Conversion Rate (CR) is relatively self-explanatory, and it tells you whether the people who tap your advertisement proceed to download the application.
CR = number of conversions (downloads) / number of taps
It’s important to note that by default, ASA doesn’t track in-app purchases. Instead, it considers downloads and re-downloads as conversions. As you can imagine, this makes performance monitoring a little tricky.
As previously mentioned, post-install events aren’t shown in ASA. So, you can’t see in-app purchases, subscriptions, or other valuable events within your ASA dashboards. Yet, they are extremely valuable for mobile app publishers and marketers who rely on detailed statistics to inform campaign planning. After all, you are losing money if your campaigns are bringing in downloads, but they aren’t converting into trials, subscriptions, and in-app purchases.
The good news is, there’s a way to gain access to post-install insights. You’ll just need to connect your Apple Search Ads with app attribution partners. By doing so, you’ll be able to measure both the basic metrics, and post-install events like opens, purchases, conversions, and the like.
As you can see, things start to get even more interesting once your application has made it to the App Store and is ready to grow its user base with Apple Search Ads. Of course, the platform can’t do everything for you, and you’ll still need to ensure you’ve got a converting paywall and that your subscription pricing is at the right level. However, advertising in Apple Search is definitely worth a try for anyone looking to compete with the other 2.22 million apps on the store.
At Qonversion, we understand the importance of knowing where your marketing dollars go and how each campaign is performing. Hence, we are thrilled to offer Apple Search Ads attribution solution with full ROAS data on keyword level. This tool enables you to grow your in-app revenue from Apple Search Ads campaigns profitably.
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