A new report from AppsFlyer reveals marketers are missing opportunities to convert users to paying customers. On average, the share of paying users is lower than 10% based on app install-to-purchase ratio (a mere 3-5% in gaming apps and double that rate in non-gaming apps).
App marketers losing app customers due to measurement blindspots
In a space dominated by free-to-install apps, where the actual value is tied to post-install in-app activity and share of paying users, the study by AppsFlyer examined over 12,000 apps with a user base of over 2.3 billion users. Findings determine the importance of granular in-app event measurement and provide insights to improve campaign effectiveness and increase the percentage of app installs that lead to a purchase.
In-app events ignored
In-app events contain specific information about actions taken using an app. For example, purchasing a product, booking a flight, or – in a gaming context – completing a game tutorial, or passing level 10.
In fact, almost 60% of apps measure revenue events, but the second and third most popular events — Login and Registration — trail far behind, as they are measured by only 30% of apps. Among Gaming apps, the average number of apps measuring for Level Achieved is 42%, while only 19% of apps measure Tutorial Completion, significantly lower than the 70-80% that measure revenue. Since app performance is significantly higher in apps that measure events throughout the customer cycle, closing this gap can certainly lead to better results.
Revenue is best optimized with granular measurement
Across nearly all verticals, performance is significantly higher in apps that measure granular in-app events, rich with information about the action taken, rather than standard events that only contain information about whether the action was taken.