When it comes to success in mobile advertising, targetting users by behaviour is more important than ranking them by geographic location, according to the new Agile Planning for a Mobile World report from mobile marketing agency Fetch.
Due to differences in market characteristics, Fetch found that marketers gain more valuable insights into the performance of their ads by plotting a country’s Cost per Install (CPI) and Click to Install rate (CTI) to observe responsiveness towards advertising. Countries such as Australia and New Zealand are expensive to reach, but also responsive towards advertisements, whilst Norway and Ireland are expensive yet hard to engage. Germany and Turkey are cheaper to reach and users engage more easily, whilst Hungary and Slovakia may come cheap, however at the expense of active engagement.
Mobile advertisement engagement rates measured by CTI versus CPI
In addition, countries that are more expensive to target generally have a higher rate of smartphone penetration. Where users can afford to spend income on their mobile devices, marketers spend more to advertise.
High-cost users live in countries with strong smartphone penetration
In summary, marketers should focus their campaign targeting on markets which are both more responsive and less expensive to reach, such as India and Indonesia as opposed to expensive region that offer fewer interactions, such as Sweden and Norway. Optimisation strategies generally differ from country to country and this has to be taken into account.
A new world order
Fetch’s latest report combines millions of data points across the FetchMe data dashboard, which track user behaviour such as app installs against ad buys.
In Mobile Advertising Blog. May 5, 2015