64% of app marketers say ATT and co had a negative impact on their UA campaigns

Anne Freer | November 17, 2022

App Marketing

More than half of app marketers have a generally optimistic outlook for the industry, despite turbulent times under COVID-19 and the macroeconomic climate making things harder for marketers. However, 42% of respondents to Liftoff’s 2022 App Marketer Survey are feeling pessimistic about the future. But what are the ongoing changes in the app marketing industry and how are advertisers planning to spend their budget next year?

Things to look forward to

While app marketers were somewhat down about the immediate outlook, 63% of respondents believe 2023 to be the same or better than 2022 while 88% expect to exceed their current mobile ad spend next year. Interestingly, non-gaming marketers are overall more upbeat (65%) about the future than gaming marketers. Roughly a third said they had increased their budgets over 2021 and reached their KPIs this year, while 56% said they had more aggressive KPI targets.

Half of app marketers feel upbeat or neutral about the current state of the industry

Source: Liftoff

The troubles ahead

One of the main issues cited is greater privacy protections for users with 43% of app marketers saying the shift toward privacy-first approaches would continue to be a big obstacle in 2023. Although over half (59%) admitted that App Tracking Transparency and related changes had been a boost for consumers, 64% said this had a negative impact on user acquisition campaigns. The lack of data and a rise in user acquisition costs were the biggest challenges here. 

ATT and co are major challenges ahead

Source: Liftoff

Which channels are app marketers turning to in 2023?

Roughly half (52%) of marketers said they plan to increase their overall budgets in 2023 and only 12% are looking to reduce it. To augment their mobile ad campaigns, respondents are turning to less trackable channels. This includes influencer marketing (53%), social media content (52%) and higher investment in building fan communities (30%). 

Key takeaways

  • 63% of app marketers believe 2023 to be the same or better than 2022  
  • 88% expect to exceed their current mobile ad spend in 2023 
  • 64% say ATT and privacy changes had a negative impact on UA

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