IAA (In-app-advertisement)

A monetization strategy in which app developers get paid to serve advertisements within their mobile app, therefore maximizing the revenue through the ads.

What is in-app advertising?

In-app advertising refers to the monetization approach frequently used by app developers, where they receive compensation for displaying ads on their app. This practice is facilitated by mobile app advertising networks that serve as intermediaries between advertisers and developers.

The process involves the app sending a request to the network for an advertisement, which the network responds to by using complex algorithms to identify and deliver the most lucrative ad to the user in real-time.

App developers can integrate a diverse range of mobile ad formats into their app to enhance monetization, such as video ad units, mobile app display ads, and native mobile app ads.

In-app advertising: what you need to know

In the realm of mobile app development, in-app advertising represents a crucial revenue stream. Through strategically placed advertisements delivered within a mobile application, developers can monetize their offerings. To enable this, a mobile ad network serves as an intermediary platform that facilitates the connection between developers and advertisers.

The mobile advertising landscape has undergone significant changes over the years. With an increasing number of mobile apps competing for user attention, developers need to remain current with the latest ad formats and techniques to remain profitable. Programmatic ad buying and real-time bidding have emerged as game-changing technologies that enable developers to automate the management of ads, resulting in more efficient operations.

Furthermore, advertisers have innovated their ad formats to improve integration with the mobile user experience. The latest ads can showcase key app features and incentivize users to upgrade, while gaming apps can offer free levels before requiring payment to unlock the full game. This intuitive approach ensures that ads blend seamlessly with the mobile user experience, enhancing user engagement and retention.

Benefits of in-app advertising

 In-app advertising provides numerous benefits to app developers, including the potential to generate additional revenue when combined with in-app purchases. Certain ad units can achieve impressive eCPMs, reaching as high as -0.

Integrating mobile app ads seamlessly into your game loop can enhance the user experience, and offering users rewards in exchange for watching or engaging with ads at specific points in the app lifecycle can create a positive association with the ads.

Furthermore, ad units that are designed to work in conjunction with your in-app economy can drive in-app purchases, with users who engage with rewarded ads being up to 6 times more likely to make an in-app purchase.

In-app ads that are carefully tailored to your game and integrated in the right places with appropriate capping and pacing can also boost user engagement, improve retention, and increase the lifetime value of users. 

How does in-app advertising work?

In the context of in-app advertising, the process of delivering ads within mobile applications involves a series of steps. Initially, when an ad is requested, it undergoes mediation through a specialized solution. This mediation solution acts as a bridge between the ad request and the ad network.

Next, the ad request is transmitted to the ad network, where it is subjected to a complex process of analysis to identify the most lucrative ad option for that particular user. Through advanced algorithms and real-time data analysis, the ad network determines the optimal ad to present to the user, based on factors such as user demographics, interests, and previous behaviors.

Crucially, ad networks have the ability to promote apps to a vast number of users and attract high-quality traffic by selectively targeting those users who are most likely to engage with the advertisement. This targeted approach ensures that advertisers can maximize their return on investment while delivering valuable content to users.

In-App Bidding

What Is In-App Bidding?

Just as any technological field experiences moments of calm before waves of innovation, the realm of in-app advertising had its tranquil period known as the waterfall era. During this phase, app publishers prioritized demand sources based on historical data about estimated cost per thousand impressions (eCPM). For a considerable time, the waterfall approach dominated in-app advertising. However, modern advertisers and publishers have recognized a more optimal solution: in-app bidding.

Defining In-App Bidding

In-app bidding represents an advanced advertising strategy where mobile publishers auction their ad inventory, leading to a simultaneous bidding competition among all their advertisers. This heightened competition results in significantly higher prices (CPMs) earned by the publisher compared to alternative methods.

A Familiar Idea

In-app bidding isn’t an entirely new concept; it’s essentially the application-oriented version of header bidding, a desktop technology in operation since 2015. Header bidding enabled web publishers to partner with third-party header bidding providers and insert code into a web page’s header. This code allowed these providers to access multiple ad exchanges, which could then bid at the same time on a publisher’s inventory. Consequently, header bidding ensured publishers secured the best price for each impression, with the highest bidder among advertisers winning the impression.

Adapting to Mobile

Until recently, mobile apps lacked a bidding mechanism, even though our predominantly mobile-centric world required a model that optimizes CPMs for publishers, similar to header bidding’s impact on the web. Technical barriers and the absence of distinct headers within apps hindered the widespread adoption of such a solution on mobile platforms. However, these technical challenges have now faded away, marking the beginning of the in-app bidding era.

In-App Bidding Advantages Over Traditional Waterfall Monetization

Despite its programmatic nature, in-app bidding differs from conventional programmatic methods, often known as the “waterfall.” In the waterfall approach, publishers’ mediation platforms prioritize ad networks based on past rates for a particular impression. In contrast, in-app bidding enables publishers to present their inventory in auctions beyond the waterfall framework. This allows various ad networks to bid simultaneously on the publishers’ inventory, ultimately securing the highest achievable CPM.

In-app bidding effectively reduces fragmentation among demand sources by allowing all advertisers to bid on ad impressions from multiple sources at the same time. Conversely, this means that several advertisers gain insight into a given publisher’s inventory, thus increasing yield for the publishers. Essentially, this democratized advertising solution benefits both advertisers, who access more publisher inventory, and publishers, who make their inventory available to a wider range of advertisers.

Revolutionizing Impressions Competition

In-app bidding transforms the competition for impressions by enabling advertisers to compete in real-time, free from a hierarchical structure of demand partners. This empowers publishers to consistently achieve the highest CPMs for their inventory. By eliminating the constraints of averages and allowing individualized assessment of each bid, the highest bidder consistently wins the impression. This increased competition among advertisers further boosts CPMs, providing significant advantages to the mobile gaming industry.

Embracing the Potential of In-App Bidding

Beneficiaries of In-App Bidding

In a nutshell, everyone involved in the mobile gaming industry stands to benefit from the emergence of in-app bidding. Publishers experience increased revenue, advertisers access a broader inventory range for better cost attribution, and consumers encounter more relevant ads.

For publishers, in-app bidding offers three main advantages:

  1. Increased Demand: The mechanism increases the demand for ad inventory as multiple demand sources bid on each impression, driving CPM and Average Revenue Per Daily Active User (ARPDAU) higher.

  2. Total Transparency: All demand sources are treated equally, fostering a fair bidding environment for each source.

  3. Enhanced Efficiency: In-app bidding eliminates manual management and continuous optimization, operating fully automated. Every demand source has an equal chance to bid, consistently yielding maximum revenue. This automated buying process expedites the shift from historical to real-time pricing.

In essence, in-app bidding emerges as a transformative force, reshaping the landscape of in-app advertising and providing multifaceted benefits for all stakeholders.

IAP (In-app purchases)

Something that you can buy within the app, such as characters, upgraded abilities, or real money in-game currencies.

Install Referrer

The install referrer is a unique, non-identifiable string exclusive to Android platforms, designed specifically for monitoring the performance of installation-based advertising campaigns. This digital identifier plays a crucial role in the app marketing ecosystem by allowing marketers to pinpoint the source of app installations with remarkable accuracy.

What is an install referrer?

An install referrer is composed of multiple pieces of information that collectively provide a detailed account of an app’s installation process. Exclusive to Android devices, this tool empowers marketers to track and attribute ad engagements directly through the Android application marketplace. Recognized for its precision, the install referrer serves as a cornerstone in the realm of deterministic attribution techniques.

How does install referrer work?

 

Common Platforms and Integration
While commonly associated with the Google Play Install Referrer API, the concept of install referrers extends to other marketplaces such as Xiaomi, Samsung, and Huawei. These platforms have developed their own versions of install referrer tracking, broadening the scope for marketers to assess ad performance across a diverse range of Android app stores.

Operational Mechanism
The functionality of an install referrer is triggered when a user engages with an advertisement to download an app. This action appends specific parameters to the download URL, which are then conveyed to the respective app store (Google Play Store or an alternative, depending on the device’s setup) at the time of click. Following the app’s installation, these parameters are relayed to the attribution provider via an Application Programming Interface (API), enabling precise tracking of the install source.

Supported App Stores

  • Google Play: Offers an install referrer attribution method that has become a staple for Android marketers, especially where Google Play is the default app store.
  • Huawei AppGallery: With some newer devices lacking Google Play Services, Huawei’s proprietary store offers its own install referrer tracking, supported since July 2020 by AppsFlyer.
  • Samsung Galaxy Store: Pre-installed on Samsung devices, it provides ad activity data via an install referrer API, with support from AppsFlyer initiated in December 2020.
  • Xiaomi GetApps: As the official marketplace for Xiaomi devices, it features install referrer capabilities to measure installs, enhancing the tracking accuracy for Xiaomi device installations.

Importance in Attribution

  • Precision: Install referrers are heralded for their deterministic nature, offering unparalleled accuracy in measuring user engagement with ads. This method ensures the highest possible fidelity in mobile attribution.

  • Reliability: By embedding a custom attribution ID within the referrer string, install referrers obviate the need for external network configurations, thereby simplifying the attribution process.

  • Privacy: Operating independently of any persistent device identifiers (like GAID or OAID), install referrers present a privacy-centric approach to attribution that remains highly accurate without leveraging user-level data.
  • Fraud Protection: The advanced authentication of referrer data by the Google Referrer API has significantly reduced the prevalence of install hijacking fraud, bolstering the integrity of install referrer data.
  • Global Expansion: The ability to track install referrer across different app stores enables marketers to effectively gauge the performance of their campaigns across various Android ecosystems, facilitating strategic decisions for global market penetration without compromising on data accuracy.

Cross-Platform Compatibility

While primarily associated with Android devices, the concept of install referrers is part of a broader strategy that encompasses cross-platform attribution modeling. This approach allows marketers to maintain a cohesive attribution framework across different operating systems, ensuring consistent tracking and analysis of user acquisition efforts. The adaptability of install referrer technology facilitates seamless integration with various analytics and marketing platforms, enhancing the ecosystem for mobile app marketers.

Challenges and Solutions

Despite its advantages, navigating the install referrer landscape can present challenges, such as discrepancies in data reporting standards across different app stores and potential privacy regulations impacting data collection practices. Marketers must stay abreast of evolving privacy standards and technological advancements to leverage install referrers effectively. Continuous engagement with attribution and analytics providers ensures that marketers can adapt to these challenges, employing best practices for data accuracy and privacy compliance.

Future Directions

The future of install referrers looks toward further innovation in attribution technologies, with a focus on enhancing privacy while maintaining accuracy. As the digital ecosystem evolves with new privacy regulations and technological shifts, the methodologies behind install referrers will also adapt. Emerging technologies, such as machine learning and artificial intelligence, are expected to play a significant role in refining the attribution process, offering predictive analytics and deeper insights into user behavior.

The install referrer remains a pivotal element in the mobile marketing and attribution landscape, providing a robust framework for tracking ad performance and optimizing marketing strategies. As the industry continues to evolve, the role of install referrers will adapt, ensuring marketers have the tools necessary to navigate the complex digital advertising ecosystem effectively. Embracing these changes and challenges will be key to leveraging the full potential of install referrers in driving app growth and user acquisition.

Impression

An ad impression is the calculated instance of an ad being displayed to a human consumer. Impressions give marketers a broad understanding of how many people their brand is reaching.

Incentivized Traffic

Corresponds to the traffic coming from all types of advertisements in return for a reward.

What is incentivized traffic? 

Incentivized traffic refers to the flow of visitors who are motivated by rewards such as cash, gift cards, discounts, whitepapers, free eBooks, or game tokens, to visit specific websites. This type of traffic is particularly beneficial as it drives more visitors to websites, leading to increased customer engagement and valuable customer data.

However, incentivized traffic can pose a significant risk when third-party promoters compensate individuals for visiting your site without your knowledge or consent. Compared to unincentivized traffic, incentivized traffic is widely considered to be of lower quality, as visitors tend to perform only the minimum required action to obtain the reward.

Rewards can take various forms, such as cash, points, or other types of incentives. While incentivized clicks and traffic are the most commonly used incentive-based actions, incentivized registrations are also prevalent.

Benefits of incentivized traffic

Incentivized traffic presents a convenient means of boosting website traffic, thereby increasing the potential for acquiring new customers. This strategy revolves around providing incentives to prospects to encourage them to explore your offerings. By clicking on a link, customers can access various rewards, such as a discount, whitepaper, upgraded product, eBook, or gift. Incentivized traffic campaigns aim to focus on driving customer interest, motivating them to engage with your content, and ultimately performing the desired action to obtain the reward.

Beyond achieving a rapid customer acquisition rate, incentivized traffic also offers additional benefits. For instance, it can increase customer engagement, leading to a higher number of downloads and acquisitions, thereby positively impacting your search engine ranking. Consequently, more users will be exposed to your website.

For example, a mobile app with a high number of installs and increasing popularity on Google Play or App Store can benefit from increased visibility over time. Companies can expect to see positive results from incentivized traffic campaigns in as little as three days.

Examples of incentivized traffic

There are several types of incentives that companies can offer to enhance customer acquisition and drive traffic to their websites. Rewards are a powerful motivator and can be customized to suit the desired action. Content locking is a popular technique used by many websites that require users to answer a series of questions before accessing the content. Similarly, gaming sites and apps often use offer walls to reward gamers with game tokens for referring friends or sharing information about their accounts on social media. Additionally, they attract traffic by providing cash rewards, discounts, access to materials, gifts, and other incentives.

Incentives are particularly popular in mobile gaming as they incentivize users to play more frequently and progress through the game. Companies can offer their users exclusive bonuses as rewards.

Instant Apps (Google Android Instant Apps)

What is Google Android Instant Apps

A Google Android instant app refers to a compact software application that allows users to sample a segment of a native Android app without the need for installation on their device.

Functionality and Features of Instant Apps

Instant apps function as native containers, possessing access to a device’s hardware and behaving like conventional local apps. A distinctive trait is that these apps do not occupy storage space on the device.

Accessing Instant Apps on Android

To engage with instant apps, Android users must initially activate the feature by navigating to Settings, then Google, and finally toggling on the instant app option.

Discovering Instant Apps

Android users can encounter instant apps through various channels. One method involves conducting a Google search for a specific app. If an instant app variant is offered, users can tap the “Try it Now” button to initiate the instant app. Additionally, instant apps can be found on the Google Play store, where Google has integrated them into Google Play Instant.

Evolution and History of Instant Apps

The concept of instant apps was unveiled by Google during its annual I/O developer conference in May 2016. Subsequently, the following year’s conference marked the expansion of instant app availability to all Android developers. Google introduced support for developing instant apps with the release of Android Studio 3.0 in October 2017.

Applications of Instant Apps

In the context of application, instant apps hold significant potential for e-commerce enterprises and game developers. Notably, The New York Times introduced an instant app version for its crossword game, enhancing its shareability and discoverability. Game developers benefit from instant apps by enabling users to engage with specific game levels before committing to the full app. Similarly, e-commerce organizations can leverage instant apps to encourage users to download the complete application, thereby boosting adoption rates. Another application involves swiftly accessing one-time apps, such as quickly initiating a parking payment via an instant app scan.

Pros and Cons of Instant Apps 

A primary advantage of instant apps is their enhanced discoverability, alleviating the challenge of app visibility within crowded app stores. Users find it easier to engage with instant apps, potentially reducing negative reviews stemming from dissatisfaction. However, instant apps also pose security concerns due to their modular structure, which could increase potential vulnerabilities. These apps exhibit limitations such as the inability to utilize background services, notifications, access external storage, or obtain device identifiers.

Developing Instant Apps

From a developer’s standpoint, creating instant apps is relatively straightforward and doesn’t necessitate additional expertise. Developers can opt to build instant apps from scratch or transform existing apps into instant versions, facilitated through Android Studio. Despite the simplicity, challenges emerge during instant app development, particularly when converting a traditional app into an instant one. This process demands modularization of the app’s code components. While some developers are accustomed to modularization, it can be arduous and time-consuming for others. Meeting the 4 MB size requirement for app modules can necessitate developers to refactor the app, or in certain cases, developers may struggle to meet this size constraint.