Three years following Apple’s implementation of ATT, the effects are still being observed in the mobile industry, with a notable cost difference in advertising games on various platforms. For instance, the average cost per install for an interstitial ad is $0.82 on Android, compared to a significant $5.84 on Apple devices.
Video ads also exhibit a similar trend, with costs at $0.86 on Android and $5.91 on Apple. The most expensive ad type on Android has an average cost of $1.22 per install, while the least expensive option on Apple costs $3.09.
Based on Liftoff’s 2024 Mobile Ad Creative Index report, these statistics are derived from an analysis of over 600 billion ad impressions, nearly 50 million clicks, and 144 million installs over the past year.
Android Dominance
Playable ads are highlighted in the report as a cost-effective form of advertising to Android users. These interactive ads allow potential players to sample a game before downloading it, leading to a remarkably low CPI of just $0.60 on Android. Playable ads are projected to gain popularity among advertisers due to their effectiveness.
However, on Apple devices, playable ads have a significantly higher CPI at $5.75, ranking as the third most expensive form of advertising for mobile games. In contrast, native ads prove to be the most efficient strategy on Apple due to their seamless integration into the app experience. Even though native ads are the priciest option on Android and the cheapest on Apple post-ATT, they remain more cost-effective on Android.
Native ads on Apple have a CPI of $3.09, offering a more budget-friendly alternative compared to interstitial and video ads, while native ads on Android cost $1.22, making them the most expensive option on this platform.
Effective Strategies
Further insights from Liftoff’s report reveal that playable ads drive significantly more installs for gaming apps on Android than banners, with influencers proving to be a viable marketing strategy. On average, influencers contacted through Liftoff Influence generate user-generated content with a 20% lower CPI compared to other video ads across iOS and Android.
This highlights the potential for advertisers to leverage influencers rather than creating their own ads. Additionally, 91% of organizations anticipate improved productivity from generative AI in their ad creative.
While costs per install have declined since early 2023, user retention is crucial in maintaining players. Currently, native and banner ads offer the highest ROI on average:
“Ad conversions for mobile games can be challenging. However, ads with video or playable elements have a much higher chance of driving installs compared to banner ads. They are 20 times more effective. Nonetheless, native and banner ads continue to generate the most ROI 7 days post-install, with native ads at 20.26% and banner ads at 18.20%. The nature of the game and its genre can significantly impact ROI,” explains Liftoff.
Joey Fulcher, VP of Global Sales at Liftoff, shares insights on effective user acquisition strategies through ad campaigns for game marketers.
