Mobile marketing glossary

Mobile marketing glossary

Digital marketing is a landscape in flux, that’s why we’ve created a mobile marketing glossary
featuring must-know industry terms, topics, and concepts to help you keep up.

A

Active User

The Number of unique users who engage with an app or a website during a predefined period is called active users. It is a material designed to measure growth, churn, and product stickiness.

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AD Network

Ad networks pool ad inventories from various supply sources and match them with demand sources looking for ad space. A mobile ad network's supply sources are typically apps from publishers and app developers. Advertisers looking to place their ad in another app are the demand sources.

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AD Stacking

Ad stacking is a type of mobile display and impression fraud in which multiple ads are stacked beneath one another in single ad placement.

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Advertiser

The entity on the buying side of the mobile marketing ecosystem is known as an advertiser. In mobile advertising, the advertiser is frequently an app or brand that wants to spread a specific message about their product (for example, new user acquisition and retargeting campaigns).

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Analytics

Analytics refers to all data analysis, collection, and presentation functions that data trackers automatically compile. This data can be easily interpreted and applied to various applications to improve performance.

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Android

A unique device ID identifies all smartphones and tablets. The Android Advertising ID is the name of the Android unique device ID (AAID). It's a random string of numbers and letters generated by the device during the initial setup process. An Android ID contains no personal information about the user. Any app that is installed and launched can obtain the advertising ID that Android devices have.

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API

An Application Program Interface (API) allows developers to access a restricted portion of the software. The APIs developer helps others extend the functionality of their app or provide previously inaccessible information by providing access to an API for a specific application.

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App Monetization

App monetization is how app developers and publishers generate long-term revenue from an app's user base. Simply put, it is how an app generates revenue.

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ASO

App Store Optimization, or ASO, is optimizing and improving an app's visibility in an app store - think SEO for apps.

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ATT

Apple's opt-in privacy framework, App Tracking Transparency, or ATT for short, requires all iOS apps to ask users for permission to share their data. This is accomplished using a popup that allows users to consent to or deny tracking.

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Application

An application (also known as an app) is a piece of software that combines various features in a way a user can access.

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ARRPU

The average revenue per paying user (ARPPU) is a metric used by app marketers to determine how much income is generated on average by paying users and players over a given period.

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ARPU

ARPU is an abbreviation for average revenue per user. In a nutshell, it is the average amount of revenue generated by each active user of your app over a specified period.

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Attribution

Attribution modelling is a method used by advertisers to determine the value of various channels in their marketing efforts. Attribution modelling assists advertisers in deciding which channels provide the most benefit to their marketing campaign by assigning value for a pre-arranged advertising interaction to one or more publishers.

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Attribution fraud

Attribution fraud is a type of mobile ad fraud in which criminals attempt to steal credit for app instals by reporting fake clicks as the last engagement before a legitimate user launches the app for the first time.

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Attribution Window

An attribution window is when a media partner can claim a click or impression engagement that results in installing an advertiser's app. For example, an advertiser may specify a seven-day attribution window. The publisher is credited if a user clicks on a publisher's ad and instals within that time frame.

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Mobile Attribution

Mobile attribution is the science of matching two data points, attributing ad spend to user engagement or installs based on specific variables. It provides insight into what happens when a user interacts with a mobile ad.

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Ad Tag

These are pieces of HTML or JavaScript code that are added to the source code of a publisher's website or app, trigger an ad request and assist in delivering relevant ads to the right audience at the right time. They are also known as placement tags or creative tags.

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App Stickiness

The frequency with which users interact with an app determines its stickiness. The higher the user engagement, the more addictive the app.

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Ad Publisher

Ad publishers are digital property owners who sell advertising space on their properties to third parties.

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Ad Server

A software platform that manages the distribution of digital advertising campaigns is known as an ad server.

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Ad Mediation

Managing multiple ad networks via a single SDK to assist publishers in increasing CPMs, fill rates, and efficiency.

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Ad Exchange

An ad exchange is a digital marketplace for buying and selling advertising inventory.

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Assisted installs

Assisted instals are app instals due to multiple user touchpoints along the path to installing an app. These touchpoints (clicks and views) preceding the final installation are called "assists."

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App Ads

App-ads is a text file that app developers/publishers add to their developer websites to list vendors authorized to sell their inventory. It assists participating players in overcoming various programmatic advertising limitations, such as a lack of transparency and security.

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App Store Analytics

App store analytics provide app owners with valuable information about their app's success.

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Ad units

Ad units are placeholders that display advertisements to users to monetize app or website traffic. They contain code that calls ads from ad servers to display ads in various formats within a platform.

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B

Bots

In the broadest sense, a bot is an autonomous programme designed to perform pre-defined tasks over the internet. While bots typically perform simple tasks, these software programmes have evolved to handle increasingly complex tasks - both good and bad.

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Black List

In the world of mobile fraud, a blacklist is a database of known fraud signal providers.

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BID Request

A bid request is a code used to sell display advertisements and inventory information. It enables visitors to see most relevant ads and multiple advertisers to use the same ad spot on a given publisher's platform.

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Biased Attribution

Is your marketing budget immune to attribution bias? See examples and learn how collaborating with an MMP can help you protect your data from erroneous attribution.

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BVOD

Broadcaster Video on Demand (BVOD) refers to on-demand video content from traditional broadcasters that includes high-quality, professionally-produced online and on-demand content.

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Brand Safety

Brand safety is a digital marketing definition that refers to channels and practices designed to assist advertisers in avoiding any placement or context that may potentially harm the advertiser's brand or reputation.

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C

(AD)CAMPAIGN

An advertising series that promote a single message or theme is what Ad Campaigns are.

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CLICK TO CALL

An ad interaction type that is mobile-specific and popular with paid search- direct respond. It allows mobile users to initiate a mobile phone call by clicking within a mobile ad.

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CPA MOBILE CAMPAIGN

Cost per acquisition (CPA) refers to the advertising model where the advertiser pays a publisher for each specified action linked to a specific advertisement, like registration after an install.

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CPC MOBILE CAMPAIGN

Cost per click advertising model where the advertiser pays a publisher for every user clicks on the ad.Formula: CPC = Cost/Number of Clicks.

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CPCV MOBILE CAMPAIGN

Cost per completed view advertising model where the advertiser pays a publisher for the user's completed a particular action.

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CPE MOBILE CAMPAIGN

An advertising series that promote a single message or theme is what Ad Campaigns are.

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CPI MOBILE CAMPAIGN

Cost per install advertising model where the advertiser pays a publisher for each installation linked to a mobile app ad. This action requires the first app to open. Formula: CPI = Cost/Number of Installs.

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CTR (CLICK-THROUGH-RATE)

It refers to the number of clicks to an ad impression obtained by dividing the number of users who clicked on an ad by the number of prints. Formula: CTR = Number of Clicks/Impressions.

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CR (CONVERSION RATE)

A measurement that gives us how many users take action beyond viewing or interacting with an ad.

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COHORT ANALYSIS

It is an analysis method used to look at specific groups of users and follow their behaviour overtime to keep a pulse on customer loyalty and app churn rate.

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CHURN RATE

A ratio that indicates how many users leave over the app in a given period.

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D

DEMAND SIDE PLATFORM (DSP)

A technology platform enables advertisers to automate and manage ad buying processes from multiple publisher sites and connect with consumers through a single interface. It's an all-in-one platform for advertisers to give a chance to buy, deliver, and track ads efficiently.

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DAILY ACTIVE USERS (DAU)

A metric that shows the number of unique users who are interacting with your app daily.

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E

ECPM (EFFECTIVE COST-PER-MILE)

A measurement that gives us the value of a publishers' inventory on a Cost-per-Mille basis. Formula: eCPM = (Total Spent/Impressions Delivered)X 1000.

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ENGAGEMENT RATE

Percentage of total impressions, which include clicks, likes, comments regardless of platform.

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ENGAGED USER

The users who take action with your app out of the total people that you were able to reach

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F

FILL RATE

A measure of an inventory's ability to meet demand which shows the percentage of ad requests filled with ads

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G

GEOTARGETING

Targeting mobile app users according to their locations.

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GEOLOCATION

The term refers to the ability to determine the position of a person or a device by using their geographical coordinates through any of the available technologies.

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H

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I

IBA (INTERNET-BASED ADVERTISING)

Type of advertising concept that involves tracking of consumers' online activities to deliver tailored advertising.

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IN-APP ADS

A type of advertising that appears within a mobile app. It can be standard banners, videos, native advertising, and rich media ad formats.

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INTERSTITIAL ADS

A type of full-screen advertising covers the interface of their host application and appears between two views within a mobile website or mobile app.

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IN-APP MESSAGE

The term refers to broadcast messages to customers using the app directly within the app itself.

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IN-APP PURCHASE

It stands for spending from extra content and subscriptions that users can buy in apps on their mobile device or computer.

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INCENT TRAFFIC

The term refers to the traffic coming from all types of advertisements in return for a reward.

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J

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K

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L

LOCATION-BASED ADVERTISING

It refers to a type of advertising based on specific geographic coordinates of target audiences.

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LIFETIME VALUE (LTV)

The revenue metric represents the financial value of your app concerning how much each user is worth in their lifetime.

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LONG-TAIL KEYWORDS

The longer and more specific keyword phrases that visitors are more likely to use when searching for something they need.

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M

(MOBILE) APP ADVERTISING

MAA is an advertising program that targets mobile devices and embraces all mobile formats.

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MOBILE APP

It refers to an application that is installable and useable on mobile devices.

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MOBILE MARKETING

Conducting a simply marketing practice on mobile devices

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MOBILE NETWORK

The basic infrastructure of mobile operators, which allows for voice and data transfers through the usage of radio frequencies, is what mobile network stands for.

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MAU (MONTHLY ACTIVE USERS)

It refers to a metric that shows the number of unique users interacting with your app monthly.

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N

NET PROMOTER SCORE (NBS)

It stands for metric indicating the level of loyalty of an app's user on a scale of 1 to 10.

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NATIVE APP

It refers to an app developed for a specific device or a platform.

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NON-INCENT TRAFFIC

Traffic coming from ads that don't include a reward, distinct from incentivized traffic.

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O

OEMS

OEM stands for "Original Equipment Manufacturer." OEM means when a company uses another company's product to complete its output.

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OEM APPS

In the mobile industry, OEMs refer to companies that manufacture their phones in their factories.

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OEM ADVERTISING

Mobile publishers have many opportunities to reach mobile app users directly on OEMs with partners. Advertisers can acquire new customers by being on new devices and increase brand awareness among competitors based on age, geo, and gender.

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OPT-IN

Mobile app users permit subscription.

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OPT-OUT

It stands for refusal of a mobile app using for a subscription of any texting.

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OPTIMIZATION

Making the app/app store page, app elements, and ad campaigns ideal by modifying them to increase the visibility and number of organic downloads.

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ORGANIC UPLIFT

Indicating the percentage of increase in organic download between before and after an ad campaign.

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P

PREVIEW (APP PREVIEW)

A video explaining the app and emphasizing the benefits of an app in App Store pages is what App Preview stands for.

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PERSONALIZATION

Tailoring the mobile app according to the needs of each user.

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PAY PER DOWNLOAD

It refers to an acquisition technique based on the cost of a single download.

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PUSH NOTIFICATION

A communication technique to remind the app itself by sending alerts or messages.

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Q

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R

REAL TIME BIDDING (RTB)

A real-time auction of ad impressions that provides highly qualified users.

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ROI

ROI measures and compares the return gained with the monetary investment gained through the specific marketing initiatives to enhance the effectiveness of future marketing investments.

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RETARGETING

Directing the visitors to download and use your app.

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RETENTION RATE

A metric indicating how frequently a user opens the app after downloading the app.

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S

SCREENSHOT

Visuals include captures of your app to use in-app store pages.

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SESSION INTERVALS

A metric shows how frequently one user opens the app by calculating the time between the last and the subsequent sessions.

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SESSION LENGTH

It refers to how much time a user spends in the app.

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SOCIAL MEDIA CAMPAIGN

It refers to a campaign created in a social media platform like Facebook or Instagram to increase brand awareness and the number of downloads.

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T

TCPA

Also known as the Telephone Consumer Protection Act. This regulation stated that customers must give businesses "express written consent" before sending them text messages legally.

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TCR

The Campaign Registry is the central hub for registering A2P 10DLC messaging campaigns.

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THIRD-PARTY TOOLS

It is defined as a tool that helps to see and measure the in-app events and performance metrics.

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TARGETING

Differentiating the potential users according to specific criteria to increase the efficiency of mobile marketing operations.

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U

URL

The Uniform Resource Locator (URL) is a set of directions to find a webpage. It always includes a domain name and other information to complete the address.

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USER EXPERIENCE (UX)

Simplicity performance that a user experiences while using and navigating your app.

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USER INTERFACE (UI)

It is defined as a part of a mobile app in terms of the design that a user experiences.

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V

VISIBLITY

A score that measures how visible the app is in App Stores.

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Vanity Short Code

A 5-6 digit phone number that the business or brand customizes. A number that people use to text your business, and it is exclusive to you. The Common Short Code Administration licenses these for $1,000/month.

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Virtual SMS

Think of this as a virtual phone number. Folks can't call it like a landline, but the number can both send and receive text messages for your business (all without incurring international charges).

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W

Web Form

A customizable form you can copy and paste onto your website to help gather more SMS subscribers.

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Wireless Networking

Cell phone's ability to access the internet without a physical network connection.

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X

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Y

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Z

Zapier

An online automation tool allows you to connect programs with over 1,000 popular apps (like Gmail, Slack, MailChimp, and more).

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Active User

The number of unique users who engage with an app or a website during a predefined period is called active users. It is a material designed to measure growth, churn, and product stickiness.



In mobile marketing, an active user uses an app for a specific time. During this time, each user is counted individually to provide an app developer with an accurate figure of how many people use an app daily, weekly, or monthly.



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AD Network

Ad networks pool ad inventories from various supply sources and match them with demand sources looking for ad space. A mobile ad network's supply sources are typically apps from publishers and app developers. Advertisers looking to place their ad in another app are the demand sources.



Many mobile ad networks support various formats, from banners to native ads, whereas others specialize in specific forms, such as video.



Some ad networks provide a platform for advertisers to sign in and manage their campaigns on the demand side. Others offer a managed service where account managers consult with clients and use their expertise to ensure campaigns run smoothly.



What is the significance of ad networks?

Ad networks are a critical component of the mobile advertising ecosystem's monetization. They serve as a technical and commercial go-between for advertisers and publishers.



Integrations are frequently provided on a technical level for the supply-side to offer their inventory and for the demand-side to activate and monitor campaigns. Ad networks facilitate commercial payments and transactions. Publishers would have to negotiate deals with each advertiser if there were no ad network solutions to pull demand.



AppLovin's advertising network

AppLovin has been a significant ad network for mobile developers on the global tech scene since 2012. Using machine learning and predictive algorithms, the company's solutions enable developers to monetize their apps quickly.



AppLovin offers in-app bidding technology for real-time auctions and assists app marketers with automation. Furthermore, AppLovin is at the forefront of security and flags potentially harmful content, keeping your brand safe. AppLovin, a trusted ad network, assists thousands of mobile app developers worldwide in turning their apps into profitable businesses.



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AD STACKING

All the information marketers need to know about ad stacking!

Ad stacking is a type of mobile display and impression fraud in which multiple ads are stacked beneath one another in single ad placement.



Ad stacking is one of the most prevalent types of ad fraud in Cost Per Mille campaigns. Ad stacking that occurs during a click-based campaign is considered Click Spam.



What is the process of ad stacking?

Ad stacking occurs precisely as it sounds, but fraudsters can carry it out in various ways.



A fraudulent publisher script, for example, calls ads and stacks them into a single ad unit instead of serving one ad per ad unit. Only one ad will be visible to the user, with dozens of other ads in the placement loaded at zero or near-zero opacity, rendering them invisible.



In another case, a script loaded a static placeholder image visible to the user. At the same time, a video ad was rendered in the background, continuously making ad calls that resulted in impressions. Some fraudsters will load invisible ads on a banner rotation, meaning that behind the visible ad, a continuous hidden ad auction is happening. Once an ad has lasted long enough to be counted as an impression, another ad is loaded in its place.



Although users never see these ads, advertisers pay for them because they load the required pixel to trigger an ad impression.



Detecting ad stacking fraud: Ad stacking is detected when multiple ad click engagements are reported under the same time stamp for single ad placement.



What is the significance of ad stacking?

Like all forms of mobile ad fraud, ad stacking results in wasted ad spend for marketers and skewed campaign data. Fake impressions and clicks drain advertisers' budgets for no reason, resulting in a low Return On Ad Spend (ROAS).



Ad stacking impressions or clicks also taint campaign data, as a marketer may believe that a low conversion rate relative to the number of images indicates poor creativity when the data is simply untrustworthy. Ad stacking can also harm the reputation and viewability metrics of unwitting publishers, unaware they display fraudulent advertisements.



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ADVERTISEMENT

Learn what an advertisement is and when to use which ad format.

The meaning of advertisement

To comprehend an advertisement, we must first understand advertising. Advertising is an industry that draws the public's attention to something, typically a product or service.



An advertisement is a form of communication in which a product, brand, or service is promoted to a target audience to generate interest, engagement, and sales. Advertisements (also known as ads or adverts) come in various formats, ranging from text to interactive video, and have evolved to become an essential feature of the app marketplace.



What is the significance of advertisements?

Advertisements are a sure way to reach an audience. Advertisements can immediately impact the business by creating an engaging ad and spending enough to get your target users. This effect could be seen in increased trade or brand recognition, among many other metrics. A key performance indicator (KPI) is typically included in an advertising strategy to measure this impact.



Which advertising format should I use?

Choosing the proper format for your advertising can be a game changer. Let's look at some of the most popular ad formats in mobile advertising and when they can be incredibly effective.



Banner Advertisements The goal of banner ads is to display an image and wait for users to view, click, and convert it, so quality graphics and a compelling call to action (CTA) are essential.



Interstitial Advertisements Interstitial ads take up the entire screen. These can be used to avoid 'banner blindness,' which occurs when users become so used to seeing banner ads that they no longer notice them. Interstitial ads can also be expandable (also known as expandable ads), beginning as regular banner ads and eventually taking up the entire screen.



Native Advertisements Native advertising refers to advertisements tailored to the environment in which they are placed. When you see a sponsored tag attached to a YouTube video, that is native advertising on that platform.



Video Advertisements Video ads, as the name implies, are advertisements in video format. Video ads are a popular method because they are highly engaging and have a high CTR (click-through rate).



Playable Advertisements Playable ads allow you to try before you buy by providing users with access to interactive gameplay. This provides users with a limited look at an app, providing highlights that should entice users to install. Playable ads can reduce app uninstall rates because users can gauge their interest before purchasing the app.



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ADVERTISER

The entity on the buying side of the mobile marketing ecosystem is known as an advertiser. In mobile advertising, the advertiser is frequently an app or brand that wants to spread a specific message about their product (for example, new user acquisition and retargeting campaigns).



Advertisers purchase ad space from mobile publishers and ad networks, who assist them in communicating their message to users interested in hearing it. For example, a gaming app (the advertiser) will buy space from an ad network, distributing advertisements for a promotional offer for that game. Cost Per Install (CPI) and Return on Advertising Spends (ROAS) can be used to assess the campaign's success.



Practising on mobile to promote your message by advertising within other apps is common. In most cases, the marketing team at that company is in charge of this. Advertisers crunch numbers to see if the money they spend on advertising campaigns yields a Return On Investment (ROI) in terms of users and/or revenue. Advertisers who can accurately measure the value of their audience and target their marketing spend based on ROI are the most successful.



What is the distinction between a Publisher and an Advertiser?

An advertiser is not restricted to a specific number of verticals. It could be a shopping app, a strategy game, or something else. The common factor is that all advertisers want to convey a message to users. Advertisers are not the same as publishers: a publisher owns the space where an advertiser's message will appear. Assume you see an ad on Instagram (the publisher) for new sneakers (a product belonging to the advertiser). Because applications can sell ad space in-app, it is possible to be a publisher and advertiser.



What is the distinction between an advertiser and a marketing agency?

Advertising agencies assist businesses in developing, planning, and implementing advertising campaigns. An agency can provide specialised knowledge in creative design, user experience, and digital marketing, with additional specialisation in various media types. This can include everything from mobile and TV to web and print. When distinguishing between an agency and an advertiser, remember that agencies are hired to assist businesses in determining the voice, language, and style of their advertisements.



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ANALYTICS

What exactly is marketing analytics? How can it be put to use? Find out more right here.

Analytics refers to all data analysis, collection, and presentation functions that data trackers automatically compile. This data can be easily interpreted and applied to various applications to improve performance.



What is the significance of analytics?

Once an app is launched, marketers must understand its app analytics. This includes what users are doing in-app, when they open and close the app, and how long it is open.



Analytics enables you to analyse data, discover patterns, and gain insights into user behaviour and app trends. Analytics can provide data to improve your app, whether looking at how users interact with ads or their in-app behaviour. This includes optimising your app's user experience, conversion rates, and overall understanding of actionable data.



It's also critical to understand when users are leaving. This could highlight a common problem that users are having with your app. For example, if you have an e-commerce app and discover that many of your users abandon the purchase process, there could be a problem with the final step in your funnel. Even if there isn't a fundamental problem with the purchasing process, this has revealed an area that needs to be improved to drive more conversions.



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ANDROID

A unique device ID identifies all smartphones and tablets. The Android Advertising ID is the name of the Android unique device ID (AAID). It's a random string of numbers and letters generated by the device during the initial setup process. An Android ID contains no personal information about the user. Any app that is installed and launched can obtain the advertising ID that Android devices have.



The Android unique device ID comprises eight digits, a dash, and three sets of four numbers. It only uses lowercase letters.



An example of an advertising ID on Android is as follows: bk9384xs-p449-96ds-r132



Note: Not to be confused with the Google Play Store ID, the package name of an app registered on the Google Play Store and not associated with a device.



What is the purpose of an Android ID?

The Android Advertising ID is the primary identifier used by advertising networks to deliver targeted and retargeted ads. Advertisers can use the Android device ID to track ad engagement and conversions.



Advertisers can see ad views and clicks when a user instals an app, makes a purchase, or signs up for a service. Advertisers can use AAIDs to determine which ads, creatives, and channels are the most effective. Advertisers also use them to track user behaviour and interests.



Android users, on the other hand, have the option to disable ad personalization. Following the industry push for greater transparency in user permissions, which was spearheaded by iOS 14.5, Google released Android 12 in 2021. Users who have enabled Limited Ad Tracking (LAT) will have their AAID zeroed out as of this update, preventing advertisers from accessing device-level data. This makes it impossible for advertisers to obtain the AAID.



How do I find my Android ID?

Finding an Android ID is simple.



  1. Open your device's Settings app or Google settings app (depending on the device).
  2. 1. Go to Services
  3. 2. Select Ads


The AAID will be listed at the bottom of the screen. Here users can reset their ID, opt out of ad personalization, and delete their advertising ID.



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API Definition

An Application Program Interface (API) allows developers to access a restricted portion of the software. The APIs developer helps others extend the functionality of their app or provide previously inaccessible information by providing access to an API for a specific application.



What is the significance of APIs?

APIs are applicable in three ways.



To begin with, APIs allow developers to quickly add new features to their apps. Rather than creating something from scratch, a developer can use an API to save time and ensure that crucial functionality works correctly.



Second, developing an API allows the company behind it to grow organically. API creators can increase the reach of their software and brand by providing external developers with limited access to internal tools under strict conditions.



Finally, APIs can assist users in connecting the internet and mobile app economy. They support critical online behaviours such as sharing buttons and social login options. Even using mapping data in e-commerce apps necessitates the use of an API, and as a result, APIs have become indispensable to users.



APIs help developers reduce fragmentation on the internet and improve navigation by connecting a network of sites, platforms, and mobile apps.



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APP MONETIZATION

App monetization is how app developers and publishers generate long-term revenue from an app's user base. Simply put, it is how an app generates revenue.



There are various models for app monetization. These models differ in terms of user privacy, user experience, and developer cost. App developers must keep it in mind when creating apps because the monetization model(s) chosen can impact the user experience (UX), app layout, features, and more.



Many app developers today have successfully combined the following app monetization models.



Paid apps

The pay-to-download model, also known as the premium model, requires users to pay to download the app. Because the technology needed for the other models had not yet been developed, this model was previously the most popular among app developers. However, only 3% of apps worldwide are paid as of January 2022. Because most apps are free, a paid app must establish its unique value to compete in the market.



Purchases made in-app

The app is free to download and use with the in-app purchase-based model because revenue is generated by users purchasing items, events, or content within the app after installation. In-app purchases (IAPs) are available to improve the user experience. They differ depending on the vertical—for example, upgrades in a productivity app, exclusive access within a fitness app, or items and unlocks in gaming apps. According to a recent App Annie report, consumers will spend $380 billion on in-app purchases globally in 2022.



Advertisement within the app

In this model, publishers provide users with free downloads and content. During app sessions, the app serves third-party ads and receives payment for each ad click or impression. Rewarded videos, for example, are a type of in-app advertising in which a user is rewarded for watching a full-screen ad. The reward could be an app currency, the completion of a level, or something else.



Because in-app advertising allows publishers to keep their content accessible to users, downloads are significantly higher than for paid apps. In-app advertising is frequently used in the freemium model, which is discussed further below.



Freemium/Subscription

The well-known freemium pricing model allows users to download and use an app for free. Users can always use the app for free, but certain features are only available to paying customers. Users must make an in-app purchase or subscribe if they want to unlock premium content or remove ads.



Spotify is one of the most well-known examples of a freemium app. Users can download the app and listen to its content for free, albeit with advertisements. On the other hand, Spotify offers users the option of purchasing a monthly or yearly subscription, allowing them to listen to Spotify's music and podcasts ad-free.



Periods of free trial

A free trial period for an app is an excellent way for developers to show off the full functionality of their paid app. Users can download and try the app for free for a set period before committing to the paid app. For example, Amazon's Audible audiobook app provides subscribers one audiobook per month as part of their subscription. Audible provides a 30-day free trial so potential customers can test their app and determine its worth before subscribing.



Sponsorships

In this model, an app developer offers companies sponsorship opportunities for brand exposure within the app. Sponsorships are effective for apps with a large user base and well-known apps within a niche market, as relevant companies will be interested in the app's user base.



The sponsorship model differs from in-app advertising because developers are not required to integrate their app with an ad network to run advertisements. Instead, the ads are more static and specifically tailored to the needs of the sponsor's brand. A developer, for example, could include a sponsor's logo on their loading screen.



App monetization platforms

Most mobile app developers choose an ad network that also functions as an app monetization platform to generate revenue from high-quality mobile ads quickly. These platforms typically assist developers with marketing, monetization, and app analysis. The popular platforms listed below provide a variety of tools for app monetization.



Top app monetization platforms:

  1. Google AdMob
  2. AppLovin MAX
  3. Chartboost
  4. Unity Ads
  5. IronSource


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ASO (APP STRORE OPTIMIZATION)

App Store Optimization, or ASO, is optimizing and improving an app's visibility in an app store - think SEO for apps.



ASO is frequently compared to SEO, but the former only applies to an app store's search function and ranking algorithms. However, there are several ways in which SEO and ASO overlap, which may be helpful when first looking into improving App store rankings.



ASO is, in essence, a closed-site search engine. It also depends on proper indexation, discoverable content, and manipulation of the App Store's ranking algorithms. If you can successfully communicate the benefits of your app to both the store and potential users, you have a great chance of increasing reach and driving installs.



How significant is ASO?

App Store Optimization allows you to connect with a relevant audience and promote the unique selling points of your app. Quality ASO can significantly increase instals, making it worthwhile to app marketers. Furthermore, these are organic instals, which frequently turn out to be the most valuable users of an app.



Here's a quick list of ways to boost your app's ASO ranking:



  1. Including keywords in the name of your app.
  2. Including keywords in the description of your app.
  3. Content localization.
  4. Choosing the appropriate primary and secondary app categories.
  5. Screenshots and other relevant images.


Your app and its audience's needs will inevitably change over time, and your ASO should do the same. It's no coincidence that the top-rated apps on the app store regularly maintain and update their content. They want their ASO to reflect user feedback and include new features in the description.



Another way to learn how to improve your ranking is to investigate the practices of the highest ranking apps in a category relevant to you. You can improve your content and stay ahead of the competition by studying your competitors' ASO.



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ATT (APP TRACKING TRANSPERANCY)

Apple's opt-in privacy framework, App Tracking Transparency, or ATT for short, requires all iOS apps to ask users for permission to share their data. This is accomplished using a popup that allows users to consent to or deny tracking.



Users are concerned about the security of their data and the importance of privacy. Increasing ATT consent rates is an integral part of iOS strategies for app developers and marketers in this privacy-conscious market. Complete visibility insights gained from opted-in data are critical for informing strategic decisions about conversion value mapping and next-generation solutions such as predictive analytics. In short, the higher your opt-in rate for ATT, the better.



Let's look at how ATT has impacted the mobile advertising industry and how app developers can increase opt-ins.



ATT IMPACT

App Tracking Transparency had a significant impact on the mobile advertising industry. Before ATT, app developers and marketers could access user-level data for attribution on iOS by default via the IDFA. This data supply for attribution and measurement was critical for information on user interests, demographics, and in-app behaviours, forming the foundation of targeted ads and painting a clear picture of campaign and channel performance.



Unless the user selects 'Allow Tracking' when presented with the ATT prompt, the IDFA is no longer available. As a result, the mobile advertising ecosystem, which relied on this fine-grained data, has been severely impacted.



How does the ATT opt-in function?

Historical opt-outs In the past, if a user opted out of personalized advertising under Apple's previous Limit Ad Tracking (LAT) model, they are now automatically classified as opting out under the current ATT model.



Settings prevent prompts Prompts are disabled in settings. To receive the ATT prompt in the first place, users' privacy settings must be set to "Allow Apps to Request to Track." Fortunately for advertisers, this is turned on by default.



Dual opt-ins If the user's data are used to facilitate advertising on another app, they must opt-in twice: once from the advertiser and once from the publisher.



The ATT prompt is not required for all apps Because the prompt is optional, apps are not required to display it to users. If developers choose not to say it, they will not receive any user-level data in return. The ATT prompt allows an app to collect user-level data to improve performance and inform benchmarking extrapolations and other functions. This is why most apps (nearly 70%) display the prompt.



How did things work before the introduction of ATT?

Before Apple's big push for privacy, app developers and publishers gained access to practically unlimited amounts of data. Apple operated on the Limited Ad Tracking (LAT) model, allowing users to opt-out of personalized advertising.



While most users had the option, the vast majority (roughly 70%) chose not to opt-out of tracking. This enabled publishers and advertisers to sell and share user data with other media companies, apps, and advertisers, allowing for hyper-targeted ad campaigns based on behaviour, demographics, and interests. As a result, performance has been improved. However, privacy was not.



What is the impact of ATT on advertisers?

While iOS's shift from an opt-out to an opt-in model reduced tracking rates, global ATT adoption remains at a healthy 46% - but this figure only includes users who saw the prompt. The low IDFA attribution rate is the real challenge for advertisers.



Difficulties adapting to the new data reality User-level data and attribution have been critical to optimizing ad campaigns. On the other hand, a lack of data hurts advertisers and publishers accustomed to working with user-level data and can no longer leverage granularly-targeted campaigns as they once did. In this context, it's important to note that the industry is still transitioning. As we all adapt to the new reality of aggregate-level data insights (which has always been the goal) and innovate, measurement is expected to be mainly retained.



A large cohort was missing from the start The first difficulty stems from many users who cannot be tracked. LAT users who opted out of personalized advertising are now automatically labelled as 'denied' to advertisers. These users account for more than 30% of all iOS devices worldwide. Furthermore, 14% of all Apple users are on restricted devices used by minors of unknown ages and for educational purposes. Some corporate-owned devices may also have tracking restrictions.



Concerns about user experience Some app developers are concerned that the uninviting language ("allow the app to track your activity across other companies' apps and websites") will increase churn and degrade the user experience.



Dual opt-in creates friction Last, if advertising on another app, users must opt-in to tracking twice for sharing user data between two companies and the attribution loop to be closed. Consent must be obtained twice: once from the advertiser and once from the publisher. This dual opt-in significantly contributes to low IDFA attribution rates in the face of relatively high ATT opt-in rates.



How to Increase Opt-In Rates

Now that we've discussed ATT's main challenges let's look at how to increase opt-in rates.



Trust is the most critical factor in high ATT opt-in rates. Whether your app is widely known or your brand is already well-known, users who are familiar with you are more likely to trust you with their data. If you're a new app, ensure the user experience is secure and trustworthy.



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APPLICATION

An application (also known as an app) is a piece of software that combines various features in a way a user can access.



The foundation of the mobile economy is apps. Since the introduction of the iPhone in 2007 and the App Store in 2008, apps have become the primary way for users to participate in the smartphone revolution. Applications have aided in the development of several multibillion-dollar industries. Mobile games, for example, now generate over $30 billion in revenue per year. At the same time, apps from social media companies such as Facebook contribute significantly to their multi-billion dollar revenues each quarter.



This meteoric rise in popularity has repercussions for advertisers. Because of their widespread use, it is becoming increasingly crucial for businesses to use mobile as a key advertising channel. Whether companies generate business through apps or advertise on mobile devices, applications have transformed mobile advertising into a profitable industry on a global scale.



Because of their versatility, mobile applications are also critical. The following are the most popular app verticals:



  • News & Entertainment (for example, an application created by The New York Times, Youtube or Netflix)
  • Travel (flights, hotels)
  • Gaming (Mid-core games, hyper-casual games)
  • Social (for example, Facebook Messenger, Reddit and Twitter)
  • Finance and Business/Fintech (online banking such as PayPal)
  • Utilities (such as Google Translate and Find My Device)
  • Fitness and Health (for example, meditation app Headspace, Sleep cycle and food education apps)
  • E-commerce (from eBay to Amazon, and everything in-between)
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ARRPU (AVERAGE REVENUE PAYING PER USER)

The average revenue per paying user (ARPPU) is a metric used by app marketers to determine how much income is generated on average by paying users and players over a given period.



Initially designed for subscription-based apps, this mobile metric is now a cornerstone for app marketers to understand ROI, particularly those measuring revenues from freemium games or relying heavily on in-app purchases.



ARPPU is a formula used to calculate how much an app can expect to make from paying users over a given period.



NOTE: This is not to be confused with "ARPU" - the extra P in ARPPU for 'Paying' makes all the difference.



Why is ARPPU important?

ARPPU measures what matters most: revenue.



ARPPU allows you to isolate smaller groups of paying customers and understand their value to your business. It's easier to focus on revenue when most customers aren't paying.



It's essential in categories like gaming, where paying users are typically a tiny percentage of the overall user base.



ARPPU can help you make better decisions by identifying which channels, networks, campaigns, and creatives attract the most valuable customers. It even allows you to understand the characteristics of a paying user so that you can get similar ones through lookalike remarketing.



How to calculate ARPPU?

Total revenue generated in time period X / Total number of paying users in time period X.

Consider the period you examine, as a monthly ARPPU and a daily ARPPU will produce different results.



In a monthly ARPPU, for example, one user may make several payments throughout the month. However, if you are only looking at the ARPPU of a single day and the same user did not purchase on that day, they will be excluded from the calculation.



For subscription-based businesses, determine your monthly recurring revenue (MRR), which will serve as your numerator. Remember to include users who have upgraded, existing paying users, new users (who spent the total price), and new users who are paying a discounted price when calculating your MRR (because they paid upfront quarterly or annually).



For mobile games, ARPPU

As previously stated, the freemium model dominates the app market. App owners in this model rely on in-app purchases (IAP) and in-app advertising (IAA) to generate revenue.



In the gaming industry, the vast majority of revenue comes from a small number of users, as few as 2-5%. Within that small percentage, even fewer users spend much money, usually in a series of microtransactions. These players, like in real-life gambling, are referred to as whales.



Because of this revenue structure, user segmentation is critical because marketers must identify and isolate the whales. This also determines the network or channel through which they were acquired, allowing marketers to focus on achieving the highest return on ad spend (ROAS).



Cohort ARPPU is an advanced measurement

The method we described above for calculating ARPPU is helpful for product managers, business executives, and marketers alike. It aggregates all revenues generated in a given date range, regardless of the acquisition date.



Many marketers, however, are interested in metrics based on cohort groups, such as calculating how much revenue was generated by all users acquired in May versus June.



Use the following formula to calculate Cohort ARPPU



Total revenue generated by users acquired in time period X in time period Y / Total number of paying users acquired in time period X



Cohort analysis is especially useful for understanding user acquisition (UA) efforts.



Assume you tested some new messaging in May when ARPPU was $15. Then, in June, you reverted to the original messaging (and nothing else), and your ARPPU dropped to $12. As a result, you can conclude that your new messaging in May was more effective in attracting paying users than your old messaging in June.



It should be noted that advanced ARPPU calculations based on cohorts are not an industry standard. Cohort metrics, on the other hand, are beneficial for marketers, so we see value in understanding your ARPPU through this lens as well.



ARPPU in comparison to other metrics

ARPPU is worth it, especially for gaming apps, but let's see how it compares to other famous measurement metrics.



ARPPU versus ARPU- As previously stated, the main distinction between ARPPU and ARPU is the exclusion of non-paying users and advertising revenue. Paying and non-paying users have different in-app activities, so distinguishing between them is critical for identifying successes and areas for improvement.



• ARPPU vs ARPDAU- Average Revenue Per Daily Active User (ARPDAU) helps test different creatives, ad placements, or new ad formats and see how they affect your revenue daily.



ARPPU, on the other hand, considers revenue over a more extended period, such as weekly, monthly, quarterly, and so on.



LTV vs ARPPU-

LTV stands for lifetime value, and it considers how much a user is worth from acquisition to churn, whether two weeks or years.



ARPPU considers a specific period, such as 30-day ARPPU or 60-day ARPPU



It becomes confusing when a user instals, purchases, and churns within the same period as the ARPPU, which can be used interchangeably.



How can you increase your ARPPU?

Your ARPPU reflects your company's monetization strategy and how much a user is willing to pay for your services.



Subscriptions, purchases (including paying for an app), and advertising revenue are all possible revenue streams for online businesses.



ARPPU can be increased by doing the following:

1. Converting non-payers to payers:

One way to increase your ARPPU is to convert active users into paying customers. This could be accomplished through incentives such as special offers for first-time buyers.



2. Honoring your whales:

You can make your whales feel special and appreciated by celebrating them and encouraging them to continue being whales. Recognize their accomplishments with ranking statuses or by providing perks to enable them to continue purchasing.



You can also ask your whales for suggestions on improving your app or website. Including them in the product discussion will make them feel valued while also providing you with feedback from your most important users (win-win!).



3. Making changes to your pricing models

Increasing your prices is a simple way to boost your ARPPU, but proceed cautiously and be aware that you may experience some churn. Your ARPPU may remain unchanged as revenue is distributed among fewer users.



If you do decide to raise your prices, make sure you do so transparently and explain what additional services you are providing to justify the price increase. This is an excellent way to see if there are any premium features for which users are willing to pay.



4. Implementing new advertising formats

Experiment with various formats, such as rewarded videos or playable ads, to see if they increase engagement and, as a result, your paying user conversion rate.



You can also experiment with ad placement to see if an interstitial ad is more effective than a banner ad. For an app, you can determine whether native content, which blends into the app's content, is the least disruptive to the user experience and thus more effective at conversion.



Programmatic advertising is one method for creating a more streamlined experience by automating the buying and selling of online advertising.



Targeting techniques assist in delivering only the proper advertising format to the right user at the right time, resulting in the least disruptive experience possible.



IMPORTANT TAKEAWAYS

ARPPU is an essential metric for mobile marketers, particularly those with a free-to-install app business model and whose paying user share is particularly low.



Knowing who your paying users are and how much money they spend allows you to make more informed decisions about which campaigns are most effective at engaging or re-engaging the highest value users.



Keep in mind:



  • The difference between ARPPU and ARPU is that ARPPU is focused on paying users, whereas ARPU is calculated based on the number of active users.
  • ARPPU isolates your monetizing users, who are ultimately the essential segment.
  • You can use cohort-based groups to segment your data for advanced ARPPU measurement, which is especially useful for understanding your UA efforts.
  • Gaming apps must be aware of who their whales are - celebrate, incentivize, and invest in them, and you will see a positive ROI.
  • Prepare to lose some customers if you change your pricing structure (however, if you're transparent and demonstrate the added value of your price increase, it may help to mitigate churn).


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ARPU (ABBREVIATION FOR AVERAGE REVENUE PER USER)

ARPU is an abbreviation for average revenue per user. In a nutshell, it is the average amount of revenue generated by each active user of your app over a specified period.



While average revenue per user was initially used in the telecom industry, it has since become helpful for all digital businesses, including SaaS providers, social media networks, and mobile apps.



In the context of mobile marketing, ARPU is analogous to Lifetime Value (LTV). It's a method of calculating or determining the worth of your users or groups of users you've organized into segments. LTV measures a user's value over their entire lifecycle, whereas average revenue per user measures it over a specific period.



How to Determine ARPU

ARPU is calculated by dividing your revenue by the number of users over the desired period, such as a week, month, or year. Monthly recurring revenue (MRR) is commonly used as an input to calculate average revenue per user.

MRR / number of active users = average revenue per user (ARPU).



The average revenue per paying user metric is closely related to ARPU (ARPPU). This is calculated similarly to average revenue per user but includes only paying users. Differentiating and comparing these two metrics is critical for apps that use a freemium monetization model, as an app's ARPPU should be significantly higher than its ARPU in this case.



Other variations of the average revenue per user (ARPU) formula, such as ARPDAU, can also be used by app marketers to gain specific insights (average revenue per daily active user).



Why is ARPU important?

The average revenue per user is a crucial user acquisition metric for mobile marketers and a key business metric for product managers and executives. Comparing the average revenue per user of different campaigns and ad networks can provide marketers with insight into the quality of users from those sources and assist in determining return on ad spend. ARPU and LTV are also important for calculating the user acquisition cost limit required to maintain a positive return on ad spend. Marketers can also use ARPU to determine how many new users are required to meet specific revenue targets.



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ATTRIBUTION

Attribution modelling is a method used by advertisers to determine the value of various channels in their marketing efforts. Attribution modelling assists advertisers in deciding which channels provide the most benefit to their marketing campaign by assigning value for a pre-arranged advertising interaction to one or more publishers.



What kinds of attribution models exist?

With multiple touchpoints throughout the customer journey, advertisers can attribute users in a variety of ways:

First Touch Attribution This model gives credit for an advertising interaction to a user's first point of contact with a campaign.



Last Touch Attribution This model gives credit for an advertising interaction that is a user's final point of contact with a campaign.



View-Through Attribution This model assigns specific impressions to instals, attributing campaign value to ads that do not directly lead to an install but appear along the conversion path.



First and last click attribution is a single source attribution method that attributes a conversion to the user's first or last click. As a result, if the last click before the conversion was on a Google Ad, Google receives full credit. In contrast to this methodology, multi-touch attribution seeks to recognise every touchpoint that influenced a user to install (however, it is also critical to understand MTA's vulnerability to click spam).



Attribution models can include elements from all four methods listed above. A multi-touch attribution model, for example, might give more weight to the final point of contact. This is entirely dependent on the attribution model chosen by the advertiser.



What is the significance of attribution modelling?

Simply put, attribution modelling enables advertisers to determine how to attribute and measure the performance and value of their marketing media sources.



Advertisers are unable to see the complete picture of their user acquisition and revenue-generating efforts without a solid attribution model in place, including granular insights on specific media sources, user and ad traffic, quality of active users (retention and LTV), and long-term ROAS/ROI, among other metrics.



Referencing multi-touch attribution modelling, the various touch points of a user journey before installation, or "assists," reveal more of the actual story about how and why a user converted and plays a significant role in future budget allocation decisions.



Attribution modelling supports advertiser marketing efforts and ensures accurate and fair install crediting and payment on the network side, having an unbiased, third-party attribution reporting system, and giving network credit and responsibility when due.



In a nutshell, attribution modelling is the framework within which attribution for mobile instals can occur, ultimately leaving the mobile ecosystem balanced and dynamic for advertisers and media sources.



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ATTRIBUTION FRAUD

Attribution fraud is a type of mobile ad fraud in which criminals attempt to steal credit for app instals by reporting fake clicks as the last engagement before a legitimate user launches the app for the first time.



It associates organic instals or instals from other sources with the fraudster, thereby manipulating the "last-click-attribution" model commonly used by attribution providers.



How does it function?

The programme "listens" to the user's activity and is notified when a new app install begins. It is commonly triggered by malware installed on the user's device.



The malware will then look for campaigns related to the relevant app, populating the relevant information into a bogus click report and then registering the last click engagement to win the attribution for an otherwise organic or media partner-generated install.



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ATTRIBUTION WINDOW

An attribution window is when a media partner can claim a click or impression engagement that results in installing an advertiser's app. For example, an advertiser may specify a seven-day attribution window. The publisher is credited if a user clicks on a publisher's ad and instals within that time frame.



Last click attribution is the attribution model used by mobile measurement partners (MMPs). This means that in the preceding example, the publisher will be paid as long as they can claim the last click before an install.



What is the significance of attribution windows?

Attribution windows are essential for advertisers and publishers to understand when a conversion occurs. There is frequently a lag between seeing an advertisement and installing it, such as seeing a game on Facebook while commuting to work in the morning, seemingly forgetting about it, and then remembering to install the app on the way home from work in the evening.



Without allowing for potential gaps between viewing an ad and installing an app, users may be misidentified as organic rather than paid for, causing publishers to lose money. Setting an attribution window allows you to include users technically brought in by an advertisement but did not see it directly.



How long should an attribution window be set?

The campaign's goal should determine the appropriate length for an attribution window. For example, an advertiser running an install campaign with "seen and gone" formats (such as banner ads) may prefer a shorter window. Although thousands of people may see an advertisement for a brief period, an impression-based form is unlikely to drive an installation five days later. On the other hand, an advertiser running an interactive campaign, such as playable ads, may want to select a longer attribution window. If an advertiser has secured a prime position within an app and wants to see its long-term value, a 21 or 30-day window can help them see if the results were as expected.



We can also use the attribution window to experiment with various networks. For instance, suppose you have a karaoke app and want to run a video campaign with two different ad networks, Network A and Network B. You already trust Network A because you have previously run campaigns with them, whereas Network B is new to you. You want to test Network B's performance for the first time with a campaign based on probabilistic matching. You can control what traffic Network B can claim by limiting their attribution window to one hour rather than the default 24 hours. Even with this in place, you can keep the attribution window for Network A at 24 hours.



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MOBILE ATTRIBUTION

Mobile attribution is the science of matching two data points, attributing ad spend to user engagement or installs based on specific variables. It provides insight into what happens when a user interacts with a mobile ad.



Successful mobile app attribution encompasses the entire conversion funnel. It detects and reports whether or not a user reacts to an advertisement, whether or not a user installs an app after seeing it, and how a user behaves after installing it. While mobile app tracking assists advertisers and marketers in better understanding individual users, it can also help marketers identify relevant cohorts, identify groups that respond (or do not respond) to creatives, and determine how they behave in-app by tracking key events.



What is the significance of attribution?

Attribution is essential in determining the success of advertising campaigns because it calculates the number of ad dollars spent on the number of conversions gained. Advertisers, partners, and app developers would not know how much was spent per ad and how much a successful transformation pays without accurate attribution.



Furthermore, mobile app attribution is critical for all types of optimization. You can change and improve almost every aspect of your app, creatives, and ad spending by tracking user events and understanding how users behave when presented with paid activity.



Attribution impacts the entire mobile ad ecosystem, from determining how much ad space costs to how well a campaign performs - which is why it is such an essential component of mobile marketing.



What exactly is temporary attribution?

Temporary attribution is a time-sensitive model that allows UA managers to customize how their data is presented. It can also be used for testing and campaign management.



Let's look at an example to see how this differs from traditional attribution models:



You have a gaming app and want to run a limited-time offer campaign. You also want to see how quickly a new network, Network B, can drive in-app events after reattribution. You should stop crediting Network B for future in-app events when the week is up.



The network would be compensated for those reattributions. Still, the reattributed users' subsequent session and event data would be attributed to the previous source, whether organic or another network source.

As a result, temporary attribution can help determine the success of engagement and retarget campaigns.

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Ad Tag

These are pieces of HTML or JavaScript code that are added to the source code of a publisher's website or app, trigger an ad request and assist in delivering relevant ads to the right audience at the right time. They are also known as placement tags or creative tags.



What exactly is an ad tag?

An ad tag is a snippet of code inserted into the source code of a website or app to serve as a placeholder for actual ads. Ad tags are the driving force behind the ad tech ecosystem, allowing publishers, advertisers, ad servers, and other platforms to communicate seamlessly.



Ad tags assist in loading, displaying, and tracking advertisements on the publisher's app. When a user visits the app, the ad tag initiates an ad request, informing the publisher's ad server that a user has loaded the associated app page, indicating that it is time to serve the user a relevant ad.



An ad tag comprises several components that specify how, where, and what type of ads will be displayed on the app. It also sets the ideal dimensions for the ad creative. Ad tags typically contain HTML or JavaScript code, and publishers can generate tags for their ad inventory using platforms like Google Ad Manager.



Ad tags can be added to a website's header, iFrame wrapper, and source code.



Ad tag classifications

To make digital advertising a reality, the ad tech ecosystem employs a variety of ad tags. The following are the most commonly used ad tag types:



  • Advertisement tags that are synchronised
  • Asynchronous advertisement tags
  • Add tags from third parties

1 - Ad tags that are synchronised This ad tag loads alongside the rest of the app's content, which means the ad request must be triggered, and the ad must be served before the app can load. If an error occurs during the process, it may slow down or prevent the app from loading entirely.



2 - Asynchronous Ad tags: As the name implies, these ad tags load independently of the rest of an app's content, ensuring that the ad serving process does not interfere with page speed or user experience. If the ad request fails or there is an error, the app's page will still load, but the ad will not.



3 - Ad tags from third parties: Ad tags are HTML code snippets that help track ad impressions and engagement and are generated by demand-side platforms (DSPs) or an advertiser's ad server.



Ad exchanges can also generate third-party ad tags to assist publishers in allowing multiple advertisers to display ads on their apps.



VAST ad tags (for video ads), iFrame/JavaScript tags, and universal JavaScript tags are some other ad tags.



Ad tag illustration:

http://ad.server.com/ADJ/publisher/zone;topic=abcd;sbtpc=hijk;kw=wxyz;tile=1;slot=728×90.1;sz=728×90;ord=12345679012346?

Let's take a closer look at what the individual components represent:



1. URL The URL "http://ad.server.com/" in the sample ad tag refers to the publisher's ad server. In some cases, it may also include the host from which the title was generated.



2. Ad Format: The "ADJ/" portion of the sample ad tag specifies the ad type. It denotes a JavaScript tag used to serve image-based advertisements in the preceding example.



3. Information about the publisher The "publisher/" section contains vital publisher information and assists ad networks and DSPs in validating a publisher's identity.



4. Zone: Describes the area of a web page or app page where the advertisement will appear. It specifies whether the ad will appear in the app's header, sidebar, footer, or another section.



5. TopicThis describes the content available on the publisher's website or app and assists DSPs and advertisers in serving relevant ads for a specific ad slot.



6. Subtopic It is denoted by "sbtpc" and contains additional information about the content of an app page.



7. Key phrase The "kw=wxyz" segment of the ad tag contains keywords that further describe the app page. This section allows publishers to include multiple keywords.



8. Tile Each ad call on the app page is assigned a unique value, and a tile prevents the same ad from appearing in different zones on the app page.



9. Slot When different ad zones have the exact dimensions, this section differentiates ad tags. "slot=728900.1" indicates the first leaderboard ad slot that will appear on the app page in this case.



10. Size In the example above, "sz=72890" specifies the optimal dimensions for the given ad zone.



11. Cache-buster The ad tag's "ord=1234567901234678?" part functions as a cache-buster. It is a randomly generated number used to distinguish individual ad calls from the same user, allowing various ads to be served as users navigate between app pages.



How do ad tags function?

What steps are involved in submitting an ad request and serving a relevant ad?



This is how it works:



  • When a user visits an app page, the app invokes the appropriate ad tag.
  • The ad tag notifies the publisher's ad server that a user is about to browse the app page by sending an ad request.
  • The publisher's ad server forwards the ad request to a data management platform (DMP), which collects consenting visitor information, such as age, gender, location, and so on, to improve user segmentation and ad experience.
  • The publisher's ad server forwards the ad tag and its data to the advertiser's ad server (in the case of a direct deal) or a DSP (in case of real-time bidding). The ad inventory is auctioned off among different advertisers for real-time bidding, and a winner is chosen.
  • The ad server or DSP of the advertiser adds a URL to the ad tag that specifies the location of the ad creative.
  • The publisher's ad server loads the ad from the URL (in the ad tag) and serves it on the app page.

While the ad serving process is lengthy, it is completed in less than a second.



Who employs ad tags and why?

Publishers: Ad tags can help publishers optimise the process of selling ad slots by allowing them to offer their inventory to multiple advertisers. Ad tags also assist them in serving relevant ads to their audience and increasing revenue.



Advertisers: Advertisers can select ad slots using ad tags to help them reach their target audience. Furthermore, they can match ad creatives to a publisher's specifications, ensure error-free ad delivery, and assist advertisers in monitoring the performance of their ad campaigns.



Servers of advertisements: Ad servers use ad tags from publishers to route ad requests throughout the ad tech ecosystem. Ad tags, whether used directly or through programmatic deals, simplify the process of selling/auctioning inventory and delivering ads.



Important takeaways

Ad tags are HTML or JavaScript code blocks that help buy, sell, and auction ad inventory. They contribute to the ad tech ecosystem by redirecting ad calls from a publisher's app to an advertiser's ad server or DSP.



They contain identifiers to differentiate multiple ad calls from the same user and a wide range of information about the publisher's requirements, such as ad dimensions and format.



Ad tags assist publishers in optimising the process of selling ad inventory to multiple advertisers to earn more revenue. In contrast, advertisers can monitor ad performance and improve their return on ad spend (RoAS).



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App Stickiness

The frequency with which users interact with an app determines its stickiness. The higher the user engagement, the more addictive the app.



What exactly is app stickiness?

When a sticky app provides a great and unique user experience that distinguishes it from the competition, it will have a loyal audience, low churn, and high engagement.



Stickiness is determined by users finding your app valuable and relevant to their lives. A sticky app means your users will be compelled to return frequently, giving you more opportunities to monetize through in-app purchases (IAP) or in-app advertising (IAA).

Calculating app stickiness using the DAU/MAU ratio

The DAU/MAU ratio measures the relative volume of monthly active users who engage with your app over 24 hours by combining your daily active users (DAU) and monthly active users (MAU).



You can forecast traction and potential revenue using this formula over time. But, more importantly, this ratio allows you to determine how useful your app is to your users by tracking how frequently they return to it.



This is how it is calculated:



Here's a real-world example:



Let's pretend you had 2,000 DAUs and 8,000 MAUs in August. That month, your stickiness ratio would be 25%.



By the way, that's a comfortable place to be. A stickiness average of 20% across industries is considered good, while stickiness levels of 25% or higher are considered exceptional.



How can you increase app stickiness?

So, how do you make your app more appealing? What is the secret sauce that keeps users coming back to specific apps? Sticky apps, it turns out, have a few things in common.



Here's how you can turn their hard-learned lessons into a highly sticky app engagement strategy



1 - Determine your weak points Everything revolves around your users' needs and expectations. Instead of getting rid of clunky functionality because you thought it was what your users wanted, eliminate the guesswork and involve your target audience in development decisions.



Request feedback on issues, broken user experiences, and a wishlist of value-added features. The more specific they are, the more likely you will incorporate influential stickiness factors into your app.



2 - Make sure the onboarding process is enjoyable Onboarding is the first introduction a user has to your app after downloading it. Consider it an audition that sets the tone for your relationship, in which you must quickly demonstrate your app's value and usefulness in solving their problems.



Suppose onboarding is marred by interruptions such as too much-requested information, buggy performance, a lack of clarity around functionality, or a long and tedious signup process. In that case, users are likely to migrate their dissatisfied thumbs elsewhere. Trashing your app is expected to follow, as is sharing their disappointment on social media, so put time and effort into a great first meeting.



When done correctly, a clear, hassle-free, and delightful onboarding process can increase app stickiness, user LTV and retention rate, making it a long-term investment worth your resources and ongoing optimization.



3 - Customize! Allowing users to customize their user experience (UX) can significantly impact app engagement and retention and strengthen their emotional connection to your app. And the more profound the relationship, the more likely you will retain your users and have them return to your platform.



Personalization helps create relevancy and heighten value while delivering a unique UX, from allowing users to choose their plan, which then adapts their entire user journey, to suggested items based on shopping history.



4 - Recognize what you're doing well and do more of it Identifying successful experiences and dissecting them into their constituent parts can assist you in developing an extremely sticky app. You can determine your "power users," who typically have the highest LTV, engagement, and app longevity.



Once you've identified your power users, it's time to learn how they use your app so you can figure out what keeps them coming back.



It would help if you understood which features your power users use most frequently and their typical user journey. Examining the activities of current power users can reveal behavioural patterns that point to a future of high spending and engagement.



5 - Increase brand loyalty Building a rapport by adding tangible and one-of-a-kind value to your users' lives can foster a strong sense of loyalty, which will help improve your app's stickiness and reduce the likelihood of users defecting to the competition.



Provide personalized content that your users will find helpful and relevant. The more objective and non-sales your content is, the more trust you'll build with your users.



6 - Interact meaningfully with your users Your app's stickiness does not stop there. To increase engagement, we must look beyond your app, utilizing a variety of communication channels that can improve your UX.



Utilize timely, personalized push notifications with an enticing offer based on your users' status or progress. Send creative emails with intriguing subject lines that capitalize on users' FOMO. Share high-quality educational materials, such as video tutorials, best practices, and industry-relevant use cases.



All to stay top of mind with your users and remind them of the utility of your app.



7 – Keep a finger on your stickiness pulse Finally, stickiness is an engagement metric that indicates your app's long-term health. Analyzing the stickiness of your competitors can also play a role in your development strategy, so measuring stickiness on an ongoing basis is a necessary all-around habit to adopt.



Keep in mind that increasing app stickiness takes time. Proper testing is required to know what's working and what needs to be fixed; otherwise, you're just shooting arrows in the dark.



Key takeaways A sticky app has a loyal audience, low churn, and high engagement because it consistently provides a great and unique user experience that distinguishes it. Use this metric to optimize your campaigns and track the growth rate of your app.



To calculate stickiness, multiply your daily active users (DAU) by your monthly active users (MAU) to get a ratio that allows you to measure the proportion of monthly active users who engage with your app over 24 hours.

Improving app stickiness entails identifying weak points in your users' journey, ensuring seamless onboarding, personalizing your UX, understanding "power user" behaviour, building brand loyalty, meaningfully engaging with your users, and continuously measuring your app engagement.

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Ad Publisher

Ad publishers are digital property owners who sell advertising space on their properties to third parties.



What exactly is an ad publisher?

A publisher is a person or company that owns a digital content property with an audience, such as an app or a website. When the property owner makes space on the property for external advertisements — also known as ad inventory — it becomes an ad publisher.



Why would a business buy ad space? For the simple reason of gaining access to an audience, it cannot reach through its marketing channels, driving growth, improving conversions, and increasing brand exposure.



A media websiteLike traditional print newspapers, newspaper and television websites generate revenue by selling digital ad space to third-party companies. In many cases, advertising generates more revenue than subscriptions or print sales.



A cooking blogBloggers have seen tremendous growth and success in recent years, but they can still find monetizing challenging. Bloggers can make money by selling advertising space on their websites. A cooking blog, for example, might sell ad space to companies like KitchenAid, King's Arthur Flour, or Kroger.



A gaming application A gaming app is a digital content property with a captive audience. To supplement its revenue, a gaming app may choose to offer in-app display ads to advertisers or support a free subscription model.



While display ads on a website or app are the most traditional type of paid digital advertising, many other digital ads are emerging. Text, video, and audio ads are also becoming increasingly popular.



What is the distinction between a publisher and a marketer?

The publisher owns the channel or property hosting the ad, while the advertiser owns the ad content. Here are a few key distinctions



  • The digital content property is owned and controlled by the publisher.
  • Ad specifications, rates, editorial calendars, and quality standards are determined.
  • Receives payment for the advertisement.
  • Revenue is generated through advertising and possibly other sources such as subscriptions.

Advertiser

  • Controls and owns the product or service being advertised.
  • Determines the ad's content.
  • The ad is paid for
  • Earns money from eventual sales generated by the advertisement.

Publisher vs Platform

Some of the world's largest ad sellers, such as Google, Facebook, YouTube, and Amazon, are considered platforms rather than publishers. What exactly does this mean?



Whether it's a publication or a product, publishers create their content. A platform is simply a network that allows users to post their content (for Google, this is website owners; for Facebook, this is users and brands). Platforms are essential players in the digital advertising industry, but they are not publishers.



Models of monetization/h3>

How do publishers make a living? Publishers sell advertising using one of several revenue models:



Ad units:An advertiser pays for a specific ad size and placement in display advertising. An advertiser purchases a particular length of ad content, such as 15 seconds, 30 seconds, or 60 seconds, in video or audio advertising.



Sponsored/affiliate links: Affiliate links pay a publisher a commission on any purchases made through the ad. Affiliate links are typically included with content related to that product or service.



Pay-Per-Click (PPC) / Pay-Per-Impression (PPI): With pay-per-click (PPC), an advertiser only pays for the number of clicks or impressions on their ad. This can be a fixed amount or a fluctuating figure based on algorithms like the ones used by Google Ads.



Publishers and the ecosystem of Programmatic Advertising

While profitable, selling ad space can be time-consuming for a publisher. Manual selling can entail extensive outreach and communication with the advertiser, as well as the exchange of funds and artwork, the publication of the ad on the app or website, and the sharing of analytics.



The programmatic advertising ecosystem is a middleman to broker and streamlines ad sales for publishers to simplify and automate ad sales.



Publishers can pay for access to a supply-side platform (SSP) to manage their inventory sales to automate their inventory sales. Conversely, advertisers can pay for access to a demand-side platform (DSP) to manage their purchases.



Independent data brokers can also help provide ROI data to both parties.



Ad networks and ad exchanges

Ad networks pool ad inventory for advertisers to purchase more quickly. Ad exchanges, on the other hand, serve the same purpose but are carried out by algorithms rather than humans.



Important takeaways

  • Selling ad inventory allows advertisers to reach new or specialized audiences while also allowing publishers to monetize their digital content property.
  • Ad publishing can take many forms to meet various needs and budgets, including paid ad units, pay-per-click, pay-per-impression, and affiliate links.
  • The ad buying process between an advertiser and a publisher can be streamlined and automated by intermediaries. SSPs, DSPs, ad networks, and ad exchanges are platforms that allow for bulk purchases, low maintenance, and potentially lower pricing for advertisers.
  • By incorporating new technologies, the digital advertising ecosystem is constantly changing to meet the needs of publishers and advertisers.


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Ad Server

A software platform that manages the distribution of digital advertising campaigns is known as an ad server.



What exactly is an ad server?

An ad server saves variations of creative assets from an ad campaign, such as imagery, audio, and video files, and decides which versions to serve to which customers. Ad servers can also collect data, such as clicks and impressions, to provide insight into the performance of an ad.



Ad servers are data-driven matchmakers that connect ads with audiences based on geolocation, interests, and behaviours. For example, if an ad is about outdoor gear, the ad server looks for people whose data indicates a hiking interest.



These sophisticated algorithms make decisions based on multiple targeting variables, the frequency with which an ad is presented, where and in what format it is displayed, and its earning potential.



How does an ad server function?

Ad servers have evolved beyond their primary function of ad storage and delivery to include real-time decision-making capabilities and campaign performance insights to meet the growing demands of the digital marketing industry.



This naturally leads to confusion about how ad servers' capabilities relate to other ad tech platforms.



Ad servers are distinct from ad networks, which pool the inventories of ad spaces from various publishers and sell them to advertisers.



The primary distinction between programmatic vendors (ad networks/exchanges/SSPs/DSPs) and ad servers is that an ad server allows for managing all assets.



Advertisers can upload their creative assets to the network's ad server after purchasing the inventories. The ad server can then generate the appropriate attribution tags and display the right ad in the right slot to the right user when it receives a request from a publisher's website or mobile app, all from a centralized location.



Many ad servers include demand-side platforms (DSPs), the interfaces through which advertisers purchase inventory from publishers. A DSP uses an ad server to store creative assets and serve ads to a website or mobile app.



Similarly, an ad server without a DSP prevents advertisers from connecting to the programmatic ecosystem and participating in automated real-time bidding (RTB) auctions for ad placement.



A publisher sells their inventory to an advertiser directly, negotiating the terms via a more traditional and manual media buying relationship.



In a direct deal, the ad servers of the publisher and advertiser communicate with each other to deliver ads to visitors to the publisher's website or app. Surprisingly, even though the technology is the same, publishers and advertisers use ad servers differently.



Ad server classifications



Ad servers are classified into two types:



  1. First-party (publisher-side)
  2. third-party (advertiser-side)

Both have the same technical capabilities, but each party uses them for slightly different purposes.



Simply put, publishers use ad servers to directly control where and to whom their ad inventory is served. In contrast, advertisers use ad servers to aggregate and audit campaign data across all networks and publishing platforms an ad runs on.

Let us take a closer look at each of them.

What exactly is temporary attribution?

Temporary attribution is a time-sensitive model that allows UA managers to customize how their data is presented. It can also be used for testing and campaign management.



Let's look at an example to see how this differs from traditional attribution models:



You have a gaming app and want to run a limited-time offer campaign. You also want to see how quickly a new network, Network B, can drive in-app events after reattribution. You should stop crediting Network B for future in-app events when the week is up.



The network would be compensated for those reattributions. Still, the reattributed users' subsequent session and event data would be attributed to the previous source, whether organic or another network source.



As a result, temporary attribution can help determine the success of engagement and retarget campaigns.



Primary (publisher or sell-side)

Publishers use ad servers to manage their inventory and measure and report on which advertisers' campaigns deliver the most value in revenue and conversions.



Publishers can use first-party ad servers to manage ad slots on their websites/apps and display ads sold directly to advertisers.



Publishers' ad servers can analyze user data such as geolocation, language, online behaviour, and demographic attributes such as age and gender provided by consenting users.



Simultaneously, the servers process the business rules that determine which ads can appear in which slots and which advertisers will be able to fill them. Based on this information, the servers select the best ads from the highest-value advertisers to display in the available ad slot.



First-party servers are primarily concerned with how an ad performs in a specific placement on the publisher's website / mobile app in terms of measurement.



Third-party (advertiser or buy-side)

Third-party ad servers indirectly allow advertisers to interact with multiple publishing platforms by storing, serving and measuring various variations of active ad campaigns.



Advertisers typically use their ad servers to test and optimize creative variations and measure the results of campaign deliveries across placements.



Advertisers benefit from third-party ad servers in several ways:

  • Advertisers can better manage their creative assets without requiring updates from publishers.
  • They can create templates to generate new creatives that more efficiently meet various publishing platform requirements.
  • They can test multiple versions of the same campaign to determine which version performs best with which targeted audience and on which platform.
  • Advertisers can optimize campaign delivery in real time.
  • They can use frequency capping to limit the number of times a user sees a single piece of the creative campaign.
  • They can distribute their ad spend evenly across placements within a given timeframe.
  • Advertisers can gather detailed campaign performance data across all of their placements.
  • Rather than relying on each publisher's data, this method produces more transparent and accurate reporting.
  • It enables tracking traffic and engagement across multiple sources to optimize future spending.
  • It consolidates critical metrics and insights into a single location for efficient reporting

Self-hosted vs hosted servers

The decision comes down to control, cost, speed, and ease of use.



Servers that are hosted:



Pros :
  • Because the hosting company does the heavy lifting and provides training and support, little technical knowledge is required.
  • The provider monitors the speed and reliability of your server and is responsible for resolving any issues that arise.
Cons :
  • Higher-touch service is more expensive.
  • Partially owned data - Limits control in terms of customization.

Servers that are self-hosted (or open-source)

The decision comes down to control, cost, speed, and ease of use.



Pros :
  • One-time setup fee with ongoing server maintenance costs.
  • Full data ownership - A front and back end that can be completely customized.
Cons :
  • Installation, customization, and support necessitate specialized technical knowledge.
  • An open-source server may lack the features you require, necessitating the use of additional plug-ins to perform desired functions.


Platforms for displaying advertisements

There are numerous options for first- and third-party ad serving platforms, but there are a few names to remember as functional scale and quality benchmarks.



DoubleClick: DoubleClick, still widely used by publishers, was purchased by Google in 2008 and rebranded as Google Ad Manager in 2018.



DoubleClick for Publishers (DFP) and DoubleClick Ad Exchange was effectively combined (AdX). The platform includes DoubleClick Campaign Manager (DCM) for advertisers and agencies.



OpenX:

OpenX is a supply-side platform (SSP) that combines an ad server with a real-time bidding exchange for programmatic ad placements.



Kevel:

Kevel, an open-source platform, has customers that include some of the world's most popular websites, such as Reddit and Ticketmaster.



Its unique DIY platform distinguishes itself by providing a wide range of APIs for building highly customized ad server solutions for publishers and advertisers, necessitating dedicated internal expertise and management.



IronSource:

It is primarily concerned with in-app advertising in the mobile gaming industry.



And you've probably heard of Google's and Facebook's self-serve ad platforms. Advertisers can log in and manage their ads and campaigns, tiny businesses.



How to Choose the Best Ad Server for You

Your market role and position will steer you toward a solution that meets your business objectives. When auditing your specific needs, the most important thing to consider is how much time and effort you're willing to invest in implementing a solution that meets your goals.



Publishers will look for platforms that support rich media ad formats, provide self-service account management for advertisers, as well as optimize tools that assist in prioritizing high CPM (cost per mille) ads.

How to Choose the Best Ad Server for You

To some extent, your market role and position will steer you toward a solution that meets your business objectives. When auditing your specific needs, the most important thing to consider is how much time and effort you're willing to invest in implementing a solution that meets your goals.

Publishers will look for platforms that support rich media ad formats, provide self-service account management for advertisers, as well as optimize tools that assist in prioritizing high CPM (cost per mille) ads.

Important Takeaways

Like web servers, ads are engines that work behind the scenes to power the digital advertising ecosystem. The ad-serving workflow is complex, involving a vast network of interconnected technologies.



When things are going well, you don't notice the effort, but it has a huge ripple effect when something goes wrong.



Ad servers will use the same functional capabilities in different ways to help you manage the scope of your digital marketing efforts, depending on your business purpose and needs.



Whether a publisher or advertiser, an ad server can be a dynamic hub of operational efficiencies for managing your inventory, creative assets, and relationships.



Having control over your ad server means having control over your data. As a result, your ad server serves as a central artery of business intelligence, processing critical information about your customers, investments, and efforts within and across channels.



An ad server keeps this valuable information in one place, which can be used to make critical decisions.



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Ad Mediation

Managing multiple ad networks via a single SDK to assist publishers in increasing CPMs, fill rates, and efficiency.



What exactly is ad mediation?

Ad mediation platforms enable app publishers to manage multiple ad networks from a single centralized platform, simplifying reporting and optimization. Without it, publishers must work with each ad network via their SDKs and platforms.



Ad mediation platforms help publishers sell more inventory and increase fill rates by forcing ad networks to compete with one another. The publishers accept the highest bid, resulting in optimal fill rates and an increase in eCPMs.



What is the process of ad mediation?

Ad mediation platforms assist advertisers in increasing their revenue by selling ad space in two ways: waterfall bidding and in-app header bidding.



How does header bidding in-app work?

Multiple advertisers bid in real-time for a specific ad space using programmatic technology, with the highest bidder winning. The highest bidder pays one cent more than the second highest bidder. This enables publishers to sell their inventory at the highest possible price while also allowing advertisers to deliver a competitive rate.



What is the process of waterfall bidding?

Waterfall bidding is an older method frequently used by publishers who need to sell remnant inventory quickly. Let's break it down into five easy steps:



  • The mobile app uses the SDK to contact the ad mediation platform, indicating that a session has begun and an ad will be requested.
  • The platform determines which ad network is qualified to display the ad and then arranges a sequence of ad networks.
  • The ad mediation platform evaluates each ad network and selects those with the best-expected performance. On the other hand, ad networks can give preference to specific ad networks and be locked into a spot regardless of expected performance.
  • The mediation platform approaches the leading ad network to fulfil the ad request. It is forwarded to the second ad network if they do not meet the demand. This process is repeated until the ad space is total.
  • The SDK displays the winning advertisement in your mobile app.

What are the advantages?

The first issue that publishers must address is increasing the amount of ad inventory sold, also known as fill rates. This is accomplished by collaborating with more ad networks and encouraging advertisers to compete for your ad space via an ad mediation platform.



They enable publishers to manage multiple ad networks with a single platform and SDK. Campaign managers, on the other hand, do not have to go into each ad network interface to manage and optimize campaign performance. Instead, they get a bird's-eye view of their ad networks, giving them access to more opportunities to sell ad space and improve campaign performance at scale.



However, Facebook and Google do not share all of their data with ad mediation platforms. Sometimes, the campaign manager will still need to manage their campaigns using different media.



The top four mobile advertising mediation platforms

Many ad mediation platforms provide bidding options, reporting features, and integrations. AdMob by Google, ironSource, MoPub, and Max is today's four most popular ad mediation platforms.



How do you pick the best platform for you?

With so many platforms to choose from, how do you prefer? To find the best ad mediation platform for you, consider the following questions:



What are ad networks supported?

Check that the ad networks you are currently advertising on and the ad networks you intend to use in the future are integrated with the platform.



What is the user experience like?

One of the most significant advantages of these platforms is that they simplify campaign management. Ensure that the reports are easily accessible and that the workflow saves you time.



Is the server trustworthy?

You don't want to work with a platform that has frequent outages. The less trustworthy they are, the more money you will lose.



What additional campaign optimization features do they provide?

Inquire about how the platform can help you improve campaign performance. Do they support audience segmentation and campaign testing? How are their customer service and data security protocols?



Important takeaways

  • Ad mediation platforms enable app publishers and developers to manage multiple ad networks from a single centralized platform, simplifying reporting and optimization.
  • Ad mediation platforms boost fill rates and CPMs by allowing ad networks to compete for your ad space.
  • There are two main bidding techniques on ad mediation platforms: header bidding and waterfall bidding (the older one).
  • Ad mediation platforms are not all created equal. Make sure you ask the right questions to meet your specific requirements.
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Ad Exchange

An ad exchange is a digital marketplace for buying and selling advertising inventory.



What exactly is an ad exchange?

A digital marketplace for buying and selling advertising inventory across websites, mobile sites, and mobile apps.



Publishers, such as website or app owners, provide:



  • Advertising space for advertisers like agencies or ad networks.
  • Allowing them to purchase ad space and publish displays.
  • Video.
  • Mobile advertisements.

Who makes use of it?

On an ad exchange, virtually anyone can buy and sell impressions. Publishers use ad exchanges to sell ad space and advertisers or agencies to buy ad space.



Marketers use ad exchanges for a variety of reasons

It is a more efficient and transparent method of purchasing and selling digital advertising.



Buyers and sellers have used the ad exchange to optimise processes and maximise profit as the mobile landscape has evolved and grown. The ad exchange is carried out through sophisticated algorithms, allowing publishers to get the best price for their ad real estate and advertisers to reach out to their valued target audience at the right time and with the most relevant context.



In contrast to negotiating buys directly with specific publishers, exchanges allow advertisers to easily buy ads across various websites, mobile sites, and mobile apps simultaneously.

How do ad exchanges function?

To gain a better understanding of the ad exchange's role in the digital marketing ecosystem, let's first identify the key players and examine how they interact with one another-



Ad networks and their differences from ad exchanges

An ad network connects advertisers to publishers that offer ad inventory. An ad network's primary function is to aggregate ad supply from publishers and match it with advertiser demand.



Although the ad exchange and ad network appear to serve the same purpose, they do not. Ad networks gather digital ad inventory from a list of publisher sites or buy ad impressions in bulk from an ad exchange, sort them, and resell them to advertisers. Because advertisers lack the time and resources to filter available inventory, Ad Networks do it for them.



They categorise inventory based on specific criteria such as pricing, scale, or audience segments (demographics, geography, language, interests, consumer behaviour, etc.). Some Ad Networks are concerned with coverage and quantity, while others are concerned with the quality of ad slots available.



An ad network is a closed group of privately traded ads, whereas an ad exchange is an open pool of impressions. Ad exchanges provide more transparency to buyers because they can see exactly how much each image is sold for, with no intermediary players.



Some abbreviations

Demand Side Platform (DSP)- A DSP is a technology that is used to purchase advertising automatically. Advertisers and agencies frequently use DSPs to assist them in buying display, video, mobile, and search ads.



Supply Side Platform (SSP)- An SSP is a technology that automatically sells advertising. Online publishers commonly use SSPs to assist them in selling display, video, and mobile ads.



How does this all fit together on the ad exchange?

In many ways, the ad exchange functions similarly to an auction, allowing advertisers to reach their target audiences across a diverse pool of publishers.



Advertisers and agencies typically use a DSP to connect to an ad exchange, while publishers typically make impressions available on a conversation via an SSP.



What exactly occurs during real-time bidding (RTB)?

When a user visits a web or in-app page, an ad impression is created and auctioned off on the exchange. The DSP can analyse data from various sources, including the user's mobile identifier, time of day, device type, ad position, demographics, and purchasing behaviour, to determine whether to bid on the impression and how much to bid for it.



The most fantastic aspect of the buying and selling process is that it all happens in the blink of an eye.



RTB is based on a fully automated process that determines the price of advertising space and inventory in real time based on supply and demand. Advertisers can bid on ad space with a set number of ad impressions, and the highest bidder's ad is displayed for each image.



Exchange types and key players

Demand Side Platform (DSP)- A DSP is a technology that is used to purchase advertising automatically. Advertisers and agencies frequently use DSPs to assist them in buying display, video, mobile, and search ads.



1. Public Marketplace / Open Auction / Open Ad Exchange- Advertisers seeking increased exposure should use an open ad exchange.



However, with tens of billions of impressions flowing through open Ad Exchanges daily, advertisers and publishers are increasingly concerned about digital ad fraud. As a result, private marketplaces are becoming more popular, as they are perceived to be safer and more transparent.



2. Ad exchange / Private Marketplace (PMP)- A PMP is a "premium" closed platform that allows the publisher to control which advertisers can bid, at what price, and under what conditions. Each private ad exchange is managed by a single publisher who personally invites selected advertisers to the PMP.



The publisher can also prevent Ad Networks and third-party members from accessing its impression pool. Because a private ad exchange allows brands and publishers to establish direct relationships with advertisers and agencies, negotiations may take longer than an open ad exchange.



3. Preferred transaction- A preferred deal allows a publisher to sell digital ad inventory to select advertisers at a pre-negotiated fixed price. Preferred values provide the publisher with a consistent revenue stream via a controlled transaction system, while advertisers benefit from stable CPM prices and exclusive inventory.



A few key ad exchanges

  • DoubleClick (Google)
  • AppNexus
  • OpenX
  • Rubicon Project Exchange (Magnate)
  • Right Media Exchange (Yahoo)
  • Smaato – mobile focused
  • MoPub (Twitter) – mobile-focused.

Using mobile attribution to improve ad exchange activities

Using attribution data, mobile advertisers can gain valuable insights into the effectiveness of their ad exchange purchases. It provides you with authoritative, indisputable data that allows you to allocate your budget better and optimise your app's performance, ROAS, and LTV.



Important takeaways

Using attribution data, mobile advertisers can gain valuable insights into the effectiveness of their ad exchange purchases. It provides you with authoritative, indisputable data that allows you to allocate your budget better and optimise your app's performance, ROAS, and LTV.



• It contributes to making the process of buying and selling ad space more efficient and transparent while also increasing profitability: Advertisers reach out to their valued target audience at the right time and in the most relevant, data-driven context, while publishers get the best price for their ad space.

• An ad exchange can analyse real-time data from various sources: Users' mobile identifiers, time of day, device type, ad position, demographics, and purchasing behaviour are all used to determine whether to bid on the impression and how much to bid on it.

• It enables advertisers to buy ads across multiple sites at once: As opposed to directly negotiating purchases with specific publishers. An ad exchange provides a more efficient and transparent solution for buying and selling digital advertising in an increasingly complex and dynamic advertisement market.

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Assisted installs

Assisted instals are app instals due to multiple user touchpoints along the path to installing an app. These touchpoints (clicks and views) preceding the final installation are called "assists."



The advantages of comprehending the entire user journey include

Marketers can see the entire user journey, including assists and the final touch, i.e. the last click before the user downloads, using a method known as multi-touch attribution.



The installation is credited to the media source where the last touch occurred. Two things happen as a result of this credit, or attribution:



  • The media source is compensated.
  • The app marketer understands where the instals are coming from, but the media source that received the credit did not do it alone.

Assisted install data is also essential in the fight against fraud because it aids in the detection of click flooding and clicks hijacking.

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App-ads.txt

App-ads.txt is a text file that app developers/publishers add to their developer websites to list vendors authorized to sell their inventory. It assists participating players in overcoming various programmatic advertising limitations, such as a lack of transparency and security.



What exactly is app-ads.txt?

App-ads.txt is a tool for app developers and publishers to authorize specific ad networks and supply-side platforms (SSPs) to sell their inventory. It was formerly known as Authorized Digital Sellers for Mobile Apps.



It's a text file containing a list of legitimate ad tech vendors who have been granted permission to sell the publisher's digital ad inventory.



Publishers can upload the app-ads.txt file to their developer website, while developers can crawl it and evaluate the app-ads.txt file. As a result, they can accept bid requests from the ad networks and SSPs listed in the file.



In November 2018, the Interactive Advertising Bureau (IAB) Tech Lab announced the release of app-ads.txt, which was also an extension of the ads.txt file to the mobile in-app and OTT advertising world, to improve transparency between buyers and sellers in programmatic advertising.



Because it provides numerous benefits to publishers and advertisers, app-ads.txt is supported by several well-known app stores, including Google Play and the Apple App Store.



How does app-ads.txt function?

Developers of mobile apps upload the app-ads.txt file to their developer website. They can also use online app-ads.txt hosting platforms to upload it for them. The developer website URL is then included in each app store listing.



Buyers and advertisers can search individual app stores to find the developer's website for a specific app. Advertisers can crawl the developer website once they have the URL to identify vendors authorized to sell the publisher's ad inventory, which comes in handy when deciding whether to accept or reject bid requests from an ad network or SSP.



The top four advantages of app-ads.txt

The goal of app-ads.txt is to prevent unauthorized sales of in-app ad inventory, which has several advantages for advertisers and publishers.



1 - Increased security The most significant advantage of app-ads.txt is that it aids in the reduction of ad fraud. While programmatic advertising is quick and efficient, it reduces direct communication between buyers, sellers, and ad tech vendors. Bad actors take advantage of this to sell unauthorized inventory and fake impressions.



The following are the most common issues with digital advertising:



  • Unauthorized reselling entails third-party resellers selling ad inventory with no knowledge of the seller. It results in underpriced lists and revenue loss for publishers.
  • Counterfeit inventory - Fraudulent ad tech vendors deceive buyers by claiming to have access to a list that they are not authorized to sell. As a result, advertisers accept bid requests for fake inventory.
  • Domain spoofing occurs when bad actors impersonate a legitimate publisher's app and claim to sell their inventory, such as fraudulent ad networks or SSPs. It defrauds sellers of revenue while duping advertisers into spending on forged merchandise.


Furthermore, app-ads.txt ensures that publishers do not lose valuable revenue due to underpriced inventory and domain spoofing. Instead, they have complete authority over who sells or resells their merchandise.

2 - Greater openness and trust Advertisers can use app-ads.txt to validate an ad tech vendor's claims. They can go to the publisher's developer website to see if a vendor can access their inventory, making the ad buying and bidding process more transparent.



Furthermore, modern advertisers regard app-ads.txt as a sign of credibility and dependability. As a result, publishing the file on their developer website will assist publishers in gaining the trust of advertisers.



3 - Ensured brand safety: Using app-ads.txt ensures that an advertiser's campaigns are based on legitimate and relevant advertisements. It safeguards their brand's reputation and increases their chances of reaching their target audience at the right time.



On the other hand, publishers can rest assured that bad actors will not be able to plagiarise their apps, nor will vendors be able to claim access to their inventory without prior authorization. It aids publishers in enhancing their reputation and trustworthiness.



4 - Increased revenue: The proper implementation of app-ads.txt removes the need for publishers to be concerned about revenue loss due to plagiarised apps or forged inventory. Instead, they can seize every dollar an advertiser spends on their list.



Similarly, app-ads.txt reduces the risk of advertisers falling prey to deceptive ad tech vendors and the risk of losing valuable advertising dollars due to bogus impressions and clicks. Finally, it boosts the performance of their campaigns and assists them in achieving a higher return on ad spend (RoAS).



Example of app-ads.txt

  • The domain of the ad system
  • The ID of the publisher's account
  • Type of account/relationship
  • The ID of the certificate authority

Here's an example of an app-ads.txt record:



Google.com, pub-00000000000000000000, DIRECT, f08c47fec0942fa0

Let's take a closer look at each of the app-ads.txt records:



The domain of the ad system-

The buyer will use the canonical domain name of the advertising system (or ad network) to access the publisher's inventory. If a publisher, for example, wants to authorize Google's ad network to sell their inventory, the ad system domain can be "Google.com."



The ID of the publisher's account-

In the advertising system, a unique identifier is associated with the publisher's or reseller's account. In the preceding example, the publisher account ID is "pub-00000000000000000000."



Type of account/relationship:

In this case, "DIRECT" indicates that Google's ad network will offer the publisher's inventory directly to interested buyers, and "VENDOR" denotes the seller's relationship with the vendor. The publisher can label a vendor as "direct" or "reseller," depending on whether the vendor sells inventory through third-party resellers.



Publishers should not include any vendor in their app-ads.txt file unless they or their partners have a relationship with them.

The ID of the certificate authority

A one-of-a-kind identifier that identifies an advertising system (or ad network) within a certification authority. In the preceding example, the certificate authority ID is "f08c47fec0942fa0."

App-ads.txt implementation

App-ads.txt is a simple and easy-to-use tool. However, its performance must be flawless for advertisers and publishers to reap the most significant benefits.



For example, registering a domain name and hosting the developer's website is required before you can use the file. Similarly, developers/publishers must check for naming errors in the.txt file.



An overview of the steps involved in app-ads.txt implementation follows:



  • Every app store listing includes the developer's website URL
  • The publisher contacts various vendors (ad networks and SSPs) and requests their app-ads.txt record, which should include the following information: ad system domain, publisher ID, account type/relationship, and certificate authority ID.
  • The publisher creates a file in Notepad or another text editor that contains individual app-ads.txt records from various vendors. Each paper is usually entered on a separate line. The file is saved with the name "app-ads.txt."
  • The developer places the file in their root domain (for example, "https://example.com/app-ads.txt").
  • By consulting the IAB guidelines, publishers can learn more about creating and implementing app-ads.txt.


Important Takeaways

  • The IAB created app-ads.txt as a simple tool to prevent ad fraud and improve transparency in programmatic advertising. The benefits of ads.txt are extended to the mobile in-app and OTT advertising ecosystems.
  • It contains a list of ad networks, and SSPs permitted to sell a publisher's app inventory. The file is available on the corresponding developer website, and advertisers can use it to decide whether to accept or reject vendor bid requests.
  • Implementing app-ads.txt correctly provides the following advantages:
  1. Transparency and trust have improved.
  2. Reduced counterfeit inventory and domain spoofing risk
  3. Minimal advertising revenue loss as a result of unauthorized reselling.
  4. Increased ROI for advertisers
  5. Brand security is guaranteed.
  • A publisher/developer must ensure that each record is formatted correctly. This can help publishers, and advertisers get the most out of programmatic advertising.
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APP STORE ANALYTICS

App store analytics provide app owners with valuable information about their app's success.



What exactly is app store analytics?

You can access two types of data:

App stores provide essential insights, and third-party tools provide advanced analytics.



Basic app store analytics with KPIs (key performance indicators) such as downloads, rankings, device type, geography, and revenue is a good starting point for beginners.



You can compare your app to the competition and use multiple slicers and filters with more robust third-party analytic tools (e.g., App Annie, Sensor Tower).



You can also track key performance indicators like revenue, downloads, updates, rankings, reviews, and rank per keyword.



Advanced app store analytics offers competitive and vertical analysis, detailed reports, and aggregated data per store, which is essential if you have multiple apps or app versions.



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AD UNITS

Ad units are placeholders that display advertisements to users to monetize app or website traffic. They contain code that calls ads from ad servers to display ads in various formats within a platform.



What exactly is an ad unit?

Ad units are coded containers used by developers to display different types of advertisements within an app or website. Numerous ad formats, placements, and styles can be used within each ad unit, with different results depending on the context.



Formats for ad units

Not all mobile advertisements are created equal. Some may be text-only, while others may be more interactive. Mobile ad units come in various formats, each of which is uniquely effective in its way. Here are some of the most common:



Banner ad unit: Rectangular ads appear at the top or bottom of the app and are refreshed at predetermined intervals. This is one of the most common and easiest to implement types of mobile ad units. Text, image-rich media, and video can all be included.

Overlay ads with a companion: Responsive advertisements appear in the middle of a desktop or mobile screen and expand when an interaction occurs. If a user clicks on the ad after it has been closed, it can be minimized and raised again.

Overlay slider ads: Ads that slide up from the bottom of the screen to fill the entire screen and only expand when clicked. This is available on both desktop and mobile platforms.

Native ads: They are highly customizable ads that mimic your app or website's natural look and feel. Native ads work well with long-form written content and can be created as image or video ads.

Ad units: That gives users in-app rewards after they complete a survey, play a game, or watch videos in the form of video ads or interactive ads are referred to as rewarded ad units. This encourages users to interact with apps and earn rewards.

Non-rewarded video ad unit: Ad unit with video and audio content. Video ads frequently appear on banners and begin muted. There are six types of video advertisements:

  • Bumper ads: Short and short videos that occur before, during, or after another video with no option to skip.
  • Skippable in-stream ads: videos that play before, during, or after another video. A few seconds after the video begins, users are given the option to skip it.
  • Non-skippable in-stream ads: videos that play before, in the middle of, or after another video that the user cannot skip. These videos are frequently kept short of providing a positive user experience.
  • Outstream ads: Mobile-only video advertisements that play automatically but without sound can be unmuted. These advertisements appear in banners, in-feed, natively, and as interstitials.
  • In-Feed Video: Video ads that appear in search results or content feeds are known as in-feed video ads. These advertisements frequently increase video views by encouraging users to click on the video thumbnail.
  • Masthead advertisements: These are big featured videos that appear at the top of a website, such as the YouTube homepage

Playable ad unit:

A mobile advertising format where users can play micro-games or short snippets of gameplay. They are divided into three sections. The tutorial comes first and quickly demonstrates the game's key mechanic. Conversely, the gameplay provides a preview of the game within 10-20 seconds. Finally, there is an end card with a clear call to action asking users to install the game.

Interstitial Ads:

They are apparent and command the user's full attention. Interstitial ads float in the middle of the screen on a desktop and take up the entire screen on mobile devices.

Audio ads:

Audio-only ad units that focus on the user's auditory experience provide a less intrusive ad experience than other formats and are popular with audio platforms such as Spotify and Amazon Echo.

Offerwall ad unit:

A mobile ad unit that displays in-app rewards for completing an offer or engaging with an ad. Users have complete control over when they want to interact with offerwalls, resulting in a positive user experience.

Text ad unit:

Text ads are primarily used on search platforms such as Google and Bing to advertise a product or service. There is no rich media included.

Ad placement and units

Ad placements are a group of specific ad units created by the publisher to determine where an advertiser's ad can appear. Ad placements, whether in a mobile app or on a website, are critical for showing suitable ads to the right audiences in an organized manner.



To find the best ad placements, ensure you have a clear goal, optimize your ad sizes, and test out different ad unit combinations.



Common ad unit sizes

Mobile banners:


  1. 320×50 – Banner for Phones and Tablets
  2. 320×100 – Large Banner for Phones and Tablets
  3. 300×250 – IAB Medium Rectangle for Phones and Tablets
  4. 468×60 – IAB Full-Size Banner for Tablets
  5. 728×90 – IAB Leaderboard for Tablets

Display banners:


  1. 300×250 – Inline rectangle
  2. 320×50 – Mobile leaderboard
  3. 320×100 – Large mobile banner
  4. 250×250 – Square banner
  5. 200×200 – Small square banner

Largest performing ad sizes for Google:


  1. 300×250 – Medium rectangle for desktop
  2. 336×280 – Large rectangle for desktop
  3. 728×90 – Leaderboard for desktop and tablets
  4. 300×600 – "Half page" banner
  5. 320×100 – Large mobile banner

Important Takeaways:

  • Ad units are placeholders in an app that display advertisements to users. They contain code that fetches ads from ad servers and displays them in various formats within the app.
  • Ad units are organized into placements.
  • Ad units are classified into 11 types: banner, overlay, slider, native, rewarded, video, playable, interstitial, audio, offer wall, and text.
  • According to Google, the most effective ad sizes are 300250, 336280, 72890, 300600, and 320100.
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BOTS

In the broadest sense, a bot is an autonomous programme designed to perform pre-defined tasks over the internet. While bots typically perform simple tasks, these software programmes have evolved to handle increasingly complex tasks - both good and bad.



What exactly are bots in mobile fraud?

Mobile fraud bots can run on real mobile devices. Still, they usually run on servers, simulating specific tasks like ad clicks, instals, and in-app engagement while masquerading as legitimate users.



Malware on a user's device can also be identified as a bot.



These malware programmes generate bogus ad impressions, fraudulent clicks, and in-app engagement, leading to fake in-app purchases without the user's knowledge.



How do bots function?

Server-based bots will operate through emulators (device simulating software) by mimicking an active user's behaviour, interacting with ads, completing app installation funnels, and sometimes even reaching a profound in-app event.



These programmes constantly refresh their metadata, observe and learn user behaviour patterns, and apply them in their activity to avoid being detected by fraud detection solutions.



IP blacklisting is frequently used to block server-based bots; however, fraudsters have learned better to conceal their activity behind new, non-blacklisted IPs, necessitating constant updates in blacklists and advanced solutions for fraudulent IP detection.



Device-based bots may employ a technique known as SDK mimicking (also known as SDK spoofing), in which App A attempts to impersonate App B by sending false click, install, and in-app event reports on its behalf.



Apps with open source SDKs or low-security measures are more vulnerable to such attacks because their SDK is easier to breach, mimic, or reverse engineer.



How do I stop mobile fraud bots?

SDKs with a closed source ascertain that your attribution provider's SDK is based on closed source technology. Secure source SDKs are significantly more difficult for fraudsters to unpack and simulate than open source SDKs because their code is not exposed openly for anyone to review and reverse engineer. Check all SDKs used in your app; if some of them use open source technology (particularly attribution SDKs), this could be a security breach.



SDK security measures such as hashing or unique tokens aid in the real-time blocking of bot activity. Using the most recent SDK version of your attribution provider ensures you have the most recent security updates and are up to date on known bot tactics.



Identify behavioural anomalies, such as high install densities that follow identical or programmatic, non-human behavioural patterns. Protect360 employs a proprietary behavioural anomaly detection solution that automatically blocks non-human traffic sources.

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BLACK LIST

In the world of mobile fraud, a blacklist is a database of known fraud signal providers.



What exactly are blacklists?

Any publisher or source whose behaviour matches known fraud patterns is flagged as mobile fraud and, where possible, blocked.



Many anti-fraud solutions purchase or maintain their blacklists of known fraud Device IDs, bot signatures, and IP addresses.



When a source is added to a blacklist, all clicks and instals from that source are automatically blocked.



What is the significance of blacklists?

Criminals can quickly and cheaply change their IP addresses and Device IDs, avoiding the real-time protection of most blacklists.



Furthermore, only data providers with massive, real-time databases and advanced machine learning capabilities can quickly and efficiently identify fraudulent devices and IP addresses, providing meaningful real-time protection.



Similarly, many fraud providers blacklist only a few bot signatures because developing the necessary bot signature database requires massive resources.



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BID REQUEST

A bid request is a code used to sell display advertisements and inventory information. It enables visitors to see most relevant ads and multiple advertisers to use the same ad spot on a given publisher's platform.



What exactly is a bid request?

Computers process data and make decisions at breakneck speed. The exact ads on the page aren't determined with bid requests until visitors arrive at the app or website. When they do, an automatic bid request is generated to provide information about available impression inventory and consenting visitor demographics (age, gender, location, visited websites, etc.).



This programming language is used for header bidding, exchange bidding, and real-time bidding (RTB).



Is it necessary to bid in real-time for all ad spaces?

Advertisers who want to use programmatic advertising without the risks of real-time automated buying can use programmatic buying. Because it guarantees the location and context, programmatic buying works well for high-cost premium display formats.



However, because it does not send out bid requests for each visitor, it can only project an expected audience. As a result, it cannot guarantee that visitors will always fall within the ad's target audience.



What is the purpose of bid requests?

Bid requests aid in quickly retrieving the most relevant ad for the current visitor.



A bid request, for example, could be used to target users who recently visited your or a competitor's website or app. Ad exchangers' information about web visitors, such as cookies, tags, and pixels, and the platform (inventory details and number of impressions), as well as app users' information, such as IDFA, will be included in bid requests.



A company could also avoid advertising to segments of the audience who had recently purchased by using bid requests, instead focusing on new leads for a brand awareness campaign.



The benefits and drawbacks of using bid requests to place advertisements

Real-time bidding allows websites and platforms to display ads based on their visitors rather than a one-size-fits-all placement based on the web page.



Advertisers can buy and sell ad inventory per-impression basis, targeting their audience with real-time data and setting parameters for specific campaigns or ad priorities.



However, there is concern that advertisements will be placed in inappropriate locations. Algorithms, keywords, and information gleaned from bid requests may not always be accurate. Certain ads may not fit into the page's content well without human input, resulting in an insensitive or tasteless contrast.



To avoid this, advertisers must understand the risk of misplacement and consider potential pairings that could harm their campaigns.



Real-time bidding works best for ads that appeal to broad audiences and cannot be easily paired with content that alters their meaning. Narrowing the campaign parameters may help reduce misplacements by limiting the number of sites or content types qualifying for a bid.



How does it work in practice?

The bid request is generated as soon as a user visits a web page or launches an app, and it pulls various data points based on the consenting user, page, and site analytics. This data is then sent to an ad exchange, which is shared with advertisers.



Advertisers place real-time bids for ads they have ready and waiting based on the context provided by the bid request. An ad server selects the highest bid and immediately puts the winning ad on the page.



The entire process takes less than a second while the page is loading.



What information does a bid request contain?

The bid request code tries to gather as much relevant information as possible to pass on to potential advertisers. The following are some examples of data that can be obtained from a bid request:



  • The time of impression indicates when the user actively sees the advertisement.
  • User demographics provide any information about the consenting user that is known (gender, age, etc.).
  • Browsing history includes information about previous websites visited to help advertisers target ads based on potential interests.
  • The consenting user's geolocation can aid in determining relevance for shopping apps with limited reach or service areas.
  • Page data, including content and analytics pertinent to ad value.
  • User-level data provides valuable information for remarketing or unique ad views when applicable.

Not every bid request will be able to collect all of the necessary information about each visitor. When unavailable data, such as iOS 14+ non-consenting users, may affect which advertisers compete for the ad spot.

For example, an ad targeting local customers may not attempt to win the bid for a visitor who does not have any location information.

Important Takeaways

Bid requests enable advertisers and publishers to negotiate a mutually beneficial ad spend agreement.



The information gathered allows the advertiser to target their ideal audience, but it also assists the publisher in making the most of each ad spot. Bid requests allow publishers to accept the highest bid and increase the value of the ad spot for the advertiser.



So, to summarise, here are the critical points about bid requests and real-time bidding:


  • Bid requests enable real-time bids for digital or mobile advertisements from web pages or apps.
  • Open auction (or real-time bidding) in programmatic advertising allows companies to target their audiences rather than pay for a specific site's placement.
  • Bid request information assists advertisers in reaching out to specific audience groups who are more likely to be positively influenced by their ads.
  • Bid requests allow for a more personalised experience for the audience by displaying ads that correspond to their behaviour or interests.
  • Bid requests are received almost instantly, allowing for real-time bidding. The publisher approves the highest bid for each spot, and the viewer enjoys a seamless loading process with targeted ads.
  • Advertisers control the real-time bidding process and can set parameters such as focusing on critical information or spending limits.
  • Ad mismatching, insensitive placement, and other issues are possible when computer programmes rather than humans run the ads. If there are any potential threats, the parameters should be carefully considered, as should how poor placement can be avoided.
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BIASED ATTRIBUTION

Is your marketing budget immune to attribution bias? See examples and learn how collaborating with an MMP can help you protect your data from erroneous attribution.



This is known as biased attribution, when a paid advertising platform or ad network is incentivized to attribute traffic to itself over a competitor. This attribution bias occurs when the network serves as both a source of traffic and conversions and a measurement provider. App marketers in charge of mobile attribution should be wary of bias affecting their campaigns.



Four examples of erroneous attribution:

Most app marketers now work across multiple ad platforms to achieve their user acquisition goals. Misattribution is common when marketers do not have an attribution partner, confusing campaign metrics and budgets. Four of the most common examples of biased attribution are provided below.



Bias in the market

This attribution bias occurs when a user is already looking for an app and may have installed the app without seeing the advertisement. In this case, however, the ad will still receive credit for the attribution, even if it did not influence the user's decision to install.



Bias toward low-cost inventory

This term refers to misattribution, which occurs when one campaign ad performs better than another due to a lower-priced product. However, the ad may be superior in creativity and design rather than the lower-priced product driving conversion.



Bias based on correlation

This is most likely the most common type of attribution bias. The assumption that an event in the customer journey caused a subsequent event when they are not truly connected is known as correlation-based bias.



Bias in digital signals

Digital signal bias can occur if the online and offline activity is not considered. You have a digital signal bias when your attribution model fails to account for the relationship between offline sales and online training.



The Risks of Using a Biased Attribution Platform

As an app marketer, your marketing decisions and budgets can be skewed if you rely on a biased attribution platform to provide clean attribution. We've highlighted a few features of these platforms that demonstrate why they shouldn't be your sole source of attribution measurement.


They're…biased:

If an attribution provider sells media, services, or products to ad networks, they are not independent and cannot be relied on to protect your data. When an attribution provider has a financial relationship with a privately held media company, there is an unavoidable conflict of interest.


They frequently sell data:

One of the primary sources of income for attribution providers is the sale of their client's data. Before partnering with an attribution provider, learn how they are funded and what they do with the data they collect for you. Adjust, for example, does not sell data and prioritizes client and user privacy.



They do not combat fraud:

Because biassed attribution platforms frequently provide both the source and measurement of traffic, they are less likely to report fraud or invest in prevention systems. Reporting fraud reduces the traffic to reporting, lowering the revenue that a biased attribution could earn.



How can marketers avoid attribution bias?

The simplest way to obtain data free of attribution bias is to collaborate with a neutral, third-party mobile measurement platform (MMP). MMPs act as a bridge between networks and app developers, analyzing traffic and determining the validity of each engagement and install. To ensure data integrity, MMPs also use anti-fraud solutions.



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BROADCASTER VIDEO ON DEMAND (BVOD)

Broadcaster Video on Demand (BVOD) refers to on-demand video content from traditional broadcasters that includes high-quality, professionally-produced online and on-demand content.



What exactly is BVOD?

BVOD is a growing video delivery model that refers to video content produced and published by traditional broadcasters that is available online and on-demand.



Although BVOD provides high-quality content to viewers for free, most BVOD platforms include advertisements in their content to generate revenue.



During the pandemic, BVOD usage has skyrocketed among both viewers and advertisers. Because it has several advantages over other forms of video on demand and traditional TV, it has grown in popularity in countries such as Canada, Australia, and the United Kingdom.



Important BVOD providers

Various established broadcasters have developed BVOD offerings, with BBC iPlayer being one of the most widely used examples.



It provides internet users access to content from various BBC channels, and unlike other BVOD platforms, iPlayer does not include commercial advertisements for viewers in specific regions.



Other BVOD providers include NBCUniversal's Peacock, Hulu, Pluto TV, and Sling TV.

The rising popularity of BVOD

BVOD has grown in popularity as a method of delivering high-quality content.


According to a recent study, linear TV and BVOD will reach more than 90% of the UK's adult population each week in 2021, accounting for nearly 26% of broadcaster viewing among 16 to 34-year-olds.



However, the surge in BVOD adoption is not surprising. It allows viewers to watch high-quality TV shows and films on any device of their choice, such as their phones, tablets, or computers.



Even better, instead of being limited to predetermined programming on linear TV, viewers can access their preferred content anytime, making BVOD an excellent choice for cord-cutters and cord-nevers.



The Advantages of BVOD Advertising

As more viewers embrace it, BVOD is attracting the attention of advertisers. Due to it, advertisers and publishers will have an excellent opportunity to enter the thriving CTV advertising landscape.

For example, global CTV ad spending has increased rapidly and recently surpassed the $20 billion mark. Similarly, BVOD revenue reached $363 million, an increase of 67.8% yearly.

But what exactly is BVOD advertising?

BVOD advertising, in its most basic form, refers to the placement of commercial ads in on-demand content from traditional broadcasters, and it provides the following advantages over other forms of CTV and linear TV advertising:



1 - Precise targeting-

One of the most significant advantages of BVOD is that it allows advertisers to choose their target audience based on various parameters such as content genre, location, language, gender, demographics, and so on.

The best part is that advertisers don't have to rely on third-party data and instead have access to first-party data from the BVOD platform's broadcasters/publishers. This ensures their advertisements reach the intended audience, maximizing their campaigns' return on investment (ROI).

Unlike traditional TV advertising, where brands are limited to creating generic ads for a larger audience, advertisers can deploy multiple campaigns on the same platform to resonate with specific audience segments.

2 - Broader reach-

BVOD allows advertisers to reach out to niche audiences such as cord-cutters and smartphone users. These segments would not have been accessible through traditional TV advertising, which is especially advantageous for brands looking to reach tech-savvy younger generations.

3 - Ensured brand safety-

AVOD (advertising video on demand) and BVOD both deliver ad-supported content, but BVOD gives advertisers more control over where their ads appear.

Furthermore, content on BVOD platforms is of high quality because it comes from well-known and respected broadcasters. This means advertisers don't have to worry about associating themselves with inappropriate or offensive content, which helps them maintain their brand image and reputation.

4 - Improved ad performance-

Think Premium Digital's recent research shows that BVOD advertising outperforms video advertising on other digital channels. For example, it provides 1.3x better recall than YouTube ads and 4.7x better memory than Facebook video ads.

According to data, ads on BVOD platforms are more popular than those on YouTube, Facebook, and other online channels.

BVOD ads have a 15% higher likeability than short-form YouTube content, making BVOD advertising superior to other digital advertising — by increasing audience engagement.

6 - Increased adaptability:

Unlike traditional TV, BVOD platforms allow advertisers to track campaign performance and access a wealth of data and analytics about audience behaviour and engagement.

This allows advertisers to track key performance indicators (KPIs) like click-through rates (CTR) and view-through rates (VTR), which they can then use to tweak their campaigns and maximize their return on ad spend (ROAS).

What is the distinction between BVOD, SVOD, TVOD, and AVOD?

Advertisers and publishers in the CTV landscape are frequently overwhelmed by different types of video-on-demand. Let's take a closer look at the most important ones:


Subscription video on demand (SVOD)-

SVOD provides viewers access to high-quality video content for a monthly or annual subscription fee, assisting content publishers and streaming service providers in retaining users and building a loyal subscriber base. Netflix and Amazon Prime Video are two popular SVOD platforms.



Transactional video on demand (TVOD)-

TVOD does not require users to pay a subscription fee to sign up for the platform but rather to purchase or rent various films and shows for a fee. Google Play Movies & TV is one such example.



Ad-supported video on demand (AVOD)-

AVOD provides viewers free access to all films and shows on the platform. Users must watch commercial ads before or during a video to enable monetization.



YouTube is one of the most well-known AVOD platforms; others include Peacock, Pluto TV, and Facebook Watch.

Important Takeaways

  • BVOD platforms allow users to stream content created by well-known TV broadcasters and provide viewers with free access to professionally produced content. Sling TV, Peacock, and Pluto TV are examples of BVOD providers.
  • Unlike traditional TV, BVOD allows users to access their favourite content from any location and device, but they must watch advertisements before or during a video.
  • Advertisement on BVOD platforms is an excellent choice for advertisers seeking precise targeting, improved ad performance, improved brand safety, expanded reach, and zero ad fraud.
  • The rapid adoption of BVOD among advertisers and audience segments has made it an excellent option for OTT platforms and content publishers, allowing advertisers to access a wealth of data that help them measure and improve their campaigns.
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BRAND SAFETY

Brand safety is a digital marketing definition that refers to channels and practices designed to assist advertisers in avoiding any placement or context that may potentially harm the advertiser's brand or reputation.



What exactly is brand safety?

This term typically refers to channels that do not contain sexual content, violence, hate speech, or other potentially harmful content.



What is the significance of brand safety?



Brands are highly concerned about how they are represented.



Because fraudsters are always looking for loopholes and market gaps to exploit to make a more significant profit, they will frequently try to place sensitive brand-safe campaigns offering higher payouts in non-brand-safe placements, which are usually cheaper.



This is where domain or app mimicking may come into play. Fraudsters will use their names and occupations to present low-quality placements as high-quality, manipulating server messages.