App Marketing Costs Reach All-Time High

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The cost of app marketing is at an all-time high, according to app marketing technology company Fiksu.

Boston-based Fiksu has been analyzing trends in app marketing for the last four years, and in June of this year, the Cost Per Loyal User Index (CPLUI) — which measures how much money brands spend to acquire regular users of their iOS apps — peaked at $2.23. According to Fiksu, a regular user is someone who uses the app at least three times.

The data suggests there's a correlation between the cost of marketing and the App Store Competitive Index, which tracks the aggregate volume of downloads for the 200 most popular free iPhone apps. The more people that download the app, the higher its rank in the App Store. This gives the app more visibility and more downloads, which in turn results in a lower marketing cost. Read more...

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