App marketing costs reached a record high.
Mobile app marketer Fiksu has reported the cost for a loyal user – someone who opens an app three times or more – hit a peak level of $1.90 in August, which is up six per cent on $1.80 in July.
It claims there are two reasons for the spike:
1. Big brands are eager to spend their cash on securing users.
2. Marketers are planning ahead of Christmas and testing strategies early.
Groupon is one such name who is working with Fiksu in a bid to expand the adoption of its apps globally.
The Fiksu Store Competitive Index, which tracks the average daily download volume of the top 200 free US iPhone apps, saw a two per cent increase in August to 5.9 million daily downloads from 5.8 million in July.
Comparatively, there was a 46 per cent year-on-year growth between August 2012 and 2013.
Micah Adler, CEO, Fiksu, said: "Mobile is where marketers are competing today, especially as big brands and Madison Avenue get on board in the quest to reach consumers where they are most: on mobile.
"With marketing costs at a record high, and only likely to grow as the holidays approach, now is the time for mobile marketers to hone their campaign strategies – before the real competition starts."
Check out the charts below.