Mobile App Marketing Strategies For 2014 And Beyond. Steve Bagdasarian VP of Business Development July 10, 2014

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1 Mobile App Marketing Strategies For 2014 And Beyond Steve Bagdasarian VP of Business Development July 10, 2014

2 About Fiksu 800 CLIENTS 2300 APPS 300% YEAR OVER YEAR GROWTH 260 PEOPLE 3 CONTINENTS Global Footprint: 8 worldwide offices in Boston, San Francisco, Europe, and Asia. Clients include: Leading ecommerce brands World-class brand marketers 40 of the top 50 grossing apps

3 Agenda The Opportunity: $100B The Challenges Best Practices for Success Case Studies Summary & Your Questions

4 $100 Billion Dollar Mobile App Economy 75% of adults pick up their smartphone within 15 minutes of waking up Smartphone owners check their devices 150x / day 2013 mobile app revenue Fiksu estimate: $38 B 2B smartphones expected to ship in 2014 vs. 300M PCs Mobile: over 50% of transactions on Amazon, Gilt, Groupon, and more; 75% of Facebook and Twitter usage Apple and Google Play app store downloads topped102 billion in 2013 $92 billion in revenue will be generated by mobile apps in 2018 ABI Research, March 2013 Gartner Dec 2013 Various GARTNER Sept 2013 ABI Research, March 2013

5 Consumers Prefer Apps Apps 87% Mobile Web 13% Source: Nielsen

6 Mobile Apps Strategic Advantages Multi-event marketing Pre-download Impression, click, App Store landing page >>> download Post-download Persistent device presence Immersive in-app experience & engagement Ongoing push notifications Overall Undervalued Consumer-preferred Growing

7 Consumer Electronics Cost per Desktop Click $1.36 Cost per Download $0.57

8 Quick Serve Restaurant Cost per Desktop Click $0.85 Cost per Download $0.24

9 Consumer Packaged Goods Cost per Desktop Click $.50 $.78 Cost per App Engagement $.02 $.07

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13 Mobile Minded Brand: Coca-Cola Created a Mobile Center for Excellence Collaborate and create best-in-class mobile marketing programs Share and learn best practices Evolve their strategic approach to mobile Multi app strategy Thematic Regional Opportunist programs Branded app for London Olympics Well integrated into larger marketing efforts

14 Brands Embracing Mobile Apps Significant part of business Large Marketing Investment Significant Acquisitions and Investments Mobile Ventures

15 The Challenges

16 Big Opportunity Big Challenges Consumers have never been more connected but it s never been harder to connect with them. Tom Daly, Coca-Cola 2.5M apps in Apple App Store & Google Play Average user: has 40 apps, but regularly uses only 15 (HARVARD BUSINESS REVIEW, MAR 2013) 20% of all app downloads are used only once (LOCALYTICS, JUNE 2014) Measurement & ROI: Is the biggest mobile marketing challenge cited 42% of survey respondents (FORRESTER RESEARCH, SEPT 2012) Fragmentation: a complex ecosystem full of disparate point products

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18 Mobile App Marketer s Dilemma Whether NEW to app marketing or a seasoned veteran, ALL face similar issues! The big question: How to succeed? How do I get loyal users - those most likely to monetize - at scale? What s the ideal ranking to achieve in the App Store? How do I achieve that rank? How much does it cost? Which traffic sources deliver the best results? How do I get visibility to my ROI?

19 Rank challenges Organic lift: organic downloads driven by ad spend Goals based on rank: Best cost/organic download Maximize volume Quality of organic users Key variables to track: Overall app rank Category, sub-category rank App ratings Rank # XX Cost > Benefit Op-mal ROI Insufficient volume

20 50% of all in-game revenue comes from 0.15% of players 61% of all in-app purchases happen on day one -- Swrve, Feb 2014

21 Success

22 Honestly, I probably spend $1,000 on apps a week. -- Shaquille O Neal

23 Starting Strategically Don t just dive in plan first. Consider: Tracking not as easy as desktop Metrics matter measure loyalty, not just users Success comes from using a wide range of channels Newer channels like Facebook and RTB are playing a larger role

24 Support All Forms of Attribution Apple Advertising Identifier, Android Referrer Digital fingerprint HTML5 cookie

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26 Take Advantage of All Mobile Media Channels Incentivized Non-Incent Networks & Aggregators RTB Exchanges Social Publisher Direct Example: Fiksu reaches 250 billion ios and Android impressions per month still hungry

27 Change is the Norm

28 Mobile App Install Ads On Facebook Audience size (1B+ users on mobile) Dedicated ad unit for apps - UA and retargeting And now, off Facebook as well Great initial results for many apps but ongoing success is harder

29 Dynamic Bidding Improves Results Before $0.95 After $0.74

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31 Targeting Options Demographics: region, age, gender, relationship status, education, new job, new home, expecting, just moved Interest options: sports, music, brands, interests, technology Facebook presence: target (or exclude) those who like your page, for example Custom audiences: s, Facebook IDs, or phone numbers can be targeted or excluded - Migrate existing customers In any combination

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33 CPI Stability + Volume Opportunism

34 Fiksu and RTB Industry-leading optimization algorithms to get the best performance across exchanges Wide array of targeting capabilities (geo, device, segment) 1.5 Broad access to inventory through all leading 1 mobile RTB exchanges (150K impressions 0.5 per second 10B+/day) 0 Spending ($B) Mobile RTB Ad Spending

35 Mobile App Promotion Ads On Twitter 75% of users accessing from mobile device Newly introduced, dedicated ad unit for apps Tailored Audiences Unique access to ads API and MACT

36 Case Studies

37 CASE STUDY: Quiz Up Partnered with Fiksu for Nov. launch Needed critical mass of users to support viral effects Used video, banner, RTB, and more 5.5M users within 1 month of launch CPIs around $1 Our marketing partnership with Fiksu gave us the promotional boost we needed to not only succeed but to dominate the games app category. Neal Ostrov, CMO, Plain Vanilla Games

38 CASE STUDY: SimplePrints by StoryTree Started Facebook campaigns in-house, challenged by scaling and maintaining Fiksu doubled volume while reducing CPIs 20% Able to take advantage of seasonality with increased spend In the five months we ve worked with Fiksu, our business has increased by 70%. Alex Oliveira, StoryTree

39 Takeaways $100 Billion Opportunity Superior Results Demands Marketing Tech

40 Fiksu: Unique Access To Inventory Media: 99% of available worldwide mobile media Fiksu Data Store: Over 250 billion in-app events FreeMyApps: World s largest rewards-based app and game discovery network 1.6 million unique users Facebook: Integration with Facebook: ad buying combined with Fiksu s optimization engine RTB: Integration with real-time bidding exchanges Single-Source: Centralized media buying and optimization

41 Thank You! Download free ebooks and white papers