Professional Documents
Culture Documents
APPollo
We would like to thank the following, whose valuable contribution in the form of
insights, best practices and expert opinions has been instrumental in making this
playbook a worthy read:
Priori Data
Nielsen
eMarketer
Dean Gonsalves (VP Design, Robosoft Technologies)
Deepak Abbot (Senior VP - Product Growth, Paytm, Ex Getsmartapp.com)
Mohit Vijay (Product & Strategy Consultant, Reverie Language Technologies),
Prashant Dixit (VP & Business Head, VMAX)
Foreword
Dippak Khurana
And so the idea of Developers Compass to App Galaxy was born. Think of this as
a playbook that will help app developers win in the Indian app ecosystem. In our
interactions with app developers, we have often seen that they struggle with
questions around critical aspects of their apps business such as getting the app
idea and design right, taking it to the users it is meant for, engaging and retaining
them and maximizing its revenue. This playbook will serve as a handy guide, where
developers can find useful insights, best practices and tips & tricks that will provide
answers to many of these questions.
For those who are developing apps, this playbook brings all the insights required to
effectively market and monetize their apps and grow their app business. For the
budding app developers, it will serve as a guide in the journey from an idea to a
flourishing app business. We believe that not just the budding ones, but even
existing app developers can find something useful in here, especially when they are
in doubt or need to validate their app business strategy.
This playbook has been passionately put together with an aim to simplify an app
developers life. We hope you enjoy reading it as much as we enjoyed creating it for
you and what you find in here will stay with you through your journey.
Foreword
Contents
A Flourishing Indian Apponomy
Section 1:
Marketplace Strategy
A. Marketplace dynamics - apps & games
B. Download patterns - apps & games
C. Consumer usage pattern
D. Best practices among top 10 apps & games across genres
06
App Conceptualization
A. Doing market research
B. Developing an app idea
C. How to validate your app idea
19
Section 2:
Design & Development
26
A. The type of app that you should create (Native, Hybrid or a Web App)
B. Choosing the suitable IDE (Integrated Development Environment)
C. Popular game development engines
D. Popular crash testing and bug tracking tools
E. Popular user analytics tools
F. Popular app store analytics tools
Section 3:
App Distribution
A. Google Play Store
B. Third-party app stores
C. Company or app website
D. Mobile app discovery platforms
E. App review sites
39
APP
ollo
Contents
Contents
Continued
Section 3:
App Marketing
A. Organic User Acquisition Strategies
1. App Store Optimization
2. Social Media Marketing
3. Public Relations (PR)
4. Cross-Promotion
5. App Deeplinking
6. Referral Marketing
7. Other organic user acquisition strategies
B. Inorganic User Acquisition Strategies
45
56
APPo
llo
Section 4:
App Monetization
A. Monetization models available to app developers
B. How to select the right monetization model
C. Why app design and user experience is crucial to choosing the
suitable ad format
D. What app developers need to know when selecting an ad partner
E. What is an ad mediation platform
Contents
70
Prologue
APP
ollo
1.
2.
3.
4.
We are sure that this playbook will serve as a handy guide to the indie app developers
app lifecycle needs. It will also make for a worthy read for app developers looking to
validate their approach to tackling the various aspects of their apps lifecycle. Go on,
use this Developers Compass to unravel the secrets to your apps journey.
Prologue
11
ollo
P
AP
APPollo
A Flourishing
Indian Appon my
Before embarking on the journey to the app galaxy,
APPollo probed into the Indian mobile ecosystem to gather enough
intelligence that would help it prepare for its mission.
Heres APPollos account of its findings:
APPollo
244
204
168
Smartphone Users
in India (In Millions)
Source: eMarketer
2015
2016
2017
94%
3%
2%
1%
of the mobile
web traffic in India
comes from Android
2015 Smartphone
OS-wise Share of
Web Traffic (%)
Android
Windows
iOS
Others
Source: StatCounter
This made me wonder, If there are so many smartphone users around, they must
be using a lot of apps. So I looked at how Indian smartphone users go about using
apps.
100
USA
64
BRAZIL
27
INDIA
Source: Priori Data
I was right. Indian smartphone users access an astounding number of apps and
games on a daily basis. The booming Indian Apponomy (app economy) is a proof of
their ever-growing love for apps. I had to find out how big the Indian Apponomy
really was.
Marketplace Strategy
APPollos journey across India in search of a deeper understanding of the
Indian Apponomy revealed a lot about what kind of apps are popular in the
country and how people engage with apps. However, heres what APPollo
discovered about the marketplace dynamics of the app ecosystem in India:
I looked further into the Indian Apponomy, and I found distinct characteristics
of app users in the country. Their app choices determined how developers
offered their apps, the reach or engagement for these apps and the impact
that they could have on the developer's strategy.
APPollo
1. As of March 2016, Google Play Store had 4,92,553 apps to offer in India. Of these,
3,47,345 were apps while the number of games came up to 1,45,208
2. There are 2,07,706 app publishers in the country with 2.4 apps on an average per
publisher
3. At 4.8, the personalization category has the highest average number of apps per
publisher
4. Among games, simulation category has 3.2 games, the highest average number of
games per publisher
5. Among app genres, 'Business' has the highest number of developers publishing
apps of the genre as they hope to reach out to customers who are more willing to
pay for in-app purchases
6. One-touch games such as Subway Surfer, Fruit Ninja and Temple Run see higher
traction among users. As these games are typically found in the Arcade genre, it
sees the highest number of app developers publishing their apps
76
App
No.of
Apps
No.of
Publishers
Average No. of
Apps/Publisher
19,784
7,474
2.6
Business
21,780
14,416
1.5
3,429
1,941
1.8
Communication
12,625
8,920
1.4
Education
23,527
12,342
1.9
Entertainment
17,798
8,912
2.0
9,565
7,591
1.3
14,577
9,135
1.6
3,955
2,591
1.5
Lifestyle
20,374
9,997
2.0
12,492
8,481
1.5
Medical
12,734
7,194
1.8
16,588
7,182
2.3
11,909
6,996
1.7
Personalization
29,943
6,283
4.8
Photography
14,614
4,834
3.0
Productivity
13,772
10,407
1.3
9,923
7,171
1.4
13,002
9,283
1.4
9,867
1.6
APP Sub-category
Comics
Finance
Shopping
Social
Sports
Marketplace
16,030
Tools
19,876
12,702
1.6
16,721
8,920
1.9
7,529
5,110
1.5
Weather
4,798
2,745
1.7
Games
Marketplace
No.of
Apps
No.of
Publishers
Average No. of
Apps/Publisher
11,129
6,488
1.7
8,383
4,968
1.7
Arcade
16,473
11,880
1.4
Board
5,303
3,858
1.4
Card
5,036
3,153
1.6
Casino
5,262
2,246
2.3
Casual
20,003
9,135
2.2
Educational
9,973
4,888
2.0
Music
1,992
1,453
1.4
Puzzle
17,332
9,970
1.7
Racing
7,609
3,709
2.1
Role Playing
3,854
2,340
1.6
10,492
3,246
3.2
Sports
4,823
3,183
1.5
Strategy
5,129
3,779
1.4
Trivia
8,103
3,908
2.1
Word
4,312
2,792
1.5
GAMES Sub-category
Action
Adventure
Simulation
Wow! Their preference for certain app & game genres is vastly different from
users in other parts of the world! I believe that its not just the apps and
games that Indian smartphone users consume but their usage patterns that
would throw up some interesting facts about this Apponomy. I must find out
more!
4.35
Billion+
Downloads
2. Apps constituted 72% of the total downloads between FY2015 and 2016 while
games made up for the remaining 28%. Globally, apps constituted 59% of total
downloads while games made up for the remaining 41%.
3. 99% of the apps downloaded in India between FY'2015 and 2016 were Free or Free
with In-App Purchase (IAP)
a. Over 50% of game downloads were Free with IAP
b. Only 18% of app downloads were Free with IAP
10
App Download
Pattern
Total
Downloads
Free
(#)
(#)
Free w/IAP
(#)
(#)
Paid
(#)
26,885,146
71%
28%
1%
Business
39,785,440
79%
20%
1%
6,007,275
81%
19%
0%
394,151,877
57%
43%
0%
81,592,793
83%
16%
0%
204,239,360
86%
14%
0%
Finance
44,068,555
96%
3%
0%
42,154,736
80%
19%
1%
16,432,856
94%
5%
0%
Lifestyle
193,240,713
93%
7%
0%
44,947,271
83%
17%
0%
Medical
25,194,218
91%
8%
1%
123,226,811
66%
34%
0%
59,939,097
95%
5%
0%
Personalization
178,683,313
91%
8%
0%
Photography
353,620,084
84%
16%
0%
Productivity
212,682,895
77%
23%
0%
Shopping
209,402,487
98%
2%
0%
Social
134,724,083
85%
14%
0%
Sports
42,219,767
70%
29%
1%
Tools
395,813,110
86%
14%
0%
132,034,096
87%
13%
0%
111,867,066
87%
13%
0%
Weather
50,514,919
63%
36%
0%
APPS Sub-category
Comics
Communication
Education
Entertainment
11
Game Download
Pattern
Total
Downloads
Free
(#)
(#)
Free w/IAP
(#)
(#)
Paid
(#)
163,323,210
39%
60%
0%
44,761,266
67%
32%
1%
Arcade
112,247,347
40%
59%
0%
Board
12,290,201
77%
22%
1%
Card
19,911,937
69%
30%
1%
Casino
18,891,811
14%
85%
0%
Casual
156,534,932
50%
50%
0%
Educational
29,455,646
56%
44%
1%
Music
15,856,878
49%
51%
0%
Puzzle
79,953,870
52%
47%
1%
Racing
170,097,911
44%
55%
0%
27,563,373
40%
59%
1%
Simulation
111,923,550
56%
43%
0%
Sports
138,048,884
52%
47%
0%
Strategy
62,069,129
58%
42%
0%
Trivia
21,447,559
44%
56%
0%
Word
45,599,586
61%
39%
0%
GAMES Sub-category
Action
Adventure
Role Playing
So many free apps! Unlike some other Apponomies of the world, the Indian
Apponomy is surely a Free one. However, just because they come free, do
Indian smartphone users love these apps and games more? How long do these
apps keep them engaged? I was about to find out.
12
1. App developers wanting to make apps with mass appeal should focus on the
following genres:
a. Within apps, Tools have the highest reach among app users at 98%,
followed by Video Players & Editors (88%) and Productivity (83%)
Note: Despite high reach, the Communication & Social genre has been
excluded as it is dominated by a few big players and any new player will need
significant budgets to compete against them
b. Among game genres Casual Gaming has the highest reach at 33%, followed
by Arcade (28%), Action (25%) and Racing (21%)
a. Within gaming genres, Casual, Role Playing and Strategy games have
much higher engagement compared to others
b. Games with longer session length or time spent will have higher chances of
monetization through in-app purchases and ads
APPollo
12
13
App Usage
Average Session
Average No.
of Sessions Per Length By Users
(Min/Session)
Day By Users
APPS Sub-Category
Reach
(%)
Time Spent
Per Day By
Users (Min)
34%
1.2
0.7
1.8
Business
45%
1.3
1.3
1.0
Comics
0.4%
2.3
0.4
5.7
Communication
99%
58.2
52.8
1.1
Education
29%
2.1
1.1
1.8
Entertainment
78%
2.8
2.9
1.0
Finance
40%
2.1
2.1
1.0
14%
0.7
0.8
0.8
2%
0.5
0.5
1.0
Lifestyle
67%
2.7
3.2
0.9
25%
1.1
1.3
0.8
7%
0.7
0.5
1.3
70%
3.2
2.9
1.1
41%
4.1
2.6
1.5
Personalization
26%
2.3
21.0
0.1
Photography
59%
2.8
2.5
1.1
Productivity
83%
4.4
6.9
0.6
Shopping
76%
6.1
5.1
1.2
Social
86%
17.4
10.6
1.6
Sports
20%
5.5
4.9
1.1
Tools
98%
11.9
14.4
0.8
66%
1.5
1.3
1.2
88%
14.7
4.1
3.6
Weather
14%
0.4
0.4
1.0
Medical
14
Pattern
Game Usage
Pattern
Average Session
Average No.
of Sessions per Length by Users
(Min/session)
Day by Users
Reach
(%)
Time Spent
per Day by
Users (Min)
25%
8.1
1.6
5.0
6%
4.1
1.0
4.3
Arcade
28%
4.6
1.3
3.4
Board
4%
4.5
1.1
4.3
Card
6%
11.6
2.3
5.0
Casino
6%
9.2
2.4
3.9
Casual
33%
13.3
3.2
4.2
Educational
3%
2.3
0.9
2.7
Music
2%
2.1
1.1
2.0
Puzzle
19%
6.2
1.4
4.6
Racing
21%
4.2
1.0
4.1
Role Playing
2%
3.8
0.6
6.0
Simulation
6%
3.4
1.2
2.8
Sports
20%
9.5
1.9
4.9
Strategy
14%
26.4
7.0
3.8
Trivia
3%
3.4
2.8
1.2
Word
2%
9.1
13.5
0.7
GAMES Sub-category
Action
Adventure
Just because the apps they consume are free, does not mean that these
users dont value them. They spend as much as 14 minutes a day on apps and
close to a 26 minutes a day on games. Such an insight could go a long way in
making it easier for developers to start formulating a good engagement
strategy.
14
15
Scenario 1:
To feature in the top 10 list of the Business app genre, a developer could target
1.
2.
3.
4.
5.
Scenario 2:
To feature in the top 10 list of the Arcade games genre, developer could target
1.
2.
3.
4.
5.
16
Best Practices
Top 10 Apps
Average
Monthly
Downloads
Avg.
Ratings
Avg. No
of Global
(#) /
Reviews
Quarter
Avg No. of
Updates
(#)
/ Quarter
Avg App
Size
(In MBs)
336,180
4.4
24,707
25
Business
214,252
4.3
48,796
21
8,890,976
4.4
631,296
20
Education
265,372
4.6
48,034
Entertainment
485,412
4.3
58,185
13
Finance
124,083
4.2
7,477
193,042
4.6
76,014
14
Lifestyle
274,978
4.1
53,279
335,288
4.1
29,880
11
36,109
4.3
4,848
646,314
4.3
76,510
11
133,018
4.3
10,810
Personalization
763,931
4.5
306,427
Photography
4,018,716
4.4
631,245
30
Productivity
1,692,503
4.5
112,843
10
753,145
4.2
71,834
12
Social
8,230,956
4.2
2,008,509
10
28
Sports
138,373
4.4
17,692
11
4,433,450
4.6
1,293,395
150,688
4.2
13,114
2,111,510
4.3
237,934
14
354,398
4.3
34,956
22
APPS Sub-category
Communication
Medical
Shopping
Tools
Travel and Local
Video Players & Editors
Weather
17
Best Practices
GAMES Sub-category
Average
Monthly
Downloads
Top 10 Games
Avg.
Ratings
Avg. No
of Global
Reviews /
Quarter
Avg No. of
Updates
/ Quarter
Avg App
Size
(In MBs)
2,288,799
4.4
228,129
54
431,612
4.5
92,273
95
Arcade
4,962,030
4.4
581,727
44
Board
331,383
4.3
14,974
16
Card
407,784
4.4
22,370
20
Casino
201,986
4.4
42,337
19
Casual
2,441,311
4.4
663,964
58
Puzzle
1,746,639
4.2
69,737
24
Racing
2,088,520
4.4
416,442
45
Role Playing
377,797
4.5
60,635
57
Simulation
481,939
4.3
87,442
55
Sports
1,042,132
4.4
170,858
53
Strategy
2,596,895
4.5
774,542
60
208,577
4.4
75,173
15
Action
Adventure
Trivia
Note: The analysis was carried out using data from Q1 of 2016, considering
top 10 apps in each genre basis their reach. The benchmarks deduced above
are subject to data from the aforementioned period. You can arrive at your own
benchmarks for your app to be featured among the top 10, based on current
Play Store numbers.
18
App Conceptualization
After mining all this data, I found out that there is a sea of information
locked away in a dimension of apps, that can help throw light on every
aspect of the app lifecycle. What I learnt during my exploration is that
based on market strategy, app developers can research further and
come up with an app idea. However, this app idea would also need
validation, and this is where my journey led me to next.
202
19
b. A good place to look is the Top Charts section which will give you an idea as
to which apps and genres are successful
c. Also, it is important to note how the apps are making money. For example, apps
in the top grossing section make money from in-app purchases while paid apps
make money through upfront payment
b. With Google Trends, you can set different parameters to help derive better
results. It is important to set a time frame that is less than 12 months so
that you can be sure that you are seeing the most relevant results
c. Also, select those categories which will automatically generate the most
popular search terms within categories
d. You can do a deep dive into your results by going to the Advanced Options and
Filters tab and set it to bring results from mobile devices with full internet
browsers and then set the match type to exact match. Doing so will get
you highly accurate results on how people search on their smartphones
20
www.twitter.com/search
20
21
b. We are not necessarily trying to solve the problem here, but instead we are
trying to give the user a way to deal with the problem
c. People love convenience and apps such as Flipkart, Swiggy, Bigbasket which
deliver this proposition, strike an instant chord with the users
a. Bad design
b. Missing features
c. Doesnt function properly or has many bugs
d. Price is too high
There could be some criticism to this approach that copying someones app idea is
immoral and wrong. However, the plan here is NOT to copy the app idea, but to
IMPROVE on it!
If the app is seeing a good response as it is, imagine how well the app will be
received if its better! All thats needed is to figure out what to improve about the
app so that potential customers will pick your app over the existing app.
At the end of this exercise, you may have a market strategy in place. Based on
the problem it is meant to solve, you might have an idea for your app in place.
However, my analysis suggests that before you set your plan in motion, you need
to validate if the idea will actually work.
22
1. Is there demand for your app concept on the Google Play Store?
a. You can browse the Play Store to search for an app which has some similarity
to your app idea
b. App store intelligence platforms can provide you tools that offer data points
such as the current and historical rankings for an app, daily/monthly downloads.
If these apps are getting a lot of downloads, it strengthens your hypothesis
that it is a good market to focus on
2. Find out how many people are searching for your solution
To do this, head to Google Search. Type in words associated with your app idea
such as the problem you are trying to solve, the benefit or other terms associated
with your concept. Put the keyword(s) in the search box, select the target country
or countries and Google will show you the number of average local and global
monthly searches. This is a good indicator of demand.
20
23
24
b. Test the MVP: Once youve got the prototype ready, install it on your phone
and let family, friends and a few test users play around with it. Watch what they
do and listen to what they say. Take it to the coffee shop, or consider signing
up for a user testing service such as Usertesting.com
20
25
Design
& Development
App
Design And
Development
(Cover
Page)
The flight plan I had charted for the App Galaxy, took me to Planet
App Design & Development. My findings on this planet would go a
long way in making it easier for app developers to create apps. In
my journey across this planet, I uncovered many insights on the
approach that developers should take to app development.
APPollo
26
Section
2: Design
& Development
Section 1:
Marketplace
Strategy
& Conceptualization
Log 1: Choosing
The Right
of App
Design
& Development
Log Type
1
Your app strategy and conceptualization would play a key role in deciding the type
of App (native, hybrid or a web app) that you should create. The platform you
choose in the end will depend on your priorities in these areas. There are
trade-offs you may have to make depending on your budget and needs.
Features
Cross Platform
Support
Native Apps
Web Apps
Hybrid Apps
No
Yes
Yes
Native only
Web only
Native/Web
Development Time
High
Low
Medium
Development Cost
Low
High
Medium
User Interface
Good
Average
Good
High
Low
Medium
Performance
High
Low
Medium
Offline Mode
Supported
Not
supported
May be
supported
Distribution
App store
Mobile
browser
App store
Code Portability
Low
High
High
Maintenance
High
Low
Medium
Apps requiring
high standards of
UI/UX, or apps
requiring complex
device
functionality
Content-heavy
apps, that take
advantage
of pre-existing
Web content, such
as retail apps or
e-readers
Responsive
Web content that
will be
accessed on
various
hardware types
Development
Language
Suitable for
Source: Information collected from respective company websites & public sources
27
Expert Opinion
Dean Gonsalves
VP Design, Robosoft Technologies
Intent
Intent is the underlying cause of creation, giving purpose to form and function; and
design is a medium to render that Intent. If the intent is clear, focused and
well-expressed, it will have a positive impact on design which in turn, will have a
cascading effect on everything inclusive of your app. Design is rendering intent
is a profound statement to ponder on. Notice a well designed product and you can
trace it back to a strong and well-articulated intent. A butter and a hunting knife
both exist in the same universe (Fig 1.0), but their intents are completely
different. Design embodies the difference, rendering the purpose effectively. You
can't go hunting with a butter knife!
Fig 1.0
28
Expert Opinion
An intent statement should not be broad or all-encompassing. In fact, its potency
lies in it being precise, focused and real - highlighting the true strength. For
example, you are a food app and your intent statement reads we deliver food on
time, every time. Then your promise is about delivery in relation to time and you
need to have a deep understanding of that relationship. Fine-tune your app
features to elegantly fulfill that delivery promise rather than get distracted by
secondary features such as excessive offers, personalization of food, among
others. Keep it simple.
Emotional Quotient
At the very core of our existence lie emotions. We need to be conscious about the
power of emotions to drive behavior, and our behaviors are always a result of our
emotional state of mind.
Everything has emotions built in, and through the products we create, we
transfer these emotions - positive or negative, consciously or unconsciously to
the user. Hence, we need to be extremely sensitive about our ability to identify
with emotions. The Emotional Quotient does just that, it helps define the
emotional composition that a thing or product is made up of. Example (Fig 2.0) a
hunting knife has 2 basic emotions the blade embodies aggression while the
handle speaks comfort. And once this is understood, design decisions can be
objective and not subjective. The knife is a tool and a weapon, you need aggression
to cut even a tomato and in battle, the comfort will give you confidence to act not
react.
Fig 2.0
In this case, the emotions of aggression and comfort make clear filters to validate
any new features or design suggestion - from form to function, fonts to color,
marketing strategy to business. Now apply this to your app, what is your EQ?
29
Expert Opinion
Pain Points
If you are creating something useful, it should relieve someones pain. That is the
the litmus test of your intention. The more pain you relieve, the stronger will be
your users gratitude. This goes beyond discounts, offers and advertising.The
first step in building your feature list is crafting an experience map, which
provides insights into the users lives and pain-patterns.
Fig 3.0
This experience map will indicate the high and low points in the user journey - what
they are thinking, feeling and doing. Overlay your product proposition and see how
it enhances the low points; those which elevate the pain are your must have
features. For example (Fig 3.0) ordering food from outside is always accompanied
by the emotion of joy, but if the app is overloaded with many irrelevant food
options, it leads to confusion. So do not confuse abundance with choice. Your
focus on clarity and pain is always the best filter to validate that.
Intuitive Design
When designing the app, take care to ensure that all the elements are intuitive.
This is so that when the user launches your app, they can start exploring your
offerings immediately rather than spending time learning how to use your app.
When the design of the app is intuitive,everything seems familiar. Let your UX
help users act rather than react.
30
Expert Opinion
Follow platform conventions. These help ensure that the app functions according
to users expectations and avoid a steep learning curve. Similarly, the design
elements have to convey the right emotions and not mislead the user. Icons
should convey the right meaning and not leave room for interpretation. Pick the
right colors by selecting the ones that align with the emotional quotient. Colors,
when used well, indicate the hierarchy of your content and highlight ways to move
forward (Buttons, links, error messages etc.) Lastly, keep the communication
concise and clear.
For example (Fig 4.0) a button should indicate what it actually means rather than
leaving it to the interpretation of the user. Book Now means once you press the
button a booking is guaranteed as opposed to Request to Book which denotes
that your request is taken and a confirmation will happen only after certain
conditions are fulfilled. The user knows what to expect when he/she clicks that
button and is mentally and emotionally prepared for the outcome.
Fig 4.0
To summarize, a great app is not just an app; it is a powerful idea that is
strengthened by intent and thrives on emotions. Be empathetic, use your common
sense and trust your intuition. Most importantly, seek the truth not the frills and
you will create something worthy of that coveted spot on your users smartphone.
31
35%
Ice Cream
Sandwich 4.0
Marshmallow
6.0
1%
19%
16%
Jellybean
4.1 - 4.3
2% Gingerbread
2.3
28%
Kitkat 4.4
Source : Developers.android.com, Global September 5, 2016
(Percentage have been rounded and may not total to 100%)
1 VisionMobile Q3'2016 report
32
Log 3: Android
Screen Sizes
Design
& Development
Log 1 and Densities
Once I inferred that Android is the preferred platform of choice for app development,
I moved on to exploring the planet and uncovered data on factors that can impact
app development and user experience. Screen size and density are two such factors
which play an important role in your app development on Android OS. Heres what
you need to know:
The operating system handles most of the work of adapting your app to the current
screen
You should create screen-specific resources for precise control of your UI
Generalized
densities
ldpi
mdpi
tvdpi
(low)
(medium)
(high)
~120 dpi ~160 dpi ~213 dpi
hdpi
(extra
high)
~240 dpi
xhdpi
(extra
extra
high)
~320 dpi
xxhdpi
(extra
extra
extra
high)
~480 dpi
Total
Screen
size
Small
(2-3) inch
1.6%
1.6%
Normal
(3-5) inch
3.5%
0.2%
39.5%
28.4%
15.5%
87.1%
Large
(4-7) inch
0.2%
4.1%
2.1%
0.5%
0.5%
7.4%
XLarge
(7-10) inch
2.9%
0.3%
0.7%
3.9%
Total
1.8%
10.5%
2.3%
40.3%
29.6%
15.5%
I had gathered enough data to help app developers make decisions around the type
of app and the choice of OS platform. The next step is to choose a development
environment that is suitable to your app development needs.
33
IDEs
Supported
Platforms
Supported
Languages
Learning Curve
Android
Studio
Eclipse
Android
iOS,
Android
C++,
Java
C/C++,
JavaScript
Moderate
Smooth
Yes
Xamarin
Studio
iOS, Android,
Windows
Phone
(#)
Visual Studio (#)
Apache Cordova
(Formerly
PhoneGap)
iOS, Android,
Windows Phone
iOS, Android
HTML,
JavaScript
and CSS
Moderate
Smooth
Yes
Yes
C#
Moderate
Plug-in Support
Extensive
Version Control
Support
Yes
Yes
Yes
Yes
Yes
Forums &
Tutorials Support
Yes
Yes
Yes
Yes
Yes
Pricing
Free
Open
source
Free
Free
Free
Source: Information collected from respective company websites & public sources
34
Log 5: Game
Development
Design
& Development
LogEngines
1
Designing games for mobile needs a slightly different approach. There are game
engines available, software frameworks that provide the basic elements of a game,
such as 2D or 3D graphic rendering, physics, sound, AI and animation. I therefore
decided to look at the Popular Game Development Engines (GDE):
Selection
Criteria
GDEs
Supported
Platforms
Supported
Languages
Learning Curve
GUI & User
Friendliness
Plug-in Support
Forums &
Tutorials
Pricing
Built Size of
the Game
Suitable for
(Type of Game/
App)
Unity 3D
Cocos 2D
(#)
(#)
Unreal Engine
C#,Javascript,Boo
Smooth
Comparatively difficult
Smooth
Best
Recently launched
NA
Extensive plug-in
support
Yes
$75/month (Although
free license covers
majority features)
Slightly higher
Suited for solo mobile
games developers
who arent pushing
the limits of what
platforms can do
Open source
Comparatively smaller
2D Game development
Before publishing
developer has to pay
certain amount
Slightly higher
Best suited for console
gaming or games with
high-end graphics
Source: Information collected from respective company websites & public sources
35
Selection
Criteria
Tools
Platforms
Supported
Apteligent
(Formerly
Crittercism)
Fabric
(Formerly
Crashlytics)
iOS,Android,
Windows Phone
TestFairy
Splunk Mint
HockeyApp (#)(Formerly
(#)
Bugsense)
iOS,
Android
iOS,
Android
iOS,
Android,
Windows
Phone
iOS,
Android,
Windows
Phone
Firebase
iOS,
Android
App
Distribution
No
Yes
Yes
Yes
Logs
Yes
Yes
Yes
Yes
Yes
Yes
User
Feedback
No
No
Yes
Yes
Yes
Yes
Video
Recording
No
No
Yes
No
No
No
Breadcrumbs
Yes
Yes
Yes
Yes
Yes
NA
Analytics
Yes
Yes
Partial
Yes
Yes
Yes
Team
Management
Yes
Yes
NA
Yes
NA
NA
Proguard
Support
Yes
Yes
Yes
Yes
Yes
NA
Users Or
Number of
Apps for Free
100 Users
& 2 Apps
$10 /month
for 5 apps
NA
NA
Yes
Free
Source: Information collected from respective company websites & public sources
36
Flurry
(#) Mixpanel(#)
Localytics
Metrics (DAU/MAU/WAU,
retention, monetization
metrics (revenue,
ARPU, etc.))
Yes
Yes
Yes
Yes
Traffic Analysis/User
Acquisition Tracking
Yes
Yes
Yes
Yes
Yes
Yes
Yes
Yes
Funnels
Yes
Yes
Yes
Yes
User Segmentation
Yes
Yes
Yes
Yes
Push Notifications
No
No
Yes
Yes
A/B Testing
Yes
No
Yes
Yes
iOS, Android
iOS, Android,
Windows Phone,
BlackBerry
iOS, Android
iOS, Android,
Windows Phone,
BlackBerry
Free
Free
Free upto
25,000
data points
Free upto
10,000
MAUs
Features
Tools
Supported Platforms
Pricing
Source: Information collected from respective company websites & public sources
37
Priori Data
AppAnnie
Sensor Tower
(#)
(#)
Apptopia
Store Stats
(Rank history)
Yes
Yes
Yes
Yes
Downloads Estimates
Yes
Yes
Yes
Yes
Yes
Yes
Yes
Yes
Ad Revenue Estimates
No
No
No
Yes
No
Yes
No
Yes
Audience Estimates
(Demographic)
No
Yes
No
No
Breakout Predictions
Yes
No
No
Yes
ASO/Keyword Ranking
Yes
Yes
Yes
NA
Data
Source: Information collected from respective company websites & public sources
* DAU - Daily Active Users, MAU - Monthly Active Users
It is important to remember that the app or game you want to build will decide
your weapon of choice when it comes to development environments. While it is
necessary that you thoroughly test the app before putting it out in the wild, user
and app store analytics tools will play a critical role in fine-tuning your app. After
this, its time to caste the net wider and go after your potential app users.
38
App Distribution
My travels across Planet App Design and
Development led me to a sector that held the
secrets to getting app distribution and marketing
right. I decided to log everything that I found.
0.5 kms
Google Play
APPollo
39
39
Description:
Upto 8 (2 mandatory)
JPEG or 24-bit PNG (No alpha)
Dimensions : 320x480, 480x800 or 480x854 pixels
Video:
30 seconds - 2 min
Less than 50 MB
Feature graphic:
Support information:
40
Name
Opera
Mobile
Store
Monthly
Users
(In
millions)
Daily
Downloads
(In
millions)
Global No.
of Apps
No. of
Publishers
105
3,00,000
11,000+
No. of
Countries
Revenue
Share
230
70 : 30
India,
Indonesia,
Russia, the
Middle East,
SEA and
Brazil
9Apps
250
26
NA
NA
Amazon
App Store
NA
NA
6,00,000
63,325
200
70 : 30
Mobango
20
1,20,000
30,000+
Global
100% to the
developer
Aptoide
100
5,00,000
NA
All
70 : 30
GetJar
849,036
NA
Global
100% to the
developer
SlideME
NA
40,000
NA
Global
70 : 30
Developer Registration Fees is free for all the above app stores
1 One Platform Foundation
Source : Information collected from respective company websites & public sources
41
a. App description
b. App screenshots & videos
c. Call-to-action buttons
d. Social share buttons
e. App store badges
f. Reviews from happy users & app review sites
g. Media mentions & testimonials
h. Pop-up to allow your app users to provide ratings
APPo
llo
b. The developers apps are available to users cheaply or for free thereby
helping boost downloads. This in turn, helps push their app up the charts
42
Deal Finders
a. These app companies help users find discounted apps across app stores
b. These platforms can alert users when an app aligned with their personal tastes
and preferences is available for a discount
E.
App
Gratis
Best Apps
Market
App of
the day
44
43
Promoting your app on an app review sites can have its own benefits:
a. An app review, whether good or bad can provide valuable feedback for improving
your app
b. These reviews are based on the reviewers personal experience of your app. By
highlighting the top features of your app, these sites will not only create a
strong impression of your app, but also correct any wrong impressions created
by bad reviews or low rating on app stores
c. A review from such a site is often seen as a stamp of approval by app users.
An endorsement from a trusted authority would certainly give a boost to the
credibility of an app
d. App review sites offer more technical, unbiased insight into an app rather than
a flavored opinion by a blog
e. It also helps push up the ranking of an app on Google Play Store due to the
multiple inbound links from these sites
b. At some point the selection process may become biased and some sites may
even charge a cost to expedite the review process
Free
Paid
My journey across this planet has been really insightful. There are many avenues
for app distribution but this is just half the story. Unless an app is marketed well,
even if it reaches the users, they may not buy into the idea and download it. I had
to find out more about how apps can be marketed well.
44
App Marketing
I arrived at my next stop: Planet App Marketing. Here I found out that
distribution and marketing are two sides of the same coin. Distribution will
help you take your app to its potential users, but marketing will ensure that
they find it worth their time and download it.
Bharat
45
App Reviews and Ratings - The number & quality of reviews are an important
indicator. It is necessary to listen to your users and improve the app using the
feedback
Downloads - Download growth over the last 30 days is more important than the
latest 24 hours
Engagement - If your users continue to keep your app installed on their device it
is an indicator that they like it. However, it is important to track the 7th, 15th and
30th day open rates for your app, as they will be a true sign of users actually
engaging with your app
Social Signals - App stores also consider the social sentiment about your app.
For instance, Google regularly uses +1s for apps on its Play Store as a measure
to recommend these apps to other users
What is ASO
ASO is to app stores what SEO is to websites. ASO helps improve an apps
visibility by increasing its ranking in search results and in top charts on app stores
1 Google app marketing insights
46
B. App Icon
Your apps icon will be its greatest identity. Therefore, a lot of care must be taken
to design the app icon such that it displays clearly, whether it is on the home
screen, in the app drawer, or sitting inside a folder.
C. Screenshots
Screenshots are a great way of previewing what your app looks like. Use
screenshots that portray realistic usage of your app while highlighting the most
important features.
To publish your app on the Play Store, you must provide a minimum of 2
screenshots or maximum of 8 in JPEG or 24-bit PNG. Regardless, if your app is for
multiple markets, youll also want to localize your screenshots (if required) to
ensure best results.
While listing screenshots, list them according to the user flow of your app.
48
47
a.
b.
c.
d.
e.
You need to build a steady flow of positive comments and full star ratings by
building user feedback into your app marketing plans. Here are a few actions you
can take to ensure better user ratings for your app:
Use email
Segment your app users by OS and send them emails (with links to your app in the
correct store) asking for a review. Also include a Call-To-Action (CTA) to review
your app in your email signature line.
48
Promoting your app via social media can help drive more traffic
to your apps website, thereby creating a steady flow of
users. It also helps boost the websites SEO, thereby
increasing the chances of your app showing up in organic
searches.
AP
It can prove to be a powerful tool for relationship building and engaging with
your app users as you can tap into user sentiment better and respond to your
users faster. You can continue to engage them through targeted and
retargeted social media ad campaigns.
Increasing sales
A strong social media presence and good social media marketing can help you
build great brand loyalty for your app. It will bring you customers you did not
know existed and bring you more app downloads.
50
49
Set Goals
Define how you expect your social media strategy to improve your app business.
Here are two possible outcomes that you would want to achieve with their measures
of success:
Goal
KPI*
Increase awareness
about your app
Number of followers
Improve user
engagement
Once you have identified the social network that suits your goals, create
a plan for posts based on user engagement goals specific to that platform
For instance, if it is a new app, you would want to post anywhere between once
and thrice on Facebook, tweet at least 5 times a day and post at least once on
Google+ and Instagram. Please note that this is only a sample and should not be
considered as a definite benchmark. The frequency of your posts or tweets will vary
based on your social media goals.
50
4. Cross-promotion
Its a low cost user acquisition strategy in which you can promote your new app to
the users of your existing apps or other partner apps. You can also set up direct
deals with other non-competing app developers to cross promote your apps within
each others apps through mediation platforms.
E.g. A restaurant app tying up with a food delivery app for cross-promotion
50
51
Benefits
a. Your existing users are more likely to try your new app as you have already
established credibility with them
b. Costs nothing as the developer can use 'House Ads' to cross-promote
Considerations
a. Ensure you are not losing out on users of your existing apps
Tips
a. In case of games, target users on the basis of their game progression.
Showing an ad for a new game to a user in advanced stages makes more
sense than to one in early stage
b. A more games button in your existing apps home screen can be an
effective tool to tap into interested audience for your new app
5. App Deeplinking
Deeplinking is both a user acquisition as well as a re-engagement tool. Deeplinking
enables launching of the relevant section of a native mobile application via a link, if
the app is installed, or a fallback to an app store page if its not installed.
Benefits
a. Enhances your apps discoverability through app indexing, which lets you
capitalize on organic search traffic
b. Deeplinking connects a unique url to a defined action or location (homepage,
product pages, and shopping cart) in a mobile app, seamlessly linking users to
relevant content
c. Also helps you understand what is drawing users to your app
d. Enables a seamless experience for users
52
6. Referral marketing
Nothing works like referrals. Youre more likely to try an app out if it comes highly
recommended from a friend, relative or peers. Many successful app companies
such as Dropbox, WhatsApp and Uber have managed to expand their user base by
getting existing app users to recommend the app to others. A good way of getting
your current app users to refer your app to others is incentivizing the referral
where you not only reward the user for recommending it to someone, but also
reward that person for trying out your app.
Why it works
a. 92% of respondents trusted referrals from friends they knew2
b. The lifetime value of a new referral customer is 16% higher3
c. It is two-sided, both the user who referred your app and the one that your app
was referred to, get rewards which they value. The rewarding mechanism is
straightforward and easy to grasp
d. Only 39% of marketers use referral marketing regularly, but 43% of those who
do use it acquire more than 35% of their new customers with it4
Tips
a. Reward users for referring the app to their friends. This boosts up your user
base quickly and thus improve app store rankings
b. Clearly communicate the benefit that the user gets for referral
c. Ask for a referral after a positive moment (achievement) in your app
d. Minimise effort with autofill & social share integrations for a frictionless
experience
50
53
a. While the tendency is to think that ads only help with paid acquisitions, a recent
research points out that on average, every 1 paid install drives 3
organic installs5
c. Users who discover an app via an ad network are more likely to come back for
a second, third and fourth session than organic users
d. Measuring app installs and identifying the channel that gives you best results
is the key
54
Name
Monthly Active
Users / Reach
Share Of
Mobile Users
1.13 Bn
91%
310 Mn
83%
Google Search
1 Bn+
b. Besides setting up your CPI campaigns, many ad networks have adopted afull
stack approach, including programmatic buying that is optimized for your KPIs
and also include monetization tools
c. While ad networks offer different pricing, bidding and targeting models, they
also vary in ad product types, from banner ads and interstitials to native ads
and rich media ads
In my journey across Planet App Marketing, I learnt that app developers can often
get blindsided by the need to get their apps out in the market and ignore a critical
aspect. Your apps need to get noticed if they want to find any success. There are
approaches, organic and inorganic, that can bring the attention followed by users.
However, acquiring users is one thing, engaging and retaining them is a whole
different ball game. Thats where I was headed next.
50
55
Design
& Development
App User
Engagement
(Cover Page)
& Retention
Strategies
My study of user acquisition strategies led to another important
conclusion. Merely acquiring users is not enough. It is also
important to ensure that they are engaged and retained.
Only then will the app grow and continue to sustain.
56
Based on my findings I have come up with these User Engagement & Retention
Strategies.
Before looking at the strategies, here are 5 reasons why you should focus
3. Users who had the longest first app session length also returned to an app
within 1 to 12 hours1
4. 60% chance that users who did not come back to your app within seven days
never return1
5. Only 14% of users who complete 11 or more sessions in the first 30 days will
uninstall the app, showing that early engagement is the key to retention1
To understand user engagement and retention you need to first understand the
users. This is where user analytics comes in the picture. User analytics tools can
help you get a first hand understanding about your audience. However, with a
range of metrics offered by analytics tools it is important to narrow down a few
key metrics, which you should track on a frequent (weekly) basis.
57
The user lifecycle can be simplified down into a model called AARRR, which is an
excellent marketing concept introduced in 2007 by renown growth hacker: Dave
McClure. AARRR stands for:
c. Retention Metrics (getting users to use your app for as long as possible) DAU/MAU, Churn rate/Uninstalls, Number of sessions, Average session length
d. Referral Metrics (getting users to tell people in their networks to use your app)
Number of referrals per user, referral conversion rate
e. Revenue Metrics (maximizing the money you make in aggregate from each app
user) - ARPU, LTV
a. IAP: Apps using in-app purchase as a monetization model should also look
at percentage of paying users, Average Revenue Per User (ARPU) & Lifetime
Value (LTV) as growth metrics
58
Visual Analytics:
App analytics tools record all touch events of your users and show as a heat map.
It can help app developers to optimize location for placement for ad slots, buttons,
etc.
App developers can get answers to these questions with touch heatmaps:
A detailed analysis of the way users engage with your app, the kind of time they
spend on it, what aspects of your app please them or annoy them, will give you a
much deeper understanding of what it takes to engage and retain them. You can
then adopt a strategy to ensure greater engagement and retention.
59
Expert Opinion
Deepak Abbot
Senior VP - Product Growth, Paytm
Ex Getsmartapp.com
Before you go crazy about driving engagement, you need to ensure that the core
product offering is what users want and not what you want to push. Early
indicators such as positive feedback from users, word of mouth, app reviews,
conversions & transactions can help you ensure this and validate the product.
Once you are confident that the core works, its time to get down to fixing the
leaks and ensuring that all the right engagement hooks are taken care of.
Retention is directly dependent on how much attention youve paid to every detail.
Here are 6 ways to help drive better engagement for your apps:
1. Onboarding: First experience matters. Here are a few quick pointers on
getting it right:
a. Keep it short: Just get to the core product real fast. Be paranoid about
every pixel/screen that may keep the user away from experiencing your
product/offering
b. Permissions: (iOS & Android (Marshmallow onwards)) Delay as much as you
can. Ask What You Must, not What You Should. Ask at the right time
c. Instructions or Coachmarks If your app needs too many coach marks, you
are doing it wrong
d. Login Gate: Nothing puts users off more than a login. Is it possible to show
them a sneak peek of your offering without login? Is it totally avoidable? Can
you keep it real quick with just a mobile number and no passwords?
e. Sign Up: If you must have it, showcase the real benefits of signing up
60
Expert Opinion
2. Personalization: Can you customize the experience for each user without
asking too many details upfront? For example: show frequent tasks upfront, auto
save user preferences, auto-filter features not used at all, customize notification
frequency based on users interactions, use location & context (device data) to
customize the results and so on.
3. Communication Strategy: Find the right mix of how you want to communicate
with the user. Use Push, In-app Notification, Email, SMS smartly. Create right
segments (use right tools to achieve that) and target better. Know when to use
what channel. Dont over or under-communicate. Learn this balance by studying
the data closely and improve as you move along. It can be different for each app
4. Good Technology: Good code can help you improve your retention multi-fold:
a. Bugs & Sluggish Performance: Keep an eye on every single crash or bug
reported and fix instantly
b. Space on Phone: make sure your app consumes less space after installing.
Users dont like apps taking too much space
c. 2G Compatible: Countries like India still have over 150 million users on
slow connections. Make sure your app works in these conditions. Be very
meticulous in cutting down slow services
d. Battery Consumption: Users dislike apps that suck battery
e. Privacy: Never capture data that you dont need. Respect users privacy
5. Attention to Detailing & UX matters: Follow best practices suggested by Google
& Apple.Optimize user flows, pay attention to user funnels, get your copy right
and I8N & L8N best practices in place. Heres a good starting point for
understanding better UX design for apps:
https://www.thinkwithgoogle.com/topics/create-better-mobile-user-experience.html
6. Compliment with Marketing: You have done all the good work with the product
and now it is time to reap the benefits. To further cement your efforts, you can
use Facebook & Googles re-engagement campaigns to drive users back in case
some forget to come through organic means. Make sure that you setup deep links
for re-engagement campaigns to work better and have better segmenting &
targeting to ensure that they come back to the most relevant screens.
Once you have done all this, make sure to connect with your actual users often
through user meets or focused forums. Direct feedback helps you overcome your
blind spots. All the best with your efforts.
61
61
Expert Opinion
Image: Apps survival funnel to understand when and why users drop for most
apps
62
1. Push Notifications
A push message is a notification from a smartphone app that displays on home
screen while that app is not actively in use. Push notifications appear as pop-up
dialogs, banners and small badges on each app's icon.
E.g. A sports app sending score updates
Benefits
a. Push notifications improve user retention to 65%1
b. Push-enabled users average 3x more app launches than those who have not
enabled push messages2
c. Segmented push messages can double the open rate compared to push
messages blasted to everyone
Tips
a. Push messages actually have the greatest click rate at 6.7%2 in the afternoon
(from 12 P.M. - 5 P.M.)
b. Notifications that have fewer than 10 words have almost double the average
click rate than those with more than 11 words2
c. Push notifications with personalized content, such as a name or event
parameter, see four times the open rate of generic messages3
d. Use push notifications to convey users about new features, updates with social
share button to keep them engaged
1,2 Localytics; 3 Leanplum
63
56
72
2. In-app messages
An in-app message is a rich, visual notification that appears as a direct response
to what a user is doing (or, is not doing, but should be doing) in your app. These
messages are automated (or, triggered by behavior) and set up by the app
developer to appear at key points of interactivity.
E.g.: In-app message introducing the user to an apps feature
Benefits
a. In-app messages can triple user retention and increase app launches by 27%4
b. Helps guide users through the app towards the penultimate in-app action
c. Compared to push messages, it can support more complex messages with
more room for longer copy and images
d. In-app messages can be rolled out more subtly and tested without
compromising the overall user experience
Tips
a. Use similar design elements, fonts as that of your app to make them look like a
seamless part of the app
b. In-app message requesting users to rate your app after a positive moment
(achievement) in the app can help improve the apps rating
3. Retargeting
Retargeting is a form of advertising that lets mobile app marketers send relevant
messages to their customers while they are using other mobile apps or mobile
websites. The user sees the ad, clicks on it, and gets directed to the advertisers
app, sometimes to a specific section or deep link. Retargeting is generally most
effective after youve built up an engaged user base.
Benefits
a. Costs less compared to acquiring a new customers. In fact cost per purchaser
is at least 40% lower than new acquisition cost per purchaser, with potential
to double the number of purchasers6
b. Helps you leverage on users who already know your app. In fact, 80% of your
companys future revenue will come from just 20% of your existing customers
c. Can be effective on un-engaged and highly engaged users
d. Helps you revive dormant users and resurrect lapsed users
4 Localytics, 5 Fiksu, 6 Gartner
64
Goal
KPI
Install
Engagement
In-app purchase
- Revenue
- Conversion rate
- ARPU
65
4. Localization
a. Localization is the process of adapting a product or content to a specific
market in order to appeal to the linguistic, business, cultural, and social
patterns of the target audience belonging to that particular market
b. According to IAMAI, 75% of the growth in India will stem from rural local
language users
c. In the last year alone, Hindi content on the web has grown by 94%8
d. Games4Alls Indian Rummy a card game was able to double its users and
increase engagement by 300% with its localized version9
66
Expert Opinion
Mohit Vijay
Product & Strategy Consultant,
Reverie Language Technologies
In China, the only country with a comparable internet user base of 632 million, the
entire internet ecosystem is built by focusing on the needs of non-English literate
population.
8 out of 10 businesses of Alibaba Group are in local language and special emphasis
has been given to languages which has resulted in higher internet adoption & user
engagement. A McKinsey report suggests that by 2020, Internet will be
responsible for 15-22% of productivity growth, will create 46 million jobs and will
contribute to 7% of Chinas GDP.
In India, thousands of app developers build for an overcrowded English-speaking
market. However, there are immense opportunities outside the traditional Englishliterate market segment, and there have been stellar growth stories of companies
like Dailyhunt, Mocept Inc. and many others who grew phenomenally by going
multi-lingual.
By 2020, the user base with local language needs on internet is expected to be
more than twice the user base of English literate user group.To successfully cater
to needs of local language users, it is very important to understand the needs and
challenges of a non-English literate user so that we can develop a solution to cater
to their unique needs & preferences.
67
Expert Opinion
KPI
Dailyhunt which aggregates news in multiple languages has been able to reach
22 million MAU and 3 billion page views/month in just 3 years of its launch.
Avoid email registration as a required field as many users might not have email
address
Avoid complex terminologies like Cash on Delivery (COD), One-time Password
(OTP), net banking
Keep the default language of the app to what has been selected in the device
68
Expert Opinion
Building businesses catering to the needs of non-English literate users
Research (primary and secondary) shows that this specific user base is very active
in messaging, social, entertainment (Audio & Video) and media publishing space
(News). Their engagement on E-commerce platforms is relatively less when
compared to engagement in entertainment & news segments but has been rising
rapidly (30% MOM growth rate in some cases). Developers building their mobile
apps/websites around these verticals can expect a comparatively higher user
acquisition rate with lower spends.
Moreover, users in this segment are highly price sensitive. Hence it is imperative
for the businesses to work out a cost effective multi-lingual strategy. Since
manual translation is expensive and not scalable for the range of the 22 languages
in India and for quality output, outsourcing the language aspect to language
computing companies that uses a combination of machine and manual translations
is the recommended way forward.
Way forward
With increased focus from government and private companies such as Google to
connect users by providing free internet, internet penetration is expected to
increase rapidly. The new connected user base definitely presents a huge
opportunity for Internet-enabled products & services and realizing the potential,
companies such as Google (Indic Initiative) and Facebook (Available in 8 Indian
languages) have already rolled out plans to bridge the language divide. Going
forward, other large and small businesses will have to develop language first
strategies if they want a pie from this huge untapped market segment.
KPI
User analytics enables you to understand users and their engagement with the app
better, and helps you put measures in place to ensure that they stay engaged.
Although I deduced that growing app downloads, good user engagement and
retention are all signs of an app growing they are not enough for the app to sustain
itself. App developer will eventually have to look at ways that ensure that their apps
make money. The final leg of my journey would take me to Planet App Monetization
a massive but lesser explored terrain that held the secrets to making money out
of your apps and growing your app business.
69
App Monetization
When it comes to India, people are less likely to buy an app. How does an
app business sustain itself then? The only way an app business can sustain
and grow is if the apps make money. How does an app make money? What
other monetization model can app developers choose? The answer to these
questions were waiting for me on Planet App Monetization.
70
Section 4 : Monetization
Goal
Pros
Earn revenue upfront with every new download
Consumers who have paid for an app are more likely to turn into engaged
users (since they spent money to purchase the app vs. choosing a free one)
Cons
Success depends upon the ability to convince users to buy the app instead of
free alternatives
Value proposition offered by a paid app should be strong enough to compete with
alternatives
App stores may take upto a 30% cut of the revenue from paid apps
Suited For
Apps with a niche audience looking for a high-end solution
Apps which provide unique feature set and/or content
Business-to-business apps can gain traction with this model as
enterprises are willing to invest in useful products on useful products
Section 4 : Monetization
71
Pros
Easy to incorporate in the existing framework of the app
The profit margin is usually high with this model because app developers are
selling digital goods
Can be used in conjunction with other business models such as advertising
Cons
App stores may take upto 30% of the revenue for virtual goods purchased inside
an app
According to AppsFlyer, only 3.1% of users in India spend money on in-app
purchases compared to 5.2% globally
Suited For
Apps with multiple levels of content or features where basic features can be
offered for free and advanced can be paid for
3. Freemium
Description
The app is free to download, however users can upgrade to a premium version of
the app with more features for a fee
Freemium is a combination of free, ad supported and paid models
Pros
Since the app is offered for free, it lets developers attract a large group of users
and get them hooked to the app
Users are able to test the service before committing, which means less risk for
them
For many app types, developers will be able to charge for the premium version on
a monthly basis
Cons
Success depends upon the ability to find a balance between features which need
to be part of paid vs. those in free versions
If app developers offer too many features for free, it will be too hard to convince
the existing user base to pay for an upgrade. And if they dont offer enough for
free, itll be hard to get users to see the apps value
Suited For
Apps that have a clearly valuable and intriguing free version and compelling paid
perks
72
Section 4 : Monetization
4. In-App Advertising
Description
In this monetization model, advertisers pay app developers to place advertisements in their app
Ads can be shown based on user's interests, location, demographics, and other
intent signals
Developers can do this independently (directly work with advertiser) or work with
a mobile ad partner that has relationships with many advertisers, making it easy
for developers to start showing ads in their app right away
Pros
Effectively lets developers monetize their non-paying user base
Easy to incorporate as there are easy-to-implement tools and ad platforms that
enable developers to start making money from ads quickly
An eMarketer estimate suggests that mobile advertising will be a USD 104
billion market by 2016
Consumers are becoming more receptive to mobile ads due to engaging ad
formats
Cons
Success depends upon getting the ad format and its placement right, as an ad
that breaks the user experience can lead to users exiting the app or abandoning
the app altogether
If not done correctly, it will lead to an intrusive user experience
Suited For
Any app which cannot be a paid app and wants to monetize its non-paying users
There are many app monetization approaches that app developers can use to their
advantage. Each has its pros and cons. However, the uniqueness of the Indian
Apponomy renders some of these models ineffective. I decided to find out why.
Section 4 : Monetization
73
1. Paid Downloads:
3 in 4 people expect apps to be free1
Globally, free downloads account for 97% of total app downloads while in India
they account for almost 99%1
3. Mobile Advertising:
Advertisers want to advertise in your apps
Advertising spend on mobile in India is pegged at USD 240 million in 2016 and
is estimated to reach USD 1.5 billion by 2020, growing at a strong CAGR of
65%3
Mobile saw a 116% rise in ad spends between 2014 and 20154
Out of all the available monetization models, advertising is the most popular
revenue model among app developers globally5
A hybrid approach of IAP+Mobile ads can prove to be the optimum approach
Through proper segmentation, developers can monetize users who are most likely
to pay through IAP, while the non-paying users can be monetized through in-app ads
Innovative ad formats such as rewarded video can act as a trigger for non-paying
users to make an in-app purchase
Easy-to-implement tools and ad platforms are making it simple & easy for
developers to start making money from ads quickly
1 Priori Data, 2 AppsFlyer 2016 IAP spends report, 3 KPMG FICCI 2016 Report
4 IAMAI-IMRB 2016 Digital Advertising Report, 5 VisionMobile Commerce of Things Report
74
Section 4 : Monetization
The next stop in my journey across Planet App Monetization was where I found out
more about mobile advertising. Merely choosing the mobile advertising model is
not enough. To ensure that the ad experience is engaging and non-intrusive,
developers need to know what ad format can best suit their app and user
experience. So I drilled deeper into the surface and uncovered a lot more data that
could throw light on mobile ad formats.
Native
Pros
Non-intrusive and natural user experience
57% higher CTR than traditional banner ads6
Deliver 6X higher conversions than traditional banner ads thereby increasing
monetization potential7
Cons
Requires effort to adapt the ad to match the surrounding look and feel of the app
Recommended For
Apps & games
Best Practices
Ensure that the ad is designed in a way that it blends with your app content.
This can be done by ensuring that elements such as the ad font and color are
similar to those in the app.
Clearly label the native ad as "Sponsored", "Promoted" or "Ad" to distinguish it
from the rest of the app content
6,7 IPG Media Labs Exploring effectiveness of Native Ads
Section 4 : Monetization
75
In-Stream Video
Pros
Drives higher user engagement resulting in better conversion rates
Flexible and includes a variety of options such as: pre-roll, mid-roll, post-roll
Holds higher revenue earning potential for developers
Cons
Performance can be affected by mobile data speeds
Recommended For
Apps & games
Best Practices
Provide a skip option to the user after 5 sec of the ad
Pre-cache the video ad to counter any latency related issue
Rewarded Video
$
Pros
Ad unit is unobtrusive to the user as it is an opt-in experience
High completion rate as users voluntarily opt-in leading to higher revenue
potential
Cons
Developer needs to create right hooks in app where the user feels the need of
virtual currency
Recommended For
All games & apps with virtual currency
Best Practices
Have a wallet in your app to provide the user a centralized view of his in-app
currency
Reward users basis progress in the game. Loyal users get bigger rewards
76
Section 4 : Monetization
Banner
Pros
Cons
Low CTR and conversion rates (though these numbers can be improved with
campaign optimization strategies)
Recommended For
All apps
Best Practices
Avoid placing banner ads over text, images, and other clickable portions of the
app to prevent accidental clicks
Interstitial
Pros
Since it offers larger space and higher exposure than banner ads, it
holds a comparatively higher revenue earning potential
CTR almost 2-3X higher than banner ads
Can offer animated and interactive content
Cons
Requires measured approach and consideration regarding placement
Recommended For
All apps and games
Best Practices
Ad placement should not be in way that its appearance surprises users or
interrupts the natural user flow in the app. The ad should be placed in such a way
that it appears at an appropriate moment, for instance when a user completes
an action such as completing a level or a purchase in the app
Section 4 : Monetization
77
Expert Opinion
78
Section 4 : Monetization
Expert Opinion
a. Native ads: Native ads when tailored to match your content experience can
blend in seamlessly, resulting in a smooth, unobstructed user experience. High
levels of customization give native ads the ability the blend in with any app
experience, be it news, music apps and even mobile games, as long as their design
and placement matches the app experience. Users love them too and industry
studies suggest that 53% users prefer to view a native ad over a banner ad. 85%
of mobile users are said to be visually engaged by native ads.
b. Rewarded video: If you have a gaming app, rewarded video is the way to go. You
can incentivize the users engagement with the ad with in-game currency. The
nature of rewarded video ads is such that they appear as an extension of the
gaming experience thereby enhancing the overall user experience. In fact, users
look forward to engaging with such ads and industry figures back this trend. 62%
of mobile game players engage with a video ad for incentives while 54% users
prefer rewarded videos as a way to pay for a mobile game.
Other ad formats such as video, interstitial and banner when used the appropriate
way can also help ensure that user experience remains unaffected.
3. Serving ads at the right time
Nothing annoys users more than an app experience interrupted by a mistimed
ad. Ensure that your ads are placed smartly and appear at the right time. Here
are a few best practices to keep in mind when looking to deliver a seamless ad
experience:
a. If you know that your user base is often in a location where mobile internet
connectivity can be spotty, deploy ads in your apps wisely. If its video ads, a good
idea would be to ensure that the ad is served only when the user is connected via
Wi-Fi. In case of other ad types, it would be advisable to have the ads preloaded
whenever good connectivity is available, even if they need to be served at a later
point.
b. Look for breaks in the app user flow to serve an ad. Dont serve an ad before or
while a user is completing an activity. Users find this very obtrusive and may avoid
using your app or abandon it altogether.
Remember that the right ad format and right ad type are half the formula to
successful app monetization. The way you leverage your ad experience to enhance
your app experience will determine whether users engage with your ad, which is
critical for your app monetization to deliver maximum yield.
Section 4 : Monetization
79
My learnings from the last two stops suggest that an important piece of the
mobile advertising model is choosing the right ad partner. The choice of ad partner
determines the quality of ads and the value developers can get out of them.
2. What are the eCPM & Fill rates offered by the partner?
Effective cost per mille (eCPM) is the ratio of earnings to the total number of
impressions in thousands. Fill rate is the ratio of number of ads delivered to the
number of ads requested.
Choosing a mobile ad network solely based on its average eCPM has a limitation
because eCPM measures performance on a relative basis. Only when combined
with the fill rate and the estimated monthly impressions can app developers get a
good sense of the expected earnings in absolute terms. An ad network with high
eCPM but a low fill rate, may make developer's less money, overall, compared to an
ad network with a lower eCPM, but higher fill rate (assuming impressions are
equal). Following example will help you better understand how the two metrics
affect your revenue:
80
Network 1
Network 2
Impressions
1,000,000
1,000,000
Fill Rate
30%
90%
eCPM
$2
$1
Total Revenue
$600
$900
Section 4 : Monetization
There are many factors that will cause significant fluctuations in eCPM, such as
the seasonality of advertising campaigns and the quality of traffic developers send
from their apps. App developers need to anticipate fluctuations, especially if they
are working with a single mobile ad network, and use the networks average eCPM
to get an order-of-magnitude feel of what to expect.
Payment methods:
Mobile ad networks often support a limited number of payment methods and
developers must make sure that their individual circumstances can be covered
before they start integration.
Payment schedule:
This is usually not a deal breaker, but some networks offer a faster payment
schedule than others.
Minimum payouts:
Mobile ad networks have a minimum payout threshold which usually varies for
different payment options.
SDK:
A lightweight SDK that has been battle-tested enough will ensure that the apps
performance will not be impaired at any time across multiple platforms
Dashboard:
A fully-featured dashboard can offer thorough monitoring and effortless
fine-tuning which helps in both maximizing revenues and increasing transparency
Ad Server:
This component is the most difficult to evaluate but among others, low-latency
infrastructure and yield optimization algorithms are the backbone for a good
eCPM, so you can use that as a proxy
Section 4 : Monetization
81
5. How is the customer support and does the ad partner offer ease of
integration and documentation?
Can app developers quickly get in touch with someone to answer their questions
or is it difficult to reach an actual person?
Most developers will have questions when integrating an ad network, so it is
important to be able to easily get in touch with someone.
Also, developers need to check what documentation and online resources does the
ad partner offer to help get answers to questions outside of normal business
hours.
Ad partners offering a dedicated account manager can go a long way in helping the
developer.
However, there is an abundance of ad networks, each with their own unique set of
demand. As a result the best demand is spread across various ad networks. To
cohesively capture this demand, they must work with multiple networks
simultaneously.
Individually integrating each ad network would however lead to:
Increase in app size due to multiple ad network SDK integration
Wastage of time on managing multiple apps on separate ad network
dashboards
Risk of low revenue or fill if the selected networks cannot scale with the
app or offer the performance the developer was seeking not to mention
the fact that the demand from each network isnt optimized
Ad mediation can solve this disconnect. By organizing and aggregating disparate
ad networks, mediation can enable transparency and access of all available
demand sources into one, centralized platform.
82
Section 4 : Monetization
b. High fill rates as ads are sourced from multiple ad agencies, programmatic
buyers (DSPs), global and regional ad networks and your ad spots are open to
multiple ad partners
c. Whether it is display, video, native or incent, you can use the ad type that
is best suited to your app monetization needs
d. Gives you complete control of your app monetization plan as it allows you to
set:
CPM threshold for programmatic buyers
CPC benchmark for ad agency campaigns
Weightage for ad networks of choice
In addition to this, it also allows you to customize your plan at a country-level.
e. Helps you get a transparent and unified view of your apps monetization across
all ad partners through one single dashboard
f. Keeps your app light by avoiding multiple SDK integration from different ad
partners
Section 4 : Monetization
83
ABOUT VMAX
VMAX is the leading app monetization platform in
India & Southeast Asia. The platform is a simple yet
comprehensive solution for app publishers looking to
boost their ad revenue. VMAX empowers app
publishers by offering them complete control,
access to multiple ad partners and all ad types. The
VMAX platform delivers highest yield from ads for
app publishers combined with exceptional features
like free mediation, real-time bidding (RTB), direct
deals and unified reporting. With an unmatched
on-ground & local presence in India & Southeast
Asia, VMAX extends dedicated support in making
ad monetization hassle-free.
Presented by
APPollo