Google Play Store and Apple’s App Store are the biggest dominants in the mobile app marketplace, with total mobile apps now touching 5.5 million in numbers.
Both Android and iOS users interact with only a few good apps on their smartphones, which accounts for incessant competition.
Such environment requires App makers to realize the importance of app marketing and focus on planning a sincere budget for marketing an app.
The main challenges through the entire mobile app marketing strategy are:
- Organic and rapid mobile App discovery
- Reaching the target users
- User Engagement and retention
- Creation of loyal app users
- Satisfying Conversion and ROI
All these operations involve the question of how much the app marketing would cost you. To estimate the cost, we need to consider the essential components that constitute the comprehensive app marketing campaign model. Here is the quick glance at app marketing cost breakdown structure:
- Market research
- App beta testing
- App Store Optimization
- App PR outreach
- Influencer Marketing
- App marketing agency pricing
- Average Cost Per Install (CPI)
- Cost Per Action (CPA): Register
The Pre-Launch Marketing Components
The pre-launch app marketing usually includes the most crucial components such as market research, beta testing, ASO (App Store Optimization), PR and pre-launch media coverage.
This stage of app marketing revolves around generating interest, excitement and anticipation as well as awareness of the app before it is accessible from the app store.
This way people will also know the availability of the app and when to rush to the stores for downloading it.
Market Research Costs
Conducting a healthy and in-depth market research is a step that precludes any other action for it lets you know the minutest aspects of the target market.
However, your research is not merely limited to scooping up the facts about competitors’ success, trending features, user requirements and marketing Technologies (MarTech).
It also essentially entails efforts for discovering robust options for social media coverage, viral marketing, good publications and influencers, bloggers and YouTubers. The cost for such thorough research appears between $5000 to $15,000.
Beta testing helps save your mobile app’s reputation when the app is actually being used. The testing determines the impeccable performance of the app and ensures your app is completely ready for the market and doesn’t contain any pitfall of bugs.
Beta testers also come handy when posting unbiased reviews about app’s look and feel – which is an underlying part of app marketing.
The usual cost estimation for such beta testing hits between $3000 to $5,000.
App Store Optimization (ASO) Cost
The process of App Store Optimization covers all the thoughts and attempts at tuning the mobile app to the rules of discoverability as decided by respective App stores like Google Play Store and Apple App store.
The efforts involved in ASO cleverly deal with optimizing keywords, title, screenshots, video and description to make sure the app is compelling enough to be easily found and downloaded by its potential users.
Since ASO is a tricky subject that needs good level of technical expertise, the in-house app creators must be skilled enough to use the right set of ASO tools whose monthly cost range from $50 to $1000 or more.
If in-house expertise lacks awareness about tools-specific tactics, hiring an app marketing agency would be a great remedy.
Reaching out to PR is still considered effective for mobile app marketing as it is for any product marketing activities. Pitching an app to online publications and being visible through press releases is the integral part of successful app marketing strategy.
PR outreach turns out to be a little more time consuming, though, and capitalizes greatly on media relationships. Eventually, it makes the app prominent on leading forums and publications. A good reputed PR agency may charge your company up to $300 per hour.
Influencer Marketing Cost
Mobile app industry can boost its marketing power by tapping into the world of influencer marketing. Online influencers who are actually bloggers and reporters can magnificently endorse the app by developers in the most dignified and honorable way.
The cost for influencer marketing for connecting an app to the target audience can reach $10,000. The marketing agency may levy up to $15,000 a month – which might strike as a little too expensive for independent developers. The method usually seems affordable for today’s big brands.
The Cost of Digital App Marketing Assets
To create an unforgettable online presence with glorious visibility, the mobile app of all genre needs a platform to flourish. This platform is better interpreted as a promotional website and social media accounts for Facebook, Twitter, YouTube and Instagram.
Companies or developers can either partner with a professional web design firms – which may cost from $5000 to $25000 – or alternatively opt for online web building solutions that charge nearly $20 a month.
In the latter case, you still need a competitive, robust service for creating presentable, vivid graphics and images developed professional for branding visuals.
Post-Launch Marketing Cost Estimation
After launching the app comes the real hard work of getting users to install and take actions within the app. The post-launch user acquisition activities will have brands and marketers spending a significant portion of the overall budget.Mobile app life cycle is kept afloat by getting users to install your app.
However, the cost estimation for making users install app (CPI) is different for both iOS and Android platform since Android smartphone users are many and have different choices and locations than iPhone users. It is usual to expect the CPI for iOS to be $6 and $4 for Android.
CPA(cost per action)is the crucial part of mobile app marketing campaign as it usually revolves around in-app actions excepted of users such as:
- Registration and account creation
- Contents participation
- In-app purchase
- Product order or service reservation
- Filling the surveys
- Subscription of push message or other services
Mobile only becomes profitable if users make purchase decisions. For this very reason, cost for getting users to take an expected action is quite higher than cost per install.
Keeping the app monetization mechanism in perspective, we can deduce that the estimated CPA for iOS app could be approximately $120 and $180 for Android app.
Given the higher cost of CPA, it is most important for brands and uptight developers to retain mobile users and get them to subscribe more often.
Push Notifications Cost
Every app nowadays supports push notification marketing to keep the customer interactions alive and business going. Most effective and ubiquitously embraced, push notification solutions such as Beacons are powerful tools to communicate with existing app users about latest offers, special discounts and features to try.
The personalized messages with relevant content can engage users for a long time, helping you stop them from quitting the app. Due to specially designed APIs, the cost of push notification marketing reposes within $30 to $200 a month.
Hiring a Specialized App Marketing Agency
To execute a perfect app marketing strategy with all the vital points, taking the help from professional veterans in the field is not a bad idea. Brands and mobile app developers will need to open their budget limit up to $25000 for a single app.
The marketers will take over the job of preparing crucial marketing assets such as micro website, graphics and photos, video creation, and social media channels. these actions will make sure users will be able to discover your app across all marketing channels.
If you believe in holistic approach for marketing your mobile app, you will find the app marketing expenses swaying around the tail end of $10 to $12K.
Considering how bad you want your freshly developed app to surface in the densely overcrowded app market, it will be great to stretch your marketing budget a little more liberally.
Regardless of industry niche and complexity, investing in promoting your app across major platforms and channels does involves a lot of hustles and creativity.
If implemented adroitly on platforms that precisely deliver your message to app users, the app marketing strategy shows you bright prospects of impressive ROI and profits.