Uber, the on-demand ‘driver for hire’ mobile service (ODMS) has become the poster-child for digital disruption, delivering Google-subsidised better value (economic, functional, psychological value) to consumers than legacy taxis.
And so digital innovators are seeking to ‘uberfy’ the world with convenient on-demand mobile services (AKA ‘convenience tech’) that digitally match demand with supply. Tap your phone, get service. Some will flourish, others will fail – based on the degree they can add reliable and real value to currently inefficient markets.
So here’s an evolving master-list of Uber-style services that match on-demand requests with real-time supply… (please message me, or add more in comments – and I’ll update the list)
The app economy has grown exponentially in recent years. While there is still tremendous untapped potential in the market, the “app bubble” has created a number of challenges for app developers and publishers both in terms of discovery and monetization. With less than 1 percent of all apps generating significant revenue, and more than 1 million apps in Apple’s App Store alone, simply having a cool feature or great user experience is no longer good enough.
The lifespan of many apps can be remarkably short, making it crucial for app developers to quickly gain market share and to do so in a cost-effective manner. Facebook has become one of the leading platforms for app developers looking to acquire new users due to its huge user base (a billion-plus and growing) and relatively low barriers to entry for advertisers.
Thus, the app install ad has gained prominence. According to eMarketer, app install ads constitute between 30 and 50 percent of the mobile advertising market, excluding search. At the current rate of growth, app install ad spend in the U.S. will reach somewhere between $2.6 billion and $4.3 billion in 2014, and upwards of $11 billion in 2017.
Making sure your app install ad generates the desired level of user acquisition often comes down to the quality of creative used.
Below are three examples of innovative Facebook mobile app install ads and the lessons they offer app developers.
Lesson #1: Use Real People and Images, Not Screenshots
There isn’t a universal rule for what kind of imagery works best in Facebook app install ads. However, just showing screenshots of your app isn’t going to entice many new users. People want to see the real-world uses and benefits of the app.
For example: An app install ad for a language-learning add could show a person speaking into the app and getting feedback on their language skills. The use of real-world uses within the ad creative will help people visualize the benefits of the app. This is especially important when advertising a paid app.
In the below example from Hotels.com, note how the image of one of its rooms is displayed below the call to action to download its app to “start your vacation.” The creative, in this case a vivid and real image, engages the user to daydream about his or her dream vacation and the call to action drives the acquisition of a new app installation.
Lesson #2: Borrow Great Creative Techniques from Other Apps
As any marketer will tell you, the best ad creative often comes from someone else’s idea or technique. That’s not to say you should steal ad creative from other app publishers. Instead, study how other apps are advertised and pick a few best practices and techniques from those ads to incorporate into your app install ad unit.
Even if the ad creative is unrelated to your specific app, you can take the template of the ad creative — the images used, how the brand’s logo is positioned, where the messaging is displayed within the ad, etc. — and incorporate a similar approach for your app install ad.
Try this exercise: Spend 10 minutes studying three different app install ads on Facebook. Then hire a good freelance designer to create versions of an ad for your app based on the examples you pulled. In a relatively short period of time you will have a handful of creative approaches that have been optimized via millions of dollars of someone else’s advertising spend.
In short, don’t try to reinvent the wheel when it comes to designing your Facebook app install ad. Make it unique to your app and appealing to your desired customers but keep it within the general confines of what is working at the time in your industry. This will ensure it resonates with a broad base of potential users.
In the below example, the financial management app BillGuard has wisely included a testimonial that sits above a photo of someone using its app. It has also embedded within the ad a screenshot of what its app looks like on a users’ phone. The real-world imagery helps make what could be a static, boring ad come alive with relevance and authenticity for potential customers.
Lesson #3: Embrace the New Reality of Performance-Based Facebook Advertising
Facebook’s ad solutions have changed dramatically in recent years. What was once predominantly an engagement-only ad solution has evolved to become an engagement plus performance-based direct-response ad platform.
New tools like Custom Audiences, Lookalike Audiences and Page Post link ads offer app developers a variety of ways to target specific user groups with relevant and timely offers. Late last year, Facebook introduced cost-per-action (CPA) bidding in an effort to improve the performance of mobile app install ads. Facebook has also made significant changes to its News Feed, decreasing the exposure it gives to brands’ text-based posts in favor of image-based posts.
In the below example, Fab.com has served a “Suggested Item” ad based on the prior purchasing habits of the specific user (in this case, me). Facebook’s Custom Audiences tool helped Fab.com enabled Fab.com to find a group of users like me who had made prior purchases with the company. It was able to serve up a specific ad with a specific offer based on that group’s demographics and purchase intent.
As the app install landscape becomes increasingly competitive, app developers and publishers need to be more focused than ever on using innovative creative in their ad campaigns. Applying a more focused approach to your Facebook ad creative, combined with a nuanced understanding of Facebook’s advanced ad targeting solutions, will ensure your app install ad campaigns generate the desired level of user acquisition.
Adam Lovallo is co-founder of Grow.co, a customer acquisition think tank and strategic advisory services firm. Grow.co is hosting the Mobile User Acquisition Unlocked conference June 10-11 in Las Vegas.
Article courtesy of Inside Facebook
DailyThem.es is a social writing platform that wants to help English learners improve their language skills in an enjoyable and non-intimidating way. The concept behind the site is simple. Each day, users are encouraged to write 100 words about any subject they want, and then exchange feedback with other writers. Users also get access to analytics that tell them what language errors they tend to… Read More
Article courtesy of TechCrunch
The popular language learning platform Duolingo today announced that it has closed a $20 million Series C round led by Kleiner Perkins Caufield & Byers. As Duolingo’s founder Luis von Ahn told me, the company plans to use this new funding to continue on its path to dominate the language-learning market.
Duolingo previously raised a Series A round led by Union Square Ventured in 2011 and a $15 million Series B round led by NEA in 2012. Duolingo also counts Ashton Kutcher and Tim Ferris among its investors. The company’s previous investors also joined in this new round.
Von Ahn told me Duolingo now has about 25 million registered and 12.5 million active users. That’s up from about 10 million the company reported by the end of last year. This means that more people now learn a language with Duolingo than in the U.S. public school system. Von Ahn attributes at least a part of this growth to Apple choosing Duolingo as its iPhone App of the Year, which marked the first time the company choose an education app for this honor.
As for why the company decided to raise a new round, von Ahn told me that he received quite a bit of inbound interest from venture capital firms. While he talked to a few, Kleiner Perkins felt like the ideal partner, not in the least because Duolingo will work with Kleiner partner Bing Gordon who will also join the Duolingo board as an observer.
The company also plans to use the additional funding to ramp up its hiring. Duolingo currently has 34 employees — most of them engineers and designers — but plans to get to 50 in the near future.
Duolingo will soon release a groups feature that will make it easier for teachers to use the service in their classes (and track their students’ progress). Duolingo also expects that large companies, which now often use Rosetta Stone and similar tools to train their workforce, will start using this groups feature.
Von Ahn has a track record of building successful products based on these hybrid approaches that bring together human collaboration and technology. With reCAPTCHA, which he sold to Google, he turned CAPTCHAs into something useful by combining them with OCR technology.
With Duolingo, he is building a language learning and translation tool that is based on these same principles. The service teaches you a language, but at the same time, you are also using some of the practice translations to translate real sentences for paying customers.
Last year, the company partnered with CNN and BuzzFeed, for example, to translate some of those company’s articles into Spanish, Portuguese and French. The company is working on similar deals with other publishers and both CNN and BuzzFeed have renewed their original contracts.
Going forward, this will obviously be a major source of revenue for the company, but von Ahn also expects that Duolingo will open its self-service portal for translations within the next two months.
Duolingo doesn’t have an immediate goal to break even, though. “We have revenue, and that’s good,” von Ahn told me, but his plan for now is to grow the user base Most importantly, though, von Ahn wants to increase Duolingo’s user base (and that, in return, will also strengthen the translation side of the service). “Our main goal going forward is to become the de facto way to learn a language,” he told me.
When the company asked users why they use Duolingo, many said they considered it a game that is both entertaining and useful. This isn’t something Duolingo set out to do, but based on these findings — and with Bing Gordon among its advisers now — the company plans to add more game elements to its service in the future.
One thing von Ahn says he won’t do in the future, though, is pay for advertising. It has never spent a single dollar on ads and doesn’t plan to do so anytime soon.
Article courtesy of TechCrunch