Delivered at Casual Connect Tel Aviv 2016 | While cost-per-install (CPI) may have dominated as the go-to metric for mobile marketers, we’re starting to see media buyers opting for more nuanced metrics like cost-per-engagement or CPE to measure the performance quality of their mobile campaigns. This session will cover the increasing importance of quality based metrics such as CPE, the advantages and disadvantages of the metric, and how you might implement CPE in your app marketing campaigns.

1. 11 Creative Tips for
Effective CPE Campaigns
Casual Connect TLV 2016 @ironSource

2. @ironSource
Media Pricing: Then and Now
1995
Netscape and Infoseek
first adopted CPM
1996
DoubleClick adopted CPM
as its standard pricing
1998
Goto.com pioneered
precursor to CPC pricing
model
2002
Google formally adopted
CPC pricing model
CPC has been the standard pricing
model for paid search ever since
Today
CPA Cost per action
CPE Cost per engagement
CPC Cost per click
oCPM Optimized Cost per impression
CPM Cost per thousand impressions
CPV Cost per completed view
All pricing options are translated into a single
metric on the publisher's side: eCPM

3. @ironSource
Effort required to optimize performance vs. efficiency risk
CPA
CPE
CPC
oCPM
CPM/CPV
Risk
Required optimization effort
CPA Cost per action
CPE Cost per engagement
CPC Cost per click
oCPM Optimized cost per impression
CPM Cost per thousand impressions
CPV Cost per completed view
Scale

4. @ironSource
Cost Per Engagement
Advertisers pay when a user engages or
interacts with an app or ad unit
@ironSource

5. Your Practical Guide to
Effective CPE Campaigns
@ironSource

6. Find your Engagement
by measuring Everything
How do you know what your E should be? Let the machine come to conclusion
1
Registered Reached level X Shared Wrote a review Watched RV Many more
...
@ironSource

7. The right tool
at the right time
2
CPE during
soft launch
CPE during lower
funnel conversions
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8. The right tool
at the right time
2
The E - Gun IAPPlays a few levels A Bug
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9. Match your call to action
to your engagement3
Playable Ad featuring Fishdom Level 3 The E: Reach Fishdom Level 4
Ad App
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10. Don’t assume you
know your audience4
?
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11. Don’t assume you
know your audience4
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12. Buy on impression to
price your engagement5
$5 LTV $1 LTV $0.5 LTV
Targeting feature
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13. Constantly monitor
Are your LTV predictions still on the right track?
and fine tune your E
Prediction
Actual
LTV
Day 1 Day 2 Day 3 Day 4 Day 5 Day 6 Day7 Day 8 Da9 Day 10
6
$1.5
$0.4
@ironSource

14. Evaluate user qualitySet the right price for the right user7
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15. Evaluate user qualitySet the right price for the right user7
RV Users
$
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16. Evaluate user qualitySet the right price for the right user
IAP Users
$ $ $
7
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17. 8 A CPE and incent love affair
CPE Users
Incent Users
Combine the two to enjoy the best of both worlds: Low CPI (incent) and guaranteed ROI (CPE)
USERS
Day 1 Day 2 Day 3 Day 4 Day 5 Day 6 Day7 Day 8 Da9 Day 10
$ $ $
@ironSource

18. Don’t get stuck in a
revenue-only mindset9
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19. 01 Put your E where
Don’t let your engagement get lost in the noise
you can see it

20. 1 Go as granular
1 as you can
Does your E behave similarly across devices / geos / gender / age?
USA
LTV $1
@ironSource

21. 11
LTV $1.21
iPhone 7
35-44
LTV $1.25
LG G4
18-24
LTV $0.85
HTC 10
25-34
LTV $0.45
Samsung S3
25-34
LTV $
Samsu
35-
$0.78
G G5
5-54
Go as granular
as you can
Does your E behave similarly across devices / geos / gender / age?
@ironSource

22. 11
1,000,000,000,000,000
Go as granular
as you can
Does your E behave similarly across devices / geos / gender / age?
@ironSource

23. Thank you
Oren Cohen | VP Media | ironSource
@ironSource