Fiksu Says App Marketing Costs Recently Touched Record Highs

Fiksu Says App Marketing Costs Recently Touched Record HighsFiksu has published its latest Fiksu Indexes, which indicate the cost to acquire loyal users. According to the data presented, this cost reached the highest level ever recorded by Fiksu in August.

Overall, the Fiksu Cost per Loyal User Index increased by six percent in August, or 10 cents, to $1.90 from July’s $1.80.

This spike was driven by two main factors.

“First,” Fiksu announced this morning, “big brands are saturating the market spending ever-increasing budgets on mobile to cost-effectively acquire loyal users. Second, marketers are starting to make headway with holiday planning, applying their Q3 budgets to test different mobile marketing strategies before the big rush in Q4 when costs will likely rise further, as seen in previous years.”

The Fiksu App Store Competitive Index (which measures the average aggregate daily download volume of the top 200 free U.S. iPhone apps) saw a two percent bump to 5.9 million daily downloads in August from July’s 5.8 million.

While the month over month change is minimal, this represents a 46 percent year-over-year increase from August 2012, underscoring both the explosion of app usage and the reason big brand advertisers are continuing to increasing their mobile spend.

“Mobile is where marketers are competing today, especially as big brands and Madison Avenue get on board in the quest to reach consumers where they are most: on mobile,” says Micah Adler, Fiksu CEO. “With marketing costs at a record high, and only likely to grow as the holidays approach, now is the time for mobile marketers to hone their campaign strategies – before the real competition starts.”