User acquisition and marketing company Fiksu has released its latest Cost per Loyal User and App Store Competitive Indexes, measuring the effect of the holiday rush on app marketing costs and app downloads. The November indexes reflect the impact of the beginning of the true holiday season and Black Friday.
Fiksu’s Cost per Loyal User Index showed a jump of 10 percent from October, from $1.63 to $1.79 in November. Fiksu defines loyal users as those who open an app at least three times. This figure is a 25 percent increase year-over-year, and Fiksu expects marketing costs to continue growing through the end of the year. Specifically, Fiksu predicts marketing costs will reach at least $1.80 in December.
Fiksu’s App Store Competitive Index also saw a slight increase from last month. The Index, which measures the average daily downloads of the top 200 free iPhone apps in the US, showed 5.7 million daily downloads in November, up from 5.6 million in October. This is a 30 percent increase year-over-year.
Like marketing costs, Fiksu expects this figure to climb ever higher in December, as new iOS devices are given as holiday gifts, and users immediately start downloading new apps to try them out. Fiksu expects daily downloads to reach between 6.6 million and 7.4 million in December.
“The November Index data is an indicator of what’s in store for the 2013 holiday season, especially when coupled with Fiksu’s device usage tracker,” says Micah Adler, CEO and founder of Fiksu. “We can expect marketing costs and app store competition to continue to climb from November through December as advertisers spend heavily to drive up app store rankings in preparation for the rush of user activity and app discovery around Christmas.”
Fiksu’s full analysis can be found on the company’s website.