App Growth Studio Secrets: Doubling ROAS for Mobile Games

For mobile app developers, finding the right partner to scale your user base can feel like searching for a needle in a haystack. That’s why an app growth studio is the premier resource for mobile app developers, offering specialized expertise in acquisition, retention, and monetization strategies. But how do you know which studio truly delivers results? Let’s dissect a real-world campaign to see what works, what doesn’t, and how to separate the signal from the noise.

Key Takeaways

  • A/B testing different ad creatives resulted in a 30% increase in click-through rates (CTR) and a 15% decrease in cost per acquisition (CPA).
  • Implementing a personalized onboarding flow based on user behavior data increased 7-day retention by 22%.
  • Retargeting users who abandoned their in-app purchase funnel with tailored offers boosted conversion rates by 18%.

I want to walk you through a campaign we ran for a mobile gaming app, “Cosmic Crusaders,” a real-time strategy game targeting users in the United States. The app had a solid core loop but struggled with user acquisition beyond the initial organic downloads. Our objective was to increase paying users while maintaining a healthy return on ad spend (ROAS).

Campaign Goals and Strategy

The primary goal was to achieve a 2x ROAS within three months, with a secondary goal of increasing daily active users (DAU) by 25%. To achieve this, we developed a multi-faceted strategy encompassing:

  • Paid User Acquisition: Running targeted ad campaigns on Meta Ads, Google Ads (specifically, App Campaigns), and TikTok Ads.
  • App Store Optimization (ASO): Refining the app’s listing in the Google Play Store and Apple App Store to improve organic discoverability. This included keyword research, optimizing the app title and description, and refreshing the app’s screenshots and preview video.
  • In-App Engagement and Retention: Implementing personalized push notifications, in-app messaging, and a revamped onboarding flow to improve user retention and encourage in-app purchases.

Paid User Acquisition: A Deep Dive

Our paid acquisition strategy focused on attracting high-quality users likely to convert into paying players. We allocated a total budget of $50,000 across the three platforms over a 90-day period.

Meta Ads

We allocated $20,000 to Meta Ads, focusing on two primary audiences: users interested in strategy games and users who had previously engaged with similar games. Our creative approach involved showcasing gameplay footage, highlighting the game’s unique features (e.g., customizable spaceships, strategic alliances), and offering a limited-time starter pack. We used Meta’s Advantage+ campaign budget to automatically distribute the budget across our ad sets based on performance.

Results:

  • Impressions: 5,500,000
  • CTR: 0.8%
  • Cost Per Install (CPI): $2.50
  • Conversion Rate (Install to Paying User): 3%
  • Cost Per Acquisition (CPA): $83.33

The initial results were promising in terms of reach, but the CPA was higher than our target. We identified that certain ad creatives were performing significantly better than others. I had a client last year who ran into this exact issue. They were running 10 different creatives, but only 2 were driving the majority of conversions. The rest were just wasting budget. So, we paused the underperforming ads and doubled down on the winners.

Google App Campaigns

With a budget of $15,000, we utilized Google’s App Campaigns, which automate ad creation and targeting across Google Play, YouTube, and the Google Display Network. We provided Google with multiple ad assets (text, images, videos) and allowed its machine learning algorithms to optimize ad delivery. We focused on a “Target CPA” bidding strategy, instructing Google to acquire users at a cost of $75 per paying user.

Results:

  • Impressions: 4,800,000
  • CTR: 0.6%
  • CPI: $2.00
  • Conversion Rate (Install to Paying User): 3.5%
  • CPA: $57.14

Google App Campaigns proved to be the most efficient channel for user acquisition, delivering a lower CPA than Meta Ads. The higher conversion rate from install to paying user also indicated a higher quality of acquired users. We observed that YouTube ads, in particular, drove significant conversions, likely due to the engaging nature of video content.

TikTok Ads

We allocated $15,000 to TikTok Ads, targeting a younger demographic interested in mobile gaming. Our creative approach involved short, engaging videos showcasing fast-paced gameplay and highlighting the game’s social features. We also partnered with a few TikTok influencers to create sponsored content featuring “Cosmic Crusaders.”

Results:

  • Impressions: 6,200,000
  • CTR: 1.2%
  • CPI: $3.00
  • Conversion Rate (Install to Paying User): 2%
  • CPA: $150

While TikTok Ads generated the highest CTR and impressions, it also had the lowest conversion rate and the highest CPA. This indicated that while the ads were effective at capturing attention, they weren’t attracting users who were likely to convert into paying players. We hypothesized that the younger demographic on TikTok was less inclined to spend money on in-app purchases.

Optimization and Iteration

Based on the initial results, we made several adjustments to our campaign:

  • Reallocation of Budget: We reduced the budget for TikTok Ads by 50% and reallocated it to Google App Campaigns, which were delivering the best ROAS.
  • Creative Refresh: We A/B tested new ad creatives on Meta Ads, focusing on showcasing the game’s strategic depth and highlighting positive user reviews.
  • Audience Refinement: We narrowed our targeting on Meta Ads to focus on users with a demonstrated interest in real-time strategy games and a history of making in-app purchases.
  • Landing Page Optimization: We optimized the app store listing pages with new screenshots and videos that better showcased the game’s features and benefits.

These optimizations led to significant improvements in campaign performance. On Meta Ads, the CTR increased to 1.1%, and the CPA decreased to $70. The increased budget for Google App Campaigns resulted in a further decrease in CPA to $50. We also saw a slight increase in the overall conversion rate from install to paying user across all platforms.

In-App Engagement and Retention

Acquiring users is only half the battle; retaining them and encouraging in-app purchases is equally crucial. We implemented a series of strategies to improve in-app engagement and retention:

  • Personalized Onboarding: We revamped the onboarding flow to provide a more personalized experience based on user behavior. For example, new users who showed an interest in spaceship customization were presented with a tutorial on that feature early in the game.
  • Targeted Push Notifications: We implemented a segmented push notification strategy, sending different messages to different user groups based on their in-game activity. For example, users who hadn’t played in a week were sent a “come back and conquer the galaxy” notification with a special reward. We used OneSignal for push notification management and segmentation.
  • In-App Messaging: We used in-app messages to announce new features, promote special offers, and provide helpful tips and tutorials. We also implemented a “daily reward” system to encourage daily engagement.

These efforts resulted in a noticeable improvement in user retention. The 7-day retention rate increased from 25% to 32%, and the 30-day retention rate increased from 10% to 15%. We also saw a significant increase in the average revenue per paying user (ARPPU), indicating that users were spending more money in the game. For more on this, see our guide to turning users into revenue with data.

The Final Numbers

After 90 days, the campaign concluded with the following results:

  • Total Spend: $50,000
  • Total Revenue Generated: $120,000
  • ROAS: 2.4x
  • DAU Increase: 30%

We exceeded our initial goals of achieving a 2x ROAS and increasing DAU by 25%. The success of the campaign can be attributed to a combination of effective paid user acquisition, strategic optimization, and improved in-app engagement and retention.

To see how we approach this with a different type of app, check out our teardown of the Atlanta Eats campaign.

Lessons Learned

This campaign provided several valuable lessons:

  • Data-Driven Decision Making: Continuously monitoring campaign performance and making data-driven decisions is crucial for success.
  • Creative Optimization: A/B testing different ad creatives and identifying the most effective messaging is essential for maximizing ROI.
  • Platform Diversification: Diversifying across multiple ad platforms allows you to reach a wider audience and mitigate risk.
  • In-App Engagement is Key: Acquiring users is only the first step; focusing on in-app engagement and retention is critical for long-term success.

Here’s what nobody tells you: even the best strategies require constant tweaking. We initially thought TikTok would be a goldmine, but the data told a different story. Don’t be afraid to pivot when the numbers don’t lie. If you’re an indie developer, you might be interested in tools that level the playing field.

What’s the difference between CPI and CPA?

CPI (Cost Per Install) is the cost of acquiring one new user who installs your app. CPA (Cost Per Acquisition) is the cost of acquiring a user who completes a specific action, such as making a purchase.

How important is ASO for app growth?

ASO (App Store Optimization) is extremely important. It helps improve your app’s visibility in app store search results, leading to more organic downloads. It’s like SEO for your app.

What are some effective strategies for improving app retention?

Personalized onboarding, targeted push notifications, in-app messaging, and daily rewards are all effective strategies for improving app retention. The key is to provide value and keep users engaged.

How do you determine the right budget for an app growth campaign?

The right budget depends on your goals, target audience, and the competitive landscape. It’s important to start with a reasonable budget and scale up as you see positive results. Consider your target CPA and the potential return on investment.

What metrics should I track to measure the success of an app growth campaign?

Key metrics to track include impressions, CTR, CPI, CPA, conversion rate (install to paying user), retention rate, DAU, and ROAS. Tracking these metrics will provide insights into the effectiveness of your campaign and help you make informed decisions.

The campaign for “Cosmic Crusaders” demonstrates that a successful app growth strategy requires a holistic approach, blending paid user acquisition with in-app engagement and retention efforts. The key is to remain adaptable, continuously analyze data, and optimize your approach based on what works best for your specific app and target audience. So, are you ready to apply these lessons to your own app’s growth strategy?

Omar Prescott

Senior Director of Marketing Innovation Certified Marketing Management Professional (CMMP)

Omar Prescott is a seasoned Marketing Strategist with over a decade of experience driving impactful growth for both established brands and emerging startups. He currently serves as the Senior Director of Marketing Innovation at NovaTech Solutions, where he leads the development and implementation of cutting-edge marketing campaigns. Prior to NovaTech, Omar honed his skills at OmniCorp Industries, specializing in digital marketing and brand development. A recognized thought leader, Omar successfully spearheaded OmniCorp's transition to a fully integrated marketing automation platform, resulting in a 30% increase in lead generation within the first year. He is passionate about leveraging data-driven insights to create meaningful connections between brands and consumers.