evgeny marchenkov, datalead

Optimization Towards KPI

Evgeny Marchenkov

VP of Sales and Marketing

[email protected]

© DataLead 2016

How to Make an Agency Be Your Partner

Contents

u  Something about DataLead

u  Global trend in advertiser-agency collaboration

u  Existing collaboration models

u  Utilities

u  eCommerce

u  Games

u  Case Study

© DataLead 2016

Something about DataLead

u  The leading performance marketing agency in Russia and Eastern Europe

u  Premium partner of Facebook and myTarget

u  Up to 500K daily installs globally u  170K iOS and 330K Android installs every day

u  Working with premium traffic sources only: myTarget, Facebook, Instagram, Google

u  Traffic optimization focused on client’s KPI

u  300+ clients trust us including AliExpress, JD, EA, Zynga, Machine Zone, 360, LeoMaster, Holaverse

u  Top affiliate for MobVista, YeahMobi, Avazu, MundoMedia, ClickDealer

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Global trend in advertiser-agency collaboration u  Advertiser is looking for huge volume of

cheap quality installs

u  Agency is looking for a big budget, high payout and an edging up ROI

u  There is no sustainable business model!

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Is it a war?

Advertiser’s problems

u  Advertiser earns money according to their business model

u  They buy mobile installs (CPI), but in fact looking for ROI-positive users.

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Agency’s problems

u  Agency earns money on the difference between the base price of installs and the advertiser’s price

u  They have small test campaigns and a binary result – good or bad quality

u  They’re looking for long-term partnership with big budgets and predictable ROI

u  Example: US Gaming client

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Solutions in the market

u  Advertisers are calling the shots

u  Their solution: CPI + KPI model

u  Specific models for different verticals u  Utilities

u  eCommerce

u  Games

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Utilities model

u  Business model: Monetize their audience through in-app ads

u  Google AdMob and Facebook Audience Network – two most common solutions

u  KPI: Retention rate (Day 2, Day 3)

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Utilities model – Example #1

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u  Geos: WW

u  Devices : Android

u  Goal : Achieve target KPI’s (Retention rate)

u  Price Model: CPI + KPI

u  Daily budget: Unlimited

u  Pay in accordance with their organic traffic.

u  A: >=88% of our organic 3-day retention rate.

u  B: >=80% of our organic 3-day retention rate.

u  C: >=75% of our organic 3-day retention rate.

u  D\E\F: lower than 75%

u  For A, we pay 100%

u  For B & C, we pay 60%

u  For D\E\F, we don’t pay

Utilities model – Example #2

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u  Geos: IN, BR, US


u  Goal: Achieve target KPI’s (Retention rate 10%+)


u  Daily budget: Unlimited

u  KPI: D2 RR 10%+ , if less no pay

eCommerce model

u  Business model: Sell goods

u  KPI: Retention Rate, ROI

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eCommerce model – Example #1

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u  Geos: Eastern Europe


u  Goal : effective promotion in Eastern Europe


u  Daily cap: 1500 installs

u  KPI: D.Day2 RR 30%, Submit orders/cost 2:1.

u  Weights: RR 60%, Submit orders – 40%

u  Pay in accordance with client`s KPIs fulfilment:

u  A.>90% KPI fulfilment we have $1.2 CPI

u  B.50%-90% KPI fulfilment we have $1 CPI

u  C.<50% KPI fulfilment we have $0 CPI

eCommerce model – Example #2

© DataLead 2016

u  Geos: SA



u  Daily budget: 500$

u  KPI: 40% D1 retention, 2% in-app purchases

u  Payment model: If don’t meet KPIs – no further promotion

Games model

u  Business model: Freemium u  In-app purchases

u  In-app ads

u  KPI: Retention Rate, ROI

© DataLead 2016

Games model – Example #1

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u  Geos: Russia, CIS

u  Devices: Android, iOS


u  Daily budget:

u  IOS: $1200

u  Android: $1000

u  KPI:

u  Average Activation Rate - 85%

u  Effective Activation rate - 50%

u  D2 RR - 35%

u  Traffic is not paid for:

u  AR < 45%

u  ER < 30%

u  D2 RR <10%

u  Day 7 ROI <7%

Games model – Example #2

© DataLead 2016

u  Geos: RU

u  Devices: Android+iOS

u  Goal: Volume of quality users


u  Daily budget: $1200

u  KPI: ROI

u  ROI: 35% Day 30

u  Payment terms: No further promotion if do not meet KPI

Case study: Conditions.

u  Geos: Russia, Europe

u  Devices : Android , iOS

u  Business model: In-app purchases. $6 - $50


u  Daily budget:

u  RU – unlimited

u  EU – 250$ android, 250$ - ios. Total 500$

u  Restrictions: no Google, Facebook and incentive traffic

u  KPI: Optimized campaigns towards in-app purchases

© DataLead 2016

Case study: Execution plan.

u  Studying client’s product

u  Making a bunch of creatives for different target audiences

u  Implementing deep integration (in-app events)

u  Testing creatives and choosing the best

u  Optimizing campaigns towards client’s KPIs

© DataLead 2016

Case study. Results

Platform Installs CVR # of in-app purchases

Purchases CR

iOS RU 23 641 14.93% 429 1.81%

Android RU 7 279 14.93% 105 1.44%

iOS EU 1 124 7.06% 27 2.40%

Android EU 2 195 3.96% 49 2.23%

© DataLead 2016

Summary

u  Agency = Outsourced media buying team

u  Agency = Full transparency = Creatives control + Account access

u  Agency = Fixed fee up to 20% (No more arbitrage)

u  Agency = High quality and optimizations towards KPIs

© DataLead 2016

Agency is your partner!