CPI - Cost Per Install

CPI (Cost Per Install) refers to the advertising cost incurred each time a user installs a mobile app as a result of promotional activities. In other words, it indicates how much an advertiser pays per single app install acquired through an ad campaign.


Overview of CPI

  • Calculation You calculate CPI by tracking the number of app installs that result from an advertising campaign and dividing the total advertising cost by the number of installs:

    CPI = Total Advertising Cost ÷ Number of App Installs

  • Role and Purpose

    • CPI helps assess the efficiency (cost-effectiveness) of advertising spend aimed at increasing app installations.

    • It is a key metric in formulating strategies to acquire new users.

  • Key Characteristics

    • Widely utilized in mobile app marketing.

    • Considered a form of performance-based advertising, similar to CPC (Cost Per Click) or CPA (Cost Per Action).


Optimizing CPI

  1. Clearly Define Your Target Audience

    • Focus ads on users who are likely to continue using the app after installation, helping reduce wasted costs.

  2. Enhance Ad Creatives and Messaging

    • Use compelling copy and visuals that resonate with potential users and motivate them to install.

  3. Select the Right Channels and Optimize Delivery

    • Choose advertising platforms such as social media or in-app ads that align with your target audience; test and refine bidding strategies and distribution methods.

  4. Improve App Quality

    • Provide a seamless user experience and valuable features to keep users engaged post-installation, thereby increasing overall satisfaction.


Conclusion

CPI (Cost Per Install) measures the advertising cost per app install and plays a pivotal role in:

  • Acquiring new users for mobile apps

  • Measuring and optimizing the return on advertising spend

By refining audience targeting, optimizing ad content, choosing suitable channels, and consistently improving the app itself, you can lower CPI while attracting high-quality users.