Appsflyer metrics

App marketing metrics comparison

Find out how your mobile app campaigns are performing compared to your competitors with the industry’s most comprehensive benchmarking data

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Cost per action (CPA) VS Predicted lifetime value (pLTV)

Description
Cost per action (CPA)
CPA is a pricing model in which marketers pay ad networks or media sources when a user takes a particular action (such as completing a purchase or registration) inside of an app, after engagement with an ad.
Predicted lifetime value (pLTV)
pLTV combines past learnings with current measurements to predict how much revenue a user will bring in over the time they use your app.
Target audience
Cost per action (CPA)
Advertisers and publishers
Predicted lifetime value (pLTV)
App owners and marketers
Benefits
Cost per action (CPA)

• Helps with attribution – shows which sources drive action for pure performance measurement
• Shows the value of users further down the funnel
• For media sources, attracts high-performance marketers

Predicted lifetime value (pLTV)

• Protects user anonymity by analyzing behavioral clusters, rather than individual user data
• Segments users based on their acquisition source so you identify the highest-performing sources
• Provides behavioral insights to shape acquisition and re-engagement campaigns, highlighting characteristics of high-potential users

How to calculate
Cost per action (CPA)
Total advertising cost in time period X
Number of desired actions taken in time period X
Predicted lifetime value (pLTV)
N/A – models are based on machine learning algorithms
How to improve it?
Cost per action (CPA)

• Make sure you’re reaching the right audience
• Improve your creative to drive action
• Raise your ad quality score
• Protect yourself from fraud

Predicted lifetime value (pLTV)

• Constantly feed your pLTV model with accurate, relevant data
• Choose the right KPIs
• Segment your audience into behavioral clusters
• Define team responsibilities and consider outsourcing your model if you lack expertise in house

Read more
Cost per action (CPA)
Predicted lifetime value (pLTV)

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