Study: Push notifications boost in-app spending by 16%
- Marketers using promotional push notifications drive 9.6x as many users to make a purchase as the customers who didn't receive a message, according to a study from mobile marketing platform Leanplum made available to Mobile Marketer.
- Push notifications boost in-app spending by 16%, the study found. Response from app users is also affected by the day and time that a push notification is sent. Notifications sent on a Saturday result in 2.2x more purchases than notifications sent on Thursday, while promotions sent during late afternoon lead to 2.7x more purchases.
- Leanplum's report, based on data captured from more than 56 million mobile marketing activities, studied push notifications that include promotion-related words such as: buy, purchase, pay, sale and reserve.
App developers are continually looking for ways to boost revenue, especially as they grow more dependent on advertising. According to an AdColony survey released in July, 55% of revenue for top mobile publishers is from advertising and 39% of revenue is driven by in-app purchases. AdColony also found 91% of top publishers use in-app purchases.
Leanplum's study suggests that push promotions can help further drive in-app revenue by providing another way to engage with customers. That's especially important for gaming apps, which are more dependent on in-app purchases, such as buying gems or virtual currency to use in-game. Forty-three percent of gaming app revenue comes from in-app purchases, compared with 31% from video ads, AdColony said.
According to a study published this month by Tapjoy, which connects mobile advertisers with game developers, in-app purchases are also boosted by rewarded ads. Tapjoy found that mobile app users who engage with rewarded ads are 4.5x more likely to make an in-app purchase than those who don't.