Fiksu Reports Dropping App Downloads, Rising Cost Per Loyal User
We’ve been keeping up with the Fiksu Indexes on a month-to-month basis. Last month we reported on the App Store trends and Fiksu’s indexes for March. In March, app downloads were down and the cost per loyal user started increasing. In April, that trend continued with with less downloads and a higher cost per loyal user price.
The Fiksu App Store Competitive Index (daily download volumes of the top 200 free iPhone apps), dropped 4.9% to 4.23 million in April from March (4.45 million). This is after a high period in January and February (6.35 and 6.79 million respectively).
The Fiksu Cost per Loyal User Index, tracking the cost to obtain loyal users (users who open an app three or more times), increased 12.3% to $1.46 from $1.30 in March. The previous increase from February to March was minimal (a $0.01 increase).
Fiksu CEO, Micah Adler, sees no reason to be surprised at the downward trajectory in March and April,
“April’s continued downward trajectory of app downloads was expected, as no major events sparked discovery during the month. Additionally, app marketers continued to scale back their use of robotic install tactics in response to Apple’s policy on third-party marketing services.”
Although Fiksu did notice more aggressive advertising,
“…we observed more aggressive advertising spending as marketers moved out of the first quarter lull and began to seek new opportunities to compete for rank especially in the dynamic social networking and games categories, which experienced volatility during the month.”