Return on ad spend (ROAS) is the app marketer’s key metric for comparing performance across a diverse set of advertising partners. To calculate ROAS, you divide the revenue earned from conversions (purchases, sign-ups, subscriptions, etc.) by the associated ad cost (e.g., network and partner commissions). Advertisers optimize ROAS by doubling down on the highest “return” partners and reducing spend with the lowest “return” partners.
If you grew up in the mobile marketing world, you know that it’s rarely an issue to reliably measure conversions (i.e., the numerator in the equation above), as that is the primary job of your mobile measurement partner (MMP). MMPs, such as AppsFlyer, are best equipped to independently record mobile app events, including installs, downloads, bookings, purchases, subscriptions, and more. However, collecting the most accurate ad cost data (i.e., the denominator) from a diverse cross-section of ad networks is another issue entirely.
Building Your Confidence in ROAS
Critical partnership decisions are made based on ROAS, so it has to be correct. And getting it correct takes tight technical coordination.
To complete the ROAS equation, mobile measurement partners count on ad networks to share accurate cost data. Given inconsistent standards and methods in collecting ad cost data, the accuracy of the ROAS metric can vary greatly. That’s a problem in itself. In addition, reconciling cost can take up a lot of time and resources. How many times have you received a bill from a network and found that it doesn’t align with your own metrics?
We want to help solve this issue across the entire ecosystem. Starting today, if you are an AppsFlyer advertiser who works with ad networks that run their business on TUNE, the quality of your ROAS metrics just got a whole order of magnitude better. How?
TUNE and AppsFlyer have integrated to ensure that the most accurate ad cost data gets captured reliably and delivered consistently via API to you. This means that all AppsFlyer advertisers who spend with ad networks that run on TUNE can have way more confidence in their ROAS, knowing that their data is correct and reconciled with what that network is going to bill them.
What makes this even better is that most of the largest mobile ad networks around are running on TUNE’s partner marketing platform, using it to measure, report, and pay their publishers. So the more you work with ad networks that use TUNE, the better decisions you can make. To start improving your ROAS with AppsFlyer and TUNE, contact your AppsFlyer account representative today.
A better ROAS metric with TUNE and AppsFlyer ultimately means better ROAS for your program. Cheers!
Thank you to the following companies who are leading the way to better ROAS:
These companies have completed integrations with AppsFlyer and are available to work with today, with more integrations coming soon.
Becky is the Senior Content Marketing Manager at TUNE. Before TUNE, she led a variety of marketing and communications projects at San Francisco startups. Becky received her bachelor's degree in English from Wake Forest University. After living nearly a decade in San Francisco and Seattle, she has returned to her home of Charleston, SC, where you can find her enjoying the sun and salt water with her family.