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New research highlights the impact of cookie restrictions on app marketing

Earlier this year, we launched a marketing campaign called the “App-ocalypse” to highlight the impact of Apple Ad ID changes on app marketing ( Google are also cracking down and phasing out third party cookies making getting adverts in front of the right users even more difficult.

This morning, Bango published research conducted with US & UK based app developers that highlights some of the difficulties they have faced. Key stats from the report include:

  • 66% of app developers struggle to accurately target and reach new payers
  • 62% of app developers have “no idea” how they’ll acquire new paying users once new privacy changes come into effect
  • 62% of app developers are concerned about the impact of IDFA on user acquisition

These statistics are not unexpected. The majority of app developers rely (or relied) on IDFA and third-party cookie data to target their adverts, so it’s natural the removal of these data sets would cause some upheaval.

However, despite the negative impact on app developers, 64% of them agree that user privacy must be the top priority for their business in 2022 – meaning they need to find a new, more consumer-friendly solution…and Bango Audiences has just that!

Bango Audiences are segments of users based on purchase history obtained by processing payments in our alternative payments business. Bango Audiences are created using anonymized information, they contain no personally identifiable information and are fully GDPR and CCPA compliant. The data is never sold to our customers but shared in an encrypted and anonymized way. This means app developers can target the right users, consumers get to see more relevant adverts and customer privacy is maintained throughout.

The focus of Bango Audiences was originally on gaming app developers as it is extremely difficult to monetize casual games. However, we have seen increasing interest from other sectors – most prominently financial trading, cryptocurrency and NFT apps. This is not surprising when you look at the apps worst hit by the “App-ocalypse”. 66% of financial apps said they had lost money because of it, with gaming apps were not far behind at 63%. There is ample opportunity in other sectors as well when you consider 71% of education apps, 69% of entertainment apps and 67% of productivity apps said they too had lost money because of the restriction of IDFA & cookie data.

Purchase behavior targeting enables app marketers to focus on the users that are most likely to buy. A vital proposition given the pressure app marketers are under to generate new paying customers. At a time when people are more cautious about spending money, finding those illusive payers is increasingly tricky. Fortunately, not only are Bango Audiences a fully compliant solution, they are also more performant, proven to generate between 2-9x higher return on ad spend for our customers.

You can read the full research here:

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