AppMetrica Blog

Revenue metrics: compare traffic sources and track validated purchases

New features in AppMetrica make it easier to compare channel effectiveness, track real in-app purchases and categorize revenue.

Are you getting a return on your ad investments?

We added a set of revenue metrics to User Acquisition and Remarketing reports. These will be useful for traffic managers and retention marketers when it comes to assessing the quality of ad channels. Number of conversions doesn't tell the whole story, so now you can analyze direct revenue from users.

An extensive set of metrics make it convenient to measure channel effectiveness (partners, platforms, creatives) in both traffic reports:

ARPU (average revenue per user) is the key metric showing how much money each user spends on average. Use it to compare the cost per install (CPI) with revenue generated by acquired users. You can also compare the effectiveness of different ad channels or individual campaigns.

Number of purchases makes it possible to compare the number of other target actions against the number of successful transactions. This is also an important metric for campaigns where the target for the partner is the number of paid orders from acquired users.

Number of paying users. Aside from reflecting the weight of different channels, this metric is useful for calculations in referral programs where program members are paid for bringing in new paying users.

Purchase conversion shows the ratio of paying vs. non-paying users gained from a particular source.

Revenue shows revenue by channel/partner/campaign and even creative, which helps you evaluate the effectiveness of placements. This metric is also relevant when working with ad partners who use the Revenue Share model.

How to optimize traffic sources

Use this simple formula to assess how efficiently your ad budget is being spent so you can optimize spending:

ARPU x Margin Vs. Cost Per Acquisition

ARPU multiplied by margin allows you to compare net revenue per user against cost per acquisition.

Depending on the result, you can either reduce investment in channels that bring in the least profitable users or increase spending on traffic where you see a higher revenue from placements.

In addition to budget optimization, you can use the report to identify how to fine-tune campaigns:

·       Change a creative that is not producing real purchases.

·       Track geographies that are not generating payments and remove geotargeting that’s not working,

·       Check that the campaign is not running on non-convertible devices, such as old models of phones.

Guest access to data

Guest access can be granted to revenue metrics if you plan to share data with partners or agencies. Read more about managing app access.

Support for purchase validation

In addition to the report updates, AppMetrica now offers in-app payment validation. This feature is most useful for game developers because it is easier to determine when users actually paid for in-game items instead of using cheat codes. Validation makes it possible to focus statistics on earnings. For user convenience, reports show both revenue metrics – total and validated – to make comparison easy.

Payment validation requires additional setup in the app and AppMetrica interface. More information can be found here.

Multi-currency conversion

AppMetrica supports 168 currencies, including pounds, yuans and even tugriks :) You can track revenue from the vast majority of countries where your app might be available. Financial metrics are converted into one of three currencies – rubles, dollars or euro – using the conversion rate. Simply choose the most suitable currency and start tracking revenue!  

Setting up Revenue analytics

To add revenue data to AppMetrica, configure revenue event collection via the SDK

If you are not using AppMetrica yet but want to get started, just create an account and integrate the appropriate SDK into your app.

Your AppMetrica team