App marketers are continually fighting an uphill battle against rising user acquisition costs. But what if you could make each user you already have more valuable, without doubling down on ad spend? This was exactly the question we posed in a study on retargeting’s impact on lifetime value. The results reveal a game-changing strategy that boosts average revenue per user (ARPU) and challenges what you thought you knew about retargeting.
We compared the performance of two groups:
Control group: Those who did not receive retargeting ads
Test group: Those who were exposed to retargeting campaigns
In doing so, we were able to directly attribute any changes in ARPU to the impact of the retargeting campaigns, giving us a clear, data-driven view of the effectiveness of this strategy.
The results of our study revealed some striking insights into the impact of retargeting:
The findings of this study carry important implications for mobile app marketers:
Retargeting can drive substantial ARPU increases: As evidenced by the median +31% lift in D7 ARPU across apps, retargeting should be considered a key strategy in any mobile marketer’s arsenal.
Not all apps will benefit equally: A nuanced approach is necessary when planning retargeting campaigns. While the results were overwhelmingly positive, it’s important to note that some apps experienced minimal or even negative impacts from retargeting. This variability highlights that retargeting is not a one-size-fits-all solution and reinforces the importance of tailoring strategies to specific app subcategories and user bases. When done correctly, outstanding uplifts like the 205% increase in ARPU are possible.
Success depends on knowing not just that retargeting works, but where, when, and for whom it works best. At Adikteev, we’ve seen time and again that the highest-performing campaigns are those tailored to behavioral signals, app genre nuances, and monetization models. Marketers who test intelligently with segmentation, creative variation*, ad placement, and incremental lift analysis are the ones who unlock sustained, scalable impact. Anything less leaves revenue on the table.
Data-driven optimization is critical: The study’s results highlight the importance of continuously monitoring and refining retargeting strategies. By analyzing performance data in real-time, marketers can make informed decisions and adapt their campaigns to maximize user value.
At Adikteev, we are committed to providing data-driven insights that help marketers unlock the full potential of their campaigns. This doesn’t just mean generalized studies, but in our one-on-one campaign refinement with clients as well.
If you're ready to take your retargeting campaigns to the next level, we’d love to chat about how to lean on our wealth of data to increase ARPU. Our unique insights, combined with our cutting-edge tools, will help you tailor your strategies and maximize the value of every user. Let’s talk.