Facebook has introduced a new tool designed to help advertisers capitalize on apps beyond their initial install.
App Event Optimization uses insights gleaned from Facebook, Instagram and Audience Network to deliver in-app advertising to people deemed most likely to take action within their apps.
“This brings value to business, as well as to people, who get ads for the apps that will be most useful to them,” said a post introducing the product on the Facebook blog.
According to Facebook, not everyone who downloads an app will take actions within the app environment that are valuable to businesses – such as making a purchase, booking a trip or reaching a level within a game. In fact, only 6% of people who download an app are still using it within 30 days of the download.
Facebook shared success stories from customers using App Event Optimization. Social music app Smule said the tool enabled it to target people most likely to purchase a subscription. The company claimed the tool had improved its cost per purchase by 32% and revenue per user by 22%.
Facebook is also extending dynamic ads and Canvas to advertisers looking to drive app installs and engagement.
Dynamic ads for apps will target people who have shown interest in a particular product on a website, delivering an app install ad featuring that product they can purchase directly after the app install.
Facebook said the units would enable advertisers to reach people already interested in their products and thus be more likely to make in-app purchases.
The company said Canvas ads would enable app developers to bring their app to life by showing more of the app and providing a sneak peak into the user experience.
Apps are a key element of the mobile experience, with 90% of all time spent on mobile spent within apps and 58% of mobile purchases in the U.S. made through apps.
