In simple words, publishers can get more players in their games much cheaper on Android as compared to iOS, and the report also indicates that these players monetize at nearly identical rates to iOS users. Android, as well as iPhone users, tend not to monetize, and iPhones have typically been more expensive as compared to average Android smartphones. However, you can certainly purchase high-end Android smartphones. iPhones have typically been purchased by higher-net-worth people who tend to monetize well for developers. It is one of those reasons why it has been more expensive to acquire new users on iOS as compared to Android.
However, that trend is changing and Android users monetize – at least for gaming applications. And they are monetizing at basically the same level as iPhone users which means that it is becoming more cost-effective for publishers to target players who use Android smartphones. It is noteworthy that the return on ad spend after one on Android is less than a percentage point under iPhone for casual gamers. However, considering the cost of advertising to acquire those players which is four times less on Android as compared to iOS, it is a good deal for smartphone app publishers.
It is important to note here that the problem for publishers is player retention instead of player acquisition. According to the report, the cost to acquire one player who spends money inside your game is now $44. The report also claims that worldwide cost per install for gaming applications has now reached $1.47, while mid-core gaming applications have a lower cost per install with the highest return on advertising spend which is 39.5% after one month. Furthermore, game players in North America are the most loyal in the world with the highest retention rates. You should also note that only 3.3% of users who download a game on their smartphone sign up for an account.
