Ecommerce Playbook artwork

The Truth About AppLovin: Should You Shift Your Budget NOW?

Ecommerce Playbook · with Taylor Holiday · November 21, 2024 · 17 min

Summary

AppLovin is emerging as a powerful, efficient ad platform for ecommerce businesses, potentially rivaling Meta. It offers strong attribution, supports existing creative, and provides access to an underserved, high-value demographic, primarily older women. Ecommerce operators should investigate AppLovin for profitable customer acquisition, especially if their target audience aligns with this demographic.

Key takeaways

Themes

paid acquisitionanalytics & attribution

Topics covered

applovin adsmobile in-game advertisingcustomer acquisition costroas measurement7-day click attributiondemographic targeting

Episode description

Is AppLovin the ecommerce advertising breakthrough we’ve all been waiting for? With claims that it’s almost as good as Facebook Ads—if not better—this mobile in game ad platform has quickly become the talk of the industry. But is it worth your time, energy, and budget? In this episode of the Ecommerce Playbook Podcast, Richard and Taylor pull back the curtain on the hype surrounding AppLovin and reveal what’s really happening behind the scenes. Here’s what we cover: Why AppLovin is gaining attention: From its rapid growth to its ability to rival Meta Ads, find out what’s fueling the buzz. The results we're seeing so far: Learn how some brands are achieving Meta-level ROAS and scaling their campaigns. AppLovin's unique advantages: 7-day click optimization, no need for new creatives, and access to untapped high-value audiences. Where skepticism remains: Can AppLovin sustain its early success? What happens when competition ramps up? Our recommendations: How you can test this platform with minimal risk, just in time for Black Friday. If you’re wondering whether this platform can transform your ecommerce growth strategy, this is a must watch. Plus, we share actionable tips on how to test AppLovin now—including how to take advantage of their free ad credit offer—and what metrics to look at to gauge success. Show Notes: The Ecommerce Playbook mailbag is open — email us at podcast@commonthreadco.com to ask us any questions you might have about the world of ecomm

Related episodes

Frequently asked about this episode

What does this episode say about paid acquisition?
AppLovin is currently demonstrating Meta-level efficiency and scalability for customer acquisition, with some brands allocating significant budgets comparable to Meta. This suggests a strong opportunity for new customer acquisition at a profitable or breakeven marginal target.
What does this episode say about analytics & attribution?
The platform prioritizes a 7-day click attribution window and accepts existing Meta video creatives, significantly reducing the "lift" for advertisers and enabling quick testing of performance.
What does this episode say about paid acquisition?
AppLovin provides access to an arbitrage opportunity for reaching older, female, and gifting-oriented demographics, which are often expensive to target on other platforms like Meta. This demographic tends to be high-spending, making it a valuable target.
What does this episode say about paid acquisition?
The platform openly invites third-party measurement partners like House, with incrementality studies showing a 170% incremental ROAS over reported numbers, indicating strong confidence in its performance and transparent measurement practices.

Listen