An eCommerce app received 500 installs, resulting in $1,000 in revenue. What tCPI should they use to start a new Google App campaign for installs?
They should begin the new Google App campaign for installs with a target cost per install (tCPI) of $2.
- 0.5
- 20
- 500
- 2
Explanation:
They should set a $2 target cost per install (tCPI) when starting a new Google App campaign for installs. This figure is derived from dividing the historical revenue ($1,000) by the number of installs (500), resulting in a $2 tCPI. Starting with this value aligns the campaign with previous performance, ensuring a cost-effective approach to acquiring new users. Additionally, Google recommends setting a daily budget at least 50 times the tCPI, making $2 a suitable starting point to optimize performance and budget efficiency.
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