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What is the famous Q5 and why is it an opportunity to seize in App install?

What is the famous Q5 and why is it an opportunity to seize in App install?

During the year, there is a period known to be the “sweet spot” of the acquisition called Q5. The lowest CPM rates ever, less competition and therefore an undeniable opportunity to increase the ROI of your mobile acquisition campaigns.

It starts on Christmas Day and lasts the first half of January (sometimes more in some countries). It is present in all sources and countries. Like for instance here on Facebook:

 

CPM

Q5 in 2019

 

This is the result of a collapse in the media space cost due to the withdrawal of advertisers’ campaigns after heavy investments during the holiday season.

A few 2019 figures:

  • the CPM decreases by 17% between 24th and 25th December.
  • a second decrease of 43% occurs between 25th and 1st of January.

In addition, during this period many new devices are being sold generating additional advertising space. When most people are on vacation they also spend more time online. These are the reasons why we convince our customers to maintain their investments and take profit from this period with the low advertising costs and higher visibility.

 

This trend is confirmed in 2021, since Christmas, the drop in CPM has been very significant (-60% between December 19 and January 1). Since January 1st, the lowest level of CPMs has been reached since August 1, 2020 (-32% between August 1, 2020 and January 1, 2021). As for the CPI, it decreases by 24% between August 1, 2020 and January 1, 2021. 

A CPM remaining 20% lower compared to the confinement period

In 2019, the CPM of Q5 was 20% lower compared to the confinement in early 2020 (and on average 26% lower than the CPM in overall 2019).

Q5 CPM sweet spot vs lockdown

 

This year in 2021, CPM and CPI are lower than last year at the same time and this is true over the entire period of Q5 (end of décembre to mid-January). We identify the same trends as during the first confinement (March April 2020).

 

If your campaigns are effective, you can expect CPIs and CPAs to decrease accordingly. It is therefore important to ensure that you maintain a good conversion rate as well as a high click-through rate for more profitability.

So as the year is ending, take the opportunity and maximize your profits.

For more information, please contact us