Taking the guesswork out of paid user acquisition

A simple tool to estimate the right budget to grow your audience

David Yin
David Yin
Oct 18, 2017 · 8 min read

LTV calculator inputs

Using the LTV calculator

Example figures plugged into the LTV calculator.

The LTV calculator in action

Misconception 1: User acquisition is expensive

“High CPIs had been an initial barrier to entry for us, given we questioned the feasibility of UA with our ad-heavy business model. Through education and controlled testing we were able to profitably acquire a substantial volume of users in the US at CPIs of less than US$1.” — Jason Daskalopoulos, Senior Business & Marketing Manager, Not Doppler

Misconception 2: All users are equal

We saw that the paid pre-qualified users who installed and opened Crash of Cars via an ad were 1.8-times more likely to spend in the game versus those who came in organically.”- Jason Daskalopoulos, Senior Business & Marketing Manager, Not Doppler

Misconception 3: Calculating ad revenue LTV

The Model allowed us to better understand the ad revenue we generated from showing users ads in our game over their lifetime. By looking at the relationship between ad revenue per daily active users and retention in the US we were able to calculate the revenue we generated from ads over a 30, 60, and 90 day period.” — Jason Daskalopoulos, Senior Business & Marketing Manager, Not Doppler

Misconception 4: Organic spin-off

Through controlled testing we were able to measure the incremental lift we gained in organic users through paid marketing.” — Jason Daskalopoulos, Senior Business & Marketing Manager, Not Doppler

Try it yourself

New to using ads to promote your app?


What do you think?

Google Play Apps & Games

Tips, trends, and industry thoughts for app and game developers building businesses on Google Play.

Thanks to Henry Meagher.

David Yin

Written by

David Yin

Google Play Business Development Manager — Indonesia & ANZ.

Google Play Apps & Games

Tips, trends, and industry thoughts for app and game developers building businesses on Google Play.