Blog :

What is “cost per registration (CPR)”?

What is “cost per registration (CPR)”?

In order to measure the fiscal health of a company, businesses must measure key performance indicators (KPIs). One critical measurement is determining the cost to acquire one new paying customer. For subscription base companies this model is known as cost per registration (CPR), or cost per acquisition.

The New York Times is in the media industry. In a simplistic model, the media outlet sells subscriptions as one of its revenue streams. For every subscription that the Times sells, some money is spent to cover the cost of advertising. Their net gain is the amount spent on advertising subtracted from the funds raised by the new subscriptions purchased.

No business can avoid this cost. To stop all advertising is to lose subscribers. Subscriptions cannot be attained without advertising. Yet, if there is no reliable consumer base, the Times cannot afford to spend money on ads.

Casual readers who have not purchased a subscription cannot be counted upon as a revenue source. Their inconsistency does not allow them to be relied upon for long-term sales. However, they can be persuaded to become subscribers. Special promotions that are tailored to their situation or lifestyle will increase subscription sales.

For example, repeat visitors to the Times’ website could be re-targeted for a free trial to the print version of the paper. If enough of these readers decide to continue with the service, the Times will have made more money in the long run. Or, existing subscribers could receive a discount flyer for the New York Times’ weekend edition. The revenue lost by giving a discount will hopefully be negated by a wave of new subscriptions.

A careful balance between advertisements and subscribers is the only way to maintain a successful, profitable business. If properly organized, any additional costs taken on in this model will be negated through sales revenues.

Google addresses download speeds with Instant Apps

Google addresses download speeds with Instant Apps

In 2016, Google announced that they were releasing Instant Apps on Android devices. The feature became available on select devices in January this year, but it’s expected that it will be available on all Android devices very soon. The rollout will allow users to access certain apps without downloading them to their mobile device. This new feature has caused a lot of controversies — especially for app owners, who earn revenue from users paying for downloads. However, Instant Apps could also create new opportunities for marketers to reach a larger audience.

Instant Apps will work much like Accelerated Mobile Pages (AMP) in that the pages will pre-download content for a faster experience for the user. Content will download as the user approaches it, rather than the whole page loading in advance. This means users are more likely to stay on the app because they’re not waiting to interact with the content: 47% of users expect a page to load in 2 seconds or less.

This new feature will enable you to widen the top of your funnel and allow more users to interact with your app. An Instant App will act like a lite version of the pre-existing app, so new users who normally would not engage with your content get a taste of the full version and be encouraged to download it. Google also believes that the new feature will act as an “acquisition strategy” and boost downloads in the long run because the Instant Apps will be easily shareable. For example, by including a link to your app in an email campaign, users can engage with the app immediately without having to download it. There are fewer barriers between the user and your content.

Instant Apps could create both new opportunities and new complications for mobile marketers. Which way the scale leans will depend on how users interact with the new feature and how it will affect app downloads.