AdParlor Academy Paid Digital Glossary

Plain language explainers to help you keep up with the evolving digital landscape.

CPI (Cost Per Install)

What is CPI?

CPI stands for "Cost Per Install." It measures the cost an advertiser pays for each instance of a user installing a mobile application after clicking on an advertisement. CPI is a key metric for mobile app developers and marketers to assess the efficiency of their user acquisition campaigns and drive app downloads.

How to measure CPI?

CPI is calculated by dividing the total advertising spend by the number of app installs.

CPI = Total Advertising Spend / Number of App Installs

Example: If an ad campaign costs $2,000 and generates 500 app installs, the CPI would be $4.

Why is CPI important to marketers?

CPI helps marketers evaluate the cost-effectiveness of their mobile app advertising campaigns and allocate budget efficiently to acquire new users. By monitoring CPI, marketers can optimize their app promotion strategies to attract high-quality users and maximize app adoption and engagement.

Who needs to know what CPI is:

  • Digital marketers
  • Content marketers
  • Email marketers
  • Paid search marketers
  • Social media marketers
  • Conversion rate optimizers
  • Web designers
  • Product managers
  • eCommerce businesses
  • SaaS companies
  • B2B companies
  • B2C / D2C companies

Use CPI in a sentence:

The mobile app development team analyzed the CPI of their app install campaigns to determine the most cost-effective channels for acquiring new users.

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