What is Cost Per Install (CPI)?
A pricing model where advertisers pay for each app install generated by their advertising campaigns.
Cost per install (CPI) is a bidding or pricing model where publishers serve ads on multiple platforms to drive users to install the mobile app they are advertising. CPI is the market price used in mobile app campaigns to measure the impact of ad spend - it is the cost that advertisers pay for a single install.
Why It Matters
CPI is low risk for advertisers compared with other pricing models like CPM, as advertisers only pay when users actually install their app. It incentivizes ad networks to deliver the highest number of installs and helps determine the most efficient use of ad spend across different platforms.
How to Calculate
CPI = Total Ad Spend ÷ Number of Installs. For example, if you spent $500 on advertising and generated 250 installs, your CPI would be $2 per install.
Industry Benchmarks
Category | Average | Good Performance |
---|---|---|
Hypercasual Games | $0.50 - $2.00 | Under $1.00 |
Casual Games | $1.50 - $4.00 | Under $2.50 |
Hardcore Games | $3.00 - $8.00 | Under $5.00 |
Best Practices
Monitor CPI alongside long-term metrics like retention rate, ROAS, and LTV for sustainable growth. Focus on post-install actions rather than just installs. Track performance across different channels and optimize based on user quality, not just install volume.
Examples
A gaming app runs campaigns across multiple ad networks with different CPIs: Facebook ($3.50), Google Ads ($2.80), Unity Ads ($4.20). The advertiser can identify the most cost-effective channels and allocate budget accordingly.
Notes
CPI varies by GEO (US/EU higher than emerging markets), app vertical (gaming vs utility), channel type (premium vs mainstream), and ad unit quality. While CPI measures acquisition cost, it should be balanced with user quality metrics like DAU, session length, and ARPU.