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Ads: Apple Ads and Google App Campaigns

Apple Ads cost: CPT bids, budgets and the CPI math

Apple Ads has no list price: in Advanced you pay per tap, never more than your max CPT bid and often less, the price comes from an auction where your app's relevance to the search counts alongside your bid, and a campaign's monthly spend is capped at its daily budget × 30.4.

Uptika teamPublished: Last updated: 7 min readMarkdown version

How does Apple Ads decide what you pay?

You pay per tap, and the max CPT bid you set is a ceiling, not a price. Apple's bidding guide says the max CPT bid "is the most you'll ever pay for a tap — many times you'll pay less."

Whether your ad shows depends on two things together: how relevant your app is to the search, and your bid. Apple is explicit that money cannot buy relevance: if your app does not match what the person searched for, it is not shown "regardless of how much you may be willing to pay". You also cannot choose or bid for a particular ad position.

Bids live at two levels. The default max CPT bid on an ad group applies to every keyword in it; a bid you set on one keyword overrides that default for that keyword only. New keywords added later still get the ad group default.

Apple Ads Basic works differently: you pay per install, up to a max CPI that Apple suggests or you set, and the budget is monthly (up to 10,000 USD per app).

How does the daily budget work?

The daily budget is the average you want to spend per day over a month, not a hard daily stop. Apple caps the month instead: a campaign's monthly spend won't be more than daily budget × 30.4, the average number of days in a calendar month. On days with more opportunity, spend can go over the daily figure.

Daily budgetMonthly ceiling (× 30.4)
10304
25760
501,520
1003,040

The campaign keeps spending every month until you pause it, remove it or reach its end date. With an end date, it won't spend more than its number of days × the daily budget.

Which metrics turn a tap into a cost per install?

Apple's reports use these definitions (from the Apple Ads glossary):

  • Average CPT: spend ÷ taps.
  • TTR (tap-through rate): taps ÷ impressions.
  • CR (tap-through): installs from ad taps ÷ taps.
  • Average CPA (tap-through): spend ÷ installs from ad taps. This is your cost per install from taps.
  • ROAS: revenue ÷ ad cost × 100.

Installs count as tap-through when they happen within 30 days of the tap; view-through installs (seen, not tapped) are counted within one day of the view. Both new downloads and redownloads are included unless you look at those columns separately.

The link that matters: CPA = average CPT ÷ CR. A page that converts twice as well halves your cost per install at the same bid.

A worked example

The numbers below are invented to show the arithmetic. They are not benchmarks, averages or expectations for any country or category.

A habit tracker called Stepwise runs one category campaign for 30 days:

LineValueHow it is calculated
Spend450.00from the report
Taps300from the report
Average CPT1.50450 ÷ 300
Installs (tap-through)150from the report
CR (tap-through)50%150 ÷ 300
Average CPA3.00450 ÷ 150, or 1.50 ÷ 0.50
Revenue from those users in your window360.00from your own revenue data
ROAS80%360 ÷ 450 × 100

At 80% ROAS the campaign returns 0.80 for every 1.00 spent within that window. Whether that is acceptable depends on how much those users pay after the window, which only your own data can tell.

How do you work out the CPT you can afford?

Start from what an install is worth to you, not from someone else's average.

  1. Value per install. Revenue from a group of users over a fixed window (for example 30 or 90 days), divided by the number of users. Use organic users first if you have no paid ones yet.
  2. Target CPA. The most you will pay per install. Set it below value per install if the campaign must pay back inside the window.
  3. Affordable average CPT = target CPA × CR. With an invented target CPA of 4.00 and a 40% CR, you can afford an average of 1.60 per tap.
  4. Max CPT. Because you often pay less than your max, the max CPT bid can sit above the affordable average; start near Apple's suggested bid, then let the CPA tell you where to move it.

For Maximize Conversions campaigns, the target CPA is the input itself: Apple's auto-bidder aims for it on average, so a single day can be over or under. Apple recommends waiting at least two weeks before changing it, and using the daily budget if you want to control total spend.

Why is there no "average CPT" for your country?

Apple does not publish average CPT or CPI figures by country, category or keyword, and a single average would mislead you anyway. Each search term has its own auction, with its own advertisers and its own relevance to your app. Your CR depends on your product page, your ratings and the term's intent. Two apps bidding on the same word can end up with very different costs per install.

What Apple does give you is your own context:

  • a suggested max CPT when you create an ad group, based on what Apple knows about your app and what advertisers with similar apps are willing to pay;
  • recommended bids in the Max CPT Bid column on the All Keywords dashboard;
  • the Recommendations page, with impression share, rank, search popularity, installs, spend, average CPA and CPT, and estimates of installs, spend and average CPA.

The most reliable estimate is a small test: a few exact match keywords per theme, a budget you accept losing, and one to two weeks of data before you judge.

When should you raise or lower a bid?

Apple's help lists the scenarios:

SituationApple's suggestion
A keyword converts at a CPA below your targetRaise its max CPT in small steps to win more impressions within target
Few impressions on a popular, relevant keywordYou may be outbid; raise the bid, using the recommended bid as a guide
Search Match finds terms that bring conversionsAdd them as keywords and test a higher bid for more impressions
A keyword gets taps but converts at a CPA above your targetLower the bid to keep CPA down; expect fewer impressions

Apple also recommends a tiered setup: the most aggressive bids on important exact match keywords, strong bids on similar broad match keywords, and more moderate bids on Search Match discovery. In the bidding guide's words: "For optimal performance, most of your traffic should come from exact match." Keep broad and exact keywords in separate ad groups or campaigns so each tier has its own bid. The four-campaign template behind this is in Apple Ads campaign structure.

Seasons matter too: Apple suggests adjusting bids on existing keywords, or adding new keywords with stronger bids, around seasonal peaks.

Where does Uptika fit?

Uptika does not set your bids and has no budget calculator; the arithmetic above is meant for your own spreadsheet. On paid plans, after you connect your Apple Ads account, Uptika's Performance page shows spend, taps, installs, CPT and CPA against the previous period, and Opportunities flags keywords far above your target cost and terms that spend without installs. Ads and search rank shows, per keyword, your organic rank next to the paid results, so you can see where you already rank well organically before raising a bid. Any change needs your confirmation. Setup steps are in Apple Ads setup; check keyword popularity first in the free Keyword Atlas, or create an account.

Questions

How much does Apple Search Ads cost?

There is no fixed price or minimum spend. In Apple Ads Advanced you pay per tap, up to the max CPT bid you set, and you control total spend with a daily budget: a campaign never spends more than daily budget × 30.4 in a month. In Apple Ads Basic you pay per install up to a max CPI, with a monthly budget of up to 10,000 USD per app.

What is a good cost per tap on Apple Ads?

A good CPT is one your conversion rate and revenue can pay for. Apple does not publish average CPTs by country or category, and the price differs by search term and competition. Work backward: the most you can pay per install × your tap-to-install rate = the average CPT you can afford.

What is Apple Search Ads cost per install?

Apple reports it as average CPA (tap-through): campaign spend divided by installs from people who tapped your ad, counted within 30 days of the tap. It equals your average CPT divided by your conversion rate, so it depends as much on your product page as on your bid.

What is the best Apple Search Ads bidding strategy?

Apple recommends tiered bids: the most aggressive max CPT on important exact match keywords, strong bids on similar broad match keywords, and moderate bids on Search Match discovery. Raise bids on keywords that convert below your target cost or get few impressions; lower them on keywords that get taps but install above your target.

Sources

  1. Considerations for keyword bids (Apple Ads Help)
  2. Manual bidding (Apple Ads best practices)
  3. Search results (Apple Ads Help)
  4. Create campaigns (Apple Ads Help)
  5. Use the Maximize Conversions bid strategy (Apple Ads Help)
  6. Compare Apple Ads solutions (Apple Ads Help)
  7. Glossary (Apple Ads Help)