|Many more people will download a magazine app than will buy it. While sources of traffic are a major factor, the in-app storefront, preview issue and pricing strategy will all have a major impact on the activation rate. Savvy marketers will soon be including dozens of pages promoting their books, magazines, videos and apps in every issue of their digital magazine.
1. Download rate
Keeping track of the number of downloads by app is fundamental to tracking the health of the iPad publishing business.
There are, of course, many factors that drive the number of monthly downloads for each of a company's apps. Some, like cover design and email promotion, are in your direct control. Others, like third-party reviews and customer ratings, are factors that can merely be influenced. Making sense of all the factors starts with tracking them and the number of downloads which result.
2. Activation rate
With activation rates - the percentage of downloads who become purchasers - for magazine apps running as low as 5 percent, there is much room for improvement.
For most magazine apps, the new customer activation rate has two dimensions: single-copy purchases and subscriptions. We will most likely see a resurgence of the magalog as a preview issue over time. Most current preview issues are just that: a handful of selected articles without any attempt to convince potential buyers how the magazine will improve their life.
3. Upsell rate and yield
Tracking the conversion rate of issues downloaded to products sold could easily result in revenue per issue that rivals the cover price. Everyday Food, for example, sells for a mere $11.99 per year. It's not hard to imagine readers spending another dollar buying related Martha Stewart products.
Everything old is new again
For those who have been consumer marketers for a while, the above should sound very much like draw, sale and conversion to second purchase. That said, many have also suffered with systems that don't provide the metrics needed to manage business properly.
When choosing an app publishing platform for magazines and books, ensure it provides the metrics you need to make the most out of the amazing opportunities that digital publishing present.