The Smart Marketer Podcast

Episode 223: Cracking the Code on AppLovin Ads - A New Traffic Channel for DTC Brands

Jun 11, 2025
Explore the rise of AppLovin Ads as a powerful new platform for direct-to-consumer brands. Discover why brands are shifting away from Google and Meta for better performance. Learn about two key bidding strategies—CPP versus ROAS—and how Boom Beauty achieved impressive returns with fresh ad creatives. Uncover tips for optimizing mobile-first placements and end cards to drive conversions. This insight could transform your advertising strategy and unlock new channels for customer acquisition.
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INSIGHT

AppLovin Competes with Major Platforms

  • AppLovin is a breakthrough mobile-first ad platform now competing with Meta and Google for DTC brands.
  • It leverages AI to find users likely to convert, delivering clicks that turn into buyers, boosting ROAS.
ADVICE

Test Both CPP and ROAS Campaigns

  • Test both cost per purchase (CPP) and return on ad spend (ROAS) campaign types to find what works best.
  • Start with a daily budget around $500 per campaign to give algorithms enough data for optimization.
INSIGHT

Fast Conversions & New Customers

  • AppLovin delivers 70-80% of purchases within the first hour after ad clicks, emphasizing the platform's ability to find ready buyers.
  • 80% of conversions come from new customer acquisition, key for growth-focused DTC brands.
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