TLDR;
- Forecasting exact costs without historical data is difficult, but we can estimate based on developed market behaviours.
- Sweden is a developed market; expect costs to align with typical Tier 1 ranges ($1-$5 per install), and user quality is typically higher.
- Don't rely solely on Google Ads; Apple Search Ads (ASA) are often critical for iOS visibility.
- Budget based on your target Cost Per Action (CPA) downstream, not just the install.
- I've included a budget calculator and a cost comparison chart below to help you visualise the numbers.
Hi there,
Thanks for reaching out! It’s an exciting time launching an app, especially targeting a specific, tech-savvy market like Stockholm. I’ve seen quite a few founders get stuck in this exact planning phase—trying to nail down a budget without concrete data is a bit like trying to navigate a ship in fog without a compass. You know where you want to go, but you aren't quite sure what the waves are going to do.
I’m happy to give you some initial thoughts and guidance based on our experience running app campaigns. To be honest, the "perfect" forecast doesn't exist until you spend that first £500, but we can certainly get you to a realistic ballpark so you aren't going in blind.
The Reality of Forecasting App Install Costs
First off, I need to be honest with you: finding specific, public data for "Google Ads app install pricing in Stockholm" is going to be difficult. Google doesn't publish this, and third-party tools are often inaccurate because they aggregate data from years ago or broad averages that don't account for your specific niche.
The cost per install (CPI) is fluid. It changes based on competition, creative performance, and seasonality.
However, based on our experience, Sweden is considered a developed country in terms of advertising costs. In developed countries, the cost per click (CPC) often falls in the £0.50-£1.50 range. For B2C signups or app installs, costs usually hover around $1 to $5 (roughly £0.80 to £4.00).
I remember one campaign for an app where we generated over 45,000 signups at a cost of under £2 per signup. This was achieved by diversifying across Meta, TikTok, Apple, and Google Ads. While every market is different, this gives you a benchmark for a well-optimised campaign.
The Stockholm Factor: High Cost, High Reward
Stockholm is a competitive market. It has high internet penetration rates. This is a double-edged sword.
On one hand, your costs will be higher than in developing nations. On the other hand, the conversion rates from install to paid user are often better. We often advise clients not to get spooked by a higher CPI in developed markets like Sweden, because the user value usually makes up for it backend.
To give you a rough idea of how costs might stack up, I've put together a visual comparison based on typical developed vs developing market costs.
Estimated CPI (Cost Per Install) Relative Index
Understanding Google App Campaigns
Since you specifically asked about Google Ads, it's worth diving into how these actually work. You don't pick keywords in the traditional sense like you might with standard search campaigns.
You feed the algorithm your budget, your target CPA (Cost Per Action) or CPI, your creative assets (text, images, videos), and your location (Stockholm). Google then mixes and matches these assets to serve ads across Search, Play Store, YouTube, and the Display Network.
The "Localization" Trap
You mentioned a "localized launch". This is crucial. In Sweden, you can get away with English ads, but to improve performance, your creative assets should ideally be in Swedish. Localized copy often performs better because it feels less generic and more like a service built for them.
Reverse Engineering Your Budget
Since you lack the data to forecast forward, you should forecast backward. Instead of asking "How much will an install cost?", ask "How much can I afford to pay for an install?".
I touched on LTV (Lifetime Value) earlier, and this is where the maths really matters. If your app is a subscription service charging £10/month, and the average user stays for 6 months, your LTV is £60.
If you have a strict budget, you need to know exactly how many users you need to acquire to validate the launch. Let's say you need 1,000 active users to test the product market fit properly.
I've built a little calculator below to help you play with these numbers. It'll show you how changes in your estimated CPI impact the total budget you need to set aside.
Don't Put All Your Eggs in the Google Basket
While your question focused on Google Ads, I'd be remiss if I didn't mention the elephant in the room for the Swedish market: iOS.
Sweden has a very high iPhone market share. If you are serious about Stockholm, you probably need to look at Apple Search Ads (ASA). This allows you to bid on keywords directly in the App Store. The intent is incredibly high. Someone searching for "food delivery" in the App Store is seconds away from downloading an app.
Also, don't ignore Meta (Facebook/Instagram). For localized launches, Meta is fantastic because you can drop a pin on Stockholm and target people with specific interests.
The "Learning Phase" Budget
One specific thing about Google App Campaigns: they need data to learn. If you set your budget too low, the algorithm never exits the learning phase, and your performance will be sporadic and expensive.
I usually recommend a budget for ad spend of $1,000-$2,000 per month to start with. This depends on how many installs you need, but it generally ensures you have enough volume for the system to optimise effectively.
Creative Strategy: The Hidden Lever
Most people obsess over the bidding and targeting settings, but the creative is the targeting. The algorithm shows your ad to people who click on it. If your ad appeals to the wrong people, you get the wrong users.
For Stockholm, clean, minimalist design usually works well. Authenticity is key. If you can get UGC (User Generated Content) of a Swedish person using the app in a recognizable Stockholm setting, your conversion rates will likely improve.
Tracking is Non-Negotiable
Before you spend a penny, ensure you have tracking set up properly. You need to know not just who installed the app, but what they did afterwards. Did they sign up? Did they buy?
If you optimise for "Installs", Google will find you the cheapest people to download the app. If you optimise for "In-app Actions" (like registration), Google will find you real users. It costs more upfront but saves you money on wasted downloads.
I've detailed my main recommendations for you below:
| Area | Recommendation | Why? |
|---|---|---|
| Forecasting | Assume £0.80 - £4.00 CPI for forecasting. | Better to overestimate costs in a developed market like Sweden than run out of budget. |
| Platform Mix | Google Ads + Apple Search Ads (ASA). | Plays to the strengths of each OS. Google is great for scale; ASA captures high intent. |
| Creative | Localize assets (Swedish language & visuals). | Increases trust and relevance, lowering your effective cost per install. |
| Bidding Strategy | Start with tCPI (Target CPI), move to tCPA later. | Build volume first to feed the pixel data, then switch to quality control once you have enough conversions. |
| Budgeting | Start with $1k-$2k per month. | Ensures the campaign has enough data to exit the "learning phase". |
Launching an app is a bit of a minefield, but the potential in a market like Stockholm is huge if you get the economics right. It's less about guessing the exact price of an ad and more about knowing your LTV and how much you're willing to pay to acquire a customer.
If you're finding the setup daunting or want a second pair of eyes on your budget spreadsheets before you commit the cash, it might be worth having a chat. We offer a free consultation where we can look at your specific app category and give you a more tailored estimate based on similar campaigns we've run.
Hope that helps!
Regards,
Team @ Lukas Holschuh
