One of the most common problems faced by app marketers is the unsure territories of user engagement. Tracking the exact number of users and returning users is not an easy job. In spite of the availability of industry relevant metrics exact figures and statistics of acquisition and retention rate is difficult to gauge. Retention rate (a very important factor in measuring success for mobile apps) is calculated by dividing the current number of users with number of users acquired in the beginning and multiplying them by 100. No matter how many formulas we adjudge as effective but the truth is difficult to take in. Evaluation of user retention cannot be identified in bold and clear numbers. There are various factors that affect user retention in a certain span of time. There are several types of retention such as short term, long term, mid-term, pre-launch and post-launch stages of retention. In order to visualize the complete retention curve one needs to pull it all together into a ball of numbers.
Cohorts are groups of people sharing common behavioural patterns and characteristics. For example X or Y number of teenage girls working on voluntary projects in their spare time and their statistics for the year 2013.
Assessment of cohorts leads to proper retention tracking of mobile app users. Effective measurement of cohorts depends on certain factors such as:
Measuring an App’s Growth
Measurement of MAU (monthly active users), WAU (weekly active users) and DAUs (daily active users) are important factors that help you calculate user engagement. App store monetization reports and search engine optimization figures (Google analytics and search metrics collected from user flows) let you have your own value judgement. As an app publisher or a mobile app development company you are always on the lookout for creating stickiness for your mobile apps.
Percentage of your MAU, DAU or WAU will let you assess the actual number of users that engage with your app. When you set a marketing campaign you may get a chance to acquire 1,000 users. On the first day you may come across 500 active users. This would mean your retention rate is 50% on Day 1. Paying close attention to your 1-7-30 day retention rates is important for setting benchmark for your games and apps.
Measurement of MAU is very important in measuring actual initial retention. Acquisition Cohorts is an important form of retention measurement. You get to assess the specific group of users using your app which distinguishes your marketing and acquisition strategies.
Acquisition Cohorts also indicate drop in users. You can bring out user behaviours and strategies in re-engaging your existing users. By introducing added features and functionality in your apps you can compare their actions and determine specific actions that help you retain users. Using MAUs helps you in measuring the growth of your app.
Assessing behavioural cohorting allows you to compare user actions which lead to your app gaining retention. The period between Day 1 to Day 30 is important in determining dramatic drop off or excessive engagements and retentions.
Various Stages of App Retention
Growth determines retention. An app that grows well has users that go on to stay forever.
Read Also: 5 Simple Ways to Retain App Users And Increase Mobile App Engagement
Each stage has its own distinctiveness. The diagram provided abode shows the three significant stages – early (between 0 to 7 days), mid-term (between 7 to 30 days) and long term (beyond 30 days) of retention.
Your ultimate goal is to pin point user actions and set up marketing triggers. The mobile industry trend suggests a pattern which states:
Long term retention will only be possible when the user experience remains enriching. Users need to feel connected to stay connected. A ‘sticky’ app keeps up with the initial promises, features and functionalities. By providing consistent excellent experience you will be ensured to have a good stay in the app marketplace.
Measuring User retention is important in evaluating growth and bring in improvement in your app. Using the key indicators and user metrics will help you to stay rightly positioned in your acquisition efforts. Track your progress to track retention rates and build your long-term growth. The mobile marketplace being volatile requires consistent role play. Once you taste success for your mobile app you will inevitably start developing and think of earning from multiple apps as it is an addictive market in spite of its volatile nature.
Hello everyone, I am Chandrani, a writer by passion and profession, currently attached with Radikal Labs. I consider myself to be a seasoned writer developing blogs, news articles, technical and non-technical content on web and mobile technologies.