A Guide To Mastering User Retention

How to get users hooked onto to your product and keep them coming back
Siri Kaliparambil
Dec 21

Did you know that over 70,000 apps were released in October 2021? Astonishingly, users have over 3.5 million apps to choose from via the play store. With a crowded market today, customer acquisition alone isn't going to do the job for businesses. Here's where you tend to hear marketing jargon like user retention. It is imperative for a business to give importance to user retention as a long term marketing strategy to prevent users from switching over to other alternatives. Customer retention is pivotal in the long run and marketers can retain users by understanding the customer base and strategizing on the method to ensure that the app exceeds their expectations. Businesses have an added advantage over competitors if they focus on active user retention as a part of their marketing strategy early on as this helps them to understand how users are interacting with the product. This article is a guide on how to improve the value of an application to boost customer retention:

Offer value to new users

Implement effective campaigns for new users to ensure that they reach their aha moment during the early stages. Optimise the app so that it offers a personalised experience that is appealing to users right when they are onboarded. Highlighting the core features of the application not only makes an app more user friendly but caters to solving a user's problem or fulfilling their desire, thus enhancing a customer's overall experience.

Follow the right app store optimisation practices

App store optimisation practices are vital while launching an application and give it a better shot at standing out from similar offerings from competitors. App store optimization is the process of optimising your application so that it gains more traction in the stores by understanding the customer base and strategizing the best practices. This is quite important for user retention as it organically helps you target the right audience to bear long term fruit.

Personalise the user experience

Now that a customer has been onboarded, the next step is to hone the experience that it offers so that the user sticks on. Personalising a user's experience can be the secret mantra that helps an app retain more users. Understanding user interaction can be deciphered by analysing their browsing patterns and keeping track of which parts of the app are garnering the most attention to curate a personalised experience and customise it for repeat visitors.

Make use of in-app messages

Using in-app messages to engage and communicate about the product can be a great way to retain more customers. In fact, studies have shown that implementing personalized in-app messages can help retain customers eight times more effective as compared to push notifications. It is all about getting the timing right and featuring relevant information which can help the user to understand the application better while also improving the overall experience.

Track analytics early on

The importance of tracking analytics and data early on to make close to accurate predictions can't be stressed enough. By using customer retention analytics, you can derive a metric of how customers were being churned during a particular time period and if and whether they were satisfied with the product. This not only provides marketers with the arsenal to determine if a client is a returning customer but they can also leverage this data to strategise accordingly to improve the customer experience and align it to market requirements.

Conclusion

User retention is great for a business because not only are loyal customers more likely to give your product a referral but retaining existing users is far more cost-efficient than acquiring new ones. Another business advantage that comes from implementing a great customer retention strategy is that you’re likely to make more sales as existing customers already know their way around the app and they’ll be willing to make purchases to enjoy premium features. It is also a great way of measuring how satisfied a customer is with the application and implementing the right user retention practices can help to boost loyalty amongst users to help you to build long-lasting relationships with them.