Tons of metrics indicate an app’s performance and success. While each app has a unique design, use case and business models, but they all share a handful of metrics necessary to their success. These metrics are easily quantifiable regardless of the app or chosen business model.
The number of customers who have not only downloaded your app but have taken the next step to install it on their device. On average, 30% of your total downloads will convert to installs.
Monthly Active Users (MAUs):
The number of mobile app customers who have actively engaged with your app over the last month.
But you can define the parameters around the term ‘active,’ the active customer count is usually filtered through a combination of usage and last seen statistics. Most of the publishers consider any customer who has launched your app at least once as an active customer; however, some publishers impose more stringent criteria or record active users on a weekly or daily basis.
A measurement of an app’s ability to engage and maintain its customers over an extended period.
Again, retention varies by app store category, with commonly reported benchmarks suggesting an average 40% one-month retention rate and a 4% one-year retention rate.
Average Revenue Per User/Customer (ARPU):
The average amount each customer attributes to your app’s revenue over a given timeframe. ARPU is usually calculated in monthly terms and commonly averages out your revenue by your monthly active users, rather than your total install count.
ARPU = Total revenue generated within a given time frame / Total # of active users within a given time frame
The in-app experience can be made personalised by delivering contextually relevant, value-addition of your customer’s. The customised app experience is integral to driving customer lifetime value; and ultimately, your bottom line.
Key findings collected from customer feedback and app analytics. Customer insights speak to the wants, needs, and behaviours of your customers.
When we implement those, and the results are invaluable in identifying new features to add to the product roadmap or improving individual areas of your app to boost customer engagement, loyalty, and revenue.
The amount of revenue generated by your customers over a given period. App revenue can be made in the form of advertisement revenue, in-app microtransactions, subscriptions, or downloads etc.,
All these 7 will work together and form a simple mobile app successful formula:
If you keep focused on maximizing your installs, higher retention, and better monetizing your audience, you’ll soon find yourself with more loyal and valuable customers, as well as higher rankings and improved ratings.
The formula mentioned above may be simple, but the work is not.
It requires continued investment, commitment, and evaluation to move the needle on every piece of the formula and build a sustainable app business
Also, read more about: What makes a mobile app successful.