• App Marketing

    Mobile App Marketing: Re-Engagement vs Retention

    Mobile App marketing: Re-engagement vs Retention


    It is a common way of life, that with time, technology develops a step further, and we move forward yet another step. The present phones are highly powerful, they are even empowered to run medical tests and publish results. With this kind of technology, it is only but natural that the mobile applications would be on the higher end. There has been a study conducted that confirms people, in general, spend two hours of their day browsing through apps. This addition of the human mind can actually be twisted to benefit the app developers, who can manage to get their customers stuck to their phones.   

    There are of course other numbers that govern this app usage. The popular 30:10 rule states that a person may download 30 apps for a month, but he strictly accesses only 10 apps a day and keeps to that. It is also slightly threatening for the app developers that people keep deleting their apps if they lose interest, which makes the market range extremely narrow. It means that the developers have to create something that stays with the people.

    What does This imply?

    Previously, installation was an important marker for app usage, but it is no longer that way. These days, simply installing an application doesn’t mean that people will stay back with it. It means that people may choose to use the app, or may completely forget to use the app, and later even delete it. Installation definitely doesn’t mean that one should get engaged with it in future. So, what are the markers then?
    Involving your customer is a good way to start. Letting go of the people who are using your app would mean the loss of valuable customer database. Factors like conversion rate and customer lifetime value come into play – these are the chief governing factors. The entire dynamics of measuring app usage has moved from quantification to measuring quality – that is how many people use the app on a daily basis.

    Why is Retention of Extreme Importance?

    Mobile developers spend a lot of time trying to increase the retention time of the users, and also of the people who would be needed on the app as loyal users. This has a very strong implication on a return of investment. The total amount of revenue collected by an application is a sum total of the number of active users of the application. It would take a lot of time trying to buy in new customers, and instead, an easier technique would be to re-engage the present users and set them up on tracks. More than 20% of the users abandon most of the applications without even using them, and this is not what you would want for your application.

    Boost Your User Retention with These Steps

    To increase the number of people who stay loyal to your application and do not let go of it, you will need to practice certain tactics. Those will include the following strategies:

    Dynamic Advertisement Propagation

    For starters, one needs engaging advertisements to keep the people on hold. If you start giving advertisements that mean something to the user, chances are, people will use your application more.

    Cost per action: this strategy involves that the marketers pay only post-installation activities, and not before. This makes sure that the user is already looped into the activities of the app.

    There have been studies that have declared that on average, it is cheaper to perform retention than to attract a new customer. Any developer who has the brains to understand the strategy would automatically invest in retention than to attract a new customer base every time. But then again, there’s a major concern. There are some users who download your application and then go completely dormant. How do we deal with them?

    There are a few advantages of CPA, which means that only when the leads are qualified, they are paid off. Also, a general brand advertisement is happening at no cost at all. This is absolutely economical and yields great results.

    The Domain of Re-Target and Re-Engage

    A simple funnel model will explain the dynamics. The wide mouth of the funnel is all the people who download the application, and the thin narrow mouth of the funnel at the other end is a list of all remaining loyal people – who stay stuck to your app. That is a huge difference, between the two. There could be a plethora of reasons why the users suddenly cut loose and runoff. But then again, one could always apply strategies to win the users back.

    There could be millions of ways to get this done – but some of them have been tried and tested and can be relied on. Specific push notifications always crack the deal, inevitably. The more personalized the notification, more the chance the user will regain back his activity. Telling your user that his favorite t-shirt is going out of stock is a wonderful idea for him to go back looking for shopping options in your cart. That’s the trick – give your users what they want. Let them think they have control over things when clearly, you are the one maneuvering the moves.

    You could also turn your app sensitive with geo-markers, as that goes a long way to detect locations, and may even help to build advertisements for like-minded people. When thinking of retention, you could go creatively. You could also target them with the exact ad showing them where they left off. This would make them jump back right into your application.  

    One just needs to remember to segment the audience very carefully. Unnecessary push notification that is irrelevant to the user may put off the user completely, instead of winning him in.

    You could use interfaces that get to know about the user preferences and acts accordingly to design the messages. GrubHub is one example. It can smartly track the activities and then that data can be re-used to increase the retention of the customers.

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