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7 Proven Strategies That Increase App Retention Rate by 30%

by / ⠀Finding Customers Startup Advice / April 27, 2022
There are literally billions of apps available today, yet scant attention is paid to how we increase app retention. Here's some help.

Statista reports that the number of mobile app downloads surpassed 200 billion in 2019. Smartphone users, worldwide, downloaded 230 billion mobile apps in 2021. This is a whopping upsurge of 63% as compared to 2019. Of course, app download is one thing…app retention is something else altogether.

Considering the pace, experts add that different mobile apps would be able to generate up to USD $613 billion by 2025. With that being said, you can clearly understand how much adoration mobile apps, regardless of the industry, are getting.

But again, how many of these apps have been successful in retaining users? Well, the answer is negative as app retention rates are low. As a result, if you want to improve user engagement on your app, this article will help you figure out how to retain users on your app.

Mobile app retention is vital.

Your user retention rate is a key metric that maps the success of a mobile app. Mobile app development is carried out by understanding and integrating features that make the app engaging and retaining for users. The retention rate can be measured by comparing the overall number of users the app had during the starting and ending of a particular period.

Every app feature helps decide whether it will boost the retention rate or drop the iron curtain. In the same vein, even a 10% boost in the retention rate of a mobile app is sufficient to increase the business profits up to 30%.

Sadly, two out of 10 mobile apps have a dull retention rate. Possible reasons for a poor retention rate might include:

  • complex onboarding;
  • poor navigation;
  • no key features;
  • lack of updates; and
  • unnecessary notifications.

Although an app may be downloaded, there’s no guarantee that it will be used ever again if it ticks all the points stated above. Ultimately, the long-term goal of every app is to provide a seamless user experience.

The Amazon app is one such example. The first three months of 2021 fetched gold for Amazon because 93% of members renewed their prime membership followed by 98% of members who renewed it for the second time in the United States.

If you’re thinking about how to increase user engagement on apps, like Amazon, here are some proven retention strategies. By implementing them, you can acquire desired results effortlessly.

Tips for Increasing App Engagement and User Retention

By following the expert tips shared below, you can witness high engagement rates steadily.

1. Easy Onboarding

There’s a famous proverb that says the first impression is the last impression. It stands true in the context of mobile apps. When the UI of an app is complex, users won’t be able to get the hang of the application. Thus, an intuitive UI would encourage users to use the app. Here’s how to make onboarding easy.

Identify secondary features.

You can improve user engagement of the app by identifying the secondary features. Users are aware of key features like following, liking, commenting, etc., as they’ve used other apps. As a result, avoid elaborating on secondary features.

Make the signup process simple.

Providing a feature to register/sign in via social media accounts such as Google, Instagram, or Facebook would help the user to register without getting confused. Consider the point whenever you think about how to retain users on your app.

Integrate visuals.

Appealing visuals are one of the key features that improve your app. Consequently, they not just catch the attention but convey the message of how to use the app.

Eliminate irrelevant questions.

Apart from essential user credentials, do not seek additional details. Ask only for the requirements of your user database.

End onboarding with a CTA.

Adding a call to action while ending the onboarding tour is a proven method for boosting customer retention. You can ask customers to join a survey or enable push notifications.

2. In-App Messages

In-app messages are basically quick messages and notifications received by the user while interacting with the application. You can choose multiple options for setting up in-app messages.

  • Mobile Carousels: Mobile carousels are full-screen notifications. The prime purpose of these carousels is to brief the new user about the app, key features, schemes, promotions, etc.
  • Chatbots: Chatbots are widely used in app development. As a result, they are integrated for welcoming new users and solving troubleshoots faced by them.

As per experts, in-app messages are a vital feature because they allow reaching the right user without roadblocks. Consequently, do not forget to add chatbots or mobile carousels when you think about how to increase user engagement on apps.

3. Tailored Experience

A personalized experience never fails to attract users and keeps them hooked to the app. By personalizing the content, the probability of high engagement and retention rate increases. By following a streamlined procedure, you can easily win over your customer base. The app development team just needs some data from the customer.

Customer data is highly influential. Details like interests, location, age, conversion history, etc., would aid in setting up custom preferences for the user. Similarly, you can follow two types of personalization based on the user’s behavior.

  • Static Personalization: Static personalization includes all factors that remain the same, like the user’s name in push notifications.
  • Dynamic Personalization: Dynamic personalization talks about the factors that are subject to change, like the conversion history, user behavior, etc.

4. Mustering Feedback

Collecting customer feedback is the unsaid rule of retention strategies adopted by different brands. Hearing from customers serves two major purposes finding and fixing common issues and interacting with them. Engaged users are happy users!

Interaction can be done in any form. Conducting surveys with the target audience and inquiring about their experience with the journey so far. Also, you can gain reviews and ratings by asking them to drop reviews on the Play Store or App Store. This way, you can strengthen the brand-consumer bond.

5. Push Notifications to Improve User Engagement

Push notifications have been among those app features that retain users for the long run. Consequently, almost every mobile app has established deep links with push notifications.

However, devising the right strategy for push notifications is a must because not every user would be happy to see such notifications on mobile. Take a look at some rules before planning a push notification strategy.

  • Personalize Always: Life is too short for sharing generic & boring push notifications. Come up with a creative notion and take inspiration from the push notifications of Netflix. Its notifications are crisp & convey the message without monotony.
  • Inclusion of a CTA: By including a call to action in push notifications, a brand can bring the consumer even close to it. Next time, when you think of how to increase user engagement on app, do not miss out on including a CTA.
  • Right Timing: Only 18% of users wish to receive push notifications. Similarly, 31% of mobile app users find push notifications useless. AS a result, experts recommend that by setting a time slot for releasing push notifications, chances of user engagement increase. This should be done by analyzing the user behavior.

6. Reward Thy Loyal

To improve user engagement on your app, distributing rewards is the optimal strategy. Most app users now expect rewards. Most e-wallets like Apple Pay, PayPal, and Walmart Pay roll out gift coupons and rewards to users.

Getting rewarded makes a user feel special. They believe they’ve earned discounts on using the app for making payments. You can reward users in the following ways and retain them easily by providing the following:

  • instant access to new features;
  • discounted membership plan;
  • discount coupons on different products; and
  • loyalty badges.

7. Email Marketing

Numerous factors influence brand building, increase user engagement, and retention rates. Email marketing is one such method deployed for increasing the retention rate. More than 35% of consumers prefer receiving emails from the brands they trust.

Regardless of the company size, email marketing has been a proven methodology that creates a win-win situation for the company and its customers.

Final Thoughts: How to Retain Users on Your App?

User engagement and retention are vital factors that carve out the fate of a mobile application. Although both are tough cookies, things can be simplified when you follow a streamlined process.

The process includes identifying the target audience, delivering the real value, maintaining a personal approach, fixing all loopholes, and keeping a track of all metrics. Since it is a continuous process, do not stop analyzing as it will help in increasing your app retention rate.

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