According to a study posted by Localytics, in 2015, the percentage of users who abandoned an app after a single use was 25%. The retention rate was, therefore, well below expectations. In 2016, the abandonment rate dropped to 23% which is a slight improvement over last year. This, however, still meant that one in four users tended to stop using the app after their initial use.
Statistics concerning user retention and user abandonment rates are determinants of an app’s success with its user-base. User retention is the percentage of users who return to an app more than eleven times. The retention rate determines the user’s interest in an app, and in consequence, indicates the success of the app in terms of app marketing and app engagement. The greater an app’s retention is, the more it gains loyal users.
User abandonment rate is the percentage of users who abandon the app after a single use. The abandonment rates are indicative of a user’s initial interest. Therefore, the abandonment rate is a determinant of a success in app marketing, but a failure in app engagement.
In the study posted by Localytics, the user retention was 34% in 2015. There was an improvement in 2016, when it reached 38%. But the app abandonment rates are still considered too high when you consider the fact that in 2014, only 20% of the users abandoned an app. Businesses will still need to work on effective user engagement strategies in order to keep their retention numbers high. The number of downloads isn’t a clear indicator of the app’s success, the retention is.
To improve the retention rate, businesses need to come up with creative means to capture a user’s loyalty to the app. App marketing is essential, but app engagement needs to be a primary factor in one’s mobile app strategy in order to keep their app going. In the infographic below, designed by Dot Com Infoway, presents 6 strategies on how app developers can drive mobile app engagement.