Dani Schenone, Senior Product Marketing Manager at FullStory, offers advice on fixing pain points in your app and using in-app upselling to drive retention and revenue.
In 2023, the mobile app market is estimated to be worth $106 billion (£87 billion), making the opportunity for businesses enormous. That said, only 0.5 per cent of all apps achieve success. It’s a huge market, with incredible opportunity and challenges for those who enter.
The key to rising to the top is no longer relying on a “growth at all costs” mentality. Instead, the new key is focusing on data-led growth: growth that eliminates guesswork, enables teams to invest in the right areas, and keeps them from getting distracted on what’s irrelevant.
The lock that opens the door to sustained profit is an impactful retention strategy: one that delights customers and sustains their lifetime value.
When you combine customer delight and sustained lifetime value, you open a door to growth that’s scalable, optimized, and positioned to weather the years ahead.
But where can mobile teams begin this journey? Here, we’ve assembled two strategies to enable teams to grow.
Strategy 1: Identify and fix pain points in your mobile app
Data talks, but it’s the listening that gets you the number one spot on the app stores. How do you do this? By combining quantitative data and qualitative insights using the what, when, where, and why framework:
Finding the answers requires being able to extract specific metrics and insights in the customer experience–at a scalable level.
To find the what, focus on monitoring frustration signals like rage clicks, dead clicks, or error clicks. To find the when and where, use a session replay tool to get that fly-on-the-wall experience of your users’ app visits. To answer the why, achieve scalable insights through segmenting and filtering the data to double-tap on impacted cohorts. Check out a couple quick definitions on a few of those frustration metrics below:
Using these four questions, you can start to identify any friction points in your app, improving app usage across the customer lifecycle.
Strategy 2: Focus on in-app upselling to drive retention and revenue
An impactful retention strategy is paramount to enhancing and sustaining customer lifetime value (CLV). Here are five tips for a successful retention strategy that will slash your CLV goals.
It’s important to note that success can’t be achieved without robust, high-quality data. Measuring the right sort of growth is key to assessing the true impact of an upselling strategy.
Growth and retention–one cannot thrive without the other
“Growth at all costs” is no longer part of the app industry’s ethos. Instead, it has been replaced with something more sustainable, more strategic, and more impactful. Rather than placing the focus merely on new users, the lifetime value of users is now at the forefront of business profitability. That requires a business to not only execute a data-led growth strategy, but also a data-led retention strategy that keeps customers coming back.
For more information on how businesses can accelerate mobile app growth, download the complete guide.