Tips to increase Daily App Users (DAU’s)

App Marketing | September 30, 2016

Even with strong app store optimization, a lot of apps still fall by the wayside; never to be heard from again. That the Average App Loses More Than 75% Of Its Users After One Day is enough to scare most app developers into giving up their dream – or at least into wondering whether their efforts will pay off.

More than 75% of users in average, do not return to a new app the day after first use

number of retention by day

The steep decline in customer retention form D1 to D90
Source: arc.applause.com

The number of app downloads will grow

According to the International Data Corporation (IDC), the number of app installs will grow by 6.3% between 2015 and 2020. In other words, by a whopping 54 billion installs – from 156 billion installs at present to 210 billion installs in 2020.

What does this mean to you?

This fact, means that you still have a lot of opportunity to rework your strategies to increase your DAU – and prevent your app from becoming a part of the 75% statistic.

How to increase the number of Daily App Users

As a group, app users are very demanding about what they want in their apps and you have to listen if you want to keep your app alive. Apart from the best practices for App Store Optimization which you need to employ, below are some of the best tips that you can employ in order to increase the number of daily app users for your app.

1. Develop a strong customer value proposition

In essence, you need to be extremely clear about why your customers should look to you as a solution to a challenge or problem they have. You then need to be able to differentiate yourself from the competition. If you are able to do this, you will have made a strong impression and taken a good first step that will keep customers coming back for more.

For example, late last year, Dunkin’ Donuts acknowledged that its app was sluggish and needed a jolt and that the app’s popularity was putting a strain on their tech resources. “Dunkin’ Donuts was seeing just under 2 million transactions per week through its mobile platform.”

Dunkin’ Donuts was cognizant of the fact that two thirds of the U.S depend on a cup of a coffee for their morning fix and what’s more, they want to get their cup of coffee quickly as they go about their morning business. So they got their team working around the clock to improve the app. Their focus was to develop a quick, seamless service through their app and provide a strong value proposition to their customers.

The reasoning behind the move was simply that, when their customers were trying to get to work in the morning, speed was likely to trump loyalty. So they created an app that would position their company as the place to get your coffee in the morning, fending off competitors like Starbucks in the process.

2. Be personal and engage your users

Right from the start, when users first open your app, you need to be personal with your communication. Let users know that they are valued as individuals. Find out who they are, find out what their needs are, and then determine what they need to know that will be helpful to them. If you have targeted content for them, that is the where you need to really impress.

In the Dunkin Donuts example above, the first move of the Dunkin Donuts app team was to send an email to all its app users. The email apologized for the difficulties, promised a quick response, and offered a temporary solution to the problem. In short, they engaged their users.

3. Quality of service matters a lot

If you want to retain your customers, you need to have impeccable service – or else they will go and look for it elsewhere. Once you have overcome the first hurdle of catching your user’s attention, the next step is to treat them well and show them that they are valued. But how do you do this?

There are many ways to do this, but one of the best ways is to get rid of any barriers to engagement. You can do this by:

Clearly, Dunkin Donuts knew that giving feedback to their users about what was important to them was crucial.

4. Go over and above to retain the customers you have

There is a commonly known statistic that ‘acquiring a new customer is anywhere from five to 25 times more expensive than retaining an existing one’. Since this is the case, it is wise to spend your capital on these very customers.

How do you do this?

The best way to increase your customer’s lifetime value is by using the customer value framework. This can be achieved by fully understanding the value propositions you have to offer – do this even before locking on to customer needs.

7 fundamentals of customer value

Seven fundamental lessons of customer value
Source:
triz-journal.com

Elements of customer value framework

Key dimensions of any customer-supplier value framework
Source:
triz-journal.com

Conclusion

In order to increase and maximize on the number of DAUs, it is important to understand who your customers are and what they value from you. Once you do that, you will be able to engage them authentically with better service and communication. That way, you will develop loyalty as well as anticipation and magnetism for your brand. Like Dunkin Donuts, deploy these strategies to retain old customers and pick up new ones.

Guest Author
Mohammad Farooq
Mohammad Farooq works as a Social Media Analyst. When not working, he goes backpacking around India. He regularly blogs about Travel, Movies, Political Issues and a lot of other things on his blog “ReveringThoughts”.