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TACKLING RETENTION DURING ACTIVATION

@paulmalicki

“Retention is the Holy Grail of the Mobile-Everything”

@paulmalicki

Within 3 months an average app loses 90% of its users [Quettra, 2015]

High-value users make up 17% of your base, but drive 85% of $$$ [RadiumOne, 2016]

Only 1.7% of all acquired users constitute your target [me, 2016]

@paulmalicki

“There's no second chance to make a first impression.”- author unknown -

@paulmalicki

FACT OF THE DAY

Retention is the problem of everyone but religion-focused apps

@paulmalicki

CHECK LIST.

@paulmalicki

• Why Retention?✓

• About me✗

• Why users leave?✗

• Acquire ‘sustainably’✗

• Onboard smartly ✗

• Personalize early ✗

• Humanize, literally ✗

• Build frictionlessly✗

• Ask kindly✗

• Lock forever!✗

& EASYME Easy Taxi is #1 urban mobility app in

Latin America. Founded in June 2011 in Rio de Janeiro, Brazil, the service has expanded to nearly all LATAM countries, and beyond, redefining the landscape of city transportation.

@paulmalicki

& EASYME

I am a digital nomad, Poland-born, raised globally. Currently, a resident of Brazil, to where I moved from the Philippines, and before that, from Sweden and Taiwan, respectively. I speak a couple of different languages and visited 70+ countries. I am a member of advisory board at CMO Council.

@paulmalicki

WHY THE HECK (SO MANY) USERS LEAVE?

@paulmalicki

The only way to find out is to keep calm and

@paulmalicki

ask the users + innovate.

press F5.

WHY USERS LEAVE?

@paulmalicki

Ask Users• Collect data (pop-up, NPS)• Ask very detailed questions• Ask the same question at different

moments• Ask the same question differently

Innovate• Migrate from people approach to big

data approach• Don’t be afraid to pivot and test

Case study: on the surface, 98% of my users said they were happy with their Easy Taxi experience. Yet, when asked why they stopped using the app, 25% confirmed it’s because

they weren’t happy with the overall experience.

@paulmalicki

Leading Travel apps

Leading News apps

Leading Family apps

Low app ratings are influenced by various factors, among them

design & UX, privacy, or performance. The share of each factor depends

on app category.Source: own research, based on Appbot

WHY USERS LEAVE?

@paulmalicki

My findings are similar to those of Oracle. Poor performance / speed, cost, and security are

top reasons why millennials stop using

apps.Source: Oracle [2016]. Millennials and mobility.

WHY USERS LEAVE?

@paulmalicki

The single most important determinant of long-term success of your app (retention) is the ability to respond

to your users future needs…

Don’t be afraid to ask the same question differently.

@paulmalicki

As a matter of fact:

Retention starts at acquisition

@paulmalicki

AdWords

Facebook

Organic

Ad network

Twitter Website

Retention 12M 1/3 1/3 1 1 2/3 1/2

LTV est. 95% 61% 100% 102% 52% 113%

Some channels have higher churn than

others, yet their LTV is better. Why?

Source: own research, confidential market

ACQUIRE ‘sustainably’

@paulmalicki

Although retention differs across channels, at times better sales per user compensate high churn.

(think: search intent, seasonal users, promotions)

@paulmalicki

@paulmalicki

There are 3 ways to onboard the user…

Benefits-orientedFunction-oriented Progressive

ONBOARD ‘smartly’

@paulmalicki

Onboarding hacks

Carousel + USPMultiple Login Options Gamification

Interactive Tutorial

ONBOARD ‘smartly’

@paulmalicki

By adding “Connect with Google” button, Frank & Oak increased mobile signups by 150%. Source: Segment.com

Baseline VariationONBOARD ‘smartly’

@paulmalicki

• Automated• Real person• Power user sees

special content

HUMANIZE (literally)

@paulmalicki

What’s your biggest retention challenge?

“How can I use big data to match my offering with user’s next move”- Eric Singley, VP, Consumer & Mobile Products -

HUMANIZE (literally)

@paulmalicki

BUILD ‘frictionlessly’

@paulmalicki

Mobile or desktop?

“My mobile users are 3x more engaged than desktop users. I acquire users on desktop devices and then migrate them to OLX app”- Marcos Leite, CCO OLX Brazil -

BUILD ‘frictionlessly’

@paulmalicki

PERSONALIZE early

@paulmalicki

Would you say ‘no’?ASK kindly

@paulmalicki

Asking is important !

“Apps that use in-app messages experience 27% more launches than their competitors.” [Localytics, 2015]

@paulmalicki

@paulmalicki

Download Sign-up Book / Basket

PurchasePush 1

Push 2

Push 3

Push Opt-in

Ad 1

Email 1

Email 2

Push 1

Push 2

Ad 2Ad 3

Email Push

or

Ad 1Ad 2Ad 3

Ad 1Ad 2Ad 3Activation

IActivation

IIActivation

IIIMESSAGE: Show benefits of signing up

MESSAGE: Show features & perks MESSAGE: Apologize or educate

LOCK forever!

@paulmalicki

CUSTOMER JOURNEY USING

FACEBOOKacquisition +

activation

LOCK forever!

@paulmalicki

ENGAGEMENT EMAIL

1 month after activation

GAMIFICATION EMAIL

D+1 after activation

LOCK forever!

@paulmalicki

LOCK forever!

LOCKforever!

@paulmalicki

@paulmalicki

Loyalty Program Learnings so far:I. Measure (before / after), not (opted-in vs remaining)II. Key benefit is recurrence, secondary: retentionIII. Automate and remind. Otherwise, users tend to

forgetIV. Don’t do in-house, partner with airlines, banks, etc.

LOCK forever!

@paulmalicki

@paulmalicki

- Tackle Retention at Activation! -

Find why users leave & keep innovating

Acquire from high-LTV channels

Test various onboarding techniquesHumanizePersonalizeAsk permissions

Launch loyalty program & gamification

TAKEaways