8 Mobile App KPIs to Maximize Your App Revenue

Saurabh Singh May 23, 2022
8 Mobile App KPIs to Maximize Your App Revenue
Table of Content

By the first business quarter of 2017, 15% of increase is observed in iOS and Android new app downloads, while 45% of growth in consumer spend on apps. With such a drastic upliftment in the statistics, the competition is turning into a ‘Tug of War’. Today, developing and releasing a mobile application is not the end of the journey; it’s the beginning of it. Companies are realizing that downloads is not the ultimate way to determine the app success; there are many other mobile app KPIs. And understanding them is necessary to develop an effective plan for marketing, promoting and ensuring the app success.

There was a time when getting your app installed was an achievement, but it no more indicates the app success. One of the reasons behind this is that users, nowadays, installs countless apps in their phones, but use only a few frequently. In other words, the app stores are flooded with millions of apps, but only a handful sustain meaningful traffic.

So, if you are caught on the hamster wheel gathering app downloads, stop for a while and reconsider your strategy. Revisit your app development goals and analyze the following KPIs to get a fuller picture of your app performance.

Top Mobile App KPIs

Besides download counts, following are the app performance metrics that can help you to evaluate your app’s performance and success:

1. Active Users

It is one of the most important mobile app metrics. It is defined as the number of users who login your app over a period of time. This metric is crucial if your revenue model depends on advertising, since a large user base is required for it. You can calculate the number of active users by focusing on DAU and MAU value.

  • DAU: Daily Active Users (DAU) represents the number of users who check or use your app at least once a day. This value shows how much interest your app is receiving from users each day. In other words, it shows that your app has some engaging elements that compel users to check the app daily.

“It has been found that the average app loses 77% of its DAUs within 3 days and nearly 95% within 90 days after the install.”

  • MAU: Monthly Active Users (MAU) depicts the number of people who use your app at least once a month. Again, this metric reflects that your app is a potent product with potential for monetization.

2. Session Time

The amount of time a user spends on your app is also an important mobile app metric. It assists in understanding the user’s relation with your app. If a user spends more time on your app, that indicates your product/service is captivating. In other words, higher the average session duration, higher will be the positive response from the users. According to the top mobile app development company, strong UX can help in keeping the users hooked to your app.

3. Session Interval

The time gap between two sessions is also essential to recognize how frequently users feel the need of using your app. This value is also beneficial to optimize alerts or campaigns so as to maintain user retention.

4. App Load per Period

It can be described as the extent to which your app can handle the stress. In other words, it represents how well your application handles a lot of transactions or events at the same time. As per our mobile app developers, if your app loads slowly or crashes when several users are using it at the same time, the users are more likely to get frustrated and leave the app. To ensure your app success in terms of this mobile app metric, make it certain that the non-UI elements work effortlessly without slowing down the UI of the app.

5. Retention Rate

Retention rate is termed as the percentage of users who visit your app over the course of one business quarter (90 days). This mobile app metric is necessary to consider as it signifies customer loyalty/ satisfaction. If the retention rate is higher, that means your app is as per the need of the customers.

“It’s better to focus on user retention from day one, as it’s quite tricky to measure it all at once.”

6. Average Revenue per User (ARPU)

ARPU refers to the average revenue earned per user. This value is vital to consider since the revenue earned per customer shows the real success of your mobile application. According to the best mobility experts, this value indicates how many users are genuinely interested in using your app.

7. Lifetime Value (LTV)

LTV means the total amount of revenue you get from a user before he/she stops using your app. This mobile app KPIs is suitable to study how long do you need to entice a user to make profits. Again, it assists in predicting how much revenue your mobile application can earn in the future.

8. Customer Acquisition Cost (CAC)

Users find an app through a wide range of channel- organic search via App Store, in-app referrals, word-of-mouth, or paid campaigns. By analyzing the source that brings more user and users’ behavior, you can make a better mobile app promotion strategy. And this is possible with the help of this mobile app KPIs. According to our app developers, the number of app downloads from a particular source is important, but the value users bring to the app when using is more important.

Wrapping Up!

There’s no exaggeration to the fact that each mobile business has its own mobile app KPIs, but we believe that the above-mentioned metrics will help you to understand your app’s performance and improve it accordingly.

We, at Appinventiv, keep these mobile app KPIs and many other factors into consideration while developing a mobile application. We make it certain that you get a top-quality app that take your brand to the top of the market. To get in touch with us, contact now!

Saurabh Singh
CEO & Director
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