How to evaluate the effectiveness of a mobile application

Apps for mobile devices are an important and significant part of the daily life of most modern people. It is important for users who are involved in the development and deployment of their first application to think about how they will work with analytics, monitor the effectiveness of these services, and understand the difficulties and problems in their operation.

What performance indicators exist?

There are a number of metrics that you can track to measure the performance of your application, which will enable you to improve the quality of these services.

1. The number of downloads and registrations in the app

These parameters are among the most important for the process of assessing the quality of the application. These indicators are important for further calculations.

The number of downloads, first of all, shows how effective the promotion model is. Such a number does not allow you to understand whether users like the service, but it makes it possible to find out whether the ad was built correctly and how many people it was able to attract.

It is worth considering for yourself the optimal share of users, that is, the approximate number of application customers that you plan to have monthly. This indicator will help to estimate the level of your income. It is important to keep in mind that registration data does not allow you to get an objective idea of ​​the target audience. A vivid example is the case when one person registers from several devices at the same time.

2. User Activity

This metric shows how active users of your application are, for this, their activity is evaluated over different time periods:

• Daily Active Users is a metric that shows which days and times of the day people use apps more;
• Weekly Active Users is a metric that allows you to know the level of activity of people after a week, when people start using the service less;
• Monthly Active Users is a metric that makes it possible to find out how much the activity of people drops after a long period after installing the application.

3. People engagement

This metric allows you to understand the degree of user interest in using the service you have developed. There are special formulas for calculating this indicator:

• weekly engagement: DAU / WAU * 100%;
• Engagement per month: DAU / MAU * 100%.

About 20% is considered a good indicator in the case of regular applications for mobile devices, and up to 25-30% when it comes to games for mobile phones. If the indicator drops to less than 7%, then it is necessary to resort to advertising in order to increase the audience. You can also implement some kind of event or promotion that can potentially attract users who have stopped using the application.

4. Average use time

Average app usage time refers to the number of hours a person spent using a particular mobile app. Based on the indicators of this metric, you can understand what kind of audience your service is targeting in order to develop the service in accordance with their needs. At the same time, it should be taken into account that such a parameter will not be representative enough for applications for counting steps or reminders of some plans. You can calculate the average usage time by dividing the total usage time for a certain period by the number of sessions.

5. Customer Retention Rate

This metric measures how many people continue to use the app after installing it. There is a special calculation formula. You need the number of users who began to actively use the service on an ongoing basis, divided by the total number of downloaders and multiplied by 100%.

If the result is about 30-40%, then the service is currently very successful, a value in the range of 10-30% is normal.

6. Churn Rate

Another important indicator is the number of people who have stopped using the program, if this number turns out to be quite large, then you should think about adjusting the application or changing the promotion strategy. To calculate, you need to subtract the retention rate from 100 percent.

If you take into account all the indicators considered, you can easily determine the quality level of your application and optimize it.