App Longevity & “Lifetime” Value

Increasing App Longevity and “Lifetime” Value

“Creativity requires the courage to let go of certainties.”— Erich Fromm

In a recent article on mobile monetization and user acquisition, Robert Weber, co-founder of W3i.stated, “The entire user acquisition market is undergoing a sea change that will require mobile developers to re-think how they obtain and monetize their users. This could be the ‘innovate or die’ moment for a lot of developers as the competition for mobile users continues to heat up.” “

The growing concern for developers today is trying to indeed, make a living off their apps, because it’s just not enough anymore to have an innovative app, even with an initial million downloads. There’s the unanswered question, what next?

In an overly statured app marketplace the cost of

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visibility (user acquisition) is on the rise and the marketplace continues to highly reduce the power of brand ingenuity. Getting downloads for your app is still an obvious first step in monetization but what’s leading the current conversation is the overall strategic outlook of an app’s lifespan, focusing on repeat usage and longevity of each install.

In order to make up for the rising costs of new user acquisition, developers should consider the combination of two important avenues for app success– visibility & lifetime value, and monetization.

App Longevity and “Lifetime” Value

“In March 2011, Localytics published research finding that 26% of downloaded apps were only used one time. Fortunately, another 26% of customers used new apps more than 10 times. This contributed to a shift in app marketing away from download metrics to a focus on customer retention and lifetime value”

And in 2012, this shift has stuck. The users are out there but

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it’s keeping them engaged that developers need to invests in and approach with a creative fresh approach. Going beyond your app and its features, making people have some kind of emotional connection, before, during and after app usage is all part of the challenge.

Mobile analytics firm, Flurry, states app usage increases daily, while use of mobile web browsing is decreasing (see more). It’s true, users are in fact spending more and more time using apps over their browser again, reinforcing that developers should be putting more worth on marketing the entire user experience, considering an app’s longevity.

Brand Awareness and Identification = Stronger Brand Loyalty

Leading brands are quickly jumping on the mobile bandwagon, using apps to serve their various marketing goals while effectively enhancing customer engagement, strengthening brand awareness and identification and increasing sales.

Nike

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is currently running mobile campaign, “Game On, World.”, which lets “you compete with yourself, your friends, your community, and the world,” through a mobile app and other Nike related products.

Durex also launched a mobile campaign, Sexmograf, encouraging their users to increase sexual activities and the sharing of their sexual escapades all while simultaneously competing for prizes. This social experience reaped in great reviews and generated many new downloads, social

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shares and attracting much media coverage.

These highly interactive mobile experiences focus around brand products and services and act as direct marketing tools.

At Widdit we’re taking initiative and assisting developers increase app usage and awareness by utilizing features that will enrich their apps. The SDK product we’re currently working on is intended to help developers achieve enhanced user experiences and brand loyalty. Stay tuned or email us to get an invite to the private beta support@widdit.com