What is churn rate? #
A churn rate is a proportion of users or customers who stop engaging with your product over a specified period.
What is churn rate in mobile marketing? #
A churn rate in mobile marketing refers to the rate of users who stop engaging with your app or stop paying over a specified period, typically expressed as a percentage of the active user base or paying user base.
Churn rate is often analyzed to understand retention and LTV impact, and to inform strategies for re-engagement, fraud prevention, and quality UA. It is an essential metric to optimize campaigns and maximize customer retention.
What is a good churn rate in mobile marketing? #
In order to understand what a good churn rate is, we recommend to look at the average churn rate of the genre and category of your app. They vary depending on both category and genre. For example, the mobile game hyper-casual genre is known to have a relatively higher churn rate compared to other game genres.
If you are experiencing a high churn rate for your app, research into the cause and ways to fix it. We recommend to check your in-app events to determine at which point most of your users drop.
How is churn rate calculated in mobile marketing? #
Churn rate is calculated by dividing the number of users lost in a given time period by the number of users at the beginning of that time period.
For example, if a campaign had 50 users at the beginning of the month and lost 10 users that month, the churn rate would be (10 / 50 ) * 100 = 20%.
Why is churn rate important in mobile marketing? #
Churn rate is important because it tells you whether your app is sticky enough or not and it’s directly related to your revenue growth.
Churn rate is often compared to retention rate, which is the inverse of the churn rate. This provides a holistic picture of your app performance.
