As mobile app companies mature, the first metric they use to gauge their success is user growth. The more users the better, right? One problem: acquiring new users is expensive.
Depending on which source you look at, it costs anywhere from 5x to 16x more to build a long-term business relationship with a new customer than it is to simply cultivate the loyalty of an existing customer.
Because of the cost of acquisition, the hurdle remains: how do you acquire the most customers using the least amount of money (and the least amount of manual effort)? And how do you get a good ROI from your acquisition efforts?
These two mobile companies were faced with those challenges and found great success. Let’s find out how they did it.
Beblue is an innovative cashback and customer loyalty app that has garnered a lot of attention in the fintech industry. Their users instantly gain a portion of their money back on purchases made at thousands of partner sites. This credit never expires and can be used at any of the businesses in the Beblue network.
Partner businesses gain access to a website where they can monitor sales in real-time and view customer habits, consumption trends, purchase frequency, and more. This real-time data allows them to create more effective marketing campaigns and win greater customer loyalty.
Beblue is currently available in 50 cities with 4 million downloads. The company plans to expand to more than 100 cities over the next three years. But the main challenge they faced is familiar to many companies: they needed to scale.
In order to provide value to clients and users, Beblue needed to increase their app’s user base as well as their network of partner businesses. After all, what use is the cashback if it can only be used in a handful of places?
The beauty of it was they had something to offer that was quite valuable to partners. Beblue had detailed insights on customer profiles and preferences, which offered partner businesses the ability to monetize via targeted offline cashback offers. This was a powerful draw for potential partners.
By implementing CleverTap into their product, they were able to give partners the necessary analytics and engagement options. But more than that, the tools allowed them to grow their user base and retain these users long after their initial download.
The key results of their increased scale speak for themselves:
What tools did they need to achieve those numbers?
AXEL (formerly StoAmigo) is a leading file storage and file-sharing service. They put all your files into one place, so you can access your data from any device, wherever you are, without compromising data privacy or security.
Like most apps, they wanted to drive activation of new users, as well as engage and retain current users. They started by running customer acquisition campaigns through Google, which led to a tremendous increase in new users. But not all of them stayed. In order to ensure their marketing dollars were spent well, they needed a solution that helped them effectively activate, engage, and retain these new users.
For the business to scale, they needed to look beyond mere acquisition campaigns and generate stronger engagement that would grow the user base naturally.
One strategy they use is running campaigns that prompt users to share, transfer files between devices, and invite friends onto the platform. The main KPIs they track for every campaign boil down to: number of shares, transfers, and invites sent out. Are people sharing or inviting others? Are they uploading files?
AXEL needed to see which campaigns were working and which weren’t. Getting an accurate picture of the number of invites and then optimizing the sharing process were some of their top objectives.
After implementing CleverTap into their process, the results came in:
By using CleverTap, AXEL gained the ability to make better marketing decisions since the tools give them much more data.
In the end, user growth is a key metric for all mobile brands. But if you intend to grow users, it’s not just about acquisition, it’s about building long-term relationships with your users and giving them value from day one.
And in order to do that, you will need data-driven, personalized engagement tools. When you can use those tools to add value to every user’s experience, then exponential growth (and retention) is within reach.
The User Retention Pocket Guide