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The Mobile App Funnel Benchmarking The Mobile App Customer Lifecycle

Report by Karol Severin and Martyn Davies
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The 20,000 Foot View

App companies lose users and revenue right across the user acquisition and retention process.  Thus as the global app market grows the amount of lost revenue accelerates also.   MIDiA’s app funnel analysis reveals just where on the customer life cycle users are lost, why they go and provides industry averages to benchmark against for freemium apps and trial subscription apps. The app funnel is emerging as one of the most important business analysis frameworks for the app economy and understanding it is crucial to driving successful user engagement, conversion and retention.

Key Findings

  • Users are lost at every stage of the customer life cycle and the impact of losses higher up the funnel is amplified further down it.
  • For some types of apps up to        of users can be lost between download stage and activation 
  • Freemium apps only convert        of downloads to payment
  •        of subscription app downloads never enter trial        of smartphone users downloaded an app and never opened it        of smartphone users stopped using an app due to a bug        of smartphone users delete an app within one month        of smartphone users do not find the app they are looking for
  • App distributors’ payment policies favor large developers

Companies mentioned in this report: Customer.io, WhatsApp, Threads, Segment.com

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