Churn Rate

What is a Churn rate in Mobile Marketing?

In the mobile marketing realm, a churn rate refers to the rate at which customers stop using a mobile marketing application or product. It is an important measure of success for mobile marketers, as it is telling of the effectiveness of their product or app in retaining customers. It is essential for mobile marketers to keep track of the churn rate in order to optimize their marketing campaigns and maximize customer retention.

What is a Good Churn Rate in Mobile Marketing?

In order to understand what a good churn rate is, look at the average churn rate of the genre of your app. They vary depending on genre. For example, hyper-casual genre is known to have a relatively higher churn rate than other game genres.

If you have a high churn rate for your app, you should analyze what is causing your users to leave the app and if it needs to be fixed. You can identify at which point most of your users drop by checking in-app events.

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. You can check more about retention rate here.