The Lifecycle of User Acquisition

You need users, right? As many as you can guess, maybe you’ll take an install from anywhere you’re running ads in a bunch of places and hoping for the best. Unfortunately, this spray-and-pray mentality is really going to damage your user acquisition strategy.

So, how can we attract users in a way that is both sustainable and profitable?

The problem is that the companies are really willing to take users from anywhere it’ll take users from any acquisition source without understanding its implications throughout the funnel and maybe understanding what the cost of acquiring those customers is versus the value they actually provide. Remember that this is a hugely competitive market, there are hundreds of thousands of apps out there, so this is going to naturally drive up and hike up the advertising costs. This is something Google and Facebook are particularly happy about, but how can you do it in a way that you’re acquiring users in. You’re going to be able to afford these users and build a sustainable business. So, what we’re going to talk about in this article, the channels that you can acquire users from various ad platforms, and also we’re going to talk a little bit about attribution, as well, in terms of how you can track what channel did fit in your business.

First of all, on our channels, we have App store optimization, which is really important. Research suggests that over 60% of app installs come from organic sources. People are on the app store, and they’re searching for various apps. That way, they are installing a majority of apps. So, you do need to make sure that your app is optimized: keywords, the titles. All of those things are being done ASO [App store optimization]. 

Next, you need to build a website as well for your app. It can actually help in the discovery of the app and help in user acquisition. So, the way the site can help you with user acquisition is that the website will have SEO: the keywords, description, and some information about your apps. People will go to your website, take the info they need, and then they will push the link of Google Play or the App Store and directly download your app. You can also put some screenshots of the app and short videos. You need to consider search engines as well. We have Google and Yahoo and Bing and maybe Yandex if you’re in Russia. 

In short, when people are on the search engines in Google and Yahoo and Bing and whatever and they are searching for a photo app, food delivery app or just a game app, your company will have some good rank in those search engines.

Publicity. So yeah, you think you should do a press release because you’ve launched a new app. The answer is maybe you should do a press release,it is really a great story. If you want to tell people about something new or newsworthy, that your app is solving a problem that hasn’t been solved before you, it is really Innovative than, it’s okay to do a press release. There is a website called ProductHunt, where you can publish your app and get users, get noticed and gain important reviews from there.

Social media is the next: Yes, in terms of coming up with content that is valuable for your audience that people will be looking for on Twitter, Pinterest or Facebook, I’d recommend that you spend one day a week or a few weeks coming up with all of your content and plan schema. Here you must pay a lot of attention to use the right hashtags to try to get more followers and impressions. 

Then we have mobile advertising, which is basically paying on various platforms to have an ad and show up for your app. This is the way to be noticed with your ideal customer profile where these people are hanging out. This is the main engine of growth through your acquisition strategy, you do need to experiment, don’t focus on any one of those platforms and you should spend a little bit of money on different platforms to analyze and find out which one works better for you and which one brings you more users in an affordable way. 

In terms of social Mobile advertising we have platforms like Twitter, Snapchat, TikTok and Facebook. Facebook is extremely effective for acquiring new users, but it is a little pricey sometimes. Here you also need to experiment in order to understand whether the platform is profitable for you or not.Twitter as well is good but very different from Facebook but still a viable and alternative.

I have introduced the available channels that you have and platforms, but it is important to know that these are really created equal, not that you know, let’s say social is better than search or vice versa. It really depends on your own circumstance, your app and your business. When I say it is equal or not equal, I mean in their ability for you to drive downloads, engagement and profit within your mobile app because everything is going to be different based on your circumstance.

 The first metric is CAC or customer acquisition cost, which is the actual cost in Euros or dollars that it costs to acquire that user and versus their lifetime value or LTV. Now that we understand customer acquisition cost at what it’s going to take to bring people in and we understand what they’re going to spend with us over the period of their lifetime as a customer, we can easily see if we have this viable business or not. For example, if we’re going to pay $2 on Facebook to acquire and install, and immediately they’re paying like $9.99 on the App Store to download that app, then it is a very profitable business. But on some of the more competitive terms, maybe it’s going to cost you $5 to acquire a particular user, and you’re not charging anything upfront for the app. In fact your counting on micro-purchases made over the year that might be $0.99 Cent each, and you’re hoping that they are going to make a couple of them to either equal to or be greater than your acquisition cost, well you are kind of in a hazy territory and you want to be very careful what you’re spending cuz you may not actually have a profitable business.

In the matter of how we do attribution and how you know where uses have come from, a lot of people are tracking installs and have a field in your database so against each user you have attribution source, so you know whether it came from a Facebook ad or Twitter ad or from search or from organic. Then you will get the clue what channels are actually delivering users to me, but it’s important to also attract not only attribution in terms of install but also which sources give you the most activity and the most profits, engage and valuable customers.

Related Articles


Leave a comment

Your email address will not be published. Required fields are marked *