How to Measure Your Mobile App Startup's Performance
How to Measure Your Mobile App Startup's Performance
Learn about the analytics metrics you should be watching to measure the success of your mobile app startup company and learn how to improve.
Join the DZone community and get the full member experience.Join For Free
If you have recently launched a mobile app startup, then it is essential to know that more than 90% of all startups ultimately fail. This fact might be a bit overwhelming for new entrepreneurs, but it’s the truth. A startup that built upon a flawed business model will fizzle out over a short period.
So, how can you avoid your dream from biting the dust? Basic business principles like a strong brand, returning customers and excellent value proposition are the building blocks of any startup. But to know whether your startup is a success, it is essential to scale and establish profitability of your new app. It is the only way that can ensure a steady rise in profit margins and ultimate success in the market.
Hence, measurement is the critical factor when it comes to tracking your app's performance. Today, we will discuss why metrics are important and why all startup owners should monitor them readily.
Benefits of Analytics
Analytics is a process which allows you to collect and analyze data from your users. Analyzing this data can open up a wealth of insight for you. In today’s era, it is necessary to know what your users actually think about your app. Is your hard work being validated by your users or are you facing spam?
The only way to know whether the market has taken a liking for your product is to use analytics. Not only will you know whether your app is faring well with the customers, but you'll also get feedback to improve their experience continually.
Here is a list of the top 5 startup metrics which will help every startup founder measure the performance of their app in the real world.
1) Quality Metrics
You can't expect users to stick around if your app is not performing up to the mark. Three fundamental ways in which you can measure technical issues within your app include Automatic crash-report, Manual user feedback, and App store reviews.
Don’t forget to ask your app developer to add an automatic crash-report in the code of the app. This way, every time the application crashes you will be notified. Another quick fix is to create a user feedback form that can be filled by the users at any time.
Lastly, app store reviews are an excellent place to receive accurate feedback regarding your app's performance. Ensure that you read all the reviews and act on the negative feedback right away.
Dealing with bugs and glitches is unavoidable. Even the most highly rated app developers, such as AirG, have to deal with them on a daily basis. But the secret behind a successful app is that even the slightest issue worked upon quickly and diligently.
2) Behavioral Analysis
Not all downloads may be active users. Hence the number of downloads is misleading, to say the least. It is the reason why you should analyze more than just the number of users that installed your app. According to a research, an average app loses up to 77% of its Daily Active Users (DAUs) within the first three days.
The reason why this happens is that users try out your app and decide whether or not they like it enough to keep on using it. By analyzing behavioral analytics, you can read the patterns during the lifecycle of your customer.
Behavioral analysis of your users can help you overcome this problem by giving you an insight into daily, weekly, and monthly active users. This data is then correlated with the number of downloads to see how many users you managed to retain.
Behavioral analysis is a very crucial metric for startup founders to get an insight into user retention versus churn. It can give you an accurate picture of your startup app's performance.
3) User Demographic Metrics
A demographical analysis allows you to track the location of your app installers. By using this data, you can segment your users according to various factors like age, location, device type, language, etc.
This data can help you to make further decisions such as which languages should you introduce within your app. By localizing your app and targeting specific geographic regions, you might be able to achieve even more downloads. Knowing the device and operating system of your users can also help you decide whether you need to deprecate support for older software systems.
Look at ratios rather than the total numbers. Learn more about their operating system, screen size, geographical location and you'll find the secret behind the success of your startup app.
4) Engagement Metrics
Engagement is not a singular metric. Instead, it is a combination of different sources of data. Metrics such as total session length and interval, app interactions, user opt-ins, and app screens per session can help you determine whether your user enjoys the app or not.
It is pivotal to decipher engagement metrics because it can give you the quality of use rather than simple quantitative assessment. Unsurprisingly, popular apps generate an impressive engagement data like Facebook, which got a $200 billion valuation for the same reason.
5) Net Promoter Score
Another excellent way to measure the performance and app virality is to analyze the Net Promoter Score (NPS). Have you seen the key question popping up after a session, “On a scale of zero to ten, how likely are you to recommend our app to a friend, family member, or colleague?” That's the one. Your app's score on this metric will help you outline different kinds of respondents.
By assessing NPS, you can know whether your app is a correct product/market fit and if users are likely to share your app with friends and family.
To guarantee success for your app, build on Steve Blank’s definition of a startup, which suggests organizations to implement “repeatable and scalable business model[s]” so that they experience unlimited growth in the market.
As promised, we shared the top five metrics which all startup founders should measure to understand the performance of their app. By using these, you can tweak your app based on user feedback, so that their experience is improved every time they use your app.
How did you measure your mobile app startup's performance? Share your secret tips and tricks with us in the comments below.
Opinions expressed by DZone contributors are their own.