How to Reduce Churn With Strategic Remarketing Ads

On average, apps show high retention rates on the first day of installation, but by the second day, they can already see a considerable drop in retention. Data has shown that the average churn rate is eighty seven percent after seven days, while the average churn rate for thirty days is close to ninety four percent.

Churn is a phenomenon and there is no way you can completely avoid it, even when optimising user experience and on-boarding processes. You can reduce churn with strategy re-marketing ads:

Retargeted app users have over one hundred and fifty percent engagement rate after thirty days of installation, compared to those that were not part of a retargeting campaign.

The Worst Type of Churn

The worst churn is when a user drops off before completing the first intended in-app action, this can be completing a profile or making a purchase. This is a major loss, where you lose conversions, with no return on investment. 

We consider this is the worst type of churn, as the user has had less interaction with the app, making it harder to get them back on board. Newly acquired users are high intent and quality users. When they drop off without completing the first in-app action, it's a missed opportunity. 

How Retargeting Overcomes Churn

One of the most effective ways to lower churn and increase retention, and conversions, is to engage your users from the start of their journey using your app, before they uninstall and become inactive. 

When you communicate with your new users a few days after app installation, it builds a connection from the first day. It can be displaying a retargeting ad that asks if they have seen a new feature, for example.

Preparing a Retargeting Strategy

Retention is an ongoing process that requires forward planning and analysis. You need to identify the cause of a high churn rate, addressing any issues by implementing a well-thought out remarketing strategy. Some things to consider includes:

• Look for drop-off points after installation to identify problems in the app journey, this shows areas for improvement within the app, helping you engage with users at the right time
• Monitor retention to identify how to optimise your advertising campaigns
• Focus on the first seven days when planning your retargeting campaign 
• Track your competitors campaigns and performance
• Collect feedback using surveys and polls

Conclusion

Churn is unavoidable, but you can reduce it through effective remarketing strategies. When you focus on retaining your user throughout their journey, connecting with them from the beginning, you can reduce your churn rate. Do you need help retargeting your app users? Contact Genie Crawl today to find out more.