#QUICKREAD: Are you monitoring your DAUs & MAUs correctly?
A quick look at simple ways to monitor your app’s DAUs & MAUs
Today, measurability of user-engagement has become the start-point and end-point of decision making for App marketers. By doing so, they can accurately gauge the overall health and performance of their apps from time to time. Those who monitor it correctly, automatically get a headstart in the growth-hacking game. While, others are often caught struggling in the backyard trying to draw insights from app sessions, app opens, no. of downloads or sign-ins, page-views, amongst other app usage patterns of their users.
Two of the most basic metrics that almost all app owners monitor are the Daily Active Users (DAUs) and the Monthly Active Users (MAUs), and even the Weekly Active Users (WAUs).
These metrics help you determine the scale of regular users on your app, which will ultimately reveal the actual effectiveness of your user-acquisition and retention strategies. Further, these metrics are also very crucial for marketers in order to optimize their ROI by measuring the performance of traffic sources used in the marketing campaigns and identifying the quality sources.
While some believe that monitoring the DAUs & MAUs really make a significant difference in understanding the overall user-engagement of their app, some also opine that it’s nothing but a futile exercise. So much that these two metrics are often labelled as ‘vanity metrics’.
So, the question is – Should you continue monitoring the DAUs & MAUs of your app or not?
We say, absolutely!
But what matters the most is how exactly are you actually using these metrics to the best advantage of your mobile app business. Since there are different types of apps that cater to particular needs of consumers, user-behaviour is going to vary from app to app. What’s relevant for a game app is not necessarily relevant for an e-commerce app. So, don’t just fall for all the metrics out there on the analytics front. Your app analytics dashboard should only include those metrics and data that strengthen your position on user-insights so that you can extract actionable insights for your mobile app business.
Let’s look at two very simple points that can help you in correctly monitoring your DAUs & MAUs.
1) Smartly define your active users
Before you even begin drawing key insights from the DAUs & MAUs, it’s important to look at the parameter or in-app activity you’re using to define an active user. Are you simply looking at ‘registrations’ or ‘app opens’? If so, we recommend moving on to a much more ‘worthwhile’ action like content views, social shares, profile updates, add-to-carts, adding items to wishlist, etc.
Depending on the kind of app business you’re in, you can smartly pick the parameters or in-app activities that are valuable for you.
2) Determine your App’s Stickiness
Suppose, there’s a segment of users who’re active on your app for one or two days over a span of one month. This does not necessarily imply that this user-segment is actually engaging with your app. Today, almost every 5 mins, mobile users keep experimenting with different apps by installing and uninstalling them simultaneously.
Given this tendency of users, how useful can monitoring your daily or monthly users be?
Plug in another metric, Stickiness.
Stickiness is simply, the ratio of DAUs to MAUs, that is, DAUs/MAUs. It captures the percentage of monthly active users that access your app on daily basis.
Say, your app Stickiness is 25%, this suggests that:
About 1/4th of your active users access your app every day,
The approximate number of days, an active user uses your app on an average is 8 days
So, step up your user-engagement strategy by going beyond the common metrics. Look out for new ways of using these common measures to draw ‘insights’ that hold actual value for your app business. Changing your approach towards monitoring the DAUs & MAUs is a good place to start with.
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