posted by Aisha Amjad
You’re a mobile marketer. Your organization has developed a mobile app and added it to different app stores, your acquisition team got people to install the app. You have users. Now, your role in the process is to activate these users, get them to come back into the app more often, make these users aware of all the features the app has to offer and eventually monetize on these users. During this process, you will be swimming in several metrics that measure the app’s success, and while all these metrics are important, executives are going to pay attention to one or two KPIs in a board meeting before they move onto another digital channel. They will be interested in the business value they are getting from mobile, in dollars. So, what should that one metric be?
Which mobile KPIs do executives pay most attention to in a board meeting?
We've ask around with our customers and peers throughout the mobile community there were 2 metrics executives tend to ask most about:
This information serves less as a metric, more as insight on why your executives should care about mobile. Even if less than 10% of your users are on mobile, surfacing this percentage split is imperative as it will only grow and today is the time to set this metric as a benchmark and start planning your mobile engagement strategy.
Lets discuss incrementally before the metric: Incrementality is the measure of the lift that mobile marketing (like push notifications, in-app messages, inbox messages, geofence campaigns) provide to the conversion rate (which is revenue, in this case).
To measure incrementality, marketers need to compare how they currently target users to control groups. Users who fall into the control group are composed of users who don’t see marketing campaigns. This allows marketers to compare conversion rates of users who were shown campaigns to the control group of users who weren’t shown any campaigns.
In this example, let’s compare two mobile app users who are part of the same audience, except User 1 sees marketing campaigns while User 2, who is part of the control group, does not see marketing campaigns:
Both Users visited the app, added an item to cart and left the app. We go ahead and build an audience of users who added to cart, and both users fall into the same audience. Now both users come back into the app, except User 1 sees a marketing campaign and User 2 does not, because User 2 is part of the control group. Both users however, do make a purchase.
When we measure the conversion rate of the two users, User 1 falls at 18% and User 2 falls at 14%, giving User 1 an incremental lift of 4% over User 2. Understanding incrementality allows marketers to define the impact of marketing campaigns.
Feel free to use this as a metric framework, apply to your business and use as a starting point for your next report.
Since we know that the mobile metrics that matter vary by industry, here are top three metrics, split out by their respective industry. Feel free to use this as a metric framework, apply to your business and use as a starting point for your next report:
Media and Entertainment:
Travel and Lifestyle:
Ad- based Apps:
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