Now that you have a clear Problem – Solution Architecture, we need to design the ways your users will use your app and determine the mechanisms you can use to reach your objectives.
No matter what your vision of success is, any digital product needs 5 clear mechanisms that create a virtuous cycle to ensure exponential growth. All businesses (or projects) need to sell and have clients. How does your app’s selling funnel look like? In the following chapter we will set up the 5 stages in your app’s sales funnel.
2.1. User Acquisition
Before developing your app, you need a clear strategy on how it will acquire users. There are billions of apps out there, and relying on chance after all the effort you’ve put into building your product—not to mention the work still ahead—is not just naïve, but irresponsible. How will you get them to download your app?
Your Target Profile needs to hear about your product to download your app and use it. You need to invest in promoting & marketing it. Remember that 68% of the apps on the Playstore have less than 1.000 downloads.
In 2023, Cost per Install ranged from 1.75$ to 4.50$ in EMEA and from 2.50$ to 5.00$ in the US, with iOS installs being 11% more expensive than acquiring Android users.
This means that, if you plan to acquire 100.000 users, you need to expect marketing costs between 175.000$ and 500.000$, depending on your target market, industry, and how well you niche your user profile.
Truth be told, the actual engineering of a mobile app is the easy part compared to all the marketing efforts you will have to do to acquire users, but having a clear strategic approach towards your user funnel will help you optimize costs.
Alongside investing in ads and social media, think about the free (or cheap) marketing channels that are, and you can access: Newsletters, Existing Customer Base, entering specific communities of people that are affected by the problem you described at Step 1: The Problem-Solution Architecture.
If you already have a website, one of the first and simple steps you can take is guiding users that access it from a mobile device towards the mobile app.
Going through the mReady Launchpad Framework with our clients, for most of them, we have found alternate cheap mechanisms to promote their mobile apps instead of spending vast amounts of money on marketing.
What are the acquisition channels you can access and how will you handle them to get the most users you can? List all your options and describe the process for each one in the User Acquisition box of the Launchpad Canvas.
2.2. User Activation
So, you figured out how to get people to install your app… That’s great! But why would they open it? How many times have you downloaded an app that looked and sounded cool, but you have never opened it? I’m pretty sure you remembered it weeks or months later when you ran out of space on your device and deleted it.
We are surrounded by huge amounts of noise daily. We see thousands of commercials we forget about, we scroll through hundreds of Social Media posts, we download tens of apps, but we use on average only 7.
How will you activate your users? What kind of incentives will your users have to open the app and register? What immediate value or gratification can you offer to avoid losing them from the User Funnel?
2.3. User Retention
How will you keep users engaged and retain them after they open your app for the first time? 70% of users never open an app twice.
To minimize the number of users you lose (you will lose some along the way), you need to do 2 things: give them an obvious reason to open the app again and remind them of your app.
If you do not have a dopamine inflicting app (like social media, vod or gaming), you can think about a few incentive mechanisms like gamification points, exclusive offers, perks, and benefits for returning users.
Although a two-way street, the simplest way of reminding users about your app is through Notifications. Use this tactic wisely as its uncanny effect is they can easily get ignored (if too many) or they might trigger the opposite effect on users and have them delete the app (if too intrusive).
You want your users to have enjoyable feelings and memories when thinking about your app, right?
2.4. User Conversion
Generally, at least one of the objectives you set in Step 1: Problem-Solution Architecture should be about revenue or savings your app will generate. Conversion means turning users into revenue or savings generating assets.
As in any sales process, asking people for commitment too early might scare them off, while trying to convert too late increases your chances of losing retention. Clearly define what conversion means for you to think thoroughly when the best time is to try and convert users. To increase your chances of success, plan a few additional points in your app where you can offer your users the option to subscribe or opt-in for the cost-saving mechanisms you put in place.
Think about Netflix or other established apps and their conversion mechanisms. It’s never a single point conversion. Many VOD apps offer a Freemium model (some free content alongside paid content) to maintain retention and have a second, third, fourth chance to try conversion. If you are too limitative in using your app, and you have only one conversion point chance, you will lose potential customers from your pipeline.
Before describing your conversion mechanisms and alternatives in the Launchpad Canvas, don’t forget to validate it with some of the cohorts identified in previous steps. Test how they react when they need to offer you the commitment you need and ask for feedback on how to improve it. You can even prototype the process with a few sketches and watch their reactions.
2.5. User Referral
All products have their early adopters and fans. Bearing in mind how expensive it is to acquire new users, why would you forget about them?
Identify who your Most Valuable Fans are and offer them the possibility to refer you. They will be happy to do so as they will be the ones that genuinely believe in the value your solution brings.
If your app is intended to be a Customer Interaction App, they will be the ones to recommend the great experience they had within the app to their friends. They will want to share the great experience they have with you with everyone and help them out.
If you have an app with video or text content offering a sharing mechanism, your fans will want to share what they like with their friends and family. You could even include a freemium trial for new users that come in through referral.
You could even have a clear bonification budget you offer your fans for each new member they bring into the app, if it’s cheaper than organic/marketed users. Revolut – a digital financial service – offers their fans actual money for bringing in new users, for example.
Why wouldn’t you want to increase your chances of success and minimize your acquisition costs as well?
Once you have a clear Funnel Strategy, you are ready to think about all the nice features you can develop in your app. Don’t forget to consider all the trigger points and mechanisms inside the Funnel Strategy when designing and prioritizing them to achieve the best possible results.With over 14 years of experience and 250+ mobile apps launched at mReady, we know having a clear Problem-Solution Architecture and a consistent User Funnel Strategy is crucial before diving into features. This way, we can consistently set each of our projects on the path towards success.
If you are in the process of ideating or creating a mobile app you can Book a FREE Product Discovery Session here
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