Start With The Math And Go From There
Over the past year, we've been fortunate to learn a lot about the metrics and measurements that app developers are focused on in order to determine how their apps are doing. While each app has unique activities that lend themselves to differing metrics, we kept coming back to a few consistent items that make the most sense when measuring the business, regardless of the app. The items are:
- Installs
- The percentage of Installs that have been retained as active users on a monthly basis
- The monthly active users
- The monthly average revenue per user
Understanding these consistent data points enable us to say
with confidence that the app business does, in fact, have a very
simple equation. That equation is:
As we work with developers on how they can impact this
equation, we find ourselves returning to the equation on a regular
basis in order to track progress. Importantly, successful
developers are now routinely working against this equation when
thinking about their product roadmap, features and their customer
feedback. Categorizing your work in terms of the impact and results
you anticipate driving is a very clear way to ensure that the tasks
are the most important are getting done.
With the attached worksheet you'll find a simple example of a
tracking worksheet that some developers use to map the equation to
work items. Feel free to use it if it's helpful for you and share
with others.