Top Mobile App User Acquisition Challenges for 2022/2023 and How to Overcome Them?
App user acquisition is the process of attracting and retaining users for a mobile app. It is an essential part of the app development process, as a successful app depends on having a large and engaged user base. However, app user acquisition is not always easy, and there are several challenges that app developers and marketers need to be aware of.
App user acquisition is the process of attracting and retaining users for a mobile app. It is an essential part of the app development process, as a successful app depends on having a large and engaged user base. However, app user acquisition is not always easy, and there are several challenges that app developers and marketers need to be aware of.
The mobile app market has experienced significant growth in 2021 and 2022, with time spent in mobile apps reaching 4.8 hours per day in top mobile-first markets, according to the data.ai: State of Mobile 2022 report. Ad spend in 2021 reached $295 billion, and $350 billion was forecast for 2022. App store spending also increased to $170 billion, or approximately $320,000 per minute. Global consumers downloaded more than 430,000 apps per minute.
As the mobile app market continues to grow, app user acquisition will become increasingly important. However, app developers and marketers will face several challenges in acquiring users. The data.ai report identifies competition, finding new growth channels, acquisition costs, and user retention as the main challenges in app user acquisition.
Competition in the app market is fierce, with millions of apps available on app stores. To attract users, app developers must offer unique and compelling features, as well as high-quality user experiences. This can be difficult, as many app developers are competing for the same users.
Finding new growth channels is another challenge for app developers and marketers. With the saturation of app stores and the rise of alternative app distribution platforms, app developers need to explore new ways to reach potential users. This can be difficult, as it requires significant research and experimentation to identify effective growth channels.
Acquiring users can also be expensive, especially for small app developers with limited marketing budgets. To attract users, app developers often need to invest in advertising and marketing campaigns, which can be challenging for smaller companies.
Finally, retaining users is crucial for the success of any app. Even if an app is successful at acquiring users, it is important to keep them engaged and using the app. This can be difficult, as many users have short attention spans and are easily distracted by other apps. To retain users, app developers need to offer regular updates and new features, as well as high-quality user experiences.
In conclusion, app user acquisition is a challenging process that requires app developers and marketers to overcome several obstacles. From competition and acquisition costs to user retention and finding new growth channels, there are many challenges that app developers need to be aware of. By understanding these challenges and developing strategies to overcome them, app developers can increase their chances of success in the app market.
Top challenges for app publishers in 2022/2023
Rapidly Increasing Competition & Finding New Growth Channels
There are millions of apps available on app stores, and it can be difficult to stand out from the crowd. To attract users, apps need to offer unique and compelling features, as well as high-quality user experiences. This can be difficult, as many app developers are competing for the same users.
One of the biggest challenges facing app developers and marketers is finding new growth channels. With the saturation of app stores and the rise of alternative app distribution platforms, app developers need to explore new ways to reach potential users. This can be difficult, as it requires significant research and experimentation to identify effective growth channels.
However, this challenge also presents an opportunity for app store optimization, DSPs, influencer promotion, and referral programs, among other growth channels. These channels can help app publishers grow outside of traditional user acquisition channels.
App store optimization, for example, can help app developers improve the visibility of their apps in app store search results. By using data-driven optimization techniques, app developers can improve the ranking of their apps and increase the likelihood that they will be discovered by potential users.
Influencer promotion is another effective growth channel. By partnering with influencers who have a large and engaged following, app developers can reach a new audience and increase the visibility of their app. Influencer promotion can be particularly effective for apps targeting younger demographics, as many younger users are influenced by the opinions of their favorite influencers.
Referral programs can also be an effective way to grow an app's user base. By offering rewards or incentives for users who refer friends and family to download the app, app developers can encourage existing users to promote the app to their networks. This can help to increase the app's visibility and attract new users.
Lowering CPIs - User Acquisition Cost
Another challenge in app user acquisition is the cost. Acquiring new users can be expensive, especially for small app developers who may not have large marketing budgets. In order to attract users, app developers often have to spend money on advertising and marketing campaigns. This can be difficult, especially for smaller app developers who may not have the resources to compete with larger companies.
While this may not have been a major concern in the past, it is becoming increasingly important as competition in the app market intensifies and acquisition costs rise.
One way to lower CPIs is to combine app store optimization (ASO) with standard acquisition channels. By using data-driven ASO tactics to improve the visibility of an app in app store search results, app developers can increase the conversion rate of their acquisition campaigns. This can help to lower CPIs by attracting more qualified users who are more likely to install and engage with the app.
Designing data-based app store listings based on ASO tactics is effective way to lower CPIs. By analyzing data on user behavior and app store algorithms, app developers can design app store listings that are optimized for conversion. This can help to improve the visibility of the app and attract more qualified users, ultimately lowering the cost per install.
In conclusion, lowering CPIs is becoming increasingly important for app developers and marketers. By combining ASO with standard acquisition channels and designing data-based app store listings, app developers can lower their CPIs and improve the effectiveness of their user acquisition efforts.
User Retention
Another challenge in app user acquisition is retaining users. Even if an app is successful at acquiring users, it is important to keep them engaged and using the app. This can be difficult, as many users have short attention spans and are easily distracted by other apps. To retain users, app developers need to offer regular updates and new features, as well as high-quality user experiences and well designed retention strategy.
Retention is important for all app categories, but is particularly relevant for short video and gaming apps that are competing for users' attention.
According to data from the data.ai: State of Mobile 2022 report, the average app retention rate after 30 days is 23%. This means that 77% of users who install an app will not use it again after the first month. However, retention rates vary by app category, with gaming apps having the highest retention rate (37%) and shopping apps having the lowest (14%).
Improving retention rates is crucial for the success of any app, as it can lead to increased user engagement and revenue. To improve retention rates, app developers need to offer high-quality user experiences and regularly update the app with new features and content. This can help to keep users engaged and using the app over the long term.
In conclusion, improving user retention rates is an important challenge for app developers and marketers. By offering high-quality user experiences and regularly updating the app, app developers can increase user engagement and improve retention rates. This can lead to increased revenue and long-term success in the app market.
What are the tactics to overcome user acquisition challenges?
App Store Optimization
App store optimization (ASO) is a powerful tool for overcoming the challenges of app user acquisition. By using data-driven tactics to improve the visibility of an app in app store search results, app developers can increase their chances of being discovered by potential users.
ASO can help app developers increase the visibility of their app in several ways. First, it can help to improve the ranking of an app in app store search results, making it more likely to be discovered by users. Second, it can help to increase the chances that an app will be featured by app stores, which can drive significant increases in visibility and downloads.
In addition to increasing visibility, ASO can also help to improve the conversion rate of user acquisition campaigns. By optimizing app store listings based on data and user behavior, app developers can create listings that are more likely to convert users into installs. This can help to lower the cost per install (CPI) of the app, making user acquisition more cost-effective.
Finally, ASO can help app developers to acquire more engaged users with higher retention rates. By optimizing app store listings and improving the visibility of the app, app developers can attract users who are more likely to engage with the app and use it over the long term. This can lead to increased revenue and long-term success in the app market.
If you are interested in learning more about how to implement ASO effectively, check out our e-book on the most common mistakes in implementing ASO and how to avoid them. This e-book offers valuable insights and practical tips for app developers and marketers looking to improve their user acquisition efforts through ASO.
In the competitive world of apps, mastering the marketing and growth process is key to success. This blog post dives into our comprehensive framework, covering everything from initial audits to continuous improvement and funnel optimization. Discover how we leverage experimentation, PDCA methodology, and a data-driven approach to refine strategies and maximize user acquisition and retention. Whether you’re looking to reduce costs or attract high-quality users, our guide provides actionable insights and practical steps to elevate your app’s performance. Ready to transform your app’s growth journey? Let’s get started!
Hey there! Struggling to perfect your paywall strategy and boost subscription numbers? Don’t worry, I’ve got you covered. Check out these five must-try tips for optimizing your app’s paywall and maximizing subscription revenue. From effective onboarding to varied paywall strategies, these insights will set you on the path to success.
Discover the truth behind common misconceptions about app growth. In this article, we debunk eight prevalent myths that can hinder your app’s success. From the necessity of a growth strategy to the importance of a data-driven approach, learn how to navigate the complexities of app marketing and ensure your app thrives in a competitive market. This excerpt provides a clear summary of the article’s content, enticing readers to learn more about debunking app growth myths.
.png)
