Interesting Facts about Your Mobile App User Lifetime Value (LTV)

There are millions of mobile apps available to download in app stores. Some accomplish huge success while others experience a great setback. Today, success and failure of mobile app depends greatly on mobile marketing campaigns. The mobile marketing arena revolves around the lifetime value (LTV) of mobile app users. LTV is the most meaningful metric for determining the profitability of your mobile app. Lifetime Value is the projected revenue generated by a user during their lifetime from the time of app installation to the time it is no longer used. LTV marketing metric helps app developers and marketers to better plan their marketing budgets by focusing on users who will provide better ROI than customers with low-value LTV. There are some interesting facts about LTV that developers and app marketers must know in order to divert the future of their app towards the path of success:

Fact #1: Monetization, Retention and Virality are the three drivers of LTV

Ad-based monetization strategy will boost your revenue. In-app messaging can increase user retention by 3 times and also results in 25% more app launches.

Fact #2: LTV is not just part of marketing campaign but also of design phase

App developers often consider LTV as part of mobile marketing strategy after developing and launching their app. However, LTV should be considered right from the time when mobile game app idea and design are finalized for long term success.

Fact #3: Successful game apps make most of the LTV after 30 days of installation

First 30 days of app installation generally contribute 25-50% of total LTV value. The yield is usually twice from 31 days to 180 days as compared to first 30 days. Give creative reasons to app users to use your app for long.

The Last Word!

Once you understand how important LTV is for your app’s long-term success, you can easily customize your mobile marketing strategy and partner with the best mobile ad networks and get better results.