WHY IS USER ENGAGEMENT SO IMPORTANT?
User engagement is highly correlated with online success. Consumer attention is a finite resource and if users choose to spend their time on a particular app or site, they’re signaling that they find value in it. This allows businesses to monetize their product, service or content with ads, subscriptions, or sales.
Highly engaged users are more likely to purchase, revisit, and share the product or service with friends, family and peers. Product and marketing teams that measure user engagement must use viable product analytics to understand the factors that contribute to higher engagement. By improving engagement, businesses can improve the websites overall profitability.
Metrics for user engagement must include critical aspects that are meaningful to your business. Hard metrics such as daily active users, retention, time on site, cost-per-acquisition, and ROI are straightforward while engagement depends upon the company’s business model. High engagement rates via views or clicks might be ideal for a pure content site like a news agency but not for a mortgage app, where more usage might suggest that a user is about to file an application.
We partner with our clients to develop a deep understanding of what your criteria for success are, develop a plan to achieve them and quantify success with verifiable metrics and reporting.