How to Increase Active Users (MAU & DAU) for your App or Saas Product?

How to Increase Active Users (MAU & DAU) for your App or Saas Product?

Active users are individuals who regularly engage with a digital product, such as an app or website, within a specified timeframe.

By: Ayesha Khan | 6 mins read
Published: Oct 20, 2023 12:26:21 AM | Updated: May 15, 2024 01:47:46 AM

In the competitive landscape of the digital world, attracting and retaining active users for your mobile app or SaaS product is critical to your success.

Monthly Active users (MAU) and Daily Active Users (DAU) are key performance indicators that reflect your product’s popularity and engagement. 

To increase these numbers and foster sustainable growth, you need a well-thought-out strategy 

A Framework to Increase Active Users

                                   

                                                            Build—->Measure—->Learn 

To increase active users, you can follow a data-driven approach and conduct experiments within your app or SaaS product. Using the Build-Measure-Learn framework, can help you systematically test and refine strategies to boost both Daily Active Users (DAU) and Monthly Active Users (MAU). 

Here's a guide on how to apply this framework effectively:

Build

Measure

Learn

Formulate Hypotheses: Start by identifying specific hypotheses for improving DAU and MAU. For example, you might hypothesize that improved onboarding will lead to more users making your app a daily habit. Your hypothesis should specify the expected change and success criteria.

A/B Testing: Implement A/B testing to compare the impact of changes. For instance, if you're working on the onboarding process, you might have two groups of users: one experiencing the current onboarding flow and the other the new, improved flow. Measure their behavior and engagement over a reasonable period.

Evaluate Results: After running your experiments, evaluate the results to understand if the changes had the desired effect. Did the improved onboarding lead to a higher DAU? Did your efforts increase MAU? Compare the metrics before and after your changes

Experiment Design: Plan how you will test your hypothesis. Consider what changes you need to make within your app, such as optimizing the onboarding process, creating more engaging content, or introducing gamification elements. Ensure that the changes are aligned with your hypothesis.

User Segmentation: Segment your user base based on specific criteria, like demographics or behavior, and analyze the impact of changes on different user groups. This can reveal insights on which strategies work best for certain segments.

Consider Long-Term Effects: It's essential to look beyond short-term gains. Consider how changes affect user retention and engagement over the long term. For example, in the case of push notifications, don't just focus on immediate engagement but also assess long-term user retention.

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What are Monthly Active Users (MAU)

Monthly Active Users is a metric commonly used in the digital and tech industry to measure the number of unique users who engage with a particular website, application or service during a specific month.

Each user is counted only once, regardless of how many times they engage with the platform during that period.

MAU is an essential metric for assessing the growth and performance of digital products. It helps businesses track user adoption, monitor user retention, and evaluate the effectiveness of user engagement strategies.

How to Increase Monthly Active Users?

Seamless Onboarding

Seamless onboarding is a critical factor in increasing monthly active users (MAU) for your all or SaaS product. Onboarding is the first experience new users have with your product, and if it’s not well executed, it can lead to drop offs and decreased user engagement. Here’s how a seamless onboarding process can positively impact your MAU:

  • Enhances User Experience

When users find it easy to get started and understand the value of your product, they are more likely to continue using it regularly.

  • Reduces user Churn

Churn, or the rate at which users abandon your app or product can be high during the initial stages. A seamless onboarding expert can help reduce churn by ensuring that users don’t get frustrated or confused and as a result don’t abandon your product.

  • Establishes value

Onboarding is an opportunity to showcase the value your product provides. If users quickly understand how your app can solve their problems or meet their needs, they are more likely to become active users who return regularly.

To increase monthly active users using seamless onboarding consider following best practices

  • Simplicity
  • Personalization
  • Guided tours
  • Progress tracking
  • Minimize friction
  • Interactive elements
  • Feedback loops

Push Notifications 

Push notifications can have a significant impact on increasing monthly active users for your mobile app or SaaS product.

When used effectively, push notifications can re engage users, remind them of your app’s value and encourage them to return.

Here’s how push notifications can positively affect your Monthly Active Users

  • Re Engagement 

Push notifications serve as a powerful tool to re-engage users who may have become inactive.

By sending relevant and timely notifications, you can remind users of your app and it’s benefits , prompting them to return and become active users once again.

  • User Retention 

Consistently sending valuable and personalized push notifications can help retain your existing user base. When users see the value of your all through notifications, they are more likely to continue using it regularly

  • Communication channel

Push notifications provide a direct communication channel to your users, allowing you to inform them about new features, data promotions and important information.

 To increase monthly Active Users by using push notifications effectively these are the best practices

  • Segmentation
  • Timing 
  • Opt in and preferences
  • Use rich media
  • Frequency 

Engaging Content and Features

When users find value, entertainment, or utility in your product, they are more likely to return regularly. 

Here’s how engaging content and features can boost your Monthly Active users

  • Word of Mouth Promotion

Engaging content or unique features can motivate users to share your app with others. This can result in organic growth as more users are attracted to your product.

  • Differentiation

In a competitive market, offering unique and engaging content or featured sets yohr all apart from the competition. Users are more likely to choose and stick with products that provide them with something valuable and distinctive.

To Utilize engaging content and features effectively to increase monthly active users

  • Gamification
  • Community building
  • Surveys and feedbacks
  • Interactive content 
  • Content updates
  • Content personalization 

Community Building

Community building is a powerful strategy for increasing monthly active users (MAU) for your App or SaaS product. When users feel a sense of belonging and connection within a community, they are more likely to return regularly and engage with your product 

Here’s how community building can positively impact your monthly active users

  • User Retention

Building a community within your all fosters a sense of loyalty among users . When users feel part of a community, they return to your app regularly to interact with fellow community members.

  • Word of mouth promotion

A vibrant community can lead to organic growth as satisfied users recommend your app to others. This word of mouth promotion can contribute to an increase in MAU.

  • Content Generation

community can generate user generated content, such as reviews, discussions and tutorials which adds value to your app and keeps users coming back for more.

To increase the number of monthly active users effectively by utilizing communities , consider following strategies

  • Community features
  • Moderation and guidelines
  • Gamification
  • Expert involvement
  • Events and contests
  • Social integration
  • Recognition and rewards

What Are Daily Active Users

Daily active users is a common metric used in the digital and tech industry to measure the number of unique users who engage with a particular application, website or service on a specific day.

DAU is a key performance indicator (KPI) that provides insights into the daily usage and user engagement of a digital product.

Each user is counted only once regardless of how many times they engage with the platform during that day.

DAU is an important metric for assessing the day to day usage and user engagement of digital products. It helps businesses and developers understand how frequently users are accessing their platform and interacting with it.

DAU is often used in conjunction with other user engagement metrics such as Monthly active users and Weekly active users . By comparing these metrics businesses can gain a more comprehensive view of user behavior and platform performance.

To calculate DAU count the number of unique users who interact with the platform during a specific day . This can include actions like logging in , viewing content, making purchases or any other significant interaction.

How to Increase Daily Active Users (DAU)

In App Messaging

It’s a powerful tool to increase daily active users (DAU) for your app or SaaS product. It enables real time communication and engagement with your users within the app, fostering a sense of community and encouraging regular interaction.

  • Real time engagement

In all messaging allows users to communicate with each other and with your support team in real time. It provides an immediate and engaging experience. 

  • User support

In app messaging provides a direct channel for users to seek assistance, ask questions and get promptly responses from your support team. This can help users overcome obstacles and stay engaged with your app.

To increase Daily Active Users through in all messaging consider following strategies

  • Chat features
  • Discussion forums
  • Moderation
  • Gamification
  • Integration with user profiles
  • Events and Q&A sessions
  • Notification preferences

 Cross Promotions and Referral Programs 

Cross promotions and referral programs are effective strategies to increase Daily Active Users (DAU) for your app or SaaS product. These tactics not only attract new users bht also encourage existing users to engage more.

Cross promotions with other apps or services introduce your all to a new audience, potentially attracting users who may not have discovered it otherwise.

Referral programs motivate your existing users to refer friends and colleagues to your app, increasing your user base.

  • Word of mouth growth

Both strategies can generate organic growth as satisfied users promote your all to others through word of mouth , social media or other channels.

  • Active user Engagement 

Cross promotions can lead to higher DAY by encouraging new users to explore and use your app regularly, especially if the promotion provides added value or incentives.

Referral programs can result in increased DAY because referred users often try the app and if satisfied become active users who return regularly.

To increase Daily Active Users (DAU) Through cross promotions and referral programs use the following strategies

For cross promotions
  • Partner selection
  • Value proposition
  • Promotion channels
  • Tracking and analytics
For referral programs
  • Incentives
  • Ease of sharing
  • Promotion
  • Reward delivery

Conclusion

In conclusion, increasing active users, whether Daily Active Users (DAU) or Monthly Active Users (MAU), is a critical goal for the growth and success of your app or SaaS product. By adopting a data-driven approach and conducting systematic experiments, you can make informed decisions to boost user engagement and retention.

Increasing active users is not a one-time effort; it's an ongoing process that requires adaptability and a commitment to continuous improvement. By following these strategies and methodologies, you can achieve sustainable growth in DAU and MAU, ensuring the long-term success of your app or SaaS product.

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