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Blog Article

The power of re-engagement for scalable mobile app growth

By:
Himanshu Gupta
Christie Zhang

Table of Contents

November 13, 2024

Capturing user attention is only the beginning in today's hyper-competitive mobile app market. The real challenge? To keep users engaged and coming back for more. Remarketing is often overlooked but is an essential part that transforms your app from just another download into an integration of users' daily lives. More than a tactic, it's a powerful strategy to optimize the entire user lifecycle and keep your app top of mind.

By reconnecting with users who are already familiar with your app, marketers can lower user acquisition costs, reduce churn, and maximize the lifetime value of each user. Moloco's Re-engagement solution was purpose-built for mobile app marketers to make the most out of their users.

Here's how a thoughtful remarketing strategy can make a difference and how Moloco's Re-engagement can drive your app's success. 

Prevent churn through reconnection

Imagine your app as a bathtub with a running faucet and an open drain. The water flowing in represents new users while draining out symbolizes user churn. To keep the bathtub full, you need a constant flow from the faucet — new users coming in. But the tub won't stay full if too much water drains quickly. Similarly, acquiring new users is essential, but your app's growth can stagnate or decline without strategies to retain and re-engage them. Since 75% of users drop off apps within three days of installation, re-engagement is essential — slowing the drain and lowering churn while keeping users engaged longer.

Boost retention while reducing acquisition costs

User acquisition is an essential part of any marketing strategy. Still, re-engagement offers a powerful, cost-effective way to drive additional value from users who have interacted with and are familiar with your app. These users often have higher intent, meaning they're more likely to convert than brand-new audiences. By strategically targeting these users, you can maximize lifetime value and boost overall performance without the total cost of new acquisition campaigns. Including re-engagement in your overall marketing strategy ensures that installs lead to meaningful engagement and long-term growth. 

For example, a trading app in India used Moloco to reach users who had installed the app but hadn't yet made a deposit. This approach reduced user acquisition costs by over 50%, as they re-engaged familiar users more cost-effectively than acquiring new ones. 

Keep users loyal to your app in a saturated market

As apps mature, they often reach a saturation point; this is when acquiring new users becomes increasingly tricky. At this stage, sustaining growth requires driving repeat engagement and encouraging in-app actions, such as purchases, from existing users. Remarketing becomes an essential tool for digital apps — whether in gaming, entertainment, or e-commerce — where users can be encouraged to engage repeatedly. 

By using data to target specific user segments with tailored messaging, savvy marketers can turn occasional users into loyal, high-value advocates.

Drive long-term app growth

Re-engagement isn’t just about sending simple reminders — it’s a strategic, data-driven approach to reconnect with high-value users and maximize engagement. Moloco delivers key benefits to marketers looking to boost user retention and drive growth. Here are a few ways Moloco’s re-engagement expertise has made an impact.

  • Lowering acquisition costs: By retargeting users already familiar with their app, brands can reduce their effective cost per acquisition: re-engaging existing users is five times less expensive than acquiring new ones. 
  • Increasing return on ad spend (ROAS) with targeted campaigns: A gaming app launching a new season used a mix of user acquisition and remarketing to re-engage lapsed players who had completed specific in-app actions. This strategic targeting resulted in a 4x increase in ROAS, proving the power of data-informed remarketing.
  • Scaling without sacrificing lifetime value (LTV) or cost efficiency: Scaling beyond a large existing user base without compromising long-term value or keeping customer acquisition costs low can be challenging for established apps. For one client, Moloco retargeted users who had seen impressions from previous install campaigns but hadn’t installed the app. By focusing on users in the top 75th percentile of impression density from a previous CPI campaign with an ad frequency of over 6, we targeted those at the cusp of conversion. This selectivity helped maximize conversions with minimal additional impressions and boosted the LTV/CAC ratio by 22%.

For advertisers looking to implement this tactic, it's essential to have a flexible approach to audience targeting. Each app’s identity strategy is unique, so Moloco offers multiple ways to ingest audiences – whether through direct API integrations, custom audience lists, or third-party data collaboration platforms. With access to impression-level logs, you can gain deeper insights into performance and refine your targeting strategy effectively, ensuring that campaigns are optimized to meet your specific goals.

Why Moloco’s re-engagement stands out

Moloco’s Re-engagement solution is designed for marketers to re-engage users across their entire journey. Here’s what sets it apart:

  • Unified user journey management: With Moloco's end-to-end platform, you can handle user acquisition and re-engagement within a single solution. This seamless approach allows you to work with the same dedicated team across campaigns, ensuring a cohesive, holistic strategy that maximizes user engagement at every journey stage.
  • Extensive inventory and reach: Moloco enables you to serve ads wherever your users are most active, ensuring effective re-engagement across their preferred apps. With access to over 3 million apps and 6.7 billion devices worldwide, Moloco ensures your ads connect with the right users at the right time, wherever they spend their time online.
  • Robust measurement and transparency: Moloco supports attribution from all significant mobile measurement partners (MMPs) to give you comprehensive tracking across platforms. For marketers focused on measuring campaign effectiveness, we offer first-party incrementality solutions and log-level data for those who prefer to conduct incrementality analysis in-house. This ensures you can accurately measure the true impact of your campaigns and make data-driven decisions.
  • Comprehensive managed service: Moloco's team provides high-touch, end-to-end support to maximize operational efficiency, from campaign setup to problem solving to continuous optimization, so you can focus on strategy while we handle the details.

Whether you're looking to lower user acquisition costs, improve retention, or boost ROAS, re-engagement offers a powerful, cost-effective way to sustainably grow your app's user base.

Ready to get started? Connect with our experts today.

Himanshu Gupta

Senior Growth Manager

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