🚨 Understanding Retention Part 2: When Retention Isn’t Everything
We often make quick decisions based solely on retention numbers. But there are times when other metrics hold more weight.
❓ Let’s take a look at a retention curve of a project with Day 1, Day 7, and Day 30 rates: * D1: 17.5% * D7: 4.5% * D30: 1.6% These retention numbers are below industry benchmarks, both short and long term.
🤔 Would you continue working on this project?
Before making a decision, let’s look at an important factor: 👉 ROAS (Return on Ad Spend): the amount of revenue earned for every dollar spent on advertising.
💡This retention data is from Nitro Nation: Car Racing Game. With over 50M downloads and $18M in revenue, this game is thriving despite low retention.
⭐️ TL;DR Even though this game doesn’t have exceptionally high retention rates, it’s still achieving positive ROAS—proving that , ROAS is the real key to success As Michael Martinez always says: Achieving positive ROAS should the business goal.