What is the best way to increase your app revenue? Game apps generate 73% of their revenue from in-app purchases. Non-gaming apps, in the meantime, gain 94% of their revenue from subscriptions. In either model, efficient and engaging mobile messaging can help you to improve the bottom line.

In this blog post, we will uncover how you can leverage automated marketing communications to stimulate customer spending in your app and grow its income.

We will propose four ideas of using our ready-to-use Customer Journey templates tailored to increase your app revenue. We will also give you more tips on how to create custom multichannel event-triggered workflows from scratch. You will learn to achieve your business goals with efficient, well-coordinated messaging.

  • Spot your low-hanging fruit
  • Recover abandoned carts and boost your revenue by up to ¾
  • Gain more revenue from repeat purchases
  • Drive special-occasion sales for instant revenue growth
  • Stimulate first-time conversions
  • Increase your app revenue with thoughtful user onboarding
  • Leverage omnichannel communications to secure your app revenue

Spot your low-hanging fruit

You may only need to care about 5% of your users.

It sounds incredibly contentious, but data shows that in e-commerce, it’s the top 5% of customers (by lifetime value) that generate one third of total revenue. In mobile gaming and subscription apps, it’s less than 1% of users that bring the most gains.

Should you not care about the rest?

We don’t think so. A wiser strategy is to extend the list of your paying users and convert those who are one step away from a purchase.

First of all, we suggest you...

Recover abandoned carts and boost your revenue by up to ¾

Businesses lose, on average, 75% of sales due to cart abandonment. On mobile, cart abandonment rates are the worst, exceeding 85%. Luckily, you can beat the odds with a messaging flow designed for abandoned cart recovery.

Here is the base scenario. Once a customer triggers an event = adds a product in their cart but doesn’t purchase it, the countdown begins. Pushwoosh will wait an hour or a full day until it reminds your customer about their would-be purchase.

You may apply extra-focused segmentation, for example:

  • Send push notifications to those who opted in for pushes and emails — to those who subscribed to receiving communications via this channel;
  • Differentiate users who didn’t open your app for 3 days from those who didn’t open it for 7 days. You may want to extend your message for those who abandoned a card a week ago.

You can also modify the journey by starting it with a different trigger event. For example, you can schedule your communication shortly after the moment when your customer bounces from a product or pricing page. This way, you can target a larger audience and catch your potential clients earlier in their decision-making.

Gain more revenue from repeat purchases

Repeat customers are 9 times more likely to convert than first-time shoppers. Moreover, one repeat customer brings the revenue equivalent to that generated by five new customers.

Can’t wait to get your revenue skyrocket from repeat purchases? There are two ways to pursue this goal:

  1. Entice your current customers with new offerings right after they complete their first purchase and follow up on them in the Add to Cart flow (see the GIF above).
  2. Go after those who have ever purchased anything from you, no matter when exactly it happened. In the Increase In-App Purchases template, you send your communications to all of your previous buyers.

To maximize conversion, you may split the “Purchased something” segment into groups:

  • Users who have opened your app in the last 3 days vs. those who haven’t entered it for a week;
  • Customers that have checked out any product page recently vs. those who haven’t;
  • Users that have added anything to their wishlists and those who don’t have any favorites.

Customize your messages to different categories and see how they convert.

Drive special-occasion sales for instant revenue growth

Holidays are great for reconnecting with those you care about — your customers, in the first place! Special occasions tempt shoppers to spend 17% more per transaction. And if it is a repeat customer, they will make a 25% more expensive purchase than usual.

Indulge your audience’s appetite: tease them with a holiday discount and ensure the majority of your app users = everyone who enabled notifications receives your message.

Naturally, you can promote any special offer or a priority item in your app with this template. No need to wait for the next holiday season.

If you have a hypothesis on your pricing, a discount promo can help to test it. Add a Segment Splitter to the flow: target specifically those users who have abandoned their carts or spent too much time in your pricing section. They might hesitate because their chosen items are too expensive. If so, a limited-time discount may help them make up their minds.

Stimulate first-time conversions

Now you must be 100% aware of how profitable your communication with repeat customers may be. But how do you get users to make a first-time purchase in your app? Two strategies are applicable.

1. Define a segment that is most likely to convert

Section out highly engaged users, for example:

  • daily game players;
  • regular users of a specific feature in your subscription app;
  • those who have reached your free version limits.

Then set smart triggers to catch those customers!

Have a look at a Yazio example: they target users who got stuck on a paid feature page. Yazio tries to motivate these users by dissolving their doubts: the subscription is not as expensive as it seems. Then, a call-to-action follows.

With Pushwoosh, you can create a perfectly custom triggered communication flow from scratch. Start your custom journey by Segment — this way, you can even target the users who have never bought anything from your app but have purchased something on your website or in the offline store. Just upload customer data in a .CSV, save the list as a segment, and entice those customers with what you believe will make them convert.

Tips from Pushwoosh: remember to apply personalization and choose the best timing for your notification delivery.

2. Detect a point when users are most likely to pay

In game apps, there are hotspots — the moments when a player’s excitement peaks and they are prone to go in the direction where you lead. This is when you can influence user decisions, including their decision to pay.

Such moments (potentially) exist in any type of app. You may detect hotspots when you study your user data or you can introduce them with gamification.

At a hotspot, you can call users to action. Start a new triggered flow by Event (you can manage the list of suggested events and leave only the most relevant ones for your type of app). Comment on the fact that a user has used a PRO feature, for example, and if they want to continue, they have to buy a subscription.

Here is an example from the Instories app that allows free users to try a collage feature but not to export the final picture:

Pushing users to their first-time purchase surely requires skill and time, but in the end, all efforts pay off. After one purchase, customers are 27% likely to pay again, and  for the second and third purchases, the chances double.

3. Send alerts on new paid in-app content

Your content-based or product app has a good share of subscribers that have never paid. But what if a new item in your app’s music photo filter collection will finally motivate them to convert?

Try sending a notification on new paid content arrival to a broader audience. You may send a broadcast message, but we recommend you Start by Segment. Target those who have added their payment methods or visited a specific page recently. This way, you will concentrate on the most motivated users.

Be careful with the copy: you don’t want it to be too pushy. Add Dynamic Content for a personal touch. Apply Deep Linking to make your message hit the target.

Increase your app revenue with thoughtful user onboarding

Apps may earn 18% of their monthly revenue on the first day after installment. User onboarding certainly contributes to these gains. A well-considered welcome flow can bring your new users to a hotspot or an AHA moment faster. Once they’ve realized your app’s value, they are more likely to pay for it.

In the base scenario, your welcome messages are sent to all the registered users. You may apply segmentation:

  • Select those who have enabled a free trial or added their preferred payment method;
  • Distinguish those who haven’t done any of the above.

Learn three ways to segment customers in 2021

Differentiate your onboarding messages for these groups. Less engaged users may need a more inspiring walkthrough that will explain your value from their perspective. By contrast, those who consider a purchase in the near future will be more open to learning about your features and advantages.

Of course, a user won’t necessarily make a purchase immediately after completing an onboarding. Nevertheless, a carefully crafted welcome series may flourish into higher user engagement and in-app spending.

Leverage cross-channel marketing to secure your app revenue

“Don’t put all your eggs in one basket” is the timeless advice for marketers. It’s good to have one efficient automated marketing channel, but it’s more secure and profitable to orchestrate cross-channel messaging.

  • Utilize in-app messages to convert your active users;
  • Re-engage and follow up on your potential customers with push notifications;
  • Hold A/B tests in order to find the most advantageous combination of messaging formats and content.

You can do all of these with Pushwoosh. Build unique Customer Journeys for your app and increase its revenue with automated marketing communications.