Conversion Optimisation
Retention Rate
Definition
glossaryRetentionRetention measures how well a product keeps users over time by continuing to deliver value. It is a key indicator of product success and long-term viability.Open glossary term rate is the percentage of users who continue to use a product or return over a given period of time.
In practice
Used to measure how well a product keeps users engaged and coming back after initial use.
The reality
glossaryRetentionRetention measures how well a product keeps users over time by continuing to deliver value. It is a key indicator of product success and long-term viability.Open glossary term is often a better indicator of product success than glossaryAcquisitionAcquisition is the process of attracting new users or customers to a product, service, or platform.Open glossary term.
Plain English
How many users keep coming back.
FAQ
Common questions
A few practical answers to the questions that usually come up around this term.
What is retention rate?
glossaryRetentionRetention measures how well a product keeps users over time by continuing to deliver value. It is a key indicator of product success and long-term viability.Open glossary term rate is the percentage of users who return over time.
Why is retention rate important?
It shows whether users find ongoing value in a product.
How do you improve retention rate?
By delivering consistent value and reducing glossaryFrictionFriction refers to anything that slows users down or makes it harder for them to complete a task. It can be caused by poor design, unnecessary steps, unclear messaging, or technical issues.Open glossary term.
How is retention rate calculated?
By comparing returning users to the original user base.
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