Product Stickiness: How to Measure, Benchmark, and Improve

Product stickiness: how to measure, benchmark, and improve

Ever wondered why some products keep users coming back for more while others are quickly forgotten? The secret sauce is product stickiness—a term that’s all about how often and why users return to your product. In a world where user attention is a prized commodity, knowing how to measure and improve stickiness can be a game changer.

This blog will dive into the nitty-gritty of measuring stickiness, benchmarking against industry standards, and most importantly, how to enhance this crucial aspect of your product. Whether you’re aiming to boost user engagement or simply understand how sticky your product truly is, we’ve got you covered.

Defining product stickiness and why it matters

Product stickiness isn't just jargon; it's about creating something users can’t resist returning to. Think of it as the pull that keeps them engaged. A simple way to measure this is through the DAU/MAU ratio—the percentage of monthly users who engage daily. A higher ratio? More engagement, which means your product is resonating.

But why does this matter? A sticky product builds loyalty and reduces churn. It’s also a cornerstone for growth, especially in subscription models that thrive on repeat use. According to insights from Lenny's Newsletter, sticky products often lead to compounding growth.

To get started, define what “active” means for your users, then calculate DAU/MAU specific to your context. Use cohort analysis to spot trends and outliers, and compare these against internal benchmarks and industry standards. As Userflow suggests, benchmarking helps you identify where you stand and where to improve.

Strong stickiness fuels organic growth and enhances product-led marketing. The more users engage naturally, the better your SEO and marketing efforts perform. According to Lenny's Newsletter, this synergy amplifies results.

Measuring daily usage: metrics and benchmarks

The DAU/MAU ratio is your go-to metric for assessing stickiness. It tells you which percentage of monthly users engage daily. A high percentage signals strong engagement, while a low one suggests room for improvement.

But don't stop there. Look at session duration and retention rates to see if users find ongoing value. Longer sessions and higher retention are positive signs. Compare these metrics with industry benchmarks to understand your position. For instance, a DAU/MAU ratio above 20% is often considered strong.

To dive deeper, Statsig offers insights on user stickiness metrics that can guide you in interpreting these numbers.

Analyzing deeper engagement signals

Understanding product stickiness involves more than just numbers. It’s about seeing how different user cohorts behave. Segment users by signup date or usage patterns to spot trends. This helps in identifying those crucial ‘aha’ moments—when users realize the product’s value.

For instance, users who complete onboarding quickly are more likely to stick around. Identifying such patterns allows you to focus on features that drive repeated engagement. If a new feature isn't getting traction, it might be time to pivot.

Spotting these trends helps refine your product strategy. By tracking user journeys, you can identify which steps lead to loyalty. Tying these insights back to product stickiness shows where to invest your efforts.

Practical ways to improve stickiness

Improving stickiness starts with streamlining onboarding. Make it easy for users to get the hang of your product. A smooth onboarding process boosts confidence and engagement.

Next, personalize communication. Send timely messages and feature updates that keep users engaged. Listen to feedback and iterate quickly. This continuous loop ensures your product evolves with user needs.

• Conduct user surveys for insights

• Prioritize improvements that boost repeat engagement

• Track experiments impacting stickiness, as suggested by Statsig

Consistent iteration helps maintain your product's relevance and keeps it top of mind for users.

Closing thoughts

Understanding and improving product stickiness is crucial for long-term success. By focusing on metrics like DAU/MAU and retention rates, and by analyzing user engagement patterns, you can fine-tune your product to better meet user needs. For further reading, explore resources from Wall Street Prep and Whatfix.

Hope you find this useful!