Definition
The rate at which customers or users continue using a product or paying for it over a given period of time.
Why it matters for growth
Retention is the foundation growth compounds on; strong acquisition cannot outrun a leaky bucket of churning customers for long.
Example
A subscription app keeps 70% of month-one users active in month two, a retention rate it tracks obsessively by cohort.
FAQ
- What is Retention?
- The rate at which customers or users continue using a product or paying for it over a given period of time.
- Why does Retention matter for growth?
- Retention is the foundation growth compounds on; strong acquisition cannot outrun a leaky bucket of churning customers for long.
- What is an example of Retention?
- A subscription app keeps 70% of month-one users active in month two, a retention rate it tracks obsessively by cohort.