The Key Reason Your App Isn’t Growing

So, you’ve built a killer app—slick design, flawless UX, packed with features that are way better than what’s out there. But where are the users? Why isn’t it blowing up? If you’re like a lot of developers, you might be counting on App Store Optimization (ASO) to get you those downloads. You figured that once your app’s out there, the installs would just roll in. Right?

Here’s the thing: ASO alone isn’t going to cut it.

In today’s insanely competitive app world, even the best apps can sink without a strong User Acquisition (UA) strategy. No matter how amazing your app is, if people can’t find it, they’re not going to download it. And that’s where a lot of developers get stuck—they underestimate just how much they need to put into acquiring users.

So, how do you crack this? Let’s get into the real UA strategy you need and how to do the math that shows you exactly when your efforts are paying off, using insights from the Adapty 2024 Report.

Why Most Developers Fail at UA

The biggest misconception among developers is thinking that if they build a great app, it will organically grow. This thinking is flawed because of the sheer volume of competition on the App Store—over 1,000 apps are released every single day. Without a well-executed UA strategy, your app will get lost in the crowd.

To grow your app, you need a targeted plan that focuses on the right UA channels, consistent testing of ad creatives, and understanding your LTV and payback time. Let’s dive deeper into the key UA channels and how to approach them, particularly if you’re working with a limited budget.

Best UA Channels for Mobile Apps: A Focused Approach

When it comes to UA, it’s tempting to spread your budget across multiple platforms—Facebook, Google, TikTok, and so on—but that’s a mistake if your budget is under $10k/month. Each channel has its own nuances, and if you don’t master one, you’ll end up wasting money across all of them. Here’s a more focused breakdown:

• Facebook Ads: If you have a limited budget, say up to $10k/month, Facebook Ads should be your primary focus. Why? Facebook’s robust targeting options allow you to narrow down your audience based on interests, behavior, and demographics. More importantly, it’s easier to achieve scale on Facebook with lower budgets compared to platforms like Google or TikTok, where experimentation takes more time and resources.

  To make Facebook work, you need to focus on testing multiple ad creatives. The reality is that ad fatigue sets in quickly—if you’re running the same creative too long, performance will drop. Testing dozens of creatives (video ads, carousel ads, single-image ads) is critical to finding the ones that perform best for your target audience.

  If you shift attention to other UA channels while still learning Facebook, you’ll likely fail across all channels because each platform requires a dedicated strategy and testing process. So, if you’re under $10k/month, concentrate solely on Facebook until you see positive ROAS (Return on Ad Spend).

• Apple Search Ads: For developers targeting high-intent users, Apple Search Ads is a great channel. These ads appear at the top of App Store search results, so you’re capturing users when they’re actively looking for apps like yours. This makes Apple Search Ads highly effective for app installs with high conversion rates.

  However, Apple Search Ads can be expensive compared to Facebook, so if your budget is tight, start with small test campaigns and gradually scale once you see positive results. This platform is best suited for apps that already have strong ASO and are looking to amplify their visibility.

• Google Ads (including YouTube): Google Ads allows you to tap into billions of users across multiple platforms, from search to display and video ads on YouTube. While it’s a powerful UA channel, it requires significant resources to optimize properly. If your budget is under $10k, you may find it challenging to test and optimize across Google’s network effectively, as costs per click (CPC) can be higher and performance may take longer to optimize.

• TikTok Ads: TikTok is an incredibly valuable platform for younger audiences, but it requires a creative-first approach. The platform’s short-form video ads demand unique, engaging content that feels native to the TikTok experience. If you can create content that resonates with users, TikTok offers low-cost installs. However, like Google Ads, it requires significant creative testing and should only be explored after mastering Facebook Ads.

• Other Channels (Snapchat, Unity, Applovin): If you’re in niche markets, Snapchat Ads and gaming-specific networks like Unity Ads and Applovin can be great channels. Unity and Applovin, in particular, are essential for gaming apps, as they allow you to reach users who are already engaging with similar games. However, these platforms have their own learning curves, and it’s best to tackle them once you’ve already established a profitable UA funnel elsewhere.

Making the Math Work: Using LTV and Payback Time to Guide UA Decisions

So, how do you make sense of these numbers to guide your user acquisition strategy?

Step 1: Know the value of your trial users.
If your app’s Lifetime Value (LTV) for weekly subscriptions is $43, and 27.4% of users who start a trial actually convert into paying subscribers, that means each trial user is worth about $11.78. This tells you how much you can afford to spend to bring in each trial user while staying profitable.

Step 2: Set your Cost per Acquisition (CPA) goal.
Now that you know each trial user is worth $11.78, this should be the maximum you’re willing to spend to acquire a user. If your acquisition cost is less than this, great—you’re making money. But if it’s higher, you need to adjust your marketing strategy, improve your ad targeting, or tweak your creatives to bring the cost down.

Step 3: Understand your payback period.
Based on the data, weekly subscriptions have about 8 renewals on average, which means you’ll recoup your acquisition costs over several weeks. If you’re acquiring users for less than the $43 LTV, you’ll start seeing profit after a few renewals.

These numbers are key to knowing how much you can safely invest in acquiring new users while ensuring your app stays profitable. By keeping an eye on these metrics, you’ll be able to fine-tune your marketing efforts and scale with confidence. For more detailed benchmarks on subscriptions and LTVs, you can refer to the full Adapty 2024 Report here.

Actionable Tips to Improve UA and Profitability

1. Prioritize your best-performing channel. If you’re operating on a limited budget, focus on mastering one UA channel before expanding. Facebook Ads is often the best starting point for its scalability and optimization tools, but keep an eye on the numbers—your CPA should align with your LTV.

2. Test, test, test! UA success comes from constant testing of ad creatives. Always have multiple creatives running, and monitor their performance. If an ad stops performing well, swap it out for fresh content.

3. Optimize your onboarding and paywall experience. According to the Adapty report, 90% of payments come from the paywall after onboarding​(Adapty — State of in-ap…). This makes it crucial to optimize your paywall design and onboarding process to ensure high conversion rates.

4. Know your LTV and CPA numbers. Calculate your trial LTV and set realistic CPA targets for each channel. If you’re not profitable based on these calculations, don’t scale until you’ve optimized your UA.

Final Thoughts

Without a strategic UA plan, even the best apps will struggle to gain traction. ASO alone isn’t enough, and diversifying UA channels prematurely can spread your resources too thin. Focus on mastering one channel at a time, understand your app’s LTV and CPA, and optimize constantly. With a solid strategy and deep understanding of your key metrics, you’ll be able to scale your app profitably and sustainably.